June 14, 1997

Gov George E Pataki and legislative leaders negotiate through afternoon, trying to forge compromise that would prevent state rent regulations from expiring; political leaders offer host of plans intended to insulate tenants from any fallout from sudden rent decontrol (M)

Govt's racketeering case against rising Mafia star Nicholas Corozzo is shaken by disclosures that veteran FBI agent Jerome R Sullivan, who supervised investigation, is suspected of stealing major piece of evidence--almost $100,000 that prosecutors say represents loan-sharking profits; discussions about possible plea bargain break down when Corozzo's defense team learns of allegations against Sullivan; defense lawyers say they will attack Sullivan's integrity in effort to undermine prosecution's evidence (M)

Fascination with unidentified flying objects has never been more intense, or as widespread, 50 years after an alien was reportedly seen in Roswell, NM; more than 100,000 skywatchers and conspiracy enthusiasts are expected to attend golden anniversary celebration in Roswell during first week in July; such summer festivities in desert, where temperatures can rise to 110 degrees, are testament to emergence of mainstream belief in UFO's; recent Gallup Poll finds that 42 percent of American college graduates believe that flying saucers have visited Earth in some form (M)

Federal jury votes unanimously that Timothy J McVeigh should be sentenced to death for bombing of Federal building on April 19, 1995, which took 168 lives and injured 890 other people; Judge Richard P Matsch reads jury's verdict and announces that it is final; says he will impose death sentence at later date; jury takes slightly more than 11 hours to reach decision on penalty; photo (L)

The Army shut down a special telephone line for sexual-harassment complaints because officials said anonymous tipsters were using it to try to settle personal grudges. Army officials said calls to the line, set up in November, had dwindled to a handful a day. But the decision was cinched by a spate of unsubstantiated accusations by callers after the adultery cases involving a leading candidate to be Chairman of the Joint Chiefs of Staff and the first woman to be a B-52 pilot.

Report Shows Inflation Tame The Producer Price Index, fell for the fifth consecutive month. The report set off rallies in stocks and bonds. Page 37. Muslim Symbol in Schools

House Ways and Means Committee approves Republican tax-cutting bill over unanimous Democratic opposition, setting Congress on collision course with Clinton Administration over how to divide tax reductions agreed on in their balanced-budget plan; bill being prepared by Senate tax writers closely tracks House bill, increasing odds of Clinton's vetoing final version; Archer's plan, approved by 22-16 vote, will reduce tax bills for investors and many families, provide some tax breaks for college expenses, reduce Federal inheritance taxes and expand Individual Retirement Accounts; measure calls for $135 billion in tax cuts over five years, offset in part by nearly $50 billion in new revenues; failure of com chmn Repr Bill Archer to secure any Democratic support for his plan showws that partisan wrangling that dominated debates over taxes and spending for two years has returned (L)

Pol Pot, ailing founder of movement responsible for deaths of more than million Cambodians in 1970's, orders execution of a top lieutenant, 67-year-old Son sen, then fees his jungle hideout on a stretcher; report suggests that 20 years after Khmer Rouge seized power and turned Cambodia into a killing ground, core of its leadership it itself disintegrating in violence; First Prime Min Prince Norodom Ranariddh says that gunmen, acting on orders of Pol Pot, killed Son Sen, his wife and

United Nations officials say that experts will go to Congo this week to investigate charges that troops loyal to Pres Laurent Kabila had massacred Hutu refugees (S)

An article on Monday about the suspects in the murder of Jonathan M. Levin referred incorrectly to the appointment of lawyers for one defendant, Corey Arthur, who could face the death penalty. While the state's Capital Defender Office gave the judge the names of private lawyers qualified to handle the case, Mr. Arthur's lawyers were appointed by the judge, not by the office.

''It may be a matter for you now or at some later time to wonder: Did we do the right thing? The answer to that question is yes, you did the right thing. Not because I believe it one way or the other, but because you did it.'' JUDGE RICHARD P. MATSCH, to the jury, which voted to sentence Timothy McVeigh to death. $(8$)

INTERNATIONAL 2-5 Cambodian Minister Says Pol Pot Ordered Aide Killed The First Prime Minister of Cambodia claimed that Pol Pot, the ailing leader of the Khmer Rouge, ordered the execution of a top lieutenant, his wife and 10 members of their family, and then fled his jungle hideout on a stretcher. The account could not be confirmed. 1