The Des Moines Register from Des Moines, Iowa • Page 6

Des Moines Register Pnna A W.d., July 14, 1971 Six lowans Strewn by Iowa Winds Are Indicted OnGambling By James O'Shea Charges of conducting gam Cite Cheap LaborEffect On Unions WASHINGTON, D.C. (AP) U.S. labor leaders said Tuesday that American industry's growing use of cheap labor abroad threatens a return to sweatshops and collapse of the economy in this country. Jacob S. Potofsky, president bling operations in violation of federal, law were filed against six Pottawattamie County men Tuesday by a federal grand jury in Des Moines.

Named in an indictment filed in U.S. District Court were Da vid Leslie Merryman, Floyd Ki- nart, Jack Marshall, Gary --Price and Don Miles, all of of the Amalgamated Clothing Workers of America, told an Council Bluffs, and Merry AFL-CIO conference that U.S. man's father, Leslie Merryman workers have to compete with foreign labor which works for as little as 9 cents an hour. of Honey Creek. 4 Counts Each few; IV Xil Wv, -C" an Knitted J1 The indictment charged all six with four counts each of conducting a bookmaking oper ation in violation of federal law.

"It took us years to overcome sweatshop conditions in this country and we don't intend to allow the sweatshop to return on the back of low-wage imports from Hong Kong, Taiwan, Japan or any other country," Potofsky said. AFL-CIO President George A separate indictment charges David Merryman with 16 counts of willfully attempting to evade payment of a federal excise tax on wagers. Federal law can require a gambler to Meany said U.S. firms are committing economic suicide for themselves and the country by transferring their plants to low-wage countries in quest of a quick profit. Meany said the American '4 standard of living is based on the purchasing power of the American worker, who tradi tionally has purchased more pay tax on activities which are against state laws.

All gambling is illegal in Iowa, but no state charges have been filed. Nebraska law permits on-track betting but not bookmaking. Merryman reported to the Internal Revenue Service, the indictment alleged, that he accepted $12,844 in bets, upon which there would be a $1,284 tax, when in fact he accepted wagers in excess of $307,000 and owed excise taxes of more than $30,700. Merryman was arrested by FBI agents in January after the agents conducted the first wiretap in Iowa under the federal Omnibus Crime Act of than 90 per cent of the output of American industry. He said o- this purchasing power is destroyed when jobs are At the closing session of the AFL-CIO Conference on Jobs, speakers decried the exporting of jobs, licenses, technology VMS and patents.

I. W. Abel, president of the Steelworkers, laid a large REGISTER PHOTOS BY BOB MODERSOHN age is estimated at $3.3 million. Iowa Civil Defense Director Albert Maricle will recommend that' seriously damaged areas be declared disaster areas. Wind-ravaged wreckage from destroyed outbuildings litters the ground around the Edwin Jordan farm southwest of Saint Ansgar in Mitchell County, where tornadoes caused substantial damage Monday night.

Hardest hit by tornadoes were Chickasaw, Howard, Fayette and Mitchell Counties. Dam- portion of the blame on American-based multinational corporations, which produce goods in cheap-labor areas 1963. He was charged with two federal counts of gambling violations and released on bond. These two counts, and two new ones, were included in the indictment returned Tuesday, along with the tax charge. Arrest warrants for the other five men were issued Tuesday by U.S.

District Court Judge William Hanson in Des Moines. for sale in the United States. STORM- Continued from Page One "They can produce com ponents in widely separated UNIT ENDORSES SEX COURSES By a Staff Writer (if Tr 'A 4 'f Je 1 IOWA CITY, IA. The majority of the special Citizens Advisory Committee on Sex Education approved the Iowa hardest by Monday night's tornadoes. The Ames, Nevada, Mar-shalltown and Independence areas which were hit by a turbulent thunderstorm July 7.

Parts of Cedar Rapids and Marion which were deluged by an unofficial seven inches of rain July 10. The director said other areas also may be included in the request. "I don't see how they can turn us down," said Maricle. "Our people have really taken City Community School Dis trict's sex education program, the committee reported Tues $25,000 a Week The two counts in January against Merryman involved using telephones to operate and promote a bookmaking operation in the Omaha-Council Bluffs area. An FBI agent alleged the operation handled more than $25,000 a week in bets on sporting events.

