Tyler Morning Telegraph from Tyler, Texas • 6

PIPKIN Continued From Page Tyler Morning Telegraph SATURDAY, APRIL 9, 1983 SeC. 1 vME A I shaid's 1972 felony conviction prevented him from filling- out applications and forms for banking regulatory agencies, testimony revealed. Pipkin resigned as Ranchlander president in June, 1982, and was replaced by Moon, who worked for him for four years. Moon testified earlier she left Houston partly be cause the mortgage business was bad. Pipkin said Shaid talked to him about setting up a bank erly worded.

Myclient may have defrauded a bank," Booth said, "but all the letters that make up the first seven counts (of mail fraud) were written after the scheme was executed." Booth said a Supreme Court decision ruled letters written after a fraudulent scheme has already occurred are not violations of the law. Moon said Friday morning she reported the bank's troubles to FBI agents last November because she was afraid Shaid would Wl her. in the Caribbean "to funnel money back and forth out of the country." Shaid said he owned a house in Nassau and planned to buy a $1 million villa in Acapulco, Pipkin said. Shortly after the Ranchlander closed because of insolvency, Pipkin said Shaid telephoned him and said, "I'm down here basking in the sun," but added he was running low on money. Pipkin said he didn't know from where Shaid called.

Pipkin testified he and Shaid bought a plane together, which they kept in Palestine. In November, Pipkin was one of eight shareholders in a broadcasting company granted a license to operate a UHF station on Channel 14, to be located about 11 miles east of Tyler. Pipkin was listed as a vice president with 7.29 percent interest. The company, Sunrise Broadcasting, merged with a second group, East Texas Broadcasting Company of Tn the third aav or anaia inai, mooi. Lake Palestine sat on 13 acres.

He owned five boats including a 50-foot yacht, two airplanes rthree Cadillac limousinesr a yellow Rolls Royce convertible and another $165,000 Rolls Royce. Moon said Shaid told her if the bank activity was uncovered, "He would take me to the Bahamas and we'd live on the beach." She said she knew little about banking but called i Shaid four or five times a day for directions. Shaid's attorney, David Booth, Longview, objected to the government's introduction of pictures of Shaid's home, termed "palatial" by Chief U.S. Eastern District Judge Wil: Ham Wayne Justice. "If this man lived in an igloo, hovel or teepee; it wouldn't make a bit of difference," Booth said, repeating his objection to evidence not directly a part of the government's' 19-count indictment alleging mail fraud and false statements to banks.

Justice let Moon testify about Shaid's possessions but barred the introduction of the photographs he said "could be inflammatory and prejudicial." Testimony was heard from a former bank president of the Stonewall bank in Corpus Christi, now Charter Bank Northwest, who said Shaid endorsed a $200,000 check to Dean, which cleared through International Bank in Brownsville. On Thursday, a Federal Deposit Insurance Corp. bank examiner testified $500,000 in checks drawn on the Ranchlander were made payable to Dean and Ludka's law firm. Also this morning, testimony was heard from former Ranchlander owner Doyle J. Todd, who sold 70 percent of the bank to Lynn Caruth Maree and said he understood Shaid was Maree's "financial consultant." i I I -JV I if Dallas.

now a waitress at a truckstop, said Shaid asked her to destroy Ranchlander bank records in November.l Moon said she drove to San Antonio Nov, 13 to talk to FBI agents "because I felt, if I destroyed these records, there would be no evidence be killed and everyone would think I took the mon- II ey. Mooii said she uncovered three quarters of a million dollars worth of fraudulent loans to Shaid not covered by collateral. Shaid told her she couldn't quit the bank because all the paperwork was in her name, she said. She related part of a conversation between herself, Shaid and attorneys Larry Ludka and Peter Dean, Shaid's partners in Central Texas Factors in which Ludka explained how money could be transferred out of the S. without taxes being paid.

AID TO THE INJURED Private citizens and emergency medical personnel attend to John Henry Gary, 826 W. Connelly, after he was involved in a two-car accident on South Broadway about 1:20 p.m. Friday. Gary, 82, remains in satisfactory condition at Tyler Medical Center Hospital. Gary's 1958 Volkswagen bus collided with a 1969 Cadillac, driven by Jeffery Elliott Surlet, as he was crossing Broadway from a private driveway.

