state/nation/world The Daily Collegial Garcia resigns as Salvadoran defense minister By ARTHUR ALLEN Associated Press Writer SAN SALVADOR, El Salvador Gen. Jose Guillermo Garcia resigned yesterday as de fense minister, ending a bitter power struggle with some commanders who accused him of bungling the war against left-wing guerrillas. Garcia, 49, summoned reporters as rumors circulated that he would step down and told them: "I always thought that one day I would hold a news conference for you with only one question asked and one answer given. This question has an answer: Yes. I believe you understand what I'm referring to." In the latest armed forces feud, the air force commander, Col. Juan Rafael Bustillo, threat ened last week to refuse. Defense Ministry orders unless Garcia resigned. Last January, Col. Sigifredo Ochoa Perez, Gov. Thornburgh to strengthen Pa. By RICH KIRKPATRICK Associated Press Writer HARRISBURG Gov. Dick Thornburgh yesterday proposed imposing a new 1 percent tax on businesses and tightening benefit requirements *as part of a plan to pull Pennsylvania's jobless fund into the black by 1986. He also suggested the state adopt a union-supported "worksharing" system. It would allow employers to spread the impact of layoffs by reducing hours for all workers, who then would be eligible for some jobless benefits in addition to their Cable TV piracy operation cracked • SCRANTON, Pa. (AP) A man who called himself the "HBO Kid" was named yesterday as the mas s termind of the country's largest " • known cable television piracy ring, • which cost five legitimate firms up • to $2.5 million over five years. "They were so businesslike they 7 even made service calls," said state Attorney General Leßoy Zimmer ' man. • Frank Cardamone, 23, of Taylor, Pa., was arraigned before District Justice Eugene Cadden and re leased on his own recognizance pen ding an April 26 preliminary hearing at the Lackawanna County courthouse. Cardamone's surrender followed an undercover investigation that • Zimmerman said pitted "sophisti cated electronic theft against so phisticated electronic • surveillance." He said Cardamone got an early start in the electronics business and was "very clever, crafty and Indus ; trious." He said he even usc. .he name "HBO Kid" on his business • card and license plates. Cardamone allegedly provided • about 2,700 northeastern Pennsylva . • nia customers with illegal convert :. ers that unscrambled the signals of extra-cost television channels such as Home Box Office (HBO). Customers of the piracy scheme - were charged a one-time fee of $lOO to $125, compared to a monthly charge of $7 for a legal converter by each of the five cable companies that operated in the region, the attorney general said. To avoid suspicion, Zimmerman ; said, the cable pirates rented trucks - similar to those used by cable firms in the area they served in Lacka wanna ly around Scranton and Wilkes Barre. Zimmerman said his agents plan more arrests over the next several weeks, including people allegedly trained by Cardamone and others who acted independently. By R. GREGORY NOKES represents U.S. diplomatic personnel. each year. completed at only four posts. Associated Press Writer Although the association is satisfied that American John Redell of the General Accounting Office, which The State Department said in statement Monday that security efforts abroad are "working pretty well," he conducted a follow-up study that found serious delays in "significant improvements" had been made at the WASHINGTON The U.S. Embassy in Beirut, heavi- • said, "when you have someone willing to die in the the program, says security needs at embassies has embassy in Beirut, and that all planned improvements ly damaged in a terrorist attack yesterday, was among attempt of an attack, it's very difficult to stop." changed dramatically. had been completed. those diplomatic compounds where security was tight- The bombing of the Beirut embassy was the _most "In the 19705, State was gearing its program up to They included establishing perimeter checkpoints ,to ened following the hostage-taking in Iran. But experts serious assault on an American embassy since a spate of protecting individuals," he said. "The threats were screen vehicles and visitors entering the grounds, secu say it's impossible to prevent all attacks especially attacks in 1979 -- which included the taking of American against individuals. But in the 1980 s they are gearing up rity posts manned by Lebanese, security guards and suicide missions. ' hostages in Tehran on Nov. 4, 1979, the burning of the for massive assaults, group assaults..." Marines and use of metal detectors to screen of visitors A pro-Iranian terrorist group, Moslem Holy War, embassy in Islamabad, Pakistan on Nov. 22 and the He said group assaults were something new and the and packages before admisison into the buildings. claimed responsibility for setting off explosives packed sacking of the U.S. mission in Tripoli, Libya less than new program was intended to "buy time" until host , into a pickup truck, killing more than three dozen people. two weeks later. governments could provide sufficient local police protec-, Larry Speakes, the White House deputy .spokeman, "It points out once again what a perilous occupation In 1980, the State Department began a five-year tion. said