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Publication: European Stars and Stripes Saturday, March 18, 1989

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   European Stars And Stripes (Newspaper) - March 18, 1989, Darmstadt, Hesse                                Page 4 the stars and stripes saturday March 18,1989 3 former officials of aerospace firm accused of fraud Chicago a a Federal grand jury has issued fraud indictments against three former executives of an aerospace company that last fall paid a record$115.3 million in fines for overcharging the government on defense contracts. The three men were charged with conspiring to defraud the defense depart ment scheming to conceal material facts and making false statements. Sundstrand corp. Pleaded guilty in october to fraud and agreed to pay a $115 million Fine the largest fraud settlement in defense department history the indictments thursday resulted from a continuing three year investigation of the Rockford based defense con tractor said . Attorney Anton  Uka said. The three former executives were identified As Joseph Mccarthy 53, of Rockford. A former division controller Ray John Chapel or. 46, of Reston va.,a former division pricing manager and Ralph Hamann. 63. Of Rockford a for Mer pricing group supervisor. The three were All previously assigned to Sundstrand s advanced technology group which manufactures electrical Power systems for military and Commer Cial aircraft. Or. Mccarthy categorically denies that he conspired to conceal from the government one of Sundstrand corp s accounting  said his lawyer Henry f. Schu Clec Iii of Washington. Chapel s attorney. Jack Bray said the government has indicted someone who was not part of the problem but part of the solution but declined to comment further. Hamann s attorney refused to comment. If convicted Mccarthy faces a Maxi mum penalty of 20 years in prison and $1 million in fines Chapel and Hamann could face 30-year terms and $1.5 Mil lion in fines. Sundstrand spokesman Claude ver Nam said the company was not involved in the indictment of these individuals and they arc not employed Here. For these reasons it s not appropriate for the company to comment  assistant . Attorney William Cla Bault. Who will be one of the prosecutors if the men go to trial declined to say whether the men were acting on orders of company superiors or whether they have agreed to cooperate. The government contended that the aerospace manufacturer had Over toiled the government for aircraft parts obtained some contracts by under bidding actual costs then attempting to recover them through overhead accounts set up for other purposes and submitted claim for such things As baby sitting expenses country club memberships and even servants for some executives. On Jan. 26. Sundstrand agreed to repay an additional $62.3 million to the Pentagon and make Cost saving conces Sions on future contracts that one de sense official estimated could be Worth an additional $34 million. Safety can be skin deep  David Del Kin uses an Ultra sonic test lab Deuce to measure the thickness of skin on a new md-80 Jet in Lone Bench Calif. Ultrasonic test ing is one of the methods used in acro spice and other industries in which structural soundness of components is critical to safety. La schools to put apples Back on menus  Angeles a apples expelled from school cafeterias because of a nationwide cancer scare will return to menus in the nation s second largest school District after passing chemical tests. Icsis for the allegedly cancer causing chemical alar known As Damino Zide proved negative for fresh apples Apple juice Apple Raisin bars and  Apple Cherry juice bats. Leonard Britton the superintendent of the los Angeles uni fied school District said thursday. The District still will withhold other Apple products including Apple sauce and canned Apple slices from school menus until lest results Are delivered next week officials said. Meanwhile shipments of Washington apples dropped by 152,000 boxes in the past week a sign that consumer sales Are being Hurt by the alar scare an Industry official said Friday in Yakima Wash. The weekly report of Oul of slate ship ments of the nation s largest Apple crop showed a drop from 1.56 million boxes two weeks ago to 1.4 million boxes last week. Each Box contains 42 pounds of apples. The announcement in the nearly 600,000-student District coincided with similar decision by the Federal Environ mental Protection Agency food and drug administration and department of Agri culture. In a separate statement the Epa Fra and the agriculture department said die Federal government believes that it is Safe for americans to eat  although the Epa has acknowledged the link Between Damino Ide and cancer James Moore acting Deputy Epa administrator said thursday that he considers the health risk insufficient at current use and residue Levels to warrant its removal from the Market. Agencies kick in funds to keep satellites going Washington a Money has been raised to keep the landsat Earth sensing satellites going for at least four months the National oceanic and atmospheric administration told Congress on Friday. The satellites had been threatened with shutdown on March 31 because of a Lack of Money but passing the hat among agencies that use information from landsat has generated enough pledges to keep the satellites operating. The defense department pledged $3 million $1.6 million will come from satellite operating receipts $1 million will come from the National aeronautics and space administration $500,000 will be donated by the Interior department and $300,000 will be sent from the department of agriculture said or. William e. Evans Commerce undersecretary for oceans and atmospheres. The landsat satellites which col Lect information used in mapping locating Mineral resources and As Sessing agricultural and other land features arc operated by the National oceanic and atmospheric administration which is under Evans. The budget problem was caused by the fact that the two satellites Are past their anticipated lifetimes and planners had not expected them to last this Long. A replacement is to be launched in a year or so and that has been funded. Asked what will happen when the new financing runs out in four months Evans Lold the House appropriations Commerce subcommittee that he is not sure but he wants to be cautious about committing Large amounts of Money. Eagleburger approved for no. 2 diplomatic Job Washington a the Senate gave Quick approval Friday to Lawrence Eagleburger As Deputy Secretary of state the state department s no. 2 position. The approval was by voice vote. Eagle Burger s nomination was approved thursday by the Senate for eign relations committee but Only after Sharp questioning from sen. Jesse Helms , Helms who spent two Days Eagleburger questioning the nominee s business relations with former Secretary of state Henry Kissinger took part in the 19-0 vote to approve Eagleburger. Helms a staunch conservative has been critical for years of Kissinger s con duct of foreign policy especially moves toward closer relations with the soviet Union during the Nixon and Ford administrations. Helms questioned whether Eagleburger s work for Kissinger s firm conflicted with Laws that require those who lobby for foreign governments to Register their activities with the . Government. Eagleburger stressed to the committee that he had never lobbied the . Government on behalf of any of the firm s clients and had strictly abide by the Law. His nomination was approx cd unanimously after he agreed to disqualify him self from All matters involving clients who d had Contact with the firm Over the last two years one of several Steps he agreed to take that went beyond the de mands of the ethics in government act  
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