An accompanying affidavit alleged that Merryman's operation had offices in two Omaha businesses a clothing store and a recreation center and day night. plants in Korea, Formosa and America, assemble the product in a plant on the Mexican side of the border and sell the goods in the United States," Abel said. "Patriotism or concern for the American worker seldom interferes with their philosophy of 'anything for a buck' Abel said in a speech Monday. The International Union of Electrical, Radio Machine Workers, representing one of the hardest hit fields, says some American businesses, contrary to a public impression that it is suffering from foreign competition, is actually supporting the importation move. "In the period 1960-70 the U.S.

electrical-electronics industry invested $2.5 billion in new plants and equipment in Appointed by the local board of education in May to study the program and make suggestions about its future, the committee was formed in the midst an awful beating in the north ern part of the state these last of a bitter controversy over the in a rural Council Bluffs home owned by Merryman and equipped with a ticker tape to manner and methods used in teaching the course here. The 24-member panel with a few exceptions strongly endorsed the pro gram. The role of the program, the majority report says, "is to provide factual information about, and a forum for, objective discussions of topics re foreign countries," IUE says. "At the same time, U.S. licenses and patents have been leased to foreign manufacturers in exchange for handsome royalties.

three weeks." Farms "Pounded Down" "In that area between Elma and Alta Vipta they have those farms pounded right down into the ground about now," said Maricle. "They took an awful hail storm on the twenty-fourth of June and then it hit their area again last night," he said. County extension directors in Howard, Mitchell, Chickasaw and Fayette Counties estimated Tuesday that 130 to 150 farms in those four counties were damaged in the Monday night storm. give sports results. Federal officials here explained that the gambling charges stem from alleged violations of federal law prohibiting interstate use of telephones and travel for gambling purposes.

Federal officials said gambling operations violate federal law if five or more persons are involved in the operation, if gambling operations are in violation of the state law and if lated to human sexuality, family relationships and the understanding of one's self and others." The majority reported it felt the sex education program was meeting that responsibility. either of the two following con ditions exist: the operations ex These patents, in many instances, were researched and developed with U.S. government funds." Among the U.S. firms listed by the IUE as locating in such places as Formosa, Singapore, Hong Kong, South Korea, Mexico and South America are General Electric, West-inghouse, RCA, Sylvania, Zenith, Emerson, Philco, Admiral, Singer Sewing Machine, and General Instrument. The top floor of Anamosa Community Hospital's two-story medical and surgical patients' wing lies exposed after Monday night winds ripped away the roof.

Witnesses said they first noticed a roaring noise and then the roof was blown away and rain began pouring in. Working in ankle-deep water, the hospital staff, city firemen, police and volunteers moved the hospital's 25 patients to safety. The interior of the 36-bed hospital sustained extensive water damage. The directors said thousands of acres of corn were either ist for more than 30 days or the operations conduct a busi ness of more than $2,000 a day flattened by winds or pummeled The tax evasion charges water when rain poured into The majority also approved of the program's use of con-troversial "human resources." A smoldering controversy over the program flared in March, when it was disclosed that homosexuals were brought into an eighth grade classroom discussion. Several minority reports were Award Rocket Engine Contract $500,000 damage to buildings and crops.

Fayette was virtually cut off from the outside world and Spain Tries English For SportsTitle BUENOS AIRES, ARGEN the roofless hospital. In northeast Iowa, Robert D. Cole of Cresco, Howard County by hail. Dozens of head of livestock were killed, they said. Fortunately, only about a dozen persons were injured and no one was seriously hurt.

Hospital Roof extension director, estimated 25 WASHINGTON, D.C. (AP) downed trees and debris farms suffered "major" dam The space agency said Tuesday against David Merryman, officials continued, stem from a violation of a federal law requiring gamblers to buy a stamp from the U.S. Treasury office. Must Report Once the stamp is bought, a gambler must report all wagers he accepts to the Internal Rev Corns in, Call or Write for information TINA (AP) Adoption of the English word "manager" may be permissible in sports be filed, including one which blocked most streets. Huge trees were uprooted, windows blown out, roofs ripped off and called for the program to be Vli IHUiMiI'i age and four farms were "leveled." He said damage to crops and farm buildings would probably run about $1.5 million in Howard County.

offered on an elective basis. cause Spanish has no precise several mobile homes dam equivalent for a sports man aged, authorities reported. Fayette County Sheriff Nor A separate storm Monday night ripped the roof off the medical and surgical patients' wing of the two-story Anamosa Community Hospital. Working in ankle-deep water, the hospital staff, firemen, po ager's function, the Argentine enue Service and pay a tax of 20 per cent of all bets that he Chickasaw Damage Fifty to 60 farms in Chick 1 JM. it has awarded the Rocketdyne Division of North American Rockwell Corp.

