European Stars and Stripes (Newspaper) - April 25, 1990, Darmstadt, Hesse Page 4 a a the stars and stripes wednesday april 25,1990milken agrees to pay $600 million junk Bond tycoon tearfully repentant in court new York apr junk Bond giant Michael Milken tearfully pleaded guilty tuesday to six criminal charges and agreed to pay $600 million to Settle the biggest Wall Street fraud Case Ever against an individual. A i realize by my acts i have Hurt those who Are closest to me. I am truly sorry a Milken said breaking Down and crying As he read a statement in court. Included were guilty pleas for aiding Speculator Ivan Boesky in several securities Law violations for aiding another trader in filing false income tax returns and for conspiring to violate securities Laws. Sentencing was set for oct. 1. Milken faces up to 28 years in prison. Milken 43, entered his guilty plea at 12 42 . Before . District judge Kimba Wood in a courtroom packed with about 250 people. The move capped the stunning decline of the former head of Drexel Burnham Lambert High yield Bond department who gained notoriety for engineering financing for some of the biggest corporate takeovers of the 1980s and then for allegations of widespread wrongdoing. Milken was the main target of the governments lengthy investigation of Wall Street crime that resulted in More than 30 convictions. Milken was linked to a Large insider trading network headed by Boesky who paid $ 100 million and was sentenced to three years in prison in Exchange for providing information against Milken Drexel and others. After three years of rumours and press leaks the Justice department in March 1989 indicted Milken his brother Lowell and former Drexel trader Bruce new Berg on an unprecedented 98 counts of fraud and racketeering. Under the plea Deal All charges were dropped against Lowell Milken a lawyer and key aide to his brother at Drexel. The Case against Newberg was not resolved. Milken pleaded guilty to counts of conspiracy aiding and abetting failure to meet Federal securities disclosure regulations securities fraud aiding and abetting a regulated broker dealer to violate securities reporting requirements mail fraud and assisting in filing a false tax return. The first five counts carry a maximum five years each in prison and the tax count has a maximum three year set Nence for a possible total of 28 years. Milken agreed to pay $200 million in penalties to the government and $400 million to set up a fund for reimbursing defrauded investors. A we believe that this prosecution and the fact that or. Milken has admitted to guilt will Send the right message to the financial Community a assistant . Attorney John k. Carroll told the court. The original indictment had charged the defendants with illegal securities trading Stock manipulation and other fraudulent activity some in connection with corporate mergers and acquisitions. Milken had pleaded innocent and repeatedly said he would fight the charges at trial but he reversed his position after months of negotiations Between the government and his attorneys. He had faced a much longer prison term and possible forfeiture of his wealth said to be More than $1 billion under the original charges. The plea Deal was reached Friday after the . Attorneys office said it would bring a broader indictment As it had been threatening to do for nearly a year if Milken did not Settle. Milken told the court he violated the Law in doing business with Boesky in 1984, when Boesky acquired More than 10 percent of the Stock of Fischbach corp., a takeover target at the time. As part of his dealings Milken told Boesky that Drexel would cover any losses Boesky suffered in trading the Stock in violation of Federal disclosure requirements. Michael Milken and his wife Lori walk to the courtroom in new York on tuesday. Early out fever strikes Many Pentagon civilians re 1utkf than canc of in Wachino