Northwest Arkansas Times from Fayetteville, Arkansas on September 12, 1974 · Page 16
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September 12, 1974

Northwest Arkansas Times from Fayetteville, Arkansas · Page 16

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Fayetteville, Arkansas
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Thursday, September 12, 1974
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Page 16
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Nerthwut Arkonw. TIMES, Thurs], Sept. 12, 1974 FAVKTTCVILLI, ARKANSAS ^Earmarking Can Circumvent Disclosure Law WASHINGTON (AP) -- A A donor earmarks money by Democratic campaign committee was used to funnel contributions to a number of Senate candidates in 1972 in a pass-through arrangement that concealed lh« real sources of the money, court records and firiancial reports disclose. '.-/The Democratic Senatorial Campaign Committee in one case secretly passed along labor union donations to Sen. Thomas J. Melntyre, D-N.H., -despite a slate law forbidding such contributions, the recorc shows. :'A Melntyre spokesman conceded that union donations had been laundered Ihrough the senatorial committee to avoid bad publicity during the campaign, but said the arrangement was legal. . - T h e evidence also indicates that the practice of secret car- marking of funds, the method Used to relay Mclnlyre's money, was widespread and may have involved a second Democratic committee and two Republican ccmmiltees as well. » T h e practice, now forbidden, ^ffecaivety circumvented t h e · federal campaign disclosure law that required identification of all major campaign donors after April 7, 1972. EVIDENCE GATHERED Evidence of earmarking was gathered from court records, public reports of campaign finances, Watergate tiles and an earmarked gifl these public re giving it to a committee with instructions to pass it along to a specific candidate. The middleman committee reports to the public that it received mon ey from a number of donors and supported a number of can didates. The ' ' shows up in ports as another donation from the middleman committee to the candidate. The public kept ignorant of Ihe true donor 1973 LAW FORBIDS The practice was legally questionable even before il wa explicitly banned. The fcdcra campaign law that took effec n 1972 . forbids giving politica donations in the name of any one but the true donor. A number of labor unions ap parently believed thai this law requited them to report mone ^independent Investigation. Associated Press which · they earmarked to Mclnlyre. They noted in Ihei public reports that sums the gave to the Democratic sena lorial committee were for him. In some other cases, the un i o n s reported giving t Melntyre directly, but somi body routed the gifts Ihroug the senatorial committee. Othe unions apparently gave throug the committee cret. In all entirely cases, in s neithi The Melntyre case is [he best 'documented so far. Up to $41,000 from unions and other sources was passed Ihrough the senatorial commiltee. ·Other examples: ! --Sen. John Sparkman, chairman of the banking committee, appears to have received up to $24,000 in donations from bankers, stockbrokers, and others including the chairman of Lockheed Corp., which benefited from a government-guaranteed loan approved by Sparkman's committee. A spokesman said Sparkman could not recall receiving such secret donations. ' --More thousands, mainly (rom wealthy Texans, went into the losing Senate campaign of Democrat Barefoot Sanders .of who ackiowledged re- Mclntyre nor the Democrat! committee reported that unio money was going inlo his cam paign. - A Melntyre spokesman, wl asked not to be name.d said Hi donations were hidden in th way because New Hampshir state law forbids such union d nations. The spokesman sa; lawyers had advised Mclntyi that the law is unconstitu'tion and therefore can 1 not" be' e forced, but that Mclntyi feared to risk a court lest bu cause it would mean bad pul licity. The New Hampshire la against donations 'from grou affiliated \yilh unions or corp rations-now has been declare, invalid b y ' ' t h e Justice Depar ment, which said recently th federal laws have taken prece enee. However, during the cam ceiving some money in this manner. He said he didn't ask for the money, but sees nothing wrong with it. -- U n i o n money filtered through the Democralie senatorial committee for Sam Nunn, now a senator from Georgia, and former Rep. Hay Blanton of Tennessee, who