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Initials JRG/S/MR/LW


EDITORS: 9267/61 - ELISABETHVILLE DAMAGE

Script is copyright Reuters Limited. All rights reserved

Background: TWO SWEDISH UN SABRES AND AN INDIAN UN CANBERRA ATTACKED WITH ROCKET AND GUN FIRE THE ELISABETHVILLE HEADQUARTERS OF THE BELGIAN-OWNED MINING CONCERN IN KATANGA, UNION MINIERE, DEC 17-18.

SEVERAL HUNDRED EUROPEAN EMPLOYEES INSIDE TOOK COVER AS THE U.N. PLANES ATTACKED. WOUNDED WERE FEW BUT THE RAID DAMAGE WAS CONSIDERABLE. UNION MINIERE FIREMEN WENT INTO ACTION TO QUELL AN OUTBREAK OF FIRE SET OFF BY THE RAID.

DEC 19, ETHIOPIAN UN TROOPS OCCUPIED THE HEADQUARTERS AND INDUSTRIAL PLANT OF THE CONCERN - A UN ALLEGED LAST OUTPOST OF RESISTANCE- AFTER QUELLING "STRONG OPPOSITION", A U.N. SPOKESMAN SAID. THIS HAD INCLUDED ENEMY "FIRE FROM HEAVY MACHINE GUNS, MORTARS AND SMALL ARMS."
THE U.N. AND KATANGA ARRANGED A TEMPORARY TRUCE IN ELISABETHVILLE, AND IN KITONA, CONGO, PRESIDENT TSHOMBE OF KATANGA AND MR. CYRILLE ADOULA, PRIME MINISTER OF THE LEOPOLDVILLE CENTRAL GOVERNMENT, OPENED "PEACE TALKS" DEC 20 IN A BID TO SEEK AGREEMENT ON THE PROPOSED CONGO FEDERATION - WITH A LARGE MEASURE OF AUTONOMY FOR KATANGA.

AS THE FIRST DAY'S TALKS CLOSED, THE UNION MINIERE ANNOUNCED IT WAS CLOSING DOWN ITS HEADQUARTERS IN ELISABETHVILLE AND TOLD ITS EMPLOYEES TO LEAVE. ACCORDING TO BELGIUM, THE KATANGESE GOVERNMENT WAS GETTING IN TAXES, ROYALTIES AND OTHER LEVIES GBP18 MILLION A YEAR FROM THE UNION MINIERE.