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Cumberland News Newspaper Archives May 15 1986, Page 2

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Cumberland News (Newspaper) - May 15, 1986, Cumberland, Maryland 2 time Wei Cumberland my. Thursday May 15,1986after full year of activity crisis not Over for Many sol victims by Tom Stuckey associated press writer last of series Annapolis my. A the selection of wednesday As the Day offices of Community savings and loan association re open As branches of Mellon Bank is at least historically appropriate. It came exactly one year after gov. Harry Hughes imposed the first restrictions on withdrawal of funds at 102 a amp is to halt a run that threatened to bankrupt the privately insured Thrift Industry. With the lifting of the freeze on withdrawals for Community a 20,135 customers All restrictions will have been removed on almost $6 billion of the approximately $7 billion that was on Deposit in the 102 thrifts when Hughes order took effect May 14,1985. But despite the Best efforts of the Hughes administration and the Maryland general Assembly the crisis is far from Over. It Isnit Over for Many depositors who still can to get their Money or for some Sal owners and state regulators who face possible criminal prosecutions or civil actions for their roles in the crisis. It is still very much alive for Hughes whose chances of winning a race for the . Senate have been seriously undermined by his handling of the savings and loan problems. On this first anniversary of one of the most serious financial crises in Maryland history the numbers demonstrate the effect on the depositors. About 58,000 depositors in three institutions still Are unable to take any Money out of their accounts except in documented hardship cases and some 15,000 depositors can withdraw Only $1,000 a month from accounts in six other institutions. State officials say that through mergers acquisitions and obtaining of Federal insurance restrictions should be ended soon at eight of those nine thrifts. But Many of the 34,497 customers of bankrupt old court savings and loan association which the state is liquidating May not get All their Money Back for four years. The first general dispersal of funds at the Baltimore Thrift since die freeze was imposed last june when the state took control of old court will take place next week unless there is some last minute Snag. Depositors will get All of the Money in their accounts up to a maximum payment of $5,000. Hughes aides say that will close out almost half of Hie accounts. For the other 50 percent of the depositors payments will be made periodically As the state Sells off old court assets Over the next four years. While the state has been struggling to help thrifts qualify for Federal insurance or find buyers for them it has also pursued both criminal and civil Legal actions against those held responsible for the crisis. One Sal owner old courts Jeffrey Levitt is already in jail serving a contempt sentence for violating a court imposed limit on his spending. That limit was set to protect Levitt a assets while the state pursued a $200 million civil suit against him and other old court owners and officers and their businesses. Levitt also has been indicted on charges of theft of $13.6 million from old court and first progressive savings and loan associations. It was problems at old court that triggered the Public run on Sals and promoted Hughes and the legislature to step in last May abolish the private insurance fund and pledge state funds to Back deposits in the 102 thrifts. Walter Otstot a business associate of Levitt is the Only other person indicted so far but Hughes has authorized a number of other criminal investigations. The governor wont say How Many people Are being investigated or who they Are. Tie political fallout of the Sal crisis is still being measured and May not be known at least until the september primary election. A year ago Hughes was widely favored to win the democratic nomination for the Senate seat being vacated by Republican Charles Mcc. Mathias. Now polls show him and two other democratic candidates trailing the current front runner . Rep. Barbara Mikulski by margins of two to one or More. Attorney general Stephen Sachs also is facing the savings and loan Issue in his race for the democratic gubernatorial nomination against Baltimore mayor William Donald Schaefer. The mayor formally entered the race monday but was raising the Issue Well before he began his official Campaign. Republicans served notice at their state convention last weekend in Ocean City that savings and Loans will be a major Issue in their 1986 campaigns. The effect on Maryland taxpayers is even less certain at this Point than the effect of the crisis on Industry executives state regulators and political leaders. The states potential obligation As an Sal insurer is currently placed at about $170 million. Hughes has predicted that after All assets Are liquidated and after recoveries Are made in civil and criminal actions against those held responsible for the crisis the loss will be no More than $50 million perhaps less. The sceptics say the $170 million figure is too Low and that the Cost to the taxpayers will eventually be More than $200 million. Louisiana leads unemployment Washington apr Louisiana continued to Lead the nation in unemployment in March with the recent 50 percent decline in Oil prices still wreaking havoc on the Petroleum producing Southwest new government statistics showed this week. Despite a drop of 0.3 percent from february Louisiana a 13.1 percent rate of joblessness was Well below the 11.7 percent unemployment rate in West Virginia the labor department said in its state by state labor Force figures for March. Until february West Virginia had Lead the joblessness charts for nearly 3 years. Just a year ago when West Virginia a unemployment rate was 15 percent joblessness in Louisiana was ll.7 percent. Texas and Oklahoma the other two primary Oil producing states have seen their respective unemployment rates in the past year climb 1.2 and 0.6 percentage Points to 8.4 percent and 8.0 percent the Bureau of labor statistics said. However Wyoming had the biggest year to year percentage increase