Oregon daily emerald. (Eugene, Or.) 1920-2012, September 26, 1984, Page 4, Image 4

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Committee ends
Hatfield probe
WASHINGTON (AP) — The
Senate Ethics Committee, say
ing it uncovered “no credible
information,’’ voted
unanimously Tuesday to end its
review of whether Sen. Mark
Hatfield’s dealings with a Greek
businessman were a conflict of
interest.
“There was no information
available to us to justify open
ing a formal inquiry.” said Sen.
Ted Stevens, R-Alaska, who
chaired the six-member panel
that began looking into the mat
ter early last month at Hatfield’s
request.
The committee voted to end
its review following a closed
door briefing by the number
three official of the Justice
Department, which is continu
ing to investigate the Oregon
Republican’s relations with
Basil Tsakos. Stevens said the
committee requested the Justice
briefing to learn about the status
of the department’s
investigation.
Stevens said Tuesday’s vote
would not prevent a reopening
of the Hatfield matter if, as a
result of the Justice probe, it
receives “new information.”
He said Associate Attorney
General Lowell Jensen told the
senators that the Justice probe is
reaching beyond the dealings
between Hatfield and Tsakos
but does not involve any
members of Congress.
Hatfield said in a prepared
statement that he was “extreme
ly pleased” by the action of the
committee, comprised equally
of Republicans and Democrats.
“Once again, I regret any ap
pearance of impropriety stemm
ing from the unfortunate cir
cumstances of such support (for
the pipeline), as well as the pain
experienced by my family dur
ing this difficult time,” Hatfield
said.
Hatfield has acknowledged
that his wife, Antoinette,
received $55,000 in four in
stallments from Tsakos in 1982
and 1983 while the senator was
promoting a $10-billion oil
pipeline Tsakos wants to build
across Africa.
At a press conference last
month, Hatfield said he had
committed “an error in judg
ment” by not recognizing that
the situation had an “ap
pearance of impropriety.
The senator and Mrs. Hat
field. a real estate agent, said
the money had nothing to do
with Hatfield introducing the
financier to officials in
Washington and writing a letter
extolling the project as a means
of countering cutoffs in water
borne shipments of Middle East
oil.
Rather, they said, the
payments were made in return
for real estate advice she gave
Tsakos and for her assistance in
the redecoration of the
businessman’s Washington
apartment in the plush
Watergate complex.
Hatfield said Tuesday that he
hoped “publicity surrounding
this situation" does not torpedo
the trans-Africa pipeline — “a
concept which may hold the
potential to make the world a far
less dangerous place.”
Conferees cut
defense funds
WASHINGTON (AP) —
House and Senate negotiators
agreed Tuesday to a 1985
defense spending plan that
trims billions from Pres. Ronald
Reagan’s original budget and
delays further production of the
MX missile pending a chance
for either chamber to scuttle the
nuclear weapon in April.
After months of deadlock,
conferees on the defense
authorization bill resolved
1,200 differences between the
House and Senate versions of
the measure in a final, round
the-clock session that began ear
ly Monday.
Reagan originally had sought
$313 billion. Under a leader
ship agreement that triggered
the breakthrough, the ap
propriations bill, which accom
panies the authorization bill,
will call for $292.9 billion or
less in actual spending for fiscal
1985.
That amounts to a 5-percent
"real” — or inflation-adjusted
— increase for the Pentagon.
Reagan at first sought 13 per
cent then came down to 7.5 per
cent before retreating yet again
under terms of a general agree
ment reached last week by
House Speaker Tip O’Neill, D
Mass., and Senate Majority
Leader Howard Baker, R-Tenn.
House Armed Services Com
mittee Chair Melvin Price, D
111., said the final product,
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which yet must be considered
by the House and Senate,
reflects a consensus of both
chambers. That consensus, he
said, is “that national security
imperatives require real growth
in the defense budget but that
the size of the deficit does not
permit growth to the degree re
quested “ by the president.
Reagan’s biggest concession
was on the MX missile. The
compromise legislation will bar
any further production of the
10-warhead weapon, the center
piece of his strategic buildup,
pending two go-ahead votes by
each chamber next April.
Failure to win any of those four
votes would doom the missile,
and opponents in both
chambers, who demanded the
complicated parliamentary pro
cedure, say it's all but dead
now.
Regardless of what happens
in those future votes, the
legislation would limit 1985
production money for the MX to
$1.5 billion, enough for 21
missiles, according to Senate
estimates, but only 15 accor
ding to the Congressional
Budget Office. Reagan original
ly wanted 40.
As for other strategic items,
the compromise bill calls for
$8.2 billion next year to buy 34
B-l supersonic bombers,
despite questions raised by the
recent crash of a prototype
model in California. Also ap
proved: $400 million for 70 Per
shing II nuclear missiles for
deployment in Europe, and
more than $1.3 billion for hun
dreds of Tomahawk cruise
missiles for air, sea and ground
launchers. Some Tomahawks
will carry nuclear warheads.
The measure also calls for
about $1.6 billion for research
on Reagan's strategic defense
initiative, which envisions
development of futuristic
weaponry, such as energy
beams, to destroy nuclear
missiles. Reagan wanted $1.8
billion, and House negotiators,
who sought a $400-miliion cut.
accepted the Senate’s lesser
reduction.
The conferees, headed by
Price and Sen. John Tower. R
Texas, chair of the Senate Arm
ed Services Committee, backed
off from House language that
would have forbidden Reagan
from introducing troops into
Central America for combat pur
poses. Instead, that was sup
planted by non-binding “sense
of the Congress" language.
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