(Staff Photo by Charles Saul) WMite SitSnn IHIaDpnimg IFdit RJw-TTsuX enDim Listed as president of Sunrise was Mrs, Susan K. Ludka of Brownsville, wife of Lawrence M. Ludka, a partner of Shaid's in Central Texas Factors Inc. Central Texas Fac-J tors was set up by Shaid, Moon, Ludka and Ludka's law partner, Peter W. Dean, who committed suicide in December.

Pipkin said he has known Shaid for 15 years and in 1979, Shaid lived with Lynn Caruth Maree in a trailer on Shaid's father's property in Palestine. Shaid, convicted of embezzlement in 1972, was released from prison pn parole June 6, 1978. He was arrested Nov. 29 Js in the Federal Building on a routine visit to his parole officer. Pipkin said Shaid told him after getting out of prison "he wanted to dot his i's and cross his t's." Pipkin said he signed the plea agreement with the government March 15.

Houston Mayor Eyes New, Classier Image Dean and Ludka closed their Brownsville law firm, Dean, Ludka, Harrison and Johnson, late last year and moved to the San Antonio area. Dean was found dead Dec. 21 at his father-in-law's ranch in Comal County. His death was ruled a suicide. Moon said Shaid's split-level home on the constitutional pay-as-, you-go constitutional provision by four-fifths vote.

"Some, legislators are bel-. lyaching over the fact our Jitate economy is caught in the" national recession and I've had to tell them that. Now, they want to-shoot the messenger," said Bullock. The comptroller said "if an Jiacimnt' Ex-SDieiriff Alters Mea To HimmoceBiut HOUSTON (AP) Long-necks, bucking bulls and urban cowboys have become outdated and it's time the White said. "I don't think you can really guess with ac" curacy what revenues will be.

Historically, there has been a 10 percent miss on the conservative side." White pointed out that Bullock says "as far as the sales tax the recovery is going to come in 1985 and not in 1984. No one can predict when it will come. "If he's right those numbers are right, if he is wrong then the numbers are wrong, White said. White responded to a Friday statement from Bullock that if White and lawmakers think the comptroller's estimates are too conservative the legislators can override AUSTIN (AP) Gov. Mark White thinks the Texas Legislature may be able to get through this session without a new tax bill.

"Hopefully we can," he "told a Friday news confer: ence, "possibly not." White said he thought it was too soon to jump at a tax bill now, "at least on the necessities of life. I think it-is important we do not jump to that conclusion until we have exhausted all alternatives." White repeated several times that he was not taking Comptroller Bob Bullock's revenue estimates for 1984-85 at face value. "Bullock will tell you that all he does is make a guess," White and some members want to gamble with our state Bayou City had a more so- finances, all they ve got to do phisticated image, says May or Kathy Whitmire. is throw the dice and override "I have reviewed the sentencing investigation report several times and I find it most inappropriate. This court is not bound by the plea bargain and I reject it," the judge said.

U.S. Attorney Dan Hedges said prosecutors now will have to decide whether to try to work out another agreement to let Parker enter a plea on a single count or whether to take the case to trial. "We've lost vital assistance in the investigation," Hedges said. "The sheriff has cooperated and there would be seyere limits on what we HOUSTON (AP) A former San Jacinto County sheriff accused of using water torture to get confessions and of operating a "marijuana trap" on a busy highway changed his plea to innocent Friday when a federal judge rejected a plea bargain. James C.

"Humpy" Parker, who had been sheriff since 1969, resigned last month and pleaded guilty in a plea bargain to an extortion charge and two federal civil rights violations. His attorneys withdrew the pleas after U.S. District Judge Gabrielle McDonald refused to approve the agreement; cities that has all the arts. I think we ought to capitalize on that and sell it as a world class city," Grosz says. Mrs.

Whitmire and her staff have already been spreading the word to start promoting Houston's "diversity." "The city of Houston is a city of diversity. We have world renowned contemporary architecture, as well as historical landmarks like the Battleship Texas," Mrs. Whitmire says. "We have a great ballet, as well as one of the largest rodeos, outstanding theater, opera, symphony and visual arts as well as the massive space center, the Astrodome and the medical center," she says. "Our Western heritage is an important facet of our im: age, but it is only one dimension of a city which has many unique features," says Mrs.