a $500 million contract for construction of a reusable space shuttle main engine. The contract calls for the design, development and delivery of 36 engines by 1978. The work will be performed at North American Rockwell's Canoga Park, plant. The National Aeronautics and Space Administration said the Interest Compounded Daily, Paid Quarterly Charges Officials Cheated on Trips PARIS, FRANCE (REUTER) A number of French government officials have been reprimanded for cheating on trips Academy of Letters conceded. But in business, it insisted, the world translates nicely to "ge-rente" or "administrator." handled, officials said.

Officials said the in asaw County were hit by the storm and 5,000 or more acres lice and volunteers moved the vestigation against the six men 25 patients in the hospital to man McCauley said it took him an hour to get into town when he went to survey damage Monday night. Emergency Food McCauley said Red Cross officials were attempting to get emergency food supplies to the of corn were flattened, said Gerald K. Anderson of New was conducted by the FBI, De safety. Some 15 patients were taken home and the other ten PENGUIN STUDY POOLE, ENGLAND (AP) overseas, lne Lourt ot Ac partment of Justice attorneys Hampton, county extension director. He said there is about counts, France's watchdog on were transferred to John and the U.S.

attorney's office A British expedition set out for for the Southern District of McDonald Hospital in Monti- spending, reports some unnamed officials entitled to trav $600,000 to $700,000 damage to IkdkM i program will be managed at farm buildings and $300,000 to the Galapagos Islands off the South American coast to study el first-class flew tourist class cello. Sister Mary Sebastian said a check Tuesday on the patients community. Volunteers from surrounding communities and students from tne space nignt tenter Huntsville, and will support space shuttle orbital flights beginning in 1978. instead and then collected the price difference from the airlines. 1 SAVINGS ind LOAN ASSOCIATION 5151282 0238 6th ind High Des Moines, lowt 50309 $400,000 damage to crops.

Melvin C. Wangsness of West Union, extension director for Fayette County, estimated 40 to the sex life and other activities of penguins living there, announced. indicated they all came through the ordeal without any ill ef Upper Iowa College, who were dismissed from classes, helped open clogged streets. 50 farms and 75 to 90 square miles of corn suffered tornado Seventeen dairy cows were damage. He estimated damage killed when lightning struck a fects.

She said the hospital should be reopened in three days after a crew has finished work on a new roof. Sister Mary said the interior at $500,000 and said that is a dairy barn on the George Betz farm one mile west of May- "conservative figure. nard. In Mitchell County, the storm damaged about 15 farms and caused $300,000 to of the hospital and some hospital supplies were damaged by Iowa. Federal officials listed the following Council Bluffs addresses for the men: David Merryman, 18 Indian Hills Road; Floyd Kinart, 2709 Avenue Jack Marshall, 2713 Avenue Gary Price, 124 Happy Hollow Road, Don Miles, 319 N.

First St. The maximum penalty for charges against David Merryman is 15 ears in prison and a $40,000 fine for conducting the bookmaking operations, plus 80 years and a $160,000 fine for tax evasion. Maximum penalty for the charges filed against Marshall. Miles and Price is 10 years and a $30,000 fine, and Leslie Merryman faces a maximum penalty of five years and a $20,000 fine. Maximum penalty on the charge against Kinart is 15 years and a $40,000 fine.

One of the many stories to come out of the storm involves the Kenneth Fangman family who live near Elma. Fangman, who was unaware a tornado was approaching, called his insurance agent in Elma Monday Sf. Ansgar oEma Alta Vtoa) New Hampton Fayette evening. The sirens in Elma were wailing when the agent picked up the phone and told Fangman that the storm was Anamosa headed his way. Fangman ran outside, saw 'is' w- Cs I Des Moines ed his family to the The twister left only the foun- $4 MILLION IN AID dation of the Fangman home WELLINGTON, NEW ZEA and destroyed every building on the farmstead.

ir' nil minimi i ii urn mmm nffij "Bottled by the Pepsi-Cola Bottlerj of Iowa, under appointment from PepsiCo, New York, N.Y." LAND (AP) The New Zealand government has granted more than $4 million in aid to Niue and the Tokelau islands for a three-year period. Extension director Cole said Fangman credited the phone call with saving his family's lives..