News In Brief

THE US

A search-and-rescue effort for TWA Flight 800 continued. The plane went down off New York with 229 passengers on board. So far, officials said they've recovered more than 73 bodies. The Coast Guard said none wore life jackets, suggesting the explosion came without warning. Security was tightened in St. Louis, where TWA is based. And both federal safety investigators and the FBI have launched investigations. Attorney General Janet Reno said nothing about the crash points to terrorism, but added two calls were received claiming responsibility after the fact.

The House approved a spending bill that would chop the IRS's budget by 11 percent to $6.6 billion and eliminate about 2,000 jobs. The White House opposes the bill, saying it would delay refunds, limit tax collections, and reduce taxpayer services. Before being enacted, the bill would have to be reconciled with a yet-to-be-written Senate version. The House also introduced legislation aimed at protecting fire insurance for churches. The move came after reports that some churches hit by the recent rash of fires have had their insurance canceled. The House also passed a bill that makes lying to Congress a crime.

The Federal Reserve will raise interest rates if necessary to dampen inflation, Fed chairman Alan Greenspan told the Senate Banking Committee. His comments fit analysts' expectations that the Fed will vote to raise short-term interest rates for the first time in a 1-1/2 years when it meets Aug. 20.

The Pentagon is beginning to relocate as many as 4,000 US troops based in Saudi Arabia to combat a "very intense threat" of terrorism. Defense Secretary Perry said the move will be costly but necessary, citing intelligence reports of threats of car bombings and even chemical or biological weapons attacks.

The US trade deficit in goods and services jumped 13.2 percent in May to $10.9 billion - its highest level in eight years. A record $69.8 billion in exports wasn't enough to offset the record $80.6 billion in imports, the Commerce Department said.

A newly public memo backs up a tobacco industry whistle-blower's claims that Brown & Williamson tried to cover up evidence that nicotine is addictive. Separately, a study by Italian researchers put nicotine in a class with cocaine, morphine, and amphetamines.

A jury in Little Rock, Ark., was expected to hear President Clinton's videotaped testimony in defense of two Arkansas bankers accused of dipping into bank funds to curry favor with then-Governor Clinton.

Newsweek columnist Joe Klein admitted to being the man behind Washington's favorite mystery. Klein is "Anonymous," author of "Primary Colors," a book Washington insiders say closely mirrors Clinton's '92 campaign. Klein said only three people knew his secret identity: his wife, his agent, and News-week editor Maynard Parker.

Secret Service agents told Congress they did not provide names to a White House employee who used them to collect FBI background files on more than 400 officials. Their testimony disputes that of the White House. The supervisor of White House access control said 379 of the 476 names were listed as inactive prior to the project of updating security passes and would not have been included on a list.

The Earth's solid-iron inner core rotates about 1.1 degrees faster than the rest of the planet, geologists announced in New York. The mechanism is similar to an electric motor. The scientists hope their discovery will eventually explain the origin of the Earth's magnetic fields.

The US will accept a compromise version of a proposed global nuclear test-ban treaty, Secretary of State Christopher said. It was the first public acknowledgement that the US supports the draft.

Massachusetts rape crisis counselor Nassrine Farhoody won her fight to keep a client's records out of the courtroom when the state's Supreme Judicial Court threw out a contempt order against her.

THE WORLD

Israeli Prime Minister Benjamin Netanyahu said in Cairo he will honor the peace treaties Israel signed with its neighbors. It was his first visit to an Arab nation since his May 7 election. He also said Foreign Minister David Levy will meet Palestinian President Arafat next week. Responding to Netanyahu's softened tone, Egyptian President Mubarak said that their meeting left him optimistic on the future of the Middle East peace process.

Unless Bosnian Serb leader Radovan Karadzic steps down, his party will be banned from Sept. 4 elections, said US envoy Richard Holbrooke, key architect of the Dayton accord. Also, Bosnian Serb and Yugoslav officials met in Belgrade to mull over the West's demand for Karadzic's arrest. And the Serb mayor of Ugljevik, Bosnia, threatened to capture and kill UN police monitors if Karadzic is arrested.

