August 28, 1973

White House on Aug 27 identifies C G Rebozo, close friend of Pres Nixon, as 1 of 2 financial backers in Pres's real estate purchases in Can Clemente, Calif; disclosure comes in detailed analysis of San Clemente purchases, which White House press office says is aimed at ending speculation about where Nixon got money to buy San Clemente property and his home in Key Biscayne, Fla; other backer has been identified as R H Abplanalp; analysis, made by Coopers & Lybrand, is based on documents and financial records submitted by Nixons; White House press sec Warren says Nixon paid acctg firm; C J Simon, gen partner, R H Kaiser, partner and M S Fishman, sr associate of co, formerly known as Lybrand Ross Brothers & Montgomery, were convicted in ‘68 of distributing false financial statements and of mail fraud growing out of false ‘62 financial statement of Continental Vending Machine Corp; they were fined total of $17,000; Nixon gave all 3 unconditional pardons on Dec 20 ‘72; White House press sec Ziegler says men pardoned by Nixon had all withdrawn from co and that White House staff had checked to find that Coopers & Lybrand had no pending Govt business on which a charge of conflict of interest might be based; rept by accountants shows Nixon was seriously overextended when he obligated himself to pay $1.4‐million for 25.5‐acre Calif estate, and then bought adjoining 2.6 acres for $100,000 4 mos later; Nixon was able to complete transaction on July 15 ‘69 by borrowing $450,000 from Abplanalp; on July 15 ‘70, when 1st $100,000 mortgage payment came due, Nixon borrowed that sum, plus yr's $75,000 interest from Abplanalp, raising his total indebtedness to Abplanalp to $625,000 plus interest; role of Rebozo began in Dec ‘70 when Nixon and Abplanalp set out to regularize their financial relationship by substituting some sort of real property for unsecured notes totaling $625,000 that covered Nixon's indebtedness; undivided interest in trust was transferred to Abplanalp and Rebozo, who were co‐partners in Title Ins & Trust Co, which administered Nixon's Calif holdings; Abplanalp said in int with Washington Star‐News several wks ago that he had bought out his partner, which presumably means that Rebozo no longer has interest in Calif property; supporting documents issued to reporters on Aug 27 shows that B & C Investment Co would own about 23 acres of land and that Nixons would own about 5.9 acres when parties eventually make division; sales agreement of Dec 15 ‘70, signed by sellers, Pres and Mrs Nixon, and buyers Abplanalp and Rebozo, says that property would be divided by use of ‘certain map entitled boundary survey map’ drawn by civil engineer W A Ayer

Several major banks raised their prime rate yesterday to 9¾ per cent, a new high, from 9½ per cent. The Chase Manhattan Bank began the move. This appears to be the start of the fifth general rise in five weeks in the prime rate, the interest that commercial banks charge on loans to their most creditworthy corporate customers. Bankers said that strong demand for loans showed no sign of letting up. Also, short‐term interest rates in the money market continue to move upward. Page 45.

25 civilian traffic control agents on Aug 27 take up posts at NYC midtown intersections; NYC govt spokesman says it is 1st time that civilians have been hired to direct traffic in city; 9 of 25 agents are women; some agents confess to queasiness before stepping out into traffic; purpose of agents is to have more policemen available for regular patrols by relieving them of traffic duty; Mayor Lindsay says there will be 200 agents within 8 wks; says NYC is saving about ‘half a salary’ in using them; agents are being paid $8,500 to $9,600, depending on seniority, whereas regular police officer starts at $11,200 and goes up to about $16,000; agents are members of Traffic Dept who up to now have been working as meter maids; Ptl P Burns, who assisted in 1‐wk training of civilians, says women agents are ‘scared stiff'; illus

NJ Superior Ct Judge M J Kole on Aug 27 orders P Calcia and F Hughes, 2 present dirs of North Jersey Auto Club, and C H Ritter and A Patterson, 2 former dirs, to pay club $87,540 because they had used club's facilities to get business for Fletcher Ins Agency, which they had acquired; ads of club, affiliate of AAA, made it appear that ins agency was connected with auto club

State Sec‐designate H A Kissinger has decided to address UN Assembly for US in gen debate if his nomination is confirmed by that time; Amer delegate is due to speak about Sept 20