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Cedar Rapids Gazette Newspaper Archive: December 16, 1974 - Page 1

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Publication: Cedar Rapids Gazette

Location: Cedar Rapids, Iowa

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   Cedar Rapids Gazette (Newspaper) - December 16, 1974, Cedar Rapids, Iowa                                Weather- Light snow ending to- nlghl. Windy. Decrcus. Ing cloudiness Tiraduy, highs near 30. VOLUME 92 NUMBER 341 CITY FINAL 15 CENTS CKDAR KAl'IDS, IOWA, MONDAY, UECEMBEIt 10, 1974 ASSOCIATED PRESS, UP1, NEW YORK TIMES U.S. FRENCH OIL AGREEMENT Court Rules In Favor of Rail Law WASHINGTON (UPI) The supreme court Monday removed the legal roadblocks that have been delaying development of a unified rail network in the northeastern U.S. By a 7 to 2 vote, the court reversed a special three-judge federal panel in Philadelphia which last June found unconsti- tutional part of the Rail Reor- ganization Act because it violat- ed property rights of creditors and shareholders of the railroads by requiring the railroads' continued operation at a loss. The United States Railway Assn., created under the 1973 Regional Rail Reorganization Act, may now submit to congress a "final system plan' for Northeast rail service. The plan was to have been, submit- ted by Jan. 2, but because of the court case the association ob- tained a 120-day extension. Court of Claims By a majority opinion by Jus- tice Brennan, the court agreed with the government parties in the case that the railroads can go to the court of claims if com' pensation for their properties under the 1973 law is inade- quate. The trustee of the New Haven Railroad and other major Penn Central creditors argued that congress did not provide enough funds for loss to the railroads, which would have to continue unprofitable service during the planning period. Brennan said this matter and the eventual transfer of proper- ties to the new Consolidated Rail Corp. (Conrail) in return for Conrail stock can be litigat- ed under the Tucker Act in the court of claims. The act permits suits against the government by private parties for a taking of property. The railroad trustees told the courts that the rail act eliminat- ed any chance to get more money in the court of claims But Brennan said the Tucker Act "assures that the railroad estates and the creditors will eventually be made whole for the assets conveyed." The dissenters were Justices Douglas and Stewart. Douglas said the common slock of Conrail was "plainly only token payment" and the transfer of the railroads to the new corporation was plainly a "taking" as that term is used in connection With condemnation proceedings. "Congress has lowered all the procedural barriers and foisted on these rail carriers a convey- ance of their assets which, if done by private parties in con- trol of a bankrupt estate, would be a fraudulent Douglas said. Stewart said he agreed with Douglas that the reorganization act did not allow for suits in the court of claims. But Stewart disagreed with the other rea- sons given by Douglas for vot- ing against the majority. "I cannot believe that congress would have enacted this law had it been told that in the end it might have to dig into laxpayers' pockets not for the billion appropriated but for un- (Continued: Page 3, Col. 4.) Today's Index Comics .....................17 Courthouse..................3 Crossword ..................17 Daily Record ................3 Deaths ...................-..3 Editorial Features ...........6 Form......................12 Financial ...................18 Mnrion......................7 Movies .....................HI Society ..........8-9 Sports ..................13-Ifi Television ..................II V.'nnl Arts IS-23 Clark Probes Issue Of Investor Identify By Al Swcgle U.S. Sen. Dick Clark (D-lowa) directed his staff Sunday to re- search possible federal legisla- tion to require identification of foreign investors buying farm- land in the United States. Clark's action followed a Ga- zette report Sunday that foreign investors are taking advantage of lax land laws in Iowa and California to hide their identi- ties. In another followup to The Gazette story, state and federal farm program officials revealed that foreign investors apparent- ly can receive farm subsidy the same as U.S. V Wlrcohoio AFTER THE WALK Carlos lender embraced his two sons, Herbert, I I, (left) and Carlos, 8, dur- ing their reunion Sunday after the boys' trek through dense Peruvian jungle followinq a plane crash. (Another photo on picture page.) Pilot, Six Children Survive Week of Suffering in Jungle LA MERCED. Peru Beset by bruises, cuts, hunger, cold, leeches and mosquitoes, the young pilot and six children hacked their way through the thick underbush. It look seven days of suffering for the plane crash survivors to reach