Auckland University students' so - called "spy-hunt" has bubbled over into a national storm involving security, students and university staff.

Among new developments:

• Auckland security employee Mr. D. Godfrey has withdrawn from university and refused private tuition. His family has become a target for hate mail and anonymous phone callers.

• Former Wellington security employee Mr. P. Quennell is demanding an apology and retraction from the Sunday News for suggesting that he spied on students when he did not do so.

• Victoria student president Chris Robertson has categorically denied suggestions that Victoria intends to conduct a "spy hunt."

• Auckland student president Mr. D. Wood has alleged police brutality against student demonstrators.

• Auckland Labour MP Mr. R. J. Tlzard brought the matter into the political arena, and provoked an emotional outburst from National Government Minister of Labour Tom Shand.

• Auckland university political science staff have bitterly challenged Mr. Shand's allegations, but face counter-suggestions that they actively assisted the student attack.

• A strong suggestion that a senior students' association president is about to publicly attack Mr. Wood.

The Sunday News is currently faced with a demand from Mr. Quennell for an apology and retraction. Last Sunday's issue featured a front-page re-write, headed "I was a spy—second agent's confession," of Salient's article last issue.

Although eight days had elapsed from the publication of this information, neither Mr. Quennell nor Salient was contacted by the Sunday News.

Yet it distorted the Salient article in several ways, the most serious being the suggestion that Mr. Quennell had spied on Victoria students.