April 20, 1974

US official says on Apr 19 that while US is interested in Egyptian Pres Sadat's stated intention to end Egypt's total reliance on Soviet arms, US has no current plans to begin selling mil equipment to Egypt; State Dept says it is studying Sadat's Apr 18 speech; US officials say privately that Sadat's remarks fortify US view that Egypt is seeking to play more independent role in world affairs and to build closer ties with West to end its dependence on USSR; Nixon gives unusually warm reception to new Egyptian Amb to US Ashraf Ghorbal, who presents his credentials at White House, formalizing restoration of diplomatic relations; Nixon says it is 'tragedy' that relations were not restored earlier; Ghorbal repeats Sadat's invitation to Nixon to visit Egypt (M)

An upward move to 10¼ per cent from 10 per cent in the prime, or basic, lending rate on loans made by banks to their most creditworthy customers became general yesterday when the new level was put into effect by all major banks in New York as well as the Bank of American. [Details on Page 39.]

BLS asst regional dir Herbert Bienstock repts that NYC met area Consumer Price Index rose 1.2% in Mar, resulting in 10.5% over-all increase for 1-yr period ended in Mar; says yrly figure represented largest such increase since June '47; (M)

Restrictions on fetal research that have been instituted in last few wks are seriously impeding drs in several med centers in US in their efforts to develop potential cures and preventions for wide variety of diseases; anti-abortion forces and people who feel it is unethical to use products of human conception for research have picketed insts throughout US where fetal tissues are used in labs; Drs Fred Robbins, John F Enders, Richard Crout, Charles A Alford, Victor A McKusick and Leonard Hayflick hail fetal research that has resulted in diagnostic test called amniocentesis, development of polio and rubella vaccines and treatment of premature babies; Rev Warren Schaller of Natl Right to Life Com opposes fetal experimentation because fetuses cannot give informed consent (M)

Defense rests in Mitchell-Stans trial on Apr 19; Stans, under cross-examination, insists that discrepancies between his grand jury and trial testimony were caused by his 'state of mind and anxiety' about his wife's grave illness in late '72; swears he told no lies; prosecution stresses contradictions in Stans' testimony: that before grand jury he said financier Robert L Vesco never asked that his contribution to Pres Nixon be accepted and reptd anonymously, while at trial he related how Vesco stressed need for privacy; that before grand jury he denied ever discussing Vesco with John W Dean 3d, while at trial he related phone discussion during which Dean instructed him not to tell then-SEC counsel G Bradford Cook about Vesco's contribution; that in deposition in civil suit against Repubs by Dems over Watergate break-in, he could not remember names of any secret contributors, while at trial he could; Govt starts rebuttal case, calling State Dept official Richard Vine to testify about John N Mitchell's calling him about Vesco's incarceration in Swiss jail in '71 (L)