European Stars And Stripes (Newspaper) - February 4, 1987, Darmstadt, Hesse                                Inside stripes o Hollywood celebrates i 100th birthday Page 3 d cutting Contra Aid said to risk 2nd Vietnam Page 5 d College basketball results sports Page 21 the  author Ifo unofficial publication vol. 45, no. 290 wednesday february 4, 1987 d8693 a Casey resigns As Cia Chi of Washingto up Cia director William .  cry for a brain tumor has resigned and win be rett9mijjjuiclcpuly, Robert Gates a 20-year Veteran of the Mot gaily Tebei White House a noun Day. Ii was or. Casey s decision to  said presidential spokes Man Marlin Fil Waler. He said Casey a longtime Friend of presi Dent Reagan will become a presidential Counselor when he can turn to work. The resignation Cap Fotr Many questions  about Trie Cias ind Leman role in Arnis sales to Iran. Members of Congress lied to comply with Laws Mcquir Cluj maintain the agon ing that into Menic committees be kept abreast a such  however has held that he did not break Vetaw. Fiu water said Casey continues to improve steadily is Alert and has visited with other patients at George town University Hospital. Casey 73, was named to head the Cia in i oing manage Reagan s Campaign Felt App Ipi securities and d other posts Dur ing the Nixon and Wamil Jujj  t serving As acting director Pill sized in december. He will continue Tol Agency on an acting basis while his nomination is considered by the Senate. In 1974 gales was assigned to the National Security Council staff and served there nearly six years during the Nixon Ford and Carter administrations. He re turned to the Cia in january 1980 and was appointed Casey s principal Deputy in april 1986. Gales a native of Kansas received his Bachelor s degree from the College of William and Mary in 1965ana a master s degree in history at Indiana University in 1966. He earned a doctorate in russian and soviet history frinncgg0iwnvcrsity in 1974. In Trascy sent a letter to Reagan an j his resignation and the president accepted it with reluctance and deep  attorney general Edwin Meese i and White House chief of Stair Dona Dregan visited Casey in his Hospi Tal room last thursday. At that time Fitz Walcer said Casey volunteered his  by entered the Hospital and to or Gary for a brain tumor dra to flatly before hews to return Tim a Hill to continue testifying Iran Contra affair. During Hostila Bizalion it also was Dis closed that he had been treated. Earlier for cancer of the prostate. Casey s Resig came five Days after a report by the Senate select com Milice on intelligence said his testimony on the Cia see Casey on Page 28 Dollar Low enough Volcker warns Washington not Federal Reserve chief Paul Volcker warned on monday that the decline in the Dollar hid reached worrisome Levels that threatened renewed inflation and a jump in merest Rales. We Are at a More dangerous Point . Urges Iran to drop action against newsman Washington not the Reagan administration renewed its demand monday for the release of an american journalist who has been detained in Iran and apparently accused of spying for Israel. The state department spokesman Charles e. Red Man said the journalist Gerald of Seib Middle East Corr Spon Dent for the Wall Street journal should be released now and permitted to depart  his continued detention is unwarranted Redman said. Seib 30, was visiting Iran As part of a group of about 50 journalists invited by the Golem i ment. He was seized saturday i outside his hotel room. The Irani i an radio said a spy affiliated to Seib the regime occupying Jerusa Lem an allusion to Israel and posing As a War correspondent had entered Iran on a forged passport an had been arrested. The radio broadcast did not identify the Man who was arrested. A spokesman for the Wall Street journal Lawrence a. Armour said Gerald Seib was invited into the country by the iranians had a valid american passport and the Nec usury visas. He was not in disguise and does not fit see newsman on Page 28 now he told a hearing of the joint eco nomic committee of Congress. While Volcker stopped Short of saying that the Dollar should fall no further he seemed to be suggesting that what Many regard As administration efforts to talk the Dollar Down should be halted lest the resulting higher Price of imported goods produce unacceptably faster inflation and limit fed flexibility. The danger is already out there unless we re careful Volcker asserted. The fed chief also indicated som concern about today s ebullient Securi ties markets cautioning against dissipating opportunities in excessive leveraging and financial  on other subjects Volcker said there was an impasse developing in the third world debt situation and repealed earlier urging that West Germany an Japan should further Spur their economies he singled out Taiwan As a partic ular culprit on Trade a inductors move hostages believed being held  hop of Canterbury Petyt for Terry Waite. Beirut Lebanon up1j the kidnappers of three americans and an Indian bom . Resign jul declared a military Alert monday and said had been moved to Safe areas in Caa on Lebanon. Of the hostages Are alannsgiir46 John Turner in his sixties Robert Pom a and Indian bom .resident alien Drujak Kishwar Singh. They were popped Jan. 24 from the private Bei rut Unive a Tollete by four gunmen posing As to Icerine Nii teen other foreigners have been Kidnap " moslem West Beirut since Jan. 12, while in Damascus shiite moslem amal Mili a Tia a fully Abib Bern said after meeting with syrian vice press Jet Abdul Halim Haddam and druse War lord  that he believes Church of eng land envoy Tel Vaite has been arrested and is being held captive Jumblatt s militia Tiyi ded Protection for Waite until he left his is Conitha. 20 to meet the islamic jihad kidnappers in a bid eco hostages released. Waite has not been heard from face. In a statement sent to a Wesie news Agency an the an Nahar newspaper the Islan jihad for the liberation of Palestine said its four Homes would be kilted on feb. 9 unless Israel frees 400 a the extremist group said it had moved this four men out of Beirut As two . Navy Battle group ibid a Marine assault Force in the Eastern Midi in see hostages on a readers music poll results pages 14-15