yesterday, "These things are difficult to protect diplomacy has become," said Dennis K. Hays, president program of increasing protection at overseas diplomatic The GAO, the investigative arm of Congress, said last against. You do what you can. We've done what we can. of the American Foreign Service Association, which posts aiming to complete improvements at 25 posts year that the program was behind schedule, with work This was clearly unexpected." considered one of the army's best combat leaders, staged a six-day mutiny with his 1,200 soldiers in northern Cabanas province. The rebellion ended when Ochoa, agreed to go to the Salvadoran Embassy in Washington as military attache. Military sources said at the time that, as part of the compromise set tlement, Garcia had pledged to resign in three months. President Alvaro Magana accepted Gar cia's resignation, and named Gen. Carlos Eu genio Vides Casanova, commander of the national guard, to head the Defense Ministry, a presidential aide said. The aide, Francisco Jose Guerrero, said the Constituent Assembly still had to ratify the president's choice. Military sources said the 44-year-old Vides Casanova has a reputation as a tough administrator. Garcia told the news conference he had reduced wages. Thornburgh said his plan, now being drafted into legislation, "is critical" to efforts to improve the state's business climate. "It will restore essential equity and financial balance that have been missing from our unemploy ment compensation systems," the governor said at a press confer ence. Pennsylvania owes the federal jobless system $2.7 billion and will owe $lOO million in interest this year. Thornburgh, saying the state fund has been paying out $2 in Frank Cardamone, 23, of Taylor, Pa., lowers his head as he leaves the state police barracks at Dunmore, Pa. minutes after being charged in connection with what authorities called the largest cable TV piracy operation ever discovered In the nation. . Zimmerman said Cardamom's customers also could face criminal charges, but that his office and the cable companies agreed to a 30-day grace period during which custom ers can avoid prosecution by turn unveils plan jobless fund benefits for every $1 in taxes from employers, added: "This trend ab solutely must be reversed." If, the Legislature adopts the plan, the fund could show an annual surplus of $57 million in 1986 instead of an $B7l million deficit, Thorn burgh said. Moreover, he said, the debt could be erased by 1992, in stead of growing to $5 billion by the end of 1986. . ",The option to do nothing is not on the table," Thornburgh said. In addition, if corrective steps are taken by Sept. 30, fennsylva nia's interest payment this year will be cut to $2O million. ing in their illegal equipment. Cardamone is charged with one count of conspiracy and two counts of theft. If convicted he faces a maximum sentence of 14 years in prison and a $30,000 fine. tendered his resignation to Magana on March 18, but the president did not act on it until yesterday. "I hope the president continues with a team that supports the democratic process, which is the country's salvation," Garcia said. "What worries me is that the people might be de frauded,. because the people deserve more than has been given them." He called for armed forces unity and ex pressed hope that the government would fol low through with its pledge to hold elections. Elections had been scheduled for March 1984, but Magana, at the urging of President Rea gan, recently announced they would be held this December. Magana is an interim president, chosen by the Constituent Assembly that was elected in March 1982 to pave the way for a return to democracy. The firms victimized by the scheme, Zimmerman said, were. Adams Cable TV, Blue Ridge Cable TV, Northeast Cable TV, Service Electric Co., and Verto Cable TV. Walesa: By BRYAN BRUMLEY Associated Press Writer WARSAW, Poland Police detained and interro gated Lech Walesa, his family priest and two other companions for hours yesterday after stopping their car on the road to Warsaw, Walesa's wife and the clergyman reported. • Danuta Walesa told The Associated Press in a telephone interview from Gdansk that her husband was brought home at about 8 p.m. (1 p.m. EST). Police detained the party at about 11 a.m., according to the Rev. Henryk Jankowski, Walesa's adviser and confes sor. It was the second time Walesa was held by authori ties and questioned in the six days since he announced he was meeting with underground Solidarity leaders to coordinate policies. Garcia was considered a moderate and had backed social and economic reforms that have been under attack by ultra-rightists in the right-wing• government. The United States has provided millions of dollars in military aid tohelp the gOvernm'ent in its 41-month-old civil war, but Congress has linked additional aid to a demand that the government end human rights abuses by its security agencies. Garcia had tried to remove Ochoa by trans ferring him to the embassy in Uruguay as a military attache, but agreed under pressure to send him to Washington. At a Jan 13 meeting of departmental com manders after Ochoa had ended his revolt, Garcia gained enough support to remain as defense minister, but one source said "the vote was not unanimous." He said among those who "hedged their bets" was