April 21, 1974

Terry F Lenzner, asst chief counsel to Sen Watergate com, sends 9-page rept to com charging IRS with obstructing inquiry into Howard Hughes' $100,000 cash contribution to Pres Nixon; accuses IRS of defying Sen resolution by refusing to provide tax returns and other data requested by com; suggests IRS is bowing to wishes of White House; closely involved sources suggest IRS has participated in 'whole other cover-up' of tremendous dimensions; Sen inquiry into contribution became more intense after Pres Nixon's former personal atty Herbert W Kalmbach testified in Mar '74 that Charles G Rebozo, who claims Hughes' donation was kept, untouched, in safe deposit box, actually 'used' money to make payments or loans to Pres Nixon's 2 bros and his personal sec Rose Mary Woods; Rebozo said in int with Miami Herald in fall of '73 that IRS had cleared him of wrongdoing after 12-week investigation ended that summer; Lenzner's rept lists following questionable activity by IRS: that it did not int Rebozo about Hughes money for almost full yr after learning of it; that Rebozo was advised, via White House, of IRS's interest in matter before IRS contacted him; that all IRS material in case was routinely forwarded to John D Ehrlichman, who relayed information to Rebozo; that IRS agent John Bartlett, assigned to Rebozo case, began his interrogation of witnesses by asking for ints through Rebozo's atty Kenneth Gemmill; that Bartlett told Rebozo that then-Watergate special prosecutor Archibald Cox was given Rebozo's IRS file; Lenzner accuses IRS of putting 'frustrating and debilitating roadblocks' in com's path by refusing to provide it with agreed-upon documents, including copies of 'sensitive' repts on Hughes Tool Co, Rebozo and others (L)

The New York State Bar Association voted to forbid law secretaries and other members of a judge's staff from taking part in politics. The amendment to the State Code of Judicial Conduct was expected to have widespread effects on the judicial and political structures of the state. Page 31.

Fed Judge Miles W Lord on Apr 20 orders shutdown of Reserve Mining Co, subsidary of Armco Steel Corp and Republic Corp, because mine discharges large amounts of minute amphibole fibers into air and water that cause great harm to health of those exposed to them; holds plant will stay closed until it is able to meet all state and Fed antipollution statutes (S)

escaped Fed prisoner Peter Phillip Mauchlin captured on Apr 20 in Myrtle Beach, SC following 6-day manhunt; girlfriend Melinda Stefan held for harboring, aiding and abetting fugitive (M)

Sec of State Kissinger, in address before OAS, pledges closer consultation with OAS members in internatl confs called to deal with population control; illus (M)