safety, ending a week- long saga of courage and en- durance in the Amazon jung- le. Jungle Crash The drama began Dec. 7 when Oscar Zender Samiento, Ihe 24- year-old pilot, led the surviving studerits, ranging in age from six to 16, through the jungle to a river and then down the water by raft to safety Saturday. The surviving children were Kasilda Zender, 6; Carlos Pan- duro Zender, 8; Herbert Pan- duro Zender, 11; Juan Zender, 12; Herta Zender, 11, and Gladys Zender Samiento, 16. The students, children of Ger- a single-engine plane carrying man immigrant families with students home for the Christ- mas holidays crashed! into the jungles of eastern Peru. One of the students, Juan Win- gaert, 6, was killed in the crash. A second, Antonio Simon, 14, died three hours later. And; a third, Katly Fender, 11, died during the trip through the un- dergrowth. farms in the remote foothills of Ihe Andes mountains, were all related lo Zender. "Wouldn't Give Up" "We would never have made it without said Hcrla Zender, 11, a cousin of the -pilot. "He wouldn't give up and lie wouldn't let us give up." Mardian Ties Mitchell To Watergate Budget WASHINGTON (AP) Former Assistant Attorney Gen- eral Robert Mardian told the Watergate cover-up trial Mon- day that John Mitchell once ac- knowledged to him that he had approved a payment that testimony has indicated was designed to finance plans for Walergate. Testifying in his own defense Mardian never said whether Mitchell indicated what the money was for. -The trial already has heard testimony tha! the budg- ej; was for the political in- telligence plan that led to Ihe Watergate brcakin. Mardian said the budget was mentioned during a meeting on June 24, 1972, one week after the breakin, during which he said :ic was interrogating Job Stuart Magrudcr "as lo the story he :iad been telling me about Wa- tergate and how il had oc- curred." Mardian said he asked Ma- ?rudcr how much money he had authorized to be given lo G. Gordon Liddy, who l.ilcr was one of seven men convicted on burglary, wiretapping and con- spiracy charges. Mardian said Magruder told him he had authorized "It sounded like an awful lot of said Mardian, who added that Mitchell, !hs former aiiorney general who then was head of Richard Nixon's re-elec- tion committee, also expressed amazement. "But you approved a budget of Mardian quoted Magrudcr as saying lo Mit- chell. ''Yes, but the campaign hasn't even Started Mar- dian said Mitchell replied. Mitchell has denied he ever approved any such budget. Mardian Monday described how he learned details of the brcakin which he called "the most shocking disclosure that's ever been made to line las a law- yer kind as a person." He told how on June 21, 1972, Liddy, after being assured that Mardian was acting as his attor- ney and would never disclose what he wan bcinrj lold, said that "the plan was lo go into Ihe Democratie national commitlcc headquarters lo repair an elec- tronic; device I hey had previous- ly installed lo monitor calls in the office of DNC Chair- man Larrv O'Hricn." She said the survivors sal- vaged a flask of wine and two canteens of water from the plane. "We ate hearts of palm and occasionally came across edible she said. "We lost our shoes and most of our clothes in the she said. "Our arms and legs and our feet were hv weeds. thorns and sharp leaves." Passing Boalmau T h e y slashed their C. R. Man, Two Others Accused in Film Theft A Cedar Rapids man and two St. Louis men were arresle< Monday morning and chargec in connection with the theft ol worth of old-time mov- ies from a Davenport man. Iowa Bureau of Criminal In- vestigation agents early Mon- day morning arrested- Ed Wcdcl- stedt, 32, of 1663 Twenty-fourth street in Cedar Rapids. He way through the underbrush, reached the banks of a jungle river and then, hailed a passing Indian boatman. He took them down- stream on a raft to the village of Iscocasin. After notifying their families, authorities flew the youngsters to La Merced, 150 miles east of Lima and the site of the only hospital in the region. Doctors said the pilot was suf- fering from cracked' ribs, bad cuts and severe depression. They said his sister, Gladys, was also badly depressed but the rest of the children were in high spirits about their adven- ture. Authorities said Samiento's fast action in dumping out the plane's gasoline probably saved the survivors from a fiery death. payments, farmers. Clark said precedent for iden- tification of foreign investors can be found in an Iowa law requiring that foreign corpora- tions be identified before doing business in the state. Doesn't Hurl "Information doesn't hurt any- me very Clark told The Sazelte. "I've only seen a few nstances where it did, and it might be beneficial in the long to all parties involved." Clark pointed out that he had nsisted that a provision -be in- cluded in the recently enacted Commodity