Contras call 'communist By GEORGE GEDDA • Associated Press Writer WASHINGTON, D.C. Two Nicaraguan rebel leaders yesterday assailed the House rejection of new U.S. aid to the resistance fighters as i • "communist victory" and the • Reagan administration vowed not to give up its struggle to get money for the Contras. "We will be back and back and back until America does the right thing," Vice President George Bush said in a television interview "We are not going to turn our backs on those who are fighting for democracy in our own hemisphere to the favor of those who are trying to establish a Marxist-LeniniSt dictatorship in Central America," Bush said. At the White House, spckesman Larry Speakes said: ' , The point is, the president wily not abandon his goal of finding funding.for the freedom fighters in Central America." Speakes said the administration was looking for ways to force new votes on the issue. Under parliamentary ground rules, the administration could revive the $l4 million proposal by Tuesday. House Majority Leader Jim Wright, D-Texas, said the Contra aid issue would be back, "but not between now and Tuesday," despite Speakes' assertion. Wright said "there is a Widespread feeling" in Central America and on Capitol Hill that Reagan "will not be satisfied until he has American troops down there." The majority leader said that was not necessarily his opinion. The House on Wednesday night rejected a compromise Republican proposal to provide the rightist Contras seeking to overthrow Nicaragua's leftist government with $l4 million in non-lethal assistance. The night before, it had voted down Reagan's original request that the money be used in direct military aid. On Capitol Hill, Nicaraguan rebel leader Alfonso Robelo told a news conference, "The debate in the Congress has resulted in a communist victory; but the civil war in Nicaragua continues." L_Lriduy inside • A student 'protest of apart heid spilled over into a sit-in at Wisconsin's state Capitol on Wednesdiy, while Harvard stu dents invaded campus offices and demonstrations continued throughout the. University of California system, including a rally estimated as the biggest at UCLA since the Vietnam War. Page 9. • About 25,000 people are ex pected to lounge in the sun, enjoy live concerts and partici pate in competitions Sunday afternoon at the 11th annual Beta Sigma Beta Sy Barash Re gatta Page 14. • After 91 glamorous years, there really isn't any doubt that the Penn Relays completely de fine the meaning of spring track in the United States. With about 10,000 athletes competing and 40,000 spectators, it will be diffi cult to contain the excitement at Philadelphia's Franklin Fiel . d, Page 17. index comics opinion.. sports.... weekend fyi Daylight Savings Time begins Sunday. Clocks should be set one hour ahead at 2 a.m. weather Sunshine behind a few high clouds today. High 72: Partly cloudy and chilly tonight. Low 44. Sunshine followed by clouds late tomorrow. High again near 72 Bill Goodman the daily With Robelo was Adolfo Calero, head of the Nicaraguan Democratic Force, the largest of the rebel groups fighting the Sandinista government. A statement the two leaders issued on behalf of a coalition of opposition forces said four liberal Democrats in particular have a responsibility to seek Nicaraguan agreement to hold internal peace talks because of their leadership role in rallying opposition to renewed aid for the rebels. Robelo, reading the statement to reporters,. mentioned House Speaker Thomas P. O'Neill; Rep: Michael Barnes, D-Md.; and Sens. John Kerry, D-Mass., and Tom' Harkin, D-lowa. "We call on them publicly to put Clinger, Specter vote against aid By JEANETTE KREBS Collegian Staff Writer The drawn-out debate over sending aid to the Contras in Nicaragua ended with U.S. Rep. William F. Clinger, R-Warren, - opposing military aid, but favoring humanitarian aid. U.S. Sens. Arlen Specter, R-Pa., and H. John Heinz 111, R-Pa., divided their votes concerning aid Tuesday. After voting against military aid for the rebels hoping to oust the Sandinista government, Clinger voted in favor. of two proposals to provide humanitarian aid. However, both proposals were voted down Wednesday night as the House rejected all aid to the Nicaraguan rebels in three.. separate votes. At a town meeting at the University two weeks ago, Clinger said he had decided to vote against aid for the Contras for many. reasons, including the fact that Sandinista forces outnumber the Contras and the money could be better• used. "Although there are parts of both proposal I don't like, sending supplies like blankets and first aid are good points because these Rosenblatt ay veto divestment resolution By COLLEEN BARRY Collegian Staff Writer The Undergraduate Student Government president will announce tomorrow whether he will support the USG Senate resolution requesting the University to divest $4.4 million dollars in South African businesses. However, three USG senators said it would be a "grievous error" for him not to support the