European Stars and Stripes (Newspaper) - December 24, 1989, Darmstadt, Hesse                                ,.-tr1mtars and stripes sunday. December 24,1989 air a 6 senators targeted in ethics probes to ethics commit acc Sais Friday it will con a duct a formal investigation of five sen-7- actors who  Wirtz Mcdoal Figula a tors on behalf of Charles htkcatinjjr.,a wealthy political donor who headed a huge savings and loan seized by the government earlier this year. The panel said it also would conduct a formal probe of a sixth senator. Alfonser Amato . A former democratic opponent of d Amato filed a complain with the committee alleging influence peddling in the current housing and a. Urban and development scandal Andi other matters. The senator has denied. I any improprieties. 1 the Keating Case can have an nor artious political Impact for the senators Iho have received More than $1.3 Mil lion for their campaigns and causes from the former head of the failed Lincolna Ings and loan. All have denied wrongdoing. The committee action will begin a preliminary inquiry As the panel tries lode Termine whether there was a link be tween the Keating Money and the intervention by the live senators majority whip Alan Cranston a Calif John Mccain a Ariz. John Glenn a Ohio Donald w. Ringle jr., a Mich. And Dennis Deconcini a Ariz. Federal banking regulators took control of Lincoln of Irvine. Calif., april 14 in what is expected to be the nation Sworst Thrift failure. The Cost to taxpayers is expected to exceed $2 billion. The ethics committee headed by Sens. Howell Heflin d-ala., and Warren c Aii f i Rudman r-n.h., had previously hire Dan outside counsel Robert Bennett of Washington to determine whether a for Mal probe should begin. In he d Amato can the complaint involved the senator s support for Hud projects that went to developers who were major top contributors. The complaint also involved allegations of improprieties in the Sale of Inex pensive Hud subsidies houses in the Early 1980s in d Amato s Hometown of Island Park . In addition the complaint said d Amato made improper Calls to Federal prosecutors in other Mai lers. After discussing this matter with Spe Cial outside counsel the committee believes that fairness to All concerned re quires a thorough and Complete review of All relevant facts and circumstances the committee said in a statement Friday regarding All six senators. A preliminary inquiry is the first of Mccain three investigative stages and tries to determine whether there is a reason to believe Senate rules were broken. If the committee so decides it would begin an initial review to determine whether there is substantial credible evidence of violations. The final Slep is a full investigation to decide if there is Clear and convincing evidence that standards were violated and whether discipline should be recommended to the Senate. On april 2, 1987, when san Francis co based regulators had concluded that Lincoln was failing. Cranston Deconcini Glenn and Mccain met with then chairman Edwin Gray of the Federal Home loan Bank Board in Deconcini office. Gray later testified before the House banking committee that the senators offered a quid pro quo " they would per Suade Lincoln to increase its Home lend ing activity if regulators stopped pressuring the Thrift to pull out of its Glenn d Amito other investments. The senators Den this version. On april 9, All five senators at Gray suggestion met with the san Francisco Bank examiners. Notes taken at the meeting show that Deconcini suggested that Lincoln could increase its Home lending in Exchange for regulatory for Bearance. The examiners told the senators the were preparing to make criminal refer rals to the Justice department. In the week before the government look control of Lincoln two years after those meetings Deconcini and Cranston contacted the chief Federal regulator m. Danny Wall to push for any legitimate Sale of the Bank to forestall a government seizure. Although the senators or their staff were lobbied by either Keating his associates or prospective buyers Diccon Miniand Cranston said they contacted Wall in an Effort to save jobs and taxpayers Money. Jury seeks 16 years for Driver in bus crash Carrollton by