Gov. William F. Weld's bitter prescription for the economic woes of Chelsea, Mass., would abolish the office of the mayor and install in his place a receiver endowed with powers to run the city and even file for bankruptcy protection, with the approval of the state's director of administration and finance.

"This is not a desirable thing, particularly in a democracy," said an aide to a state senator. The Massachusetts legislature was expected to hold a hearing Saturday on the bill outlining the governor's proposals, the aide said.

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