European Stars And Stripes (Newspaper) - June 21, 1988, Darmstadt, Hesse                                The stars and stripes tuesday june 21,1988page psf a laxity led to scandal lawmakers say Washington a the investigation  and fraud in Pentagon  presi Dent Reagan s administrate worried about winning huge budgets than about making sure the government spent its Money wisely legislators said sunday. Democratic sen. Sam Nunn of Georgia chairman or the Senate armed services committee said the Pentagon has had a serious management problem. For a number of years we had people being selected for their ideological beliefs Tor Kiheji salesmanship but not for management Nunn "1 think  has been on salesmanship find getting the Money and the management end of it has been the last on the list of priorities he said on Abc television s this week with David Brink  and wis chairman of the said he agreed that in one sense it s Surpin _ has t happened before. There s ways been a lot of Money Flo Ali  they were ref investigation Lig options that de Vlehr Spaid consultants and ent officials for secret Pentagon formation that was useful in winning weapons contracts Worth hundreds of millions of dollars. The investigation came to Light last tuesday when the Fri and naval investigative service raided the offices of Pentagon officials defense contractors 2nd consultants. Sen. Charles Grassly a Lowa a Sharp critic of Pentagon waste said the affair arises from the Good old boy network. It s an ethic within them enl that Bre Duhm Alch us if you Rassley was  Tele vision s face the nation _ rep. John Dingell d-mich., chair the House Energy and Commerce com Mittee. Diggetts panel has investigated Pentagon waste As has the Senate Judic iary administrative practices subcommittee which Grassly has chaired. Both said their committees turned up evidence of Pentagon waste but nothing was done. Dingell complained that administration officials did t want to act. Behave found con5islenhhces where in would pre the defense department into these kinds of  Federal investigators reportedly an pursuing the possibility that former Navy Secretary John Lehman or. Tipped military consultant Melvyn Paisley off hat he might be the subject of an invest it was disclosed last week that and office were bugged during Thi Paisley was a Honfi Flop Navy official under Lehman before resigning in april 1987 to open a consulting business. Pais Ley has emerged As a key figure in the investigation. Major from Page 1 a i restricted area. Stagon spokesmen have disclosed  Apo lazed for the incident during react Moscow is Between defense  Carlucci and so i defense . . Of tick had pressed for a Ormal apology for three years bemused of what Ture of Iran Bordertown Baghdad Iraq a the Nadibal liberation and. An Iraq based  opposed lobe Ayatollah  said ils troops Caw Rcd the Iran re order town of Mcheran on sum toy  a press null Coval iraqi capital told liberated Mehard launched saturday the official i Jitian in Nicosia cynics conf going on in a fenian but iraqi forces the no a formed last july k do l around the Gujri Coddin Khaliq people warriors that help Khomeini overthrow Stab Mohammed Rezer Pahlavi but were later outlawed by Kho a Rani s islamic fundamentalists. To Mujahed Khaliq describe themselves As is Svic social to seeking a secular government. Supported by Iraq the la forces have been playing a Small but growing role in the Iran Iraq arc allowed to mount observer missions into each other s territory to collect intelligence Pentagon officials said. The scoop is that Nicholson was inside a soviet Tan shed when a sentry shot him a . Intelligence pct Flohl officials confirmed that Nicholson said Jesse in tape after one of three shots from a soviet sentry Ripp Kunto his Abdomen. A Pentagon to Busman quoted Schatz As saying in his deposition thatch soviets left Nicholson where he fell for six hours is funding him and demanding he sign a confession. To what incensed  was that Nichol son could have been saved snuff according to . Intelligence Soimi soviet medical help was on the scene but the soviets nisted to allow them to attend Nicholson until he sir absolving the soviets of responsibility for wounded.. Intelligence sources said thai . Lived on the scene Nicholson was still Alejj but that Little could be  an army spokesman disputed Hub Cecrio saying Nicholson was already dead when Ipie arrived. The sources said the soviets red to get Lajoice to sign inc same document. Of . Intelligence sourco5aid Nicholson was so badly wounded that at fees he would lapse into unconsciousness at we Fri Point the soviets would prop up his head an jury to get him to sign a . Intelligence  Finuf bled to death . Intelligence sources said f a state  official said the soviets were trying to or their backsides by attempting