Whitmire. Many civic leaders agree a change is due. "I don't want to sell Houston as a cow town. Fort Worth does that and they do a good job, and that's probably what they are," says George Grosz, chairman of the board of the Greater Houston Convention Visitors Council. "But Houston is a cosmopolitan city, one of the few WEATHER Continued From Page 1 can use if we chose to go to trial." Parker's attorney, Tom Taylor, said his client would be willing to listen to any offers the government might provide.

"Mr. Parker voluntarily went to the government. Now we'll see what the govern; ment has to offer," he said. The civil rights violations carry a maximum penalty of 10 years in prison on each count and the extortion charge has a maximum penalty of 20 years in prison. Under terms of the rejected plea bargain, prosecutors agreed to recommend three-year prison terms for each of the civil rights violations, five years probation for the extortion count and a $15,000 fined.

The three-year terms were to have run concurrently tinder the agreement. Criminal charges alleged Parker used water torture on some prisoners to force confessions and operated a speed trap directed toward motor--ists who fit a certain Texas GOP Expected To Redo Upham Fuss the estimate." "We are not going to have any deficit spending in Texas," White told the news conference. "To the extent we have a problem here is a problem of reduced surpluses. We're going to recognize that and at the Same time recognize the need for essential services." White predicted that by the end of May "we will have drafted a budget within the revenue estimate of the comptroller, and I suspect we will have performed our constitutional functions." The governor also said: He was "delighted" over Senate approval of a Public Utility Commission overhaul bill that "gave us every major change we asked for except election'of the commission." He said he would continue to lobby for an elected commission as the measure moves through the House. His plan for financing state highway construction through bonds was ready for inspection by legislators.

He said he had no volunteers to carry the bills "but I think as time goes on more and more In East Texs Friday, a few showers developed in consequence of the weakening disturbance. The nearest rain to Tyler was 15 miles southeast around 10:30 a.m. A weak surface low-pressure trough did form along the Texas coast Friday afternoon. This brought northwestardly winds which circulated cooler and drier air into East Texas. On Saturday, the retreating upper-air storm will pull out the last of the cloudiness.

A return of southerly winds on Sunday, as the polar air mass over the region all week moves eastward, will produce rapid warming. The temperature in downtown Tyler rose from a morning low of 47 to a mid-day high of 58, with minimum, relative humidities in the high 40 percent range. Winds were light and northerly throughout the day, with a peak gust of 21 mph at 3:10 p.m. The forecast for Tylr and vicinity calls for decreasing clouds and cool Saturday, winds light and northwesterly, high near 60, sunny; Saturday night: fair and cool, low near 40, winds light and variable; Sunday: sunny and warmer, high lower 70s. Rusk County Youths Stage Stoek Projects Bj A IP IIV Continued From Pa8e 1 cause they say he is, more loyal to Vice President George Bush.

Bush said in an Austin news conference Thursday that Upham should remain as state chairman and endorsed the Mineral Wells oilman as "an excellent chairman." On March 17 Upham said in a statement that he had no intention of resigning as state chairman and would serve until the end of his term in September 1984. Earlier 37 members of the state committee signed a peti-. tion asking him to resign saying they want "a Reagan man." Upham vo.luntered to quit on a condition that a substantial majority of the committee would support former Secretary of State George Strake, who was defeated in a 1982 race for lieutenant governor. In his March 17 statement, Upham said the draft Strake movement had failed. MIDLAND (AP) Texas Republican leaders were expected to rehash Saturday their long controversy over the status of State GOP Chairman Chet Upham.

The agenda of the regular meeting of the State Republican Executive Committee meeting called for adoption of a budget for the remainder of 1983 and ratification of the state chairman's appointments to the state committee. Both items involved Up-ham's control over the 62-member committee and the state party, Upham, who became state chairman in 1979 at the urging of newly elected Gov. Bill Clements, has been the center of controversy since Clements was defeated last November. One faction of the party, mostly old timers involved in the original presidential campaigns of Ronald Reagan, want Upham replaced be Center by Rusk County commissioners. The county paid $50,000 to enlarge the steel building by 20,000 square feet, doubling the size.

"Last year we were only allowed enough room for 16 inches for each exhibit," Jordan said. "But this year we allow three feet." Jordan said there had been a large number of lamb entries and hogs, making those divisions stronger this year. Also a strong division this year was the shop projects, in which 79 blue ribbons were awarded out of 192 entries. Grand champion winner in the all-metal shop projects division was Tim Hoover, Mount Enterprise, with a box scraper. Grand champion winner in the Wood and metal division went to Ken Stapp, Henderson, for a tandem-axle trailer.