in joblessness rising from 7.9 percent in March 1985 to 10.6 percent the same month this year. Illinois and Kentucky also had unemployment increases of i percentage Point or More Over the year. While the 7.5 percent nationwide rate of unemployment a unadjusted for seasonal variations based on weather and Holiday business activity a in March is the same As a year earlier joblessness is lower in 29 states the bus said. Besides West Virginia the drop was i percentage Point or More in Arkansas Indiana new Jersey Ohio Rhode Island and Utah. New England continued to Lead the nation in providing jobs for its residents. New Hampshire had the lowest unemployment rate of 3.8 percent followed by Connecticut at 4.0 percent. Stop moisture problems with a top Quality Whirlpool dehumidifier new 1986 Model with top of the line features a automatic Humidistat a Rustproof moisture Container a adjustable automatic water level shuts off when nearly full a plug in operation a threaded Drain a rust resistant steel Cabinet a moisture Container full Light 15-pint capacity per 24-hour period 178. Price reduced includes full 5 year compressor guarantee. With free labor. One year guarantee on Complete unit 20 pint unit 197. Now 30 pint unit 221. Now 40 pint unit 248. Now delivered i free i throughout the Tri state area both Cumberland stores open tonight til 9 . A South Cumberland 137 Virginia Avenue 722-6191 free perking next to store a downtown Cumberland mall 43 n. Centre Street 722-6862 1-hour free perking at both Mpa lots. Plus 3 hours free at Centre City garage a Frostburg my. 133 e. Main Street 689-6603 free perking next to store do you know us Cornelia Smith and her brother Maurice hold up their social Security cards which list identical numbers in Chicago. Eight cases of duplicate social Security cards have surfaced in the Chicago area recently social Security officials report. Duplicate social Security numbers seen As Quot the worst mess Ever Quot Chicago a a brother and sister with the same social Security number Are trying to straighten it out with the government but at least their problem is All in the family a six other Chicago area people White a plasters pants a Carpenter overalls a Painter pants Brown Duck bibs Blue Denim bibs available in full Range of sizes. Union made in .a. Rugged As the men who Wear them. Garretts 325 Virginia Avenue a open . 722-7380 share their numbers with strangers. A usually we hear of Only one or two duplicate numbers a year in the whole country a a spokesman James m. Brown said from the social Security administrations Baltimore Headquarters. A this is simply incredible. This is the worst mess Ever. We be never had anything like this before a he said. Cornelia Smith 25, says she and her 23-year-old brother Maurice applied for their cards Allegany liquor store 301 n. Centre st., Cumberland my. 777-7500 . 7 am to 11 pm Maryland state lottery a a to a Day a drawing daily game 881 pick four 2605 get your tickets Here Stock reduction Sale today thursday Only non commercial computer furniture item list Sale Price thursday terminal stand 36x30 .$482.00. >282.00 terminal stand 48x30 .568.00. >318.00 Printer stand and wire rack 36x30 .335.00. >215.00 terminal stand work desk 60x30 .378.00. >248.00 commercial Printer enclosures with fan reduces noise from Printer to near Zero. Model a2b30, 36x30 .485.00. >285.00 Miller and Miller it 61 Baltimore st., Cumberland my. 21502 301 777-1000 several years apart when they were teen agers but wound up with the same number. A a we be tried several times to straighten it out but social Security keeps sending Back same numbers a is. Smith said. A one summer when we i both worked in the mayors i youth program my brother get his Check because we had the same the same problem prevented Ella Schrodt 37, a nurse from Oak Lawn from receiving a state income tax refund. The Illinois department of Revenue notified her there is a duplicate of her number somewhere. And Joan Furco 49, of Wheaton said her husband Frank had difficulty collecting unemployment compensation because claims clerks said his wife was working. She Wasny to but someone else had her number. Donald l. Dyer 28, a Grad uate student at the University of Chicago said he asked social Security for a statement of earnings when he suspected someone else had his number. He said he was sent a list of earnings going Back to 1940. Dyer Wasny to born until 1958. Pennsylvania lotteries Harrisburg a. Up a i winning number wednesday in i Pennsylvania lottery a daily number game was 527. Winning numbers in Penn Sylvania lottery a lotto game were 13, 07, 02, 04, 20, 40 and the alternate was 27. The times news the Cumberland news uses 140020 published by the times and Alleg Anian company monday through saturday mornings at 7-9 South Mechanic Street Cumberland my 21502 second class postage paid at Cumberland. Maryland member of the audit Bureau of circulations member of the associated press Telephone 722-4600 single copy 2s� subscription rates by Carrier la 38 per week mail subscription rates Maryland Pennsylvania West Virginia. Virginia and District of Columbia 15 75 one month $32 so six months 163 of one year All other states 16 of one month 134 of six months 166 of one year no mail subscriptions accepted where Carrier service is available no financial responsibility for typographical errors in advertisements but will reprint that part of an advertisement in which the typographical error occurs errors must be reported at once evening and sunday times evening times uses 139960 sunday times usps9560601 published by the times and Alleg Anian co., 7 9 South Mechanic Street. Cumberland my evening 25� per copy by Carrier to 38 weekly sunday 60� per copy mall subscription evening times for Mary land. Pennsylvania West Virginia. Virginia and District of Columbia. 15.75 one month 132 50 six months 163 00 one year other states. 16 00 one month 134 of six months. 166 00 one year sunday Maryland. Pennsylvania. West Virginia. Virginia and District of Columbia. 53 50 one month. Sto of six months $38.00 one year. All other states. $3 75 one month $21 so six a months. $41.00 one year second class postage paid at Cumberland. My

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