was defeated In 'a try for the Senate. . AMPI BEQUEST REFUSED, , ' --The nation's largest dairy- farmer cooperative, Associated Milk Producers Inc., wrote letters directing that $7,000 be relayed to Sen. Walter Mondale, D-Minn. A campaign official said this request was refused. --The milk producers also wrote Sen. Robert Dole of Kansas, who was then Republican national chairman, asking that $2.500 to be turned over lo Sen. Robert Griffin, R-Mich., the party's Senate whip. And in another letter, the milk producers directed that another $2,500 be given by a Democratic com- ·mittee to Rep. Neal Smith, D- lowa. Smith and a Griffin spokesman said they had no knowledge ot such transactions. ' --The Senate Watergate com- miltee concluded that two Republican committees disguised $200,000 from the milk producers for former President Richard M. Nixon's campaign. "· Secret earmarking has been : banned by the Clerk of the House and the Secretary of the 'Senate. The ban, however, Came after they were sued last year by the self-styled citizen's lobby Common Cause. · - The practice works Ihis wasr " paign Mclnlyre's campait treasurer returned at least on donation and said that acecp jng it would be illegal. Suit Filed Against YA Flying Instructors LITTLE ROCK (AP) - The attorney general's ottics said Wednesday that the stale Aero nautics Division, not the Educa- LITTLE ROCK (AP) -- An-i|ion Department, Is responsible ·cis- Bern-den ot Little Rock ioi . ii ccn sing private flying in eel suit here Wednesday alleg- g that while he" was an cm- oye al the Veterans Adminis- ·alion Hosilal at North Little* pck he saw VA employes bru- AT YOUR he patients. Hearten, an struelors. Education Commissioner A. W. Ford had asked an opinion clarifying the point. unsuccessful andidalc tor the Republican ubernatorial nomination, said e had seen patients beaten. He Iso charged that VA officials iscriminaled against black VA mployes. He asked $50,000 damages rom local VA officials for al eging slandering him. Bearden Iso sought $50,000 from the VA mployes union for failing ive him the protection romised. Ford wanted lo know 1[ the Education Board should license or require licensing of instructors who teach flying in public schools as credit toward certification by the Federal Aeronautics Administration but who are not faculty members. In addition, Bearden asked $25,000 damages from the Veterans Administration for al legit edly failing to investigate his charges. STERLIN STORE EVELYN HIUS SHOPPING CENTER Evelyn Hills Shopping Cantor CHAIN SAW SALE! McCulloch Chain Saws MIN-MAC 30 MIN-MAC 35 14" Bar POWER MAC 6 $ 159 95 14" Bar · W PRO-MAC 55 HELP US CELEBRATE 52 YEARS OF SERVICE BY SAVING ALL MONTH. * ANNIVERSARY SPECIALS · LAY-A-WAY N O W . . . . 20% Holds Your Selection For Christmas from our Toy Departments 16" Bar SAW CHAIN SPECIAL FOR YOUR PRESENT CHAIN SAW Reg. 21.95 Foam Rubbed Fitted BED PILLOWS Compare at $2.33 Each $153 Each Plumply Filled, Mothproof, Mildew Proof, Non Alter genie For Saws With Only 16" Bars $ 15 95 List $22.95 For Saws With 20" Bars Only $' List $26.95 CLEARANCE am FASHIONS OVERSTOCK CLEARANCE OF CURRENT MERCHANDISE TRANSITIONAL STYLES -- SCHOOL CLOTHES -- STAPLES ] Protest Move P LITTLE ROCK (AP) -- One hundred members and supporters of Arkansas Community Organizations for Reform Now ·say they will deduct $i each from their electric bills and send Ihe money to the state Public Service Commission to protest an increase in electric 'rates. A C O R N olficials said Wednesday that the $100 would ·be senl to protest a 1935 law that allowed Arkansas Power Light Co. to start collecting higher electric rates under bond before the PSC held a public hearing. ; APL started charging new rales Sept. 1 to bring the utility about $36 million more revenue annually. "Last month, APL Presi Bent Reeves Ritchie said that 'The buck always stops with t h e customer," 1 Charles Rhodes, an ACORN member, said. "ACORN believes that il's time the customer got a chance to pass the buck." Rhodes said if PSC officials decide to s e n d . Ihe $100 on to APL no penalty f o r incomplete payment would be Charged, but Rhodes said he was ready to pay a penalty on his own bill, if required. Rhodes said checks had been' received from labor officials, a Little Rock city director, three state legislators and chairmen of bolh the Republican and Democratic parlies in Pulaski Counly. · Rhodes idenlified Ihe legislators as Reps. 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