2The Daily Tar Heel Wednesday, November 30, 1988
World and Nation 1
ush urees Cabinet confirmations
From associated press reports
. WASHINGTON President
elect George Bush told Senate Repub
lican leaders Tuesday he will seek
speedy confirmation of his Cabinet,
perhaps with hearings beginning even
before he takes office on Jan. 20.
Bush also told the GOP senators
he hopes any "honeymoon period"
with Congress can yield a federal
budget compromise, according to
participants in a private get
acquainted meeting at the Capitol.
Sen. Alan Simpson, R-Wyo., said
the president-elect indicated he
wanted to meet with "a bipartisan
group to discuss his thoughts" before
submitting a budget outline of his
own.
However, Sen. Lloyd Bentsen, D
Texas, chairman of the Senate
Finance Committee and the 1988
Democratic vice presidential candi
date, said Bush "should not be in the
position of not sending any budget
up."
"This will be his first test of
leadership. He has to show what he
believes in national defense,
Medicare, revenues. He has to speak
to the principal points of the budget.
Judge upholds 2 indictments against North
u
From Associated Press reports
WASHINGTON The judge in
the Iran-Contra case refused today
to dismiss two of the central charges
against Oliver North but ruled the
third, a wire fraud charge, must be
struck from the indictment.
U.S. District Judge Gerhard A.
Gesell upheld the legal validity of the
charges of conspiracy to defraud the
government and theft of government
property arising from the diversion
to the Nicaraguan Contras of profits
from the sale of U.S. arms to Iran.
"The indictment clearly alleges a
conspiracy which involved concealing
the very existence of the profits of
the enterprise from the start and
hiding from Congress information
relating to the conspirators' assistance
for the Contras," Gesell said. "Its
purpose depended on deceit from the
start and acts of concealment were
actually part of the commission of
the substantive crime."
But Gesell dismissed a wire fraud
charge, saying it "is, in many ways,
a cumulative count" that would only
create "substantial confusion in the
minds of the jurors."
The judge also refused to dismiss
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That's part of the price of leadership,"
Bentsen said. They just won an
election. It's theirs to call."
Republican senators said the vice
president indicated during their
meeting that he would take up the
matter of early confirmations with the
Senate's newly chosen majority
leader, George Mitchell of Maine.
Bush called Mitchell to congratulate
him shortly after Tuesday's secret
ballot election among Senate
Democrats.
In 1981, the Senate, then controlled
by the Republicans, voted confirma-
tionof key appointments of President
Ronald Reagan's within hours of his
inauguration. Democrats now have
a majority in the Senate.
"It would be important to his
administration if he could have early
action on confirmation, particularly
with some of the key people like
(James) Baker," Bush's choice for
secretary of state, said Sen. Thad
Cochran, R-Miss.
Cochran said if Democrats went
along, confirmation hearings could
be held on Bush's nominations before
they are formally submitted.
"The Congress does come into
charges that the former National
Security Council aide lied to congres
sional committees that questioned the
Reagan administration about
whether it was covertly providing
military aid to the Contras in defiance
of the so-called Boland Amendments.
Earlier today, Gesell refused to bar
prosecutors from closed hearings set
to begin this week on deleting
sensitive government secrets from
documents to be used as evidence.
He refused to give North's lawyers
permission to file a motion to bar
independent counsel Lawrence E.
Walsh from the hearing, which is set
to begin Wednesday.
Gesell said in a brief order that
barring prosecutors "would alter the
purpose of the hearing and would
result in further and wholly unneces
sary delay."
Defense lawyers gave no reason for
their request, which was filed Mon
day. If they had been granted per
mission to file the motion, they likely
would have argued that prosecutors
would get an unfair preview of their
strategy if allowed to attend the
hearing.
The hearings were scheduled by
oniate
session on Jan. 3. We could do some
work between then and the inaugu
ration," Cochran said.
He said Bush indicated he would
like the Senate to "expedite the
hearings and consideration of those
nominees to those Cabinet positions
so that when the president is inaug
urated, they started to work right
away with the Cabinet in place."
