September 24, 1986

Libya has sold all of its 14 percent share in Fiat S.p.A. for about $3 billion, the automobile maker said today. The sale frees Italy's largest private company of a partner that proved an embarrassment to it and the Italian Government. The sale also brought Libya more than seven times the $400 million it paid for its share of Fiat in 1976. At that time the giant enterprise was suffering from severe losses and labor problems. After diversifying its operations, Fiat completed a startling financial turnaround in 1982.

Israel's Foreign Minister, Yitzhak Shamir, said today that Israel had no plans for a new invasion of Lebanon. He spoke in an interview here hours after Israeli jets bombed Palestinian positions in the Lebanese mountains overlooking Beirut. The air strike came 24 hours after the Israeli Army was reported to have massed troops and armor along Lebanon's southern border. [ Page A3. ] In Jerusalem, Israeli military analysts said pressure was building on the Israeli Army to attack an Iranian-backed Shiite militia involved in attacks on Israeli, United Nations and Christian militia forces in southern Lebanon. [ Page A3. ] In the interview, Mr. Shamir repeated Israel's position that it will not withdraw its troops from the Israeli-designated ''security zone'' in southern Lebanon, as demanded by the Security Council. But he expressed the hope that the United Nations Interim Force in Lebanon, known as Unifil, would continue to function alongside Israeli troops and the Israeli-backed force known as the South Lebanon Army.

Opening statements in the Federal corruption trial of Stanley M. Friedman, the Bronx Democratic leader, and four other defendants were set today for next Tuesday, and the Government said it would call Geoffrey G. Lindenauer, the former deputy director of New York City's Parking Violations Bureau, as its second witness. As part of the arrangement, the United States Attorney in Manhattan, Rudolph W. Giuliani, agreed to turn over to the defense by Friday afternoon all of the previous statements Mr. Lindenauer had made to investigators and to the Federal grand jury investigating corruption in the New York City Government. The schedule, proposed jointly by the defense and the prosecution, was approved by Judge Whitman Knapp during a break in the second day of interviews of potential jurors for the trial. The Government did not immediately identify whom it intended to call as its first witness but said the testimony would be brief.

Marine Midland Banks Inc. yesterday announced an agreement to acquire the First Pennsylvania Corporation, one of the oldest banks in America and one of the biggest financial institutions in Pennsylvania. Because of laws that limit the entry of New York banks into Pennsylvania, the deal was set up in an unusual fashion. Marine Midland would not actually acquire First Pennsylvania until 1990. Until then, it would hold a combination of $150 million in preferred shares plus warrants entitling it to buy up to 24.9 percent of the company's common stock, to discourage other potential suitors. In 1990, Marine Midland would pay the greater of $15 in cash per share or $11 in cash plus two times the increase in First Pennsylvania's retained earnings from Oct. 1, 1986, until the deal is completed. Marine Midland would also retain the right to cancel the deal if First Pennsylvania did not achieve a certain level of earnings in coming years or if its loan quality deteriorated.

WHILE Moms who bake apple pie have become scarce, Mom's homebaked-style apple pie has not, more than holding its own beside its Continental shelf mates, the French apple tart and German kuchen. The renaissance in American cookery is one explanation for the pie's sustained popularity; another is the lasting appeal of the dessert itself. ''After three days of tasting desserts in Europe, I can still say there's nothing like eating a warm apple pie with vanilla ice cream,'' says Leon Lianides, owner of the Coach House restaurant in Greenwich Village, whose hallmark American menu includes apple pie in the fall. ''Line desserts on a table,'' he says. ''Then bring out a warm apple pie, and see what they go for.'' The best apple pie is probably homemade, but a few versions that come close can be purchased at bakeries or gourmet shops throughout New York. Price is no guarantee of quality, and neither is the appellation ''homemade,'' which may often be a euphemism for homely, flavorless and dull.