October 4, 1986

The Senate reversed itself today and approved $200 million in increased economic aid to the Philippine Government. The vote was 82 to 14. In two earlier attempts this week, the Senate rejected the aid increase to the Government of President Corazon C. Aquino by votes of 51 to 43 and 57 to 41. Approval of the aid was the second political victory this week for Senator Richard G. Lugar, the chairman of the Senate Foreign Relations Committee, who bucked both President Reagan and the Senate majority leader, Bob Dole, in leading the charge that overturned Mr. Reagan's veto of economic sanctions against the South African Government.

A weary Senate today approved a $557.6 billion bill to finance Government programs for 1987, including $1.54 billion to fight drugs, a measure that pushed spending above a limit approved earlier in the budget resolution for the year. The Senate approved the money for the drug program on a voice vote. The overall bill, which combines 13 appropriation bills, was then approved, 82 to 13. The Senate action today, if agreed to by the House, would allow the deficit for the fiscal year 1987, which began Wednesday, to increase to pay for the program. The House has approved a $2.1 billion drug program that makes cuts in military and nonmilitary programs to pay for the increase.

The Reagan Administration said today that it was willing to have discussions with those holding the American hostages in Lebanon but that it would not yield to their demands. The Administration called on the captors to come forward and open talks either directly or through intermediaries. It said that despite appeals from the hostages that Washington negotiate for their release, the United States had been unable to establish any contact with the kidnappers. Videotape From 2 Hostages Earlier today, Western news agencies in Beirut received a videotape in which two hostages appealed to the Administration to work as hard for their freedom as it did for that of the American journalist recently released by Moscow, Nicholas S. Daniloff. The hostages who made the appeal were Terry A. Anderson and David P. Jacobsen. [ Page 4. ] Their statements prompted President Reagan to deny angrily that there was any comparison between the Daniloff case and that of the Americans being held in Lebanon.

The Government's chief witness in a Federal corruption trial today did not recall two key meetings with a Bronx political leader, became confused when discussing a third and said that ''so much was happening, the dates were a jumble'' in his mind. The witness, Geoffrey G. Lindenauer, the former deputy director of the New York City Parking Violations Bureau, had testified Wednesday and Thursday about the two key meetings. But today, he seemed to shed some of the confidence he had displayed in answering questions from the Federal prosecutor, David M. Zornow. Under intense cross-examination today, his testimony was marked at times by long pauses and apparent frustration as defense lawyers tried to damage his credibility in the eyes of the jurors.

While laden with symbolism, the new United States sanctions against South Africa will not have much direct impact on South Africa's economy, or on American corporations operating there. The sanctions, some of which took effect Thursday immediately after the Senate's 78-to-21 vote to override President Reagan's veto of the legislation, affect about 10 percent of South Africa's trade with the United States and a much smaller portion of South Africa's total external trade. The Treasury Department yesterday ordered Customs officials to halt all South African goods coming to the United States pending clarification by the Administration of how to enforce the sanctions. [ Page 3. ] Effect on Japan ''It is not a question of South Africa's economy being seriously affected,'' Franklin C. Lubke, president of the American Chamber of Commerce in South Africa, said in a telephone interview from Johannesburg. But political and economic analysts said that the United States action could encourage Japan and the European Community to adopt sterner sanctions.