Three members of Reagan's
Cabinet whom Bush has indicated he
will retain Attorney General Dick
Thornburgh, Education Secretary
Lauro F. Cavazos and Treasury
Secretary Nicholas Brady do not
require reconfirmation by the Senate.
In other developments Tuesday:
B Aides to defeated Democratic
rival Michael Dukakis and Democrat
Jesse Jackson said the two men would
meet this week with Bush Jackson
on Wednesday and Dukakis on
Friday.
B A source close to the Bush
transition, speaking on the condition
of anonymity, said a decision by Bush
on defense secretary could come by
Wednesday. The source said Bush
still favors former Sen. John Tower
of Texas, but some Bush advisers are
Gesell to consider defense objections
to the deletion of sensitive material
from classified documents that Walsh
wants to use as evidence against
North.
Gesell has directed North to come
to the hearing prepared to say why
the material is relevant to his defense
and should not be deleted.
The references Walsh wants to
delete include names of foreign
countries and officials as well as U.S.
intelligence agents operating abroad.
The government has consented to
Walsh's use of the 350 documents as
exhibits in a public trial provided the
sensitive references are deleted.
nultz stands by -denial of visa
From Associated Press reports
WASHINGTON Secretary of
State George Shultz said Tuesday the
strong opposition to his decision to
prevent PLO Chairman Yasser Ara-
fat from visiting the United Nations
shows widespread insensitivity to the
threat of international terrorism.
In his first public statement on the
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objecting, partly because they do not
have a high regard for close Tower
associates likely to get choice Pen
tagon jobs.
In his meeting with Senate Repub
licans, Bush reiterated a promise to
work with Democrats and Republi
cans in foregoing a budget agreement,
perhaps beginning before his
inauguration.
While the senators shied away from
using the term "budget summit," they
indicated that is basically what Bush
has in mind.
"I think it's going to develop that
way, but I donl know the timing,"
said Senate Minority Leader Bob
Dole, R-Kan.
Bush said he was in a "listening
mode" in his second trip to Capitol
Hill since his election. His first was
two weeks ago, when he met with
House Speaker Jim Wright.
On Tuesday, Bush said he was
"getting the message" rather than
carrying advice.
. "We're ready to go to work, ready
to work with the new administra
tion," Dole said after the breakfast
session. "We pledged our coopera
tion; he's pledged his."
Also on Monday, North replied to
Walsh's request that Gesell bar the
defense from using any of 40,000
pages of classified documents it has
proposed as trial exhibits.
Walsh contends that North listed
many of the documents in his Nov.
14 notice simply to provoke dismissal
of the charges against him, by
threatening to disclose some of the
nation's best-kept secrets.
North's lawyers countered that
Walsh is making a "frontal assault
on defendant North's fundamental
Fifth and Sixth Amendment right to
present a defense."
subject since his decision to reject
Arafat's request for a U.S. visa last
Saturday, Shultz said he was sorry
but not surprised about the extent of
the criticism he has received.
Speaking at a groundbreaking
ceremony for a State Department
'arinex,;Shteysd"ttHe niagiijttude of
me opposition suggested that inter-
national terrorism"- naa oecome a
secondary issue for many.
"The basis (for the decision was)
our concern about terrorism, and I
am afraid that it's too easy for people
to forget what an important problem
that is and what a threat it i to
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United Nations postpones
debate on Palestinian issue
From Associated Press reports
UNITED NATIONS The
General Assembly on Tuesday
postponed its annual debate on the
Palestinian problem so PLO chief
Yasser Arafat, denied a U.S. visa,
can address the body at a special
session in another country.
General Assembly President
Dante Caputo said he had received
and granted a request from Arab
nations to postpone the debate,
which had been scheduled for
Thursday, Friday and Dec. 6.
Earlier, Caputo had said that
once he received a request from
Arab nations, the assembly would
move swiftly to provide Arafat
another forum.