Exchange law re- quiring that foreign interests be identified'when purchasing .con- tracts on the commodity mark- ets. "We don't care how they do it (buy commodity explained, "as long as they provide information on how much they purchase. The same can apply to foreigners who in- vest in land, another commodi- ty." Staff members questionec whether the federal governmcn has jurisdiction in land trans- actions since the recording of this information has traditionally been the concern of local gov- ernments. was transferred to the Cedar Falls city jail. At a.m. in Cedar Falls, BCI agents and Cedar Falls lolice arrested Dennis Leone, 21, and Bruce Gentry, 22, both of St. Louis. Set The three were arraigned Monday morning in Cedar Falls. Bond on Leone and We- delstedt was set at and jond for Gentry was placed al All three were charged with conspiracy and receiving and concealing stolen property. In (Continued: Page 3, Col. 7.) Today's Chuckle Don't worry if your child gets excited over nothing. He may grow up to act in TV commercials. ments in the U.S. as owners of 'armland. "We've never had the ques- ion come up, but, yes, I sup- rase they could apply for 3ale Awtry, executive director of the Agricultural Stabilization and Conservation Service told The Gazette. Howard Waters, ASCS Midwest vest regional director, pointed out that crop subsidies are cur- rently not offered in the form of payments for keeping land out of production, but aid is being jivett in the form of disaster and crop failure relief. Both indicated that federal regulations are currently vague n this area, but foreign inves- ors, if they desired, could apply at local ASCS offices to keep :heir farms participating in the :arm program. The ASCS presently does not dentify foreign landowners who are participating in the farm program, Waters and Awlry said. The officials said they did not (now whether the German and Italian landowners cited in The lazette's Sunday story have ap- plied for federal farm aid. Intended Use Clark pointed out, however, that the federal -government has the right to regulate foreign in- tercourse and has done so in -the areas of trade and travel in the past. "I would be concerned about foreign buyers, not because they are foreign, but because of what Ihcy are going to do with this Clark said. "I can't be- ieve foreign investors are in icre just to buy small farms." Clark indicated that the iden- ification law should include in- formation regarding the purpose of the land investment. Clark said he would encour- age the Iowa congressional dele- gation to meet with legislative leaders to look into the matter. "If it turns out that this is not a federal problem, then we ivould be willing to work with Ihe Iowa legislature to develop a state law that would be a model for the whole Clark said. Subsidy Payments Two farm program officials told The Gazette that foreigners can receive farm subsidy pay- AskTalksby Consumers, Producers Thief Takes Leaves Thanlc-You Note IOWA CITY A thief entered into the holiday spirit here Sat urday when he left a thank-you message after making off will from a department store. Police said the thief apparent- ly hid. in Killian's departmenl store after closing time Satur day and then rifled a service desk at the rear of the store. Reported as stolen was abou in cash and in checks, they said. The thief set off an automati alarm system as he left the store. Upon arrival, police found a note scrawled on a wall whicl read: "Thanks for the monetar; Christmas present." Investigation into the theft is continuing. Boston Balks At More Busing BOSTON (AP) The Boston school committee voted Monday to withhold a new school in- tegration plan that was pre- pared in response lo a federal court order. The 3-2 vote came about 10 minutes after the noon deadline that U.S. District Judge W. Ar thur Garrity had set for filing a plan. The committee could be held in contempt of court for refus ing to comply with the judge's order. The new plan, prepared bj school officials, would have meant the busing of school children next September About of the city's pupils are now being bused. Schools have been disruptec by boycotts and sporadic vio lence since the current program went into effect Sept. 12. 