Grand champion winnner in the all-wood division went toTtaymond Lee, Henderson, for a picnic table. The youth project show features tha agricultural projects of seven high schools Future Farmers of America chapters and Rusk County 4-H Club. By WAYNE ROPER East Texas Editor HENDERSON For two days, more than 450 Rusk County students have been going through the paces of "show and tell" with their livestock and farm projects. Saturday at the Rusk County Show Barn in Henderson, the real event will take place with the auction of the blue ribbon livestock and projects. Show co-chairman Danny Jordan called this year's Rusk County Youth Project Show one of the best attended and largest.

By the end of Saturday, 5,000 Rusk County residents are expected to attend the show. Jordan said there has been 906 entries in the show with nearly $100,000 expected to be raised through the auction. Top shop projects will be auctioned at; 1:30 p.m. with the Sale of more than 20 each of steers, barrows, lambs, capons, broilers and rabbits to take place at 6 p.m. Jordan said the large number of entries was made possible this year largely by the Extension of the Agricultural space walk by mission specialists Story Musgrave and Don Peterson.

It was marred only by problems with the Tracking and Data Relay Satellite, which failed to climb to its proper orbit after being released from the shuttle's cargo bay on launch day, Monday. NASA is confident the satellite has enough fuel on board to reach the proper circular altitude. On Challenger's last full day in space, there were a few nuisances so minor they could hardly be called problems. Alarms indicated a too-high flow of nitrogen and oxygen into the cabin; Bobko reported the failure of a wireless microphone on his headset; and the astronauts showed pictures of a television camera mount that had worked loose. At least 200,000 shuttle enthusiasts are expected to be on hand at the Edwards strip to welcome the Challenger back.

In November, the fifth landing of the Columbia drew a scant 45,000 spectators, but a NASA spokeswoman said "that one was at 6:30 on a Tuesday morning. There's always more people on the first shuttle. "The most important thing to us is that this machine acts like it was supposed to act," Coen said. Most of the day in space was taken up with housekeeping. "It's hard to keep the place neat," Weitz said.

"It's kind of like taking a vacation in a cabin somewhere forfour-or five days. About the fifth day when you're ready to move you realize how much stuff has been out all over." He groused that' the shuttle equipment lockers were packed too full on the ground, which made repacking them in-weightlessness even more difficult. "You should really not pack stuff they have to cram in, (that) barely fit in a locker, he said. "They're a real bear to get back in. That's the biggest problem we've had.

We've got them reasonably back in the places they came from." The five-day mission chalked up a major success in Thursday's 3-hour, 47-minute Texas Dems Expected To OR Delegate Plans members of the Legislature will be looking at that as an alternative." He said his proposal calls for a 15-year bond program that would yield about $700 million immediately for new highway construction. Schedule Set For Shuttle CAPE CANAVERAL, Fla. (AP) Here are highlights from the planned timeline for Saturday, the last day of the space shuttle Challenger's inaugural flight, (all times CST): Saturday 5 a.m. Wakeup. 6:30 a.m.

Start stowing equipment for landing. 7 a.m. Meal. 8:37 a.m. Close cargo doors.

11:52 p.m. Fire braking rockets to start descent. 12:53 p.m. Landing at Edwards Air Force Base, Calif. Ex-Solon Heatly To Be Honored VERNON (AP) Former state representative W.S.

weekends. OU GET Continued From Page 1 VENUE Continued From Page 1 presidential candidates according to instructions from the state convention. On orders from the national party, there will be 31 unpledged party and elected officials, of which about half witll be Texas senators and congressmen selected by the Democratic caucus in Washington. i There will be 15 other party and elected official delegates pledged to particular presidential candidates. I The remaining 38 delegates will be selected at the 1984 June state convention to get the equal division of men and women.1 At the same March 5 meeting the SDEC also approved an affirmative action plan for HOUSTON (AP) Texas Democratic leaders are expected to finally approve Saturday its plans for selecting delegates to the 1984 national convention where the Democratic presidential nominee will be chosen.

