The Salina Journal from Salina, Kansas on May 18, 1998 · Page 7
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The Salina Journal from Salina, Kansas · Page 7

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Salina, Kansas
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Monday, May 18, 1998
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Page 7
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. THE SALINA JOURNAL NATION MONDAY, MAY 18, 1998 A7 T U.S.-CHINA Clinton wants waiver reviewed Waiver reportedly allowed firm to sell technology to China T MEDICAID By TOM RAUM Wie Associated Press WASHINGTON — President Clinton welcomed an investigation into whether he improperly signed a waiver in 1996 to approve exporting satellite technology to China. He said Sunday the decision was not swayed by six- figure donations from an executive who benefited. But the Justice Depart- CLINTON ment has opened a preliminary inquiry into possible influence on the president's decision of more than $600,000 in donations to the Democratic Party by Bernard L. Schwartz, chair- 7- man of Loral Space and Communications Ltd., a government official said. The export waiver covered Loral and another company. Speaking in Birmingham, England, where he was attending the economic summit of world leaders, Clinton said he ; had heard about the new allega- "• tions but insisted the money did not change the United States' China policy. "All foreign policy decisions, we made in the interest of the American people," the president said. "If someone tried to influence them (the decisions), that is a different issue. There ought to be an investigation," he said. India's nuclear tests, and the possibility that Pakistan and a "All foreign policy decisions, we made in the interest of the American people" President Clinton regional nuclear arms race might follow, also are heightening congressional interest in the subject. Investigations are gearing up in both the House and the Senate into the administration's decision to let Loral and Hughes Electronic Corp. export satellites to be launched atop Chinese rockets. Critics claim that, along with the satellites, the two space firms gave China technology that helped it improve guidance systems of its long-range ballistic missiles, including some aimed at the United States. China and India are longtime rivals and fought a border war three decades ago. Republicans see their investigation into the waiver as a political winner this summer. They hope to tie the contracts to big campaign donations that Schwartz and executives of both firms made to Democrats. Last week, it was disclosed Democratic fund-raiser Johnny Chung, now a cooperating prosecution witness, told the Justice Department he received $300,000 from Chinese military officials for political contributions, passed $110,000 to the party and kept the rest for himself. That admission, along with the preliminary inquiry into the satellite waiver, will only heighten the drama. ^WHITEWATER Counsel his ptaff, office By The Associated Press WASHINGTON — Independent ^Counsel Kenneth Starr has hired -jjp new lawyers and more than Xdoubled his Washington office - space since January to handle -new investigations and shift the ':focus of his activities from • I Arkansas to the nation's capital. l>v;"The jurisdictions have been ^expanded," Starr spokeswoman "Debbie Gershman said Sunday. "Some of these are public. Some •are not." ' Gershman confirmed figures reported by U.S. News & World Report that said Starr's office rented an additional 7,400 square feet of ;• office space, which raised his op• eration's monthly Washington •: rent to $43,186. » Starr's inquiries, which began * as a probe of Arkansas land deals involving President Clinton and Hillary Rodham Clinton, have ex- : panded to include the president's * relationship with former White " House intern Monica Lewinsky, .". the possible misuse of FBI files and other matters. He now employs 27 lawyers: six in Little '.' Rock, Ark., and 21 in Washing'•'• ton. 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