to obtain a cd Kassion from the dying Man. A Jujj blazon analyst said there is a message the Ming. _  in inc trs that la fighter major offensive a Agency monitored Ned that fighting was us the attack was by soviets were sending by shooting Nicholson an that is blatant intimidation. In the old Days they use to castrate . Agents when they were  september 1983, the soviets destroyed a korean Airliner carrying 269 Crew members  charging it violated soviet  stale department official jul Phil if the United slates shot Down every Sovic a Mil that violates .airspace, you would have a dead russians the Point is that j0rti View whal the soviets did to Nicholson As Al flite behaviour this official  bilateral Job last March in Geneva Carlucci again Prescaro Yazoo a demand for an apology and compel Jpn for Nicholson s death. Yazoo replied  had not occurred when he was de  but that he would look into it Pentagon of facials  to state department officials the matter of compensation apparently has been dropped a Pentagon spokesman declined comment referring All questions on compensation to the state depart a Cal bul a slate department official said the joint the mint did not mention  considers the matter closed the  and intelligence sources said they arc not  the  i  in the apology statement is that it said that Susand the United slates would work together 10 Prcin a petition of the incident one analyst said. He interpreted this As the Una Belales admitting in part that we had done som Ching my adding. It makes the apology and removes it in in Hisae  Pentagon source said whim Cholson and his Driver were doing was entirely  a state department official said the soviets in the past never admitted an error never admitted they were wrong. Perhaps ibis is  Summit from Page 1 said we feel we have made real Progress in recent years. Our message is and should be one of Confidence and optimism in dealing with the challenges confronting  injecting a Nole of caution the statement said. The leaders agreed there is no room for complacency. Difficult problems  with the world Economy in Good shape there were no problems requiring immediate answers. No dramatic initiatives or breakthroughs were end Eclid and the biggest threat to an argument free meeting was the volatile Issue of agricultural subsidies. British prime minister Margaret Thatcher usually an ideological soulmate of Reagan a said the president s plan to abolish All agricultural subsidies by the year 2000 was very courageous but nol very realistic according to Hubert Vodrine a spokesman for French president Francois Mitterrand who opposes Reagan s idea. Vedrine said Thatcher gave a Long and vigorous criticism of the subsidies and said they could rum our  Reagan said there was no simple answer and that we All subsidize Vernne said. The agricultural subsidies which Cost major industrialized countries upwards of $200 billion a year Are extremely popular with banners european negotiators have said they would be wilting to talk about cutting them bul not abolishing them. Reagan has indicated the dispute could wait till the end of the year and fit water acknowledged the idea was going nowhere Here. We realize in will nol be resolved at this Summit nor do we expect any sweeping conclusions or admonitions or directions on agriculture to come out of the Summit he said. Bul we do want to begin building he internal political and social pressure for change in this  on another subject the leaders also discussed the overwhelming debt problem of inc poorest nations in Africa. A British official said they agreed in principle to a mixture of proposals involving both loan write offs rescheduling and concessionary interest Rales Afler economic discussions at the afternoon session the Leaden were free to delve into political subjects Over dinner at a country club. Fitzwalter said he expected Rea Gan would discuss his recent Summit meeting in Moscow with soviet Leader Mikhail s. Gorbachev. The spokesman also said the Summit would produce a statement on Easi West relations stressing the importance of strength and Unity among . Allies. Fitzwater said that Reagan suggested to new Summit participants that the meeting be on a first name Basi and added my name is  under rules of protocol Reagan the longest serving head of stale was the last 10 arrive Ai the official Wel coming ceremonies. The first was Jacques de Lon president of the european economic Community Fol Lowed by italian Premier Ciriaco de Mita japanese prime minister Noboru Takishita West German Chancellor Helmut Kohl Thatcher French president Francois Mitterrand and Reagan. Unlike Many earlier summits there were no forein policy issues or outside mailers Likely to dominate toe Agenda As the persian Gulf War did last year in Venice and terrorism did a year earlier in Japan