Detroit Free Press from Detroit, Michigan • Page 1

II I 11 rn-Jll lW I 1MI p- Parrish hurt in Tiger loss -H to Montreal Details on Page 1D metro Windy, snow High 35, low 20 Details on Page 13D 20c 9 1980, Detroit Free Press Inc. SUFFER TERMS ARE LIKELY Volume 149, Number 314 ON GUARD FOR 148 YEARS Thursday, March 13, 1980 Oil Saying 'charge if could get tougher Write Action Line, Box 881, Detroit, Mich. 48231. Or dial 222-6464 from 8:30 a.m. to 4:30 p.m.

Monday-Friday. High-priced advice Last October I sent $125 to the American Entrepreneurs Association In Los Angeles for a three-year membership. This firm gives business advice and information on a continuing basis to someone like myself who is setting up a new business. When the first packet of literature came, I looked it over and decided to return it for a refund under the money-back guarantee. Since then, I've sent three letters and still haven't gotten a check.

Can you get M.B., Gobies You'll be back in business shortly with $125 in the till. We cleared problem up by calling exec at American Entrepre Possible credit controls: A rise in minimum monthly payments, now about 10. A cut in the amount of credit allowed. Elimination of the interest-free period. From Washington Star, AP and UPI WASHINGTON President Carter is on the verge of imposing controls on credit cards and possibly on personal loans as well, government officials said Wednesday.

At the same time, a government document revealed that this year's voluntary wage-price guidelines may allow businesses to raise prices at a significantly higher rate than in 1979, which would put a further pinch on consumers. An official Involved in the review of proposals for credit controls said there was "little question" controls would be requested by the president and Implemented by the Federal Reserve Board. The extension of credit restrictions to personal loans could double the impact of the controls. As of the end of January, about $60 billion was outstanding in personal loans, labor leaders, which also could force the government to allow higher price increases and, thus, create more inflation. SHOULD CARTER restrict credit-card buying, he may make Americans pay their bills faster and could cut their available credit in half.

Such restrictions could make it difficult and costly to charge a $500 hotel bill for a vacation even with money at home to pay for it, some opponents to controls say. The administration already has ruled out restricting mortgage or auto loans because those segments of the economy already are depressed severely. This leaves revolving credit or credit cards, including bank and store credit cards, See CREDIT, Page 15A according to an estimate by the Fed. On the same date, just over $54 billion was outstanding in credit card or revolving credit balances. Personal loans could be restricted by limiting their amount or by forcing quick repayment.

Credit cards could be restricted by imposing government limits on the maximum amount of credit and by raising required minimum monthly payments. Discussion of credit controls comes as the Carter administration works to curb rampant inflation by adjusting federal spending and taking other steps. At the same time, the administration is considering a higher pay guideline to placate More on 15A action line: Ward's drivers don't need chauffeur's licenses sound off: is UN best hope for solution to hostage problem? neurs, wno tow us mix-up in firm's customer service department was reason for delay in making refund. When you sent literature back, you first asked for one-year, $35 membership and partial refund. Later you canceled completely.

Now that American knows what we know, you're getting what you want. U-M'Axes ooteal avers Elathloen QTicilly credit for all? Equal Dickey In theory, the Equal Credit Opportunity Act of 1974 opened the door for women to obtain credit on the same footing as men. Kathleen O'Reilly, a Dearborn lawyer who heads the Washington-based Consumer Federation of America, charges that the law In practice does not conform to the theory. Ms. O'Reil'y, who is considering running for Congress ny tf I I I mm mm foS 1 1 1 i Virgil Old and the new Drugs cited in dismissals of top gridders By CHARLIE VINCENT and MICK McCABE Free Press Sports Writers ANN ARBOR Five University of Michigan football players, including starting quarterback B.J.

Dickey and linebacker Ben Needham, have been kicked off the team by head coach Bo Schembechler for training violations believed to involve drugs. Kicker Bryan Virgil of Buchanan, linebacker Mike Kligis of Lombard, 111., and offensive tackle Dan Kwiatkowski, who played at Center Line St. Clement, were also kicked off the team for the violations. Several other players, including starting noseguard Mike Trgovac of Austin-town, Ohio, were placed on probation by Schembechler but will remain on the team. The action came after Schembechler met with the team's seniors-to-be on Monday.

