March 2, 1973

US State Dept on Mar 1 receives repts that Palestinian guerrillas in Sudan have captured 5 diplomats, including US Amb C A Noel Jr and outgoing charge d'affaires G C Moore, and are seeking to exchange them for several hundred prisoners including S Sirhan, murderer of R F Kennedy; besides Americans, members of Black September terrorist movement in Khartoum captured Saudi Arabian Amb A al-Malhouk and charges d'affaires of Jordan and Belgium; Japan's Foreign Min says its charge d'affaire is among hostages; repts say that terrorists captured diplomats at Saudi Embassy during reception given by Malhouk in honor of Moore who was ordered back to Washington for reassignment; diplomatic relations between US and Sudan were resumed in Aug '72; Noel was sent to Sudan as Amb in Dec '72 to take over from Moore; repts say terrorists entered Saudi Arabian compound when large number of diplomats had gathered there; say that during confusion Brit, French and Soviet Ambs escaped; repts from Middle East say Sudanese Pres Nimeiry has been in consultation with other Arab leaders on how to deal with situation; say that in addition to Sirhan, Black September is seeking release from prisons in 'the Zionist state of occupation', meaning Israel, of 'all detained brothers and sisters and strugglers for the freedom of Palestine'; says guerrillas also demand release of 17 members of Al Fatah, main Palestinian guerrilla group, and Maj R Hindawi, Jordanian officer serving life sentence in Amman for complicity in plot to kill Jordanian King Hussein; A Daoud, member of Fatah's Revolutionary Council, is among 17 in custody in Amman facing ct-martial on charges of subversive activity; additionally, demands call for release of 50 persons from Jordanian prisons and of 2 men held in W Ger; brief sketch of Noel and Moore; past activities of Black September noted; illus of Noel and Sirhan; map

D K Ramsey, AID officer who spent 7 years in Vietcong capitivity, tells of his ordeal, Mar 1; praises Maj D G Cook who died in captivity on Dec 8 '67; recalls funeral of POW Maj J Schumann; Ramsey por

new monetary crisis sweeps across Eur on Mar 1, bringing heavy selling of weakened dollar; foreign-exch centers in Eur and Japan are ordered closed Mar 2; natl banks of at least 9 countries are forced to absorb well over $3-billion in efforts to maintain present value of their currencies; W Ger central bank acquired record $2.5-billion while Dutch central bank buys $500-million, Belgian natl bank $100-million and French natl bank $100- to $150-million; dollar is reptd hard hit on NY mkt; foreign-exch mkts are ordered closed in Frankfort, London, Brussels, Amsterdam, Vienna and Tokyo, and Japanese mkt will be closed Mar 3; Govt officials in Eur confer on latest monetary flareup, and Chancellor Brandt meets with Prime Min Heath, who is on previously scheduled visit to W Ger; Govt spokesman in Bonn says W Ger is seeking contacts with US Govt after consultation with members of EEC; Brandt is reptdly seeking to work out Eur solution in which EEC countries would float their currencies jointly against dollar, but joint float would be difficult to manage because it would mean EEC would be fluctuating almost as single unit against dollar in foreign-exch mkts; repts that EEC was considering joint float of currencies against dollar are considered to be one of immediate reasons for new flareup; Brandt would like GB to be part of joint float to show common Eur response, but GB would have to be ready to stop floating individually and set new parity for pound; W Ger Min H Friderichs says disorders are viewed with 'considerable concern'; mark is being bought at upper intervention point against dollar of 2.8350 marks; speculators also move into currencies of Sweden, Norway, Denmark, Netherlands, France, Belgium, Austria and Spain, all of which are reptd to have intervened; price of gold holds steady at $86 an ounce in relatively quiet trading

Communist China, on Mar 1, announces an offer to hold direct negotiations with Chinese Nationalist Govt and warns against any attempt to replace Amer presence there with that of 'someone else'; statement made at important meeting by Fu Tso-Yi, former Nationalist gen who surrendered Peking to Communists in '49 and then joined their Govt; Fu recalls good treatment he recd after surrender; calls on his former comrades to rejoin mainland; urges Taipei regime to send reprs to mainland openly or secretly if they are not prepared to enter into formal talks immediately; lauds Nixon's courage in recognizing realities of situation and notes Taiwan cannot rely on Amer support much longer; his comment on 'someone else' trying to replace US viewed as reference to USSR, to which Nationalists reptdly will turn to for aid if abandoned by US; Liao Cheng-chih, Communist official, warns 'Chiang Kai-shek clique' that Taiwan must be liberated, that it is gen trend and desire of the people, speech to same meeting; Chinese Nationalist Govt scoffs at suggestion that they enter into talks with Communist Govt; Govt official says Nationalist Govt believes its relationship with US is firm and is optimistic about future of its diplomatic relationship and defense treaty with US; Communist overt appeal to Nationalists, follows 20-month period in which Peking has hinted at peaceful settlement of Taiwan question

Majority of faculty at Inst for Advanced Study has called for outside comm to evaluate dir C Kaysen's adm, action which has created crisis situation at inst; number of faculty members would like to see Kaysen resign; controversy involves Kaysen's support of Prof R N Bellah, candidate for apptmt to faculty of inst; faculty members, after reading Bellah's works and finding them of questionable scholarship, opposed his apptmt; Kaysen overrode faculty recommendation and announced that Bellah's apptmt would take effect on July 1; faculty members comment; Kaysen and Bellah pors