resolution. USG President David Rosenblatt said that before he will announce his decision, he wants to meet with administrators to s determine the principles encourages protests Author of By DAMON CHAPPIE Collegian Staff Writer The author of the Sullivan • Principles a code of voluntary affirmative action for companies with operations in South Africa • encouraged University students Wednesday in their call for divestiture of Univeristy holdings in multinational companies doing business in South Africa. "Keep on going Penn State," the Rev. Leon H. Sullivan said in a telephone interview. Sullivan is pastor of Zion Baptist church in Philadelphia. He is also a director of General Motors and Mellon Bank. "The prcitests are fine. Students should do anything they can to raise the consciousness of administrators and their trustee boards," Sullivan said. rejection victory' pressure on the Sandinstas to come to the negotiating table," the statement said. "By defeating the president and preventing him fiorn applying pressure on the Sandinistas, they now have a responsibility to apply it." The Sandinistas previously have rejected the idea of talks with the rebels, saying they are a creation of the CIA. But Secretary of State George P. Shultz used a speech on the 10th anniversary of the fall of Saigon to attack the House vote. "Broken promises. Communist dictatorship. Refugees. Widened Soviet influence. This time near our very borders. Here is your parallel between Vietnam and Central America," said Shultz people need supplies badly," Clinger said. On Tuesday, the Senate accepted a proposal to give the Contras $l4 million after Reagan pledged'to keep relations open between the United States and Nicaragua. However, the House voted down military aid to the Contras Tuesday. On Wednesday, the representatives voted down a Republican alternative 215-213, and a Democratic compromise 303-123. The House Democratic plan proposed that $lO million in aid,be sent through the International Red Cross or United Nations to help Nicaraguan refugees, and $4 million would be used to help bring peace to the country. The amendment was sponsored by U.S. Reps. Michael Barnes, D- Md., and Lee Hamilton, D-Ind. The Republican amendment, sponsored by House minority leader Robert Michel, R-111., allowed the $l4 million to be sent in non-lethal aid to the Contras through the U.S. Agency for International Development. On Tuesday night's vote in the Senate, the proposal to send Please see LEGISLATORS, Page 5. most effective way to approach the University Boa - rd of Trustees with student concerns. Students were•upset when the administration did not consult them on the commencement issue, and Rosenblatt said he finds it necessary to consult the administration about an issue that affects its policy. "If we want the administration to come to us, we haVe to have a reciprocal relationship," Rosenblatt said. Town Senator John Clisham said it is important for USG to consult the administration, but he added that•Rosenblatt must remember "What these student protests are doing when they call for total divestment is pushing the companies that have not signed the code to sign and force the signed companies to move up to passing grades," he said. In a related matter, two University students have undertaken a hunger strike demanding that they meet with someone from the administration or Board of Trustees. Laura Webb, president of the Committee for Justice in South Africa, and an unidentified South African student said last night they were seeking concrete statements on the University's investments in South African related companies. • Companies that sign the Sullivan Principles do so Please see AUTHOR, Page 9 .Spring studying Cindy Zapp (senior-foreign service) studies in front of Burrowes Building. Some of the good weather from the beginning of the week should be returning for the weekend. that he ran on the slogan "S for Student. "The resolution is a very civilized way of getting the student point of view across," he said. Town senator and resolution sponsor Patrick Lenz said, "Rosenblatt's vote is still swayable; he should take our advice to heart: We do represent his constituency." Clisham said, "If he takes the resolution back to the senate it is as good as vetoing it. You can't cop out on an issue that is this big. "It would be an 'embarrassment to our students and the students across the country and any person who has called for divestment." Even if the resolution is vetoed, it only needs a two-thirds vote in the senate to be passed,-Clisham said. Twenty-two of the 35 senators voted for the resolution Tuesday. "Students are concerned. The turnout at events this week proves that," Clisham. said. Lenz emphasized that for the first time students have fell that an issue was grave enough to consult the senate, unlike the issue of student aid. Everyone who has approached the senate has spoken for divestment, he added. In addition, 250 people participated in a rally for apartheid Wednesday and 200 students signed a