Bustillo. Solidarity leader detained, Reagan leaning against reappointing Volcker By OWEN ULLMANN Associated Press Writer WASHINGTON President Reagan is leaning against naming Paul A. Volcker to a second term as chairman of the Federal Re serve Board but has not made a final decision on either. Volcker's future or on choosing a successor for the powerful post, administra tion sources said yesterday. One source, speaking only on condition that his name not be used, said White House officials are considering five or six candi dates to succeed Volcker, whose four-year term as head of the nation's cehtral bank expires in August. Volcker, 55, appointed by for mer President Carter, is one of the most influential figures on the economic scene because of the tremendous impact the Federal Reserve exerts on inflation, inter est rates and economic growth through its control of the nation's supply of money and credit. The administration source, em phasizing that Reagan has not made up his mind firmly, said Volcker still has an outside chance at a second term, if he wants it, but that 'the probability of that happening "is diminishing every day." "Volcker's support in this ad ministration has never been strong," said the source. "The overwhelming view is that the president has a right to name his own guy. Carter did. That's the way it works. There are lots of qualified people in the country for the job." Although Volcker's term as chairman expires_ in August, he could stay as a member of the Fed's board of governors for 10 more years. But it is assumed he would leave if not named chair- Walesa stopped short of publicly endorsing the un derground's call for protests, which sparked the arrest of at least 26 Solidarity activists on Saturday. Walesa had said he was questioned last week about his meetings with the underground, but Mrs. Walesa declined to discuss yesterday's interrogation. She said her husband was "too tired and too hungry" to come to the phone, adding that he was ordered to appear at Gdansk police headquarters at 11 a.m. today. The Interior Ministry, which runs the security police, refused to comment on Walesa's reported detention. The duty officer at Olsztyn police headquarters, con tacted by telephone from Warsaw said, "He has not been detained. He has-not been arrested either." The officer's comments were reminiscent of Official statements last Dec. 16, when authorities drovel)Valesa around Gdansk for nine hours to keep him from a rally outside the shipyard. man again. The list of possible successors includes.: Preston Martin, 59, a long-time Reagan political associate from California who was named by the president last year to be vice chairman of the Fed, the No. 2 post; economist Milton Friedman, 70, the Nobel prize winner whose theories about monetary policy have had great impact on both the administratiOn and the Fed; Beryl W. Sprinkel, 59, undersecretary for the Treasury in charge of mon etary policy; William E. Simon, ' 55, a financial consultant who was treasury secretary under former President Ford, and Alan Greens pan, 57, chairman of the Council of Economic Adviserslunder Ford. Sources said Treasury Secre tary Donald T. Regan, 64, who is well liked by the president, also could be tapped for the job, which requires Senate confirmation. Speculation about Volcker's fu ture has been rampant in recent weeks. Some observers have as sumed that Reagan, a Republican, is sure to name his own candidate to so crucial a post rather than stay with a man picked by a Dem ocratic president. They note that Carter replaced the highly re garded Arthur Burns in 1978 with G. William Miller. Volcker got the job when Miller became treasury secretary. Numerous Republican poli ticians have blamed Volcker for keeping interest rates high, caus ing the severe recession of 1981-82 and driving up unemployment. They argue that if Reagan retains Volcker, the president would tac itly be accepting responsibility for those economic events and make Republicans vulnerable in the 1984 elections. Tuesday, April 1 Gen. Guillermo Garcia interrogated state news briefs Inmates haggle over surrender terms PITTSBURGH (AP) Two armed inmates holding a pair of hostages seized in a botched breakout attempt haggled yesterday over the "terms of surrender" in the fifth day of their standoff at a maximum-security prison "We get the impression they're trying to make up their minds," spokesman Ken Robinson told reporters waiting out the siege at the State Correctional Institution at Pittsburgh, a century-old stone fortress along the Ohio River. "We're not moving real rapidly, but we're still talking," he said. Robinson, said at 4:30 p.m. the inmates and negotiators had not conversed for about two hours while inmates apparently mulled -over negotiators'` responses to demands. No food was sent into the men yesterday, he said. At an early afternoon briefing, he reported "a handful of items holding up a settlement." "What that means, I can't tell you," Robinson added. The inmates on Saturday gave professional prison negotiators four pages of proposals in return for sandwiches, the first food given the captors since the siege began Thursday morning, Robinson' said. Ex-LCB agent accused of extortion •HARRISBURG (AP) A former bar owner testified yesterday nrt a retired Liquor Control Board enforcement agent