A man claiming to be Salman Raduyev, a Chechen rebel commander whom the Russians reported dead, held a news conference in Gudermes, Chechnya. He said he was in Germany for medical treatment. Russian military said in March that Raduyev died of battle wounds. At least two journalists said the man appeared to be Raduyev. The man said rebel leader Dzhokhar Dudayev is alive as well.

The Sri Lankan Army flew in reinforcements to support 1,200 soldiers besieged by Tamil separatists at a northern air base. The attack by 4,000 Tamil rebels on the Mullaittivu base was one of the biggest in the country's 13-year civil war. There were no reports of casualties.

UN arms experts suspended their operations after Iraq blocked access to a site near Baghdad. They were investigating Iraq's banned weapons program under the Gulf War cease-fire. Last month Iraq pledged to grant inspectors immediate, unconditional, and unrestricted access to all suspected sites.

Australia's push for tough gun laws received a boost when Queensland and the Northern Territory dropped their opposition to a proposed ban on semi-automatic and pump-action rifles. Western Australia is the lone dissenter and is expected to relent, federal officials said.

Japan's trade surplus dropped 40 percent in the first half of this year, its biggest decline in 16 years for a six-month period. The decline reflects moves by Japanese manufacturers to shift production overseas to avoid high labor costs and a strong yen, which erodes profits. Also, Mitsubishi Motors Corp. said it will recall about 650,000 cars worldwide to replace faulty brake parts.

A Philippine court acquitted six Pakistanis accused of terrorism, saying evidence against them may have been planted by police. The acquittals raised questions about Manila's anti-terrorist campaign.

Ministers at the Conference on Climate Change in Geneva considered creating a legal instrument to enforce measures to reduce carbon gas emissions. The move was spurred when the US reversed its policy of supporting only voluntary reductions.

Southeast Asian nations planned to improve cooperation with projects including scientific development and AIDS prevention at an ASEAN standing committee meeting in Jakarta, Indonesia. The committee is expected to defend its decision not to demand sanctions against Burma at an ASEAN Regional Forum meeting next week. Burma is expected to eventually become a member of ASEAN.

ETCETERAS

"I did it by myself, with no help, with no secret sources, and

it was the most fun I ever had with a keyboard."

-- Newsweek's Joe Klein, admitting he wrote "Primary Colors," a novel some say resembles Clinton's 1992 campaign.

TV's "ER" was the top Emmy nominee with 17 nominations including best drama. "The Larry Saunders Show" leads the comedy category with 12 nominations. Angela Lansbury of "Murder, She Wrote" has the record Emmy losing streak. She received her 16th nomination this year. "The X-Files" was nominated for best drama.

Steven Toney was freed from a Missouri prison after DNA tests proved he didn't commit the rape he spent 13 years in prison for. After savoring two strawberry shakes at a truck stop, he planned to renew ties with his mother and grandmother. He is the third prisoner in the past month to be freed because of DNA evidence.

A ring Tanya Tokevich bought in Vancouver, Canada, for $20 was more than cheap costume jewelry. It turned out to be an $11,000 antique diamond ring, proving Mark Twain's adage: "Let us not be too particular. It is better to have second-hand diamonds than none at all."

THE DAY'S LIST

Alternative Olympics

Seats may be sold out for some Olympics finals in Atlanta, but they're still available for these events at tomorrow's tongue-in-cheek games in Atlanta, Texas.

1. Boxing: Stacking boxes in a race against the clock.

2. Broad Jump: Women's jumping event.

3. Couch Potato: Runners race from a sofa to icebox and back again carrying a snack.

4. Discus Toss: A hubcap-hurling contest.

5. Fencing: Fence-building competition.

6. Field Hockey: Goal scoring with a shovel and cow pie.

7. 10K Run: Race featuring 10 women named Kay.

8. Soccer: Children race to put socks on a woman.

9. Steeplechase: Chasing a church steeple around the track.

10. Triple Jump: Three people tied together long jumping.

- Atlanta Chamber of Commerce

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