European Stars And Stripes (Newspaper) - August 17, 1986, Darmstadt, Hesse                                Inside stripes d Navy accused of pressuring Raythelon d Mccallum May play Lor nil raiders d drug lords ordered torture paper  3 Page 21 Page 23 vol. 45, no 121 unofficial pu4uct1dm Toh Fhi . Of timid Pouch sunday August 17, 1986 tic pan d 8693 a Reagan threatens to veto defense Bill Washington a president Reagan accusing Ibe House of giving Moscow a major Victory on nuclear weapons vowed saturday to veto legislation that strikes a major blow against the administration s arms control and defense policies he called the legislation approved by the House on Friday a reckless assault upon the National def tue of the United states and warned he would make it the Paramount political Issue in the 1986 con Gressional elect ions. Soviet arms Negolia ton must be mystified today that . Legislators would give away in Washington what they have been unable to win at Geneva the president said. Soviet military planners must be astonished at the blows the House delivered this week to America National  the Tough language was delivered in Reagan s weekly radio address taped Friday and distributed Tor re lease saturday As the president flew to California for a23-Day vacation. The House Bill authorizing s286 billion in defense spending would ban testing of anti satellite weapons outlaw production of chemical weapons require continued compliance with the Salt ii nuclear arms treaty freeze Star wars spending and halt All . Nuclear arms tests for a year. None of those provisions however is included in the defense Bill passed by the Republican controlled Senate and Reagan s allies can be expected to Battle for the administration when the bid goes to a Senate House conference. Reagan said the objectionable provisions if allowed sea Reagan on Paga 2b senators of sanctions by the los Angela times Washington the Republican controlled sen ate acting with enough bipartisan support 10 override threatened presidential veto Friday approved eco nomic sanctions against South Africa. The sanctions intended to express . Disdain for apartheid passed by a vote of 84-14, they Are less stringent than those in a House passed Bill providing for total divestiture of . Investments in South Afri Ca and a ban on Trade of All commodities except Strate Gic minerals. The Senate specifically rejected the House version 65-33. A House Senate conference committee now Musi draft final legislation that strikes a balance Between the two versions. President Reagan has cautioned that Hewill veto any sanctions measure that he views As punitive toward South Africa. I believe this can be the beginning of the end of apartheid declared sen. Alan Cranston  with clop a measure As Strong or stronger than this one from becoming the Law of land. A presidential veto will not Stop  shortly before the Senate Bill passed it was strength see Senate on Page 28 seeing red in Boston four year old mildew Goethals of Tucson air tweak the nose on i Ira Roe of Cigar smoking bos ton celtics president Arnold red Ane Rittich during a Rill to Boston Lecce try. The former coach of Ihen Don a basketball association Chat melons Mode it practice to Light Victory Dow when he thought the team hid sealed win Congress passes debt Bill adjourns Washington a Congress adjourned Early saturday after giving final approval u a j32 billion emergency credit increase for the Treasury the last legis lation needed before lawmakers could leave for a three week labor Day recess. But supporters of the Gramm Rud Man Law failed in their attempt to use that measure to gain passage pea controversial plan to put automatic spending cub Back into the Law. Senate supporters of the budget Balanc ing Law succeeded in the Senate in attach ing their amendment to he debt Bill the supreme court last month voided the automatic Ait provision but left the targets in place allowing Congress to vote on whether to impose the reductions. The amendment survived an attempt by opponents to kill it but then it took two tries before the Senate narrowly managed to pass the debt package 36 35, and Send it to the House. The House however stripped out the Gramm Rudman language sent it Back to the Senate by a Vole of 175 to 133 an adjourned. The Senate had Lille Choice but to accept the Bill and shortly after 4a.m., it adjourned until sept. 8. The votes leave in place a Fallback proce Dure of the Gramm Rudman Bill under which Congress must pass a Resolution to require the across the Board cuts. The would take effect if Congress failed to bring the fiscal 1987 deficit Down to within $10 billion of the Gramm Rudman target of si44 billion based on estimates scheduled for release next week by the congressional budget office and the office of manage ment and budget. Recent estimates put Congress cur rent spending Gap at about 121 billion above the nominal fiscal 1937 target of 1144 billion so lawmakers would have to find about 111 billion in savings to avoid the cuts. The automatic cuts would be the same but to without requiring Congress to vote. That Issue will return because the Senate in july attached the Gramm Rudman Amend ment to a pending Long term debt Bill needed by  october. Sen. Phil Gramm a Texas predicted a new and deep recession if Congress Sidn t reduce the budget deficit and sen. Warren Rudman r-n.h., said the amendment was the Best Way to address deficits that Are close to bankrupting America and destroying our  the debt Bill which the Senate reduced from the House passed level of$73 billion was needed because record annual deficits have exhausted the trea sury s credit limit of $2.079 trillion. Tax negotiators approve Compromise plan Washington up the to congressional tax Reform negotiators agreed Early saturday an the main Points or a Compromise Bill that would Tower the top individual rate to 28 percent and raise business taxes by about $120 Bil lion 10 pay for a similar amount of individual . Bob Packwood a Ore. And rep. Dan Rostenkowski d-lll., had appeared stymied when they began a Marathon personal bargaining session Friday but emerged hopeful from the private talk sin the Early morning hours saturday. We be got it pad Wood told reporters on the major Points the deed is  the agreement was a major step to Ward a final lax Reform Bill but both men realized thai in order for the plan to be considered by Congress they would have to sell in successfully to the rank and file negotiators on the Confer ence panel that is trying to write a com Promise Reform measure. The House and Senate delegations to the conference committee planned to study the full package Laler saturday and the leaders said they were hopeful the panel would approve the proposal either late saturday night or Early Sun  agreement was struck after pack Wood Leader of the Senate delegation and Rostenkowski head of the House team found ways to wipe out a Surprise $17 billion shortfall in the Bill that had snagged negotiations thursday night. The main goal of the Reform Effort is to limit tax Breaks in return for Lowe rates and also shift some of the Burden from individuals to businesses. The key elements of the Packwood Rostenkowski Compromise included establishing two individual tax Rales of is percent and 28 percent and a top corporate rate of 34 percent according to lawmakers and aides. Currently the lop individual rate is 50 percent and the top Rale paid by Busi Ness is 46 percent. The 28 percent and 34 percent Levels were each one Point increases from iterates included in the original Senate Bill. Overall he plan would raise business taxes in the next five years by about $ 120billion and would Cut individual taxes by about the same amount Packwood said. The personal exemption and Standard deduction would be increased significantly but the plan also would Gul number of popular deductions used by millions of americans. The deduction for individual retire see tax on Page 28