SOURCES TOLD the Free Press that Schembechler acted in the wake of an Incident involving drugs. However, they gave conflicting accounts about what drugs may have been involved. Virgil, however, sajd he quit the football team of his own volition. "I lust decided not to play out my fifth said Virgil, who handled nearly all U-M's kicking last fall. "I'm in electrical engineering and I fell behind in my credits.

I can't speak for the other guys, but this is my decision." Schembechler refused to meet with reporters but issued a statement, saying: "It's been my policy since I've been a head coach that all internal matters concerning the football team are private matters." U-M athletic director Don Canham said he supported Schembechler's actions. "They violated rules we have for football players and other athletes," Canham said. "I don't think we'll ever say more than that They've obviously made mistakes. I've seen the evidence. I talked with Bo three days ago, and he told me what the situation was, and I agreed with See FOOTBALL, Page 15A The Boy Scouts and Cub Scouts showed off new duds, photo right, Wednesday, designed by none other than American fashion-maker Oscar de la Renta.

It's the first uniform change for them since 1922 (old uniforms are above) and the change is slight: new baseball-type caps, cargo pockets, khaki shirts. De la Renta designed the uniforms gratis, saying: "It makes me wish I was a boy scout myself." The new uniforms will be available in August for about $38. Kligis Gacy found guilty of 33 deaths i Kwiatkowski From AP, UPI and Chicago Tribune CHICAGO John W. Gacy whom prosecutors called the "worst murderer" in the nation's history, was found guilty Wednesday in the sex killings of 33 boys and young men. The jury of seven men and five women deliberated only one hour and 50 minutes before finding Gacy guilty on all counts.

As the verdicts were read, the 37-year-old former building contractor sat without expression, staring straight ahead. THE JURY rejected defense arguments that Gacy was insane during his seven-year murder spree. Gacy's killings, which he concealed even from his wife, ended in late December 1978 with the discovery of dozens of bodies buried in the fetid, worm-infested crawl space under this suburban house. Judge Louis B. Garripo of Cook County Circuit Court told the jurors to return Thursday afternoon for a hearing on whether to impose the death penalty.

Gacy winked and waved at a bailiff as he left the courtroom. THE TRIAL lasted five weeks. Jurors heard testimony from 101 witnesses, includ-' Ing Gacy's mother and younger sister. The defense claimed Gacy was a "Dr. Jekyll and Mr.

Hyde" whose evil personality compelled him to kill. But the prosecution said he was a clever, calculating killer who lured a string of young boys to his home with promises of drugs, liquor or construction jobs, then engaged See GACY, Page 15A I few Gacy: guilty Needham from a Detroit area district, blames the sex bias on. the Federal Reserve Board, which writes the rules concerning consumer credit. By TOM HUNDLEY Free Press Staff Writer Why hasn't the Equal Credit Act been effective in eliminating discrimination? A Gradually, progress was being made, but suddenly the clock was turned back when the Federal Reserve Board threw open to public comment some questions related to the basics at least we assumed they were basics as to what the law does prohibit and does not prohibit. Such as? A The real basic issue is whether or not the law assures credit applicants that income they receive on a' regular basis from such secondary sources as a part-time job, a pension, Social Security, child support or alimony will be given equal weight when a creditor calculates the applicant's income in order to decide whether or not that person is entitled to credit.

Are there creditors who discriminate on this basis? A It was a national retailer's refusal to give credit for alimony and child support that triggered this whole thing. Was that Sears? A Yes. Why would a creditor want to deny someone credit on this basis? A I think that the routine answer is that it's seen as arbitrary the husband might cut off the child support or the alimony, or the pension might dry up. It's arbitrary and discriminatory. And the Federal Reserve Board has gone along with these practices? A Yes, and the offensive aspect is that just when the Federal Trade Commission was getting ready to slap a fine on Sears for doing this, the Federal Reserve Board put the brakes on by opening the question to public comment.

