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Newspaper
Ottawa Herald
Location
Ottawa, Kansas, United States of America
Date
May 12, 1990
Page
6
The forecast calls for a 40 percent chance of rain early today with mostly cloudy skies and highs between 60 and 65 degrees. Winds will be west to northwest at 15 to 25 mph. Tonight will be partly cloudy with lows around 45 to 50. Sunday looks partly sunny and a bit warmer with highs in the mid to upper 60s.
Kansas City Business Journal reports officials doubt Franklin Savings Association seizure was justified. OTS interim director Salvatore Martoche twice refused to confirm predecesor Wall’s conservatorship decision. An interoffice memo says an audit firm was hired to back the seizure. Fleischer seeks court relief in Topeka, alleging illegal regulators action. Franklin placed under government supervision February 16 amid claims of unsafe operation. a June 15 hearing is planned.
A federal magistrate refused to quash a Franklin Savings deposition of M. Danny Wall, former thrift regulator. The Office of Thrift Supervision contested the move, but the order clears the way for Franklin’s Ottawa based counsel to question Wall under oath about his involvement in the takeover orders and timing. Wall delayed the seizure until Franklin filed quarterly statements with the SEC. OT S spokesman called the attempt improper discovery and objected to outside probes into a federal director’s state of mind.
Gov. Mike Hayden signed a law dispersing at least 538 million dollars in general state aid to Kansas 304 local districts using enrollment-based weights. The measure allows budget increases of up to three percent for poorer districts, with an extra one percent possible if voters do not protest, potentially boosting teachers salaries and raising property taxes statewide.
Gov. Mike Hayden signed the school finance plan affecting district budgets and property tax levies. The Education Department modeled increases as allowed, with state aid totals and mill adjustments listed for numerous districts, including Wichita up 3.6 million and Topeka up 1 million, some districts showing mill increases and others decreases.
U S arms control chief rejected a Soviet bid for talks on cutting tactical sea based weapons. Navy chief said talks could serve U S interests. Lehman noted no formal linking demand, expressed optimism for a broader treaty before Gorbachev’s May 30 Washington visit.
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