owned a part interest in a private club and tried to extort money and food from bars in west Philadelphia. • The Senate Law and Justice Committee heard testimony from seven witnesses concerning activities by LCB agent Joseph Ford before his retirement in 1981. Larry King, 40, of Upper Darby told the committee that he had giVen luncheon meats, Christmas hams and drinks to Ford on a regular basis' from about 1974 to 1980. King said Ford pushed gambling machines into his and other bars, and said he helped Ford get started in his own bar. - All seven said yesterday that after giving their statements to the LCB in 1981, they never heard from the agency again. "I knew it was wrong, and I also knew what would happen if I didn't go along (with Ford)," Young said in reply to a question. "I would have been harassed, cited and run around." Ford could not be reached for comment. nation news briefs • Sen. Hollings enters presidential race WASHINGTON (AP) Sen. Ernest F. Hollings of South Carolina formally entered the Democratic presidential sweepstakes yester day, but said his party cannot hope to regain the White House until it.convinces voters it can truly manage the economyrather than merely offering to "send more money." In an appearance at the National Press Club, Hollings also said he would consider choosing a black or a woman as his running mate. "We have outstanding black leaders of experience, national renown, women also," he declared. Hollings declared his candidacy 'at Midlands Technical College in Columbia, S.C., and then flew to Washington to speak at the press club. On the flight to Washington, Hollings conceded that if he doesn't finish close behind former Vice President Walter F. Mondale in the New Hampshire primary "I'm going to be in trouble." He said he was confident he would win the presidential primaries in Alabama and Georgia. $ll9 million malpractice suit settled HOUSTON (AP) The parents of a 2-year-old girl who suffered brain damage during Caesarean birth have accepted a settlement that could total $ll9 million the largest malpractice award ever made, according to the parent's attorney. Shortly before the case was to go to trial, Ronald Ferris, 32, and his wife, Linda, 29, agreed to the out-of-court settlement, attorney Richard Mithoff said Pasadena. Bayshore Hospital, owned by Hospital Corp. of Ameri ca, agreed to pay the Ferris' $4.2 million within 30 days and $7,000 monthly for the first year, said attorney Richard Mithoff. The payments are guaranteed for 20 years or for the rest of the child's life, whichever is longer, Mithoff said. The Ferris sued the hospital, claiming their daughter, Andrea, suffered oxygen deprivation during Caesarean birth July 7, 1980, permanently damaging the . brain. Shultz: U.S., Mexico interdependent MEXICO CITY (AP) Secretary of State George P. Shultz yesterday hailed the "extraordinarily good" relationship between the United States and Mexico, despite their serious differences over Central American problems. During the hour-long opening session of a two-day meeting, there was a clear attempt to stress that the two countries are interdepen dent and to tone down the Central American issue. Shultz and five other Cabinet members from the two countries spoke. The Mexican government, however, Made it clear in other ways that, notwithstanding the American viewpoint, it will continuelo maintain friendship with . Nicaragua's leftist leadership and with the Salvadoran guerrilla movement. The United States supports the Salvadoran government and accuses Nicaragua of supporting and helping to spread revolution in the region. Dad, wife, mistress to set up house DOUBLEBOIS, England (AP) Superdad John Knight's mis tress and their nine children are moving to this Cornwall village next month to join his wife and 10 of their children, local authorities announced yesterday. "I am absolutely over the moon and delighted that the family will be back together again soon," said Carole Knight, 38, who is expecting heF 12th child in July. "I am so much lobking forward to putting down roots in our new community," the other woman, Clare Martens, 40, told the Western Morning News. "Now all I want us to do is get on with living." Knight is an unemployed, 46-year-old former civil servant who divides his time equally between wife and mistress and maintains the two families on about 250 pounds ($388) a week in welfare payments, • stock report Stock prices ride Volume Shares winning streak 104,230,400 NEW YORK (AP) Stock Issues Traded 2,018 prices swept ahead yesterday, riding their longest winning Up streak in eight years to anoth- 1,001 er record high. The Dow Jones average Unchanged climbed 11.90 to 1,183.24, for 391 its eight consecutive gain. The last time it put together a Down string of eight advances in a 626 row was April 8-17 of 1975. The average now has risen • NYSE Index 406.32 points since last Aug. 12. 91.71 + .53 Volume on the New York • Dow Jones Industrials Stock Exchange totaled 88.56 cp 1,183.24 + 11.90 ' million shares. ML DAYrki LLNIGHT*ALE MONTH! 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We can produce anything from invitations to large color posters with quality and pricing that's hard to beat. The Daily Collegian Tuesday, April 19, 1983-5 r. : .. ,...._..,.. ‘. ,
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