10 Bullets from 8-Shot Pistol? Lowenstein Tells Doubt on Sirhan NEW YORK (AP) Former Hep. Allard Lowcn- slein (D-N. Y.) says that after a personal year-long study, "I don't believe the evidence sus- tains the theory thai. Sirhan Sirhan is the murderer of Robert Kennedy." Sirhan is serving a life sen- tence in California for Ihe as- sassination of Sen. Kennedy on June 5, I968. in a Ixis Ange- les hold following Kennedy's viclory in Ihe California presi- dential primary. a former 11cm- o c r a t i c congressman from New York, revealed his doubts about Ihe shooting at a news conference .Sunday, ac- companied by Paul Schrado, a former United Aulo Workers official who was wounded at the lime of the assassination. Schradc Said Lowenstein had convinced him that Ihcrc were many unanswered ques- tions in the case. I.ouensUn said he made his investigation because of the "recalcitrance of the auth- orities" lo make till tile tech- nical cv'dcnce public and be- cause in the wake of waier- "Ihe country now under- stands what It didn't before Ilial things that 'never could h a v e occurred' have oc- curred." He said, however, that he was not proposing that Sirhan, a Jordanian immigrant who expressed anger over Ken- nedy's pro-Israel position, was part of a larger conspiracy. He said he had no ideas so far about the identity of the wielder of the "true gun" in the killing. Lowenstein called for a re- opening of 1he case on the basis of doubts on three ques- tions, having to do with the bullets and the autopsy: Why seven bullets were re- covered from Kennedy's body and others wounded at the time, and three from the ceil- ing, yet Sirhan's gun could hold only eight, bullets? "How can the apparent bal- listic difference in the bullets found in Sen. Kennedy's neck and- William Wcisel's stomach be reconciled with the notion that all bullets were fired from the same Weisel, a television producer, was one of those wounded. How to reconcile the fact that 'the medical examiner said Kennedy was shot from a distance of one to six inches and the witnesses said Sirhan was from 2 to 10 feet from the senator when he fired? Lowenstein a n d Schradc urged that the Sirhan gun be rcfired for further ballistic comparisons by independent experts. Schradc said such a probe is necessary because it "has to do with the future, the life of Teddy Kennedy." Me referred to Sen. Kdward Kennedy (D- Mass.) PORT DE FRANCE, Mar- .inique (AP) The -presidents of the U.S. and France called ointly Monday, for a confer- ence of oil consuming and oil iroducing nations "at the earli- est possible time." The call was a compromise to break a French-American dead- ,ock on how best to cope with ncreascd oil prices. Presidents ?ord and Valery Giscard d'Esta- ng agreed in summit talks on a series of "interrelated steps" eading to the proposed confer- ence. Reducing Consumption But Saudi Arabian Oil Min- ster Ahmed Yamani said in an nterview published Monday .hat attempts by consumer countries to force down oil jrices by reducing consumption would not work. "I don't think that attempts to force a lowering of oil prices by cutting down consumption as part of a confrontation strategy can Yamani told the Middle East Economic Survey, a Beirut weekly. A communique issued as the two presidents ended two days of talks on this lush Caribbean island said these steps "should be taken in Consuming nations, working "within the framework of exist- ing should develop programs for energy conserva- tion, for developing existing and alternative sources of energy and for financial solidarity. Representatives of the con- sumer and producer nations should hold a meeting next March "to develop an agenda and procedures for a consumer- producer conference." The preparatory discussions "will be followed by intensive to prepare a uni- fied position for the later meet- ing with the exporting coun- tries. The communique also includ- ed an agreement by France to pay the U.S. million dollars to compensate for the late French President De Gaulle's act of ordering U.S. forces out of France. The communique did not set a date for a conference between the oil exporters, mostly in the Middle East, and their custom- ers: the U.S., Japan and France and other countries of Western Europe. Timetable But il appeared there would be a push to hold the meeting late next spring or early sum- timetable suggested by qualified sources as the two presidents negotiated a resolu- (Continued: Page 11, Col 7.) Canadian Oil Cutoff Expected To Hit Midwest WASHINGTON (AP) Fami- lies in the upper Midwest 'could find themselves with a severe shortage of home heating oil as the result of Canada's plan lo end oil exports. Within the same period, mo- torists in Ihe area might find themselves in long lines at gaso- line stations, reminiscent of the gasoline shortage of J973. Elsewhere in tha country, home heating oil might cost 2 to 4 cents per gallon more and gasoline prices might be higher as crude oi! is shifted to ease the upper Midwest's shortages. These are some of Ihe pos- sible consequences of the Cana- dian government's proposal to halt oil exports lo the U.S. after 1982, according to Bill Home of the house Republican confer- ence. Home is 'directing a study of alternatives in response In the Canadian decision. I The Canadian oil is vilal ID upper Midwest, particularly Minnesota. Wisconsin, Illinois land Michigan. To a lesser de- gree, Iowa, North and Soulh Da- kota and Indiana would feel the effects of a cut off.   

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