Arab diplomats said they would
seek to move the debate to Geneva
on or about Dec. 13-14.
Group sues to seal FBI flies
WASHINGTON An organ
ization opposed to Reagan admin
istration policy in Central America
filed suit against the FBI on
Tuesday, seeking to seal files
compiled during the bureau's anti
terrorism probe of the private
group.
The class-action lawsuit alleges
that during the March 1983 to
June 1985 probe, the FBI spread
false information about the Com
mittee in Solidarity with the
People of El Salvador (CISPES),
linking it to terrorism and hurting
its efforts to raise money and
enroll new members.
The CISPES lawsuit, filed in
U.S. District Court, seeks an order
preventing the FBI from using
records gathered during the probe
and requiring the bureau to seal
the files and deposit them in the
National Archives.
Savings and loan losses down
WASHINGTON Losses in
civilized society," he said.
Referring to the presence of the
Palestine Liberation Organization
observer mission in New York, Shultz
said the Palestinians will have no
difficulty in getting their message
across to other U.N. members.
;."We have no problem with that,"
he said.
. Since the' State Department rejec
tion of Arafat's visa request, world
wide opposition has been virtually
unanimous, ranging from Arab
countries to some of America's closest
allies Great Britain, West Germany
and Italy.
One common argument mentioned
by allied spokesmen was that Shultz's
decision weakens the hand of Arab
moderates.
Shultz said the decision will not
impair the peace process and that he
will not reconsider it.
"I think it was the right decision.
I stick by it," he said.
Meanwhile, Shultz's spokesman,
Charles Redman, showed little inter
est in a statement by an adviser to
Arafat, Bassam Abu-Sherif, who
appeared to go a long way toward
News in Brief
the savings and loan industry
shrank by 60 percent in the third .,'
quarter, reflecting rescues of.,
insolvent institutions that trans
ferred the red ink to the govern
ment's books, a top regulator said
Tuesday. ;
Federal Home Loan Bank
Board Chairman M. Danny Wall,;
in a luncheon meeting with repor
ters, also hinted at his agency's,
recommendation for reshaping the
federal rescue effort.
Wall said the nation's 3,028;
federally insured S&Ls lost $1.52;
billion in the July-September;
period, down from a revised $3.82;
billion in the second quarter and;
$3.93 billion in the first three
months of the year ;
Man convicted of terrorism
charges
NEWARK, N.J. A Japanese
man called an international terror
ist by prosecutors was found guilty
Tuesday of weapons charges and
of transporting homemade bombs
with the intent to commit
sabotage.
U.S. District . Judge Alfred J.
Lechner convicted Yu Kikumura
in a non-iurv trial after the 36-
year-old defendant admitted to the:
government's charges in an agree
ment worked out with
prosecutors.
Stock market average rises
The Dow Jones average of 30
industrials rose 20.09 to 2,101.53.
Gainers outpaced losers by a 7-;
to-4 margin, with 939 issues rising, :
536 falling and 477 unchanged on!
the New York Stock Exchange.
to Arafail
meeting U.S. demands concerning the
PLO. ;
Among other points, Abu-Sharif
said the PLO's position is one of "full;
acceptance" of Israel and of rejection!
of the threat or use of terrorism byj
the Palestinians. s .v j
Redman said "It sounds to me like!
one more statement from a Palestin-j
ian spokesman! It's alwavs a difficult:
tnmg determining what s authorita-,
tive and what isn't." ;
Outside the State Department, a':
handful of demonstrators protested;
the rejection of Arafat's visa request. '
The protesters gathered across the;
street from the department's main;
entrance, where they waved Palesti-;
nian flags, pictures of Arafat and;
signs. . ;
In a letter to Shultz, Khalil Jahshan;
of the Council of Presidents of;
National Arab-American Organiza-;
tions said the decision to refuse a visa;
to Arafat on national security;
grounds was "absurd."
"Although we disagree with your
decision, we honestly believe that it
is never too late to correct it," Jahshan I
wrote to Shultz.
STORM
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