petition supporting apartheid, he said. However, Rosenblatt said, "We are to act as a check and balance of the legislative branch. I feel that we have to be educated. Right now I don't feel we have enough information to make a decision from a student point of view." He would not comment on whether he thought the decision by the senate was hasty. "My decision will not be for the Friday, April 26, 1985 Vol. 85, No. 177 56 pages University Park, Pa. 16802 Published by students of The Pennsylvania State University ©1985 Collegian Inc. administration. It will be in the students interest," Rosenblatt added. "The question is not whether or not we are for or against apartheid, the issue is divestment whether or not it's the best way to reform a society." He added, "It is very realistic to say that the revenue loss could result in higher tuition." However, Clisham said, "This appears to be a ploy to delay a decision and scare the students that their tuition will go up. There is a greater fear that tuition will increase from the federal and state governments." Rosenblatt cited the University Colleges place money ahead of principles By LEE MITGANG AP. Education Writer NEW YORK College administrators say dollars and cents, not just politics, explain their reluctance to bow to growing student demands to sell millions of dollars worth of stock in companies doing business in South Africa. At least 27 campuses including Rutgers University, Berkeley, Columbia, Wesleyan, Cornell and Harvard have witnessed student demonstrations demanding that their schools dump all • investments in companies dealing with South Africa. But officials charged with protecting university funds insist / that even if they agreed politically with the student demonstrators some do, and some don't a blanket divestiture policy Essex Mews unaffected by bankruptcy, lawyer says By PETE BARATTA Collegian Staff Writer Although the developers of the Essex Mews student condomini ums have filed for bankruptcy, the local project should continue as scheduled, the attorney for Benchmark-Atlantic said. George Mullen, an attorney from Hilton ,Head, S.C., said the bankruptcy notice filed by Bench mark-Atlantic will affect neither the Pennsylvania developmental arm of the company, University Development Corp., nor the Es sex Mews project which is in charge of building. " ( University Development Corp.) is a separate corpora tion," Mullen said. "There was no bankruptcy filed for Universi ty Development." The Chapter 11 bankruptcy no tice, filed by Benchmark-Atlantic April 12, gives the company time to create a reorganization plan that will explain how the firm, formerly of Hilton Head and now located in Atlanta, will restruc ture its business and pay off its debts, he said. "(The notice) gives the compa ny time and a way of restructur ing its debts," he said. "Right now a plan has not been proposed yet." Once a plan is developed, Mul len said, it must be approved by the U.S. Bankruptcy Court in Columbia, S.C. Recently, Benchmark-Alantic received financial banking to fin ish the Essex Mews project from the company furninshing the units. In a joint venture with Bench mark-Atlantic, the • Charles S. Martin Distributing Co. of Atlan ta will finance the completion of the local student condominium project, said Bob Smith, credit manager of Charles S. Martin. Although he would not com ment•on the specifics of the deal, Smith said the complex will be completed as soon as possible. "I'm sure that (the complex) will be built," he said. A secretary from Benchmark- Atlantic said Arthur Shultz, the president of the company, was out of town and unavailable for comment. John Maddrey, assistant attor- Please see ESSEX, Page 5. of Michigan, which made a profit after reinvesting funds formerly tied up in companies that did business in South Africa. He said that while in the short run there will be profit from divestment, in the long run the university may lose. "Long or short term profits should not be a consideration here," Lenz said. "The bottom line is that by investing in these . companies, we are perpetuating the system of apartheid." Clisham said, "We also must be aware that money can be invested and make a profit that is not just short term, but long term." requiring sale of current holdings and banning future purchase of such corporations could have subtle, but serious, financial consequences. "The decision whether to divest is really a three-legged stool: what are the financial consequences, what are the political ramifications of the decision, and what do the trustees feel a school like Columbia should or shouldn't be doing with questions of social policy?" said Anthony Knerr, Columbia's treasurer and executive vice president for finance Ironically, the richest schools with the most active portfolios the very schools being pressed hardest by anti-apartheid student demonstrators = would face the greatest financial perils if they agreed to divest all such Please see FINANCIAL, Page 9
Significant historical Pennsylvania newspapers