The selection of the 200 Texas delegates was tentatively approved by the State Democratic h. Committee on March 5 and has been available for public review since then. If finally approved by the SDEC the plan goes to the Democratic National Committee. The delegation selection plan calls for 116 delegates to be selected from senatorial districts according to the districts' vote for Democratic manager Layton Cummings, who was critically wounded in the spree. Culverhoue remained withdrawn and uncommunicative throughout the proceedings, acknowledging none of the testimony.

1 Defense attorney Joe Shumate said after the trial he was uncertain what the defense will be but that Culverhouse had filed a proper legal notice in the insanity plea. Shumate said he was uncertain whether he would adhere to the whole motion, which called for insanity and self-defense to avoid kidnapping. The 31-year-old attorney said Culverhouse has not assist- said Weicker. Reagan has vowed repeatedly to veto any legislation that changes the final installment of his tax cut program, although most of the assaults so far have come from Democrats. House Speaker Thomas P.

O'Neill has indicated the House will vote later this year on either capping or repealing the tax cut. In all, the proposal outlined by the five Senate Republicans would reduce Reagan's proposed budget deficits by more than $209 billion over the next five years, leaving red ink ofJ103 billion in 1988. The elements of the package include: Repealing the 10 percent personal income tax cut that takes effect this year, as well as tax "indexing," a provision that will reduce tax rates beginning in 1985 to adjust for inflation. These and other changes, including the recently enacted increases in Social Security taxes, would raise revenues by $337 billion over three years, far higher than Reagan's own proposal. Hold the defense spending increase in 1984 to 5 percent after inflation, as the Budget Committee has already recommended, and cut $93.3 billion from Reagan's proposed buildup over five years.

-Restore $7.1 billion for the 1984 fiscal year for education, healthy energy, federal pay and other social programs. Over five years, $58.2 billion would be added to these programs. Provide a deficit of $149 billion for the 1984 fiscal year and $103 billion in 1988. J) "Bill" Heatly will be honored ed him in preparing the case talked with him. by two ceremonies during a "I'm optimistic that he will eventually communicate with "Bill Heatly Day" celebra me, Shumate said, i don know whether he cannot communicate or will not but the fact remains that he has not spoken to me.

"i tion here Saturday, organiz ers said. the state party saying 16. per candidates in the 1980 presi- cent of the national convene DOGWOOD dential and the 1982 guberna- tion delegates would 1 be torial elections. The delegates blacks and 21. percent will be pledged to vote for Hispanics.

Continued From Page 1 0 i 110 E. 8th 592-4532 tion and owner of Charles Downey Enterprises in Quitman, will be master of ceremonies for the coronation pageant. On Sunday, the annual fiesta will sponsor an arts and crafts fair at the Quitman Elementary School. A beef stew prepared by Sam White will be served at noon for $2 per bowl. Other refreshments will be' provided by the Quitman Garden Club.

"The market provides a variety of interesting exhibits for you to view and purchase, plus a nice Sunday lunch," Larry Coggins! chairman of this year's arts and crafts, fair said. For most visitors, the highlight of the Dog wood Fiesta will be viewing the white-blossomed trees along' a scenic automobile and footpath trail east of Brochures distributed by the Quitman Scenic Association include an easy-to-follow automobile map. The color brochures are available at the Quitman Chamber of Commerce office and other business locations throughout town. The route is simple and marked with special dogwood trail signs, chamber of commerce officials said. The automobile trail starts at the Wood County Courthouse and goes east on Goode Street along Highway 154 for 3.5 miles to the Lake Lydia Road, where motorists turn right and drive to a nearby foot path.

The dogwood trails leads around Lake Lydia, giving visitors a beautiful view of the lake as well as the dogwoods and other spring blossoms which border the trees. One of the heaviest concentrations of dogwoods can be found in the piney woods just past Lake Lydia before reaching the Pine Tree Farm. ENERGETIC, CLEAN-CUT PERSON To Train For Sale Position At Kelley's Furniture Outlet Will be required to assist in loading delivery of customer purchases. Experience Not Required If You Have Ability To Learn. Apply In Person, Van Kelley Between The Hours of 10 A.M.

-2 P.M. Saturday. WELCOMES TO OUR STAFF TRACEY HUMPHREY I Specializing in Precision Haircuts Perms 5 off your next Perm $2 off Haircut Blowdry offer'good wittvcoupon for 1 month KEUEY'S FURNITURE, 400 N. BROADWAY, TYLER, TEXAS i.