This put every creditor in the nation on notice that he could get away with the same thing that Sears was doing. Who gets hurt most? A Women. Senior citizens. Racial minorities. The groups that are the least organized and have the least political muscle with the Federal Reserve Board The Federal Reserve Board thinks it can get away with sticking it to these people.

What Is your group trying to do about the situation? A Last spring, the minute this happened, we started, urging people to write to the Federal Reserve Board. We are also trying to bring the problem to the attention of Congress. It will take a lot of pressure to get the, Federal Reserve Board to come out with a favorable ruling. You're thinking about running for Congress. How would that affect your viability a a consumer advocate? A I'm still weeks away from making a decision on (running) But I think my viability as a candidate is Increased by my role as a consumer advocate.

Anderson is new woe for Kennedy By SAUL FRIEDMAN 3 insido today ANN LANDERS 2C MOVIE GUIDE 12-13D BUSINESS NEWS 4-8B NAMES FACES 14D CAMERA 9-1 1B OBITUARIES 14B CLASSIFIED 9-15C OPINION 9A COMICS 11-13P STOCK MARKETS 5-8B CROSSWORD PUZZLE 11P TELEVISION 8C DEATH NOTICES 9C EDITORIALS 8A Ji1plftf1feK ENTERTAINMENT 6-7C Al ffcpf FEATURE PAGE 13B (M1 HOROSCOPE 11D WEDNESDAY 730. Free Press Washington Staff CHICAGO Sen. Edward M. Kennedy, has a surprising new adversary in next Tuesday's Democratic presidential primary In Illinois Republican John Anderson. As a result, Kennedy's troops have turned some of their guns from President Carter and are tak-Ine not shots at the Illinois congressman.

While they are in different primaries, Anderson, with the advantage of a home I PRISONS BULGING State forced to OK paroles By SUSAN BROWN Free Press Staff Writer Michigan's prison system is so overcrowded that some Inmates who should be kept in prison are instead being paroled because there is not enough prison space to hold them, some parole officers say. Also, the officers say some felons caught violating their paroles are not returned to prison, simply for lack of room. And conditions are so crowded that prison officials say there has been an Increase In serious prison violence including eight homicides in two years at Jackson Prison and there Is the serious threat of prison riots. For the fifth straight year the state's prisons have nearly 2,000 more inmates than they were designed to hold, and some parole officers say the result is "they're spinning the revolving door faster and faster." For example, Jackson Prison has 688 inmates over capacity. To relieve the strain, Department of Corrections officials are under pressure to move prisoners out as quickly as possible in many cases, by paroling prisoners or placing them in halfway houses.

"Parole officers have their back to the wall right now," said one Detroit area officer. "The prison system is flooding the streets with people who continue doing the same kind of thing See PRISON, Page 15A state campaign and a primary open to Inripnonripnts Anri rrnconvpr npmrtrrnts IV rSTKf (If Is threatening to attract thousands of anti-Carter, liberal Democrats who might otherwise go to Kennedy. IN ADDITION, Anderson appears to he rtrnulno mnnpv nnri vrtlnntppre nurnv Rise in Detroit crime aided by mild winter By JACK KRESNAK Free Press Staff Writer The warm winter we've had around Detroit until recently was not a blessing in disguise, say Detroit police officials. The mild weather has helped give the city its biggest increase in crime in three years, police say. Executive Deputy Chief James Bannon said the weather combined with auto Industry layoffs and a general downturn in the economy have contributed to a nine percent increase in crime for Detroit in January.

Bannon said harsh winters tend to drive younger, more Impulsive criminals indoors. This year the weather has been good and it's been easier for young criminals to get around, he said. BURGLARIES WERE UP 16 percent and larcenies up more See CRIME, Page 15A 0 from the battered Kennedy campaign. Anderson Most polls here find Anderson ahead of his Republican competitors, but only because he has the help of liberal and moderate voters in largely Democratic and independent areas. Thus, just as Anderson has cut into the ability of Republican moderate George Bush to duel conservative Ronald Reagan, so See KENNEDY, Page 12A A showdown nears in Illinois.

Page 7 A. Kennedy pursues votes in Michigan. Page 16A. i.