September 15, 1973

Pres Nixon and special Watergate prosecutor A Cox make no visible progress on Sept 14 toward proposed out-of-ct compromise of their dispute over Watergate tape recordings; Cox's office repts that there was no contact with Nixon legal staff on Sept 14 in response to Sept 13 proposal by US Appeals ct; 2 possible interpretations of ct's proposal discussed; White House and Cox's office are understood to have ordered lines of communications kept open over weekend in effort to negotiate possible out-of-ct settlement by ct's Sept 20 deadline

SANTIAGO, Chile, Sept. 14— Chile's new military junta said today that the armed forces overthrew the Marxist Govern ment of Dr. Salvador Allende Gossens because more than 10,000 “extremists” from other countries had entered Chile.

UAW on Sept 15 strikes Chrysler Corp after parties fail to agree on new contract; UAW pres L Woodcock discloses that parties are still at odds on wide variety of issues, including wages and fringe benefits, voluntary overtime and health and safety in plants; says news blackout that was imposed on talks will be in effect; strike is 1st by major union against major US corp in '73; more than 117,000 blue-collar workers at 56 plants in US and Canada are affected; some 10,000 salaried white-collar Chrysler employes will stay at their jobs; Chrysler vp W O'Brien says parties are 'close together' on number of issues; says he had been 'very optimistic' that strike could be avoided; comments by Woodcock and O'Brien are moderate with no evidence of anger; workers in many auto plants have complained of excessively long hrs; cos say they cannot maintain production schedules without compelling men to work overtime; UAW on Aug 21 picked Chrysler as 'target' co in talks; union theorized that strike would put intense econ pressure on Chrysler to settle

sources say persons who have been cooperating with inquiry by Baltimore US Atty in return for preferential treatment have told investigators that 3 close associates of Vice Pres Agnew, J W Jones, I H Hammerman 2d and J B Wolff, collected money from consulting engineers and others on his behalf while he was Md Gov from '66 to '68; 1 source says that each man was described as specializing in a particular area as 'collector' primarily while Agnew was Gov; says investigators were told that payments that went to Agnew ranged in thousands of dollars at a time but that total amount revealed by investigation would 'not shock anybody,' meaning that amount was not extremely large; 3 men are also said to have acted as collectors for other pol figures; informant says Wolff, while head of State Rds Comm from Mar '67 to end of '68, handled payments from consulting cos that were involved in bldg state's multimillion-dollar interstate and state hwy system; Hammerman has helped manage and raise funds for Agnew's campaigns for Gov and Vice Pres and is said to have had much broader role in collecting money although he also allegedly dealt with certain cos that did road work; source says investigators were told that Jones also had broad role; informant says that part of case developed so far by US Atty's office rests on evidence that some of money that passed through hands of 3 associates in various forms was not reptd either as gifts, income or campaign contributions; payments were said to have varied in amount but it was reptd that 5% of a contract fee was a good avg figure and that payments were often made in yrs when there were no pol campaigns; Hammerman is reptd to be negotiating an agreement with prosecutors for preferential treatment in return for his testimony; 1 source says that when Wolff joined Agnew's staff in Washington, DC, he no longer functioned as money collector

After several major banks had increased their prime rate to 10 per cent from 9¾ per cent, the Committee on Interest and Dividends made requests for justification of the rate rise. Page 37.