Tuesday, September 17, 1974

Cedar Rapids Gazette

Location: Cedar Rapids, Iowa

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Cedar Rapids Gazette (Newspaper) - September 17, 1974, Cedar Rapids, Iowa Weather- t'lciir tonight win, lows In low 50s. Mostly s u it ji y Wednesday, highs in low 80s. VOLUME <n. CEDAR UAP1DS, IOWA, TUESDAY, SEPTEMBER 17, 1974 CITY FINAL 15 CENTS ASSOCIATED PRESS, UPI, NEW YORK TIMES No Secref Reason for Iowa Ally. Gen. Richard Turner Tuesday brought suit against Iowa Electric Light and Power Co. seeking to enjoin the utility from collecting what he calls "illegal and usurious" penalty charges for late pay- ment of Utility bills. In Ihe suit, Turner said it has been the practice of the defend- ant for some years lo "impose a so-called late payment penalty" in addition lo the actual amount owed by a customer if the hill is not paid on a specified dale. Turner said if the bill is paid by the customer within 15 days, only Ihc actual amount is charged, "commonly known as the net amount." Five Percent However, in the event Ihc cus- lomcr docs not pay Ihe bill in full on or before the 15-day period given, "a so-called late- payment penalty in the amount of five percent of Ihc net amount is added. "The so-called late penally is nothing more than interest founded upon a contract for the sale of services and personal property and for the forbear- ance of collection of a debt." Turner said when the legisla- ture revamped Iowa's interest law, it exempted utilities. "We he told The Gazelle, "that utilities arc still subject lo Ihc usury limitations of chapter 535. Cannot Waive "The Iowa commerce com- mission contends il has the au- thority to regulate said Turner, "including the issue of late charges. We say it cannot waive application of Ihc usury law." Thai law limits per annum in- terest on unwritten contracts lo five percent, Turner said, with a nine percent annual limit on written contracts and no collcc- lion on open accounts until six months after the date of the last Hem charged on Ihe hill. The attorney general claims in the suit that lE's late pay- ment penalty of five percent is translated into an annual rate of 60 percent if Ihc payment is one month late; 120 percent if 15 days late; and percent if the bill is paid one day after the deadline. Only Remedy "Such five Turner charged, "is usurious and ille- and the only remedy available to Ihe customer is "to refuse to pay the interest or wait lo be sued on his account." Turner said the customer then risks having his utility service cut off. He said because of Ihe non- competilive nature of Ihe de- fendant's business, a refusal lo supply a customer with energy u n d e r such circumstances "coerces and forces said cus- tomers to pay Ihis illegal and usurious interest. "This defendant is openly, publicly, repeatedly, continu- ously, persistently and inten- tionally violating Ihc law in charging ils customers" the five percent penally. "This practice is and should be declared abated and enjoined as a wrongful and continuing public nuisance." Injunction Asked He asks Ihc courl lo perma- nently enjoin Iowa Eleelrie from imposing a rale of inlcresl greater 'than five rents on Ihe hundred by Ihc year on unwrit- ten contracts; nine cents on Ihe hundred by the year on con- Iracls in writing; and In wait on open accounts until six months (Continued: Page, 3, Col. 3.) Torfny's Chuckle If Ihi! good Lord had intended for us In live in a permissive society, wouldn't the Ten Com- mandments have been Ihe Ten Wircpholo THE TRIAL IS OVER Means, left, and Dennis Banks, American Indian Movement leaders, after dismissal of charges against them in connection with the occupation of Wounded Knee, S. D. Cutting of Ki ssmger s Role Urqed Rapped by AIM Judge si f ST. PAUL (AP) WASHINGTON (AP) Pres -I Movement leaders Dennis idem Ford's transition team has Banks and RllSSC" Means recommended that he reor- ganize Ihe National Security Council and strip Secretary of Slate Kissinger of his role as Ihe President's assistant for na- tional security affairs, it was learned Tuesday. Sources said Ford's reaction was not known and no decisions have been made. The objective would be to rc- vilalizc the council's original role as a broad-based presiden- tial advisory body in the foreign policy and national security areas. For more than five years the council has been dominated by Kissinger, who in his role as presidential assistant is its operating head under chair-1 manship of Ihe President. Kissinger headed the council before becoming secretary of stale and has maintained that won dismissals in Ihe major tesl case of the 71-day Wounded Knee occupation, although (he federal governmenl may appeal the decision. But Means and Banks weren't worried about an appeal as Banks atooci on a table in a plush hotel room, balancing a cake in each hand Monday night. One of the .cakes bore Ihe Icl- ters "FBI" before Banks slammed it on the checkered carpet. The scene a stark con- trast lo the dusty, flat, grazing land of the Pine Ridge Indian reservation in Soutli Dakota where AIM members and sym- phathizers resisted U.K. mar- shals in the spring of 1973. "Misconducl" About 200 persons, half of them white, celebrated with the American [Banks, 42, St. Paul, and Means, 35, Porcupine, S. D., ending the eight-month trial. Nichol said at one point, "This has been a bad year for justice. I would like lo see a new role since moving to the AIM leaders, including four department. Ford's transition advisers fell I would be well lo reshape Ihe council because so many agen- cies besides Ihc slate depart- ment are involved in fashioning (Continued: Page 3. Col. 6.) jurors who had earlier said they would have voted to acquit Ihe pair if they'd had the chance. But in a slashing attack on "government U.S. District Judge Fred Nichol dis- missed Ihe charges against By Associated I'rcss Schools in Kanawha county. W. Va., reopened Tuesday as a protest against alleged anti religious textbooks entered ils second week. Protesters marched on the board of educa- tion offices and coal mines re- mained closed. An estimated liOO prolestcrs gathered at Ihe stale eapitol and three blocks to Ihe county board offices. Slate troopers were on hand as ob- servers and no incidents were reported. There was lillle picketing re- ported at schools, compared lo last week. Officials said no problems were cneouniered with ihc: re- opening. Kanawha Counly School Supt. Kenneth Underwood announced his decision to reopen schools afler talks with community and law enforcement officials con- on the streets in force to protect black children being bused in to integrate while schools. A handful of onlookers stood on street corners as four bus- loads of black pupils were un- loaded at closely-guarded Soulh Boston high school. However, there was no sign of the crowds of demonstrators that disrupted Ihc neighborhood throughout the day Monday, the third day of busing under a fed- eral court order. A I I h o u g h schoolchildren avoided injury Monday, five persons on a city bus wilh n black driver were injured when the bus was stoned on a regular transit run. chapter written with a new President. But I'm afraid that isn't so." He acted after the justice dc- parlment refused lo allow jury deliberations lo continue after one juror, Mrs. Thcrese Cher- rier, suffered a stroke which left her partially paralyzed. For Acquittal Tuesday, juror James Put- nam, 22, of Rochester, said Mrs. Cherrier favored acquittal. Assistant U. S. Attorney R. D. Kurd, chief government prose- cutor, had said he would not ac- cept a verdict from 11 jury members because he felt Mrs. Cherrier would have voled to iconvict. "Mrs. Cherrier was pushing for acquittal on all five Putnam said. "She argued that from the beginning." Other Charges Federal court procedure re- quires the approval of both sides before a jury may con- linue deliberations with one or more jurors missing. The defendants had hoped for an acquittal lo pave the way for wiping oul charges against all oilier Wounded Knee defend- ants, now numbering about The two AIM leaders were agged by federal prosecutors as Ihe key figures in a seven- man leadership that allegedly steered the armed takeover Ihe historic1 Soulh Dakota ham- let last year. Gazelle Leased AVircs WASHINGTON (AP) Pres- ident Ford says Richard Nixon's acceptance of a pardon could be construed as an admission of guilt, but Ford's unyielding de- fense of the clemency has failed lo still criticism of his decision. Ford also said Monday night there were no secret reasons for the pardon and no secret deals with Nixon. Photo on Picture Page And he disclosed he is moving to allay concern among Water- gate prosecutors about safe- guarding Nixon tapes as polen- lial evidence. Destruction Clause A reporter noted the govern- ment's agreement with Nixon regarding custody of his tapes inu records provides for uc- truction of the tapes in the :vcnt of Ihe former Presidcnl's leath. The newsman asked if he tapes should not be kept in he White House until Watergate pecial prosecutor Leon Ja- vorski has no further need for hem. Ford said, "The tapes and documents are still in our pos- session and we are working vith the special prosecutor's of- icc to alleviate any concerns .hey have as lo their disposition and their availability." Responding to a barrage ol .lardon-related questions at his second broadcast news confer ence, Ford declared, "I am ab solulely convinced I mad Ihe right decision in an cffori an honest, conscientious effort to end the (Watergate) division, ind the turmoil in the Unilec States." Ford maintained (hat (hi former President had beei "shamed and disgraced" by hi rcSignalion. Heal (lie Nation" most on disorderly conduct charges, in Soulh Boston, where police cneouniered roving bands Classes were conducted with- out incident although two black juveniles were arrested afler In Boston, police were again'students home. ice Clear Escape for Terrorists THE HAGUE, Netherlands (UPI) Police cleared an es- cape roulc Tuesday for three Japanese terrorists who have held nine hostages at Ihc French embassy since Friday, and ihc grim drama appearedj p t abo jnsidc OI hostages remained in doubt. Police ordered all motorists off the road leading to Schiphol airport where an Air France Boeing 707 awaited with a vol- juntccr Dutch crew to fly the hostages out of the country with another Japanese terrorist re- leased earlier by France as part of Ihe deal. The airport was ringed will] armored cars and army sharp- shooters and special precautions were taken at Paris' Orly air- port in case Ihe terrorists, members of the extremist Japa- nese Red Army, should Iry lo land (here. Released Two A force of 20 police sharp- shooters was on hand there. The ijapancse released two women Nixon's health at the time of the pardon, and although he was aware of published reports Nixon was ailing, "I was more anxious lo heal the nation." A number of congressiona Democrats said they were no jsatisfied by Ford's defense ol Ihe pardon. "Tonight, I thought there jhostages Monday in exchange for cigarels, food and medicine but were still holding nine per- sons, including the French am- bassador to Ihc Netherlands. Count Jacques Scnard. All had been under a death threat since Friday. Queen Juliana, making a (Continued: Page 3, Col. G.) might be some said Rep Waldie a member of the house judiciary committee, thai recommended Nixon's im- peachment, "hut there was inc." Chairman Rodino (D-N.J.) of the judiciary committee said i would have been belter hat Ford "pursued Ihe judicial process to show lhat all are treated equally under the law But Sen. Aikcn (R-VI.) said Ford's explanation was "pretty straightforward and will make an impression on a lot of people who didn't agree with the par don." A source close lo Jaworsk i.iicl the vagueness of Ford's response to questions about Ihe tapes and documents raised ears that the materials may go o Nixon even while they may e needed by prosecutors. The ource said there was a meeting n the subject between Ford nd Jaworski aides last Thurs- ay, but none since then. "Persuasive Evidence" Reviewing his decision to par- oil the former President, Ford [cnt farther than ever before in uggesting Nixon was guilly of mpeachable offenses if nol riminal misconducl. He said ie unanimous judiciary com- niltee vote for impeachment vas "very persuasive evidence" nd at another point declared, n response lo a question, "the ceeptance of a pardon, I think an be construed by many, if ot all, as an admission of uilt." Ford rejected any comparison etween his full pardon of Nixon (Continued: Page 3, Col. 7.) e FundsCi iy Frank Nyc A Republican candidate foi state represcnlative who trice ,o withdraw from Ihe lickcl dui lo money problems learnec Cedar Rapids Five Eastern Iowa farmers have brought a billion suit in Cedar Rapids federal court charging the nation's three larg- est food chains with conspiracy in establishing low livestock prices. Named as defendants are Safeway Stores, Inc., the Great Atlantic and Pacific Tea Co. and Kroger Co. The five livestock producers filed the court action on behalf of all lowans who raise cattle and hogs for sale to packers. Plaintiffs are William Li- lienthal, Herschel Fitzer, Ken- neth Frey and Dean Ripson, all if Durant, and Delmar Klaim of Villon. "The defendants have been and now are engaged in an Jnlawful combination and con- ipiracy to restrain unreasonably interstate trade and com- nerce in livestock and fresh 'rozcn and processed meat Ithe suit charges. The plaintiffs said the amount ivestock producers receive de- pends upon what the defendants pay. The action further charges that the defendants entered an agreement to pay suppliers Monday his request was mad- _ "uniform, arbitrary, non-com- loo late to have his name rc-'iPeUtivc iuld artificial low moved from flic Nov. 5 election I prices." It further alleges that ballot. Norris Dobbin of 3853 Clark- road SE (old a small group of supporters Sunday at the .home the defendants concealed the practice. The court is asked lo enjoin the defendants and other un- of Constance Tirooks, 1813 Sixth I named co-conspiralors. avenue SE, that he is broki when it comas to campaign funds. Dobbin, running in the 2511 district, which includes precincts in Linn and, Johnson counties !old the group he had inslructcc lis campaign manager, Bill Freeburg, a Cedar Rapids .eachcr, lo ask "lhat my name ie taken off the November bal- lot." in Hole "He (Frecburg) called Des Moincs and was told (by the secretary of stale's office) il (Continued: Page 7, Col. 4.) Norris Dobbin Plaintiffs tentatively claimed that damages amount to million statewide. They ask that Ihe court allow refiling an amended claim later, and that that amount bo tripled as a penalty. NEW YORK (AP) Hopes hat interest rates may be eas- ng soon helped send stocks oaring for the second straight lay Tuesday, analysts said. The Dow Jones average gained 16.27 lo 656.05 at 2 p.m. n moderate trading. Gainers cd losers 6 lo 1. o Lra.seil Wires Niclioi .slopped short of acquit- tal. Instead, his dismissal allows Ihe governmenl to appeal within tional health, welfare, several key leaders Name Change by Pro-Nixon Group WASHINGTON (AP) A group originally organized to 'ight impeachment proceedings against resigned President Nixon changed its name Mon- day and said it would now pro- mole a wide range of conscrva- :ive causes. Bruce Herschcnsohn, a 'ormer Nixon aide and frequent critic of the national news media, will be executive direc- lor of the organization while Aabbi Baruch Korlf remains as Is president. The group is now called the United Stales Citizens1 Congress. It had been titled the National Citizens' Committee for Fairness to the Presidency. President Ford's limited am-'and interest." Hospital positionsjdorscd il. ncsly plan lias created a storm of controversy but apparently lias drawn few inquiries from draft, evaders or deserters and Nichol blistered Ihe FBI, Ihe justice department and prosecu- tors in a line-hour denunciation. no early confirmed reports were cited as a common exam- ple and all work was expected to be similar to thai performed in the past by conscientious objcc- any lakers. 1'rcdictablc President Ford on Monday set in motion Ihe government ma- chinery to grant conditional am- nesty lo Vietnam-era draft evaders and deserters if they reaffirm their allegiance lo the the Brink" persons identifying Ihcm- l.selvcs as evaders or deserters called seeking information (lur- ing Ihc first. 12 hours after am- soURht justice in Ihis ease by permilting il lo go lo Ihe jury rather than deny Ihal justice because they refused lo accept Gloria Brown said some of Ihc calls came The judge referred to his deci- sion on an earlier defense dis- missal motion in which lie said Ihe FBI had driven him lo Ihe brink of dismissing Ihc charges. The latest, defense million for dismissal was filed Saturday. Initial reaction to Ihc proposal was predictable. War resistors said it didn't go far enough and veterans groups said il went loo nr. Draft evaders and deserters living in exile called the propos- al unacceptable because it im- She added live department employes will handle amnesty inquiries "II's only fair lo say I am nowjlhal Ihe government would help over Ihe Nil hoi .said. jfincl jobs bencfilling the "na- (roin persons in Canada who plied guilt on Ihe part of Ihose no money for who had spurned involvement in whal they viewed as an immor- al war. Pliysician Slain BUENOS AIRES (AP) A provincial police physician, pre- sumed linked to a right-wing group, was shot to death as he stood in the door of his home United Slates by Jan. 31, 1975, Tuesday, and work up lo 24 months inj low-paying public service jobs. He also indicated lhal persons] serving prison sentences for draft evasion or desertion would be released pending decisions on Iheir cases by an amnesty clemency board. Lillle Inlcresl In Canada, Ihe most popular Veterans groups and relatives of Vietnam casualties! 'Jancl lugilivc draft evaders, were just as vehcmenl in their 'llcrc( was little J Illrt opposition, calling it a betrayal the Selective Service system of Ihose who had fought would direct Ihe program and died in Southeast Asia. csl in accepting Ihc otter of American war I.U III n. I The plan probably received its kllow" warmest reception In congress: (Continued: Page 3, Col. fi.) Today's Index Comics Crossword Daily Record Deaths Editorial Features Farm FhiHpicial Marion Movies Society Sporls Stale Television 21 21 22 13 20 ...15-17 Ill 2M7