September 13, 1975

NYS Housing Finance Agency has turned to Gov Carey for emergency assistance to deal with its financial problems; agency officials have warned Gov that mid-Oct is 1st crucial point, with more than $60-million needed, most of it related to current dispute at Co-op City in Bronx; city's borrowing crisis and earlier default by NYS Urban Development Corp are all related to HFA problem (M)

Named NYC Deputy Mayor for Finance; illus (M)

US officials say Libyan Govt of Col Qaddafi has sent 'tens of millions of dollars' to Lebanon in last 6 mos to support 6 or more leftist Moslem groups battling Christian forces in Lebanon; say they have 'hard evidence' that Libyan agents have also acquired control of 3 Beirut newspapers and in addition were giving sizable sums of money to Lebanese politicians; newspapers are reptd to be As Safir, Al Kifah al-Arabi and Beirut Al-Massa; officials say there is 'no doubt' that Libya has spent $30-million to $40-million in Lebanon since last spring 'and probably a lot more'; in estimate of US analysts, Libyan spending and activities have not had decisive impact on Christian-Moslem fighting; several analysts say Libyan money and activities could prolong or renew fighting to point where full-scale civil war would be inevitable; US officials name Ahmed Shibbu and Ibrahim Qualayat as Beirut gangsters 'now masquerading as pol partisans' and receiving sizable amts of Libyan money; say Kamal Jumblat, leader of Progressive Socialist party and spokesman for leftist Moslem policies, is among Lebanese officials receiving Libyan money; say Oaddafi's motives in Lebanon are not entirely clear, although they note that he has publicly expressed his dislike for dominant Christian elements in Lebanon; say there are strong signs that Qaddafi has become disappointed with most of Palestinian orgns and is 'getting more action for his money from the Lebanese' (M)

Pres Ford says that 'very preliminary discussions' have been held with USSR in search of possible exch of surplus US wheat for surplus USSR crude oil, St Louis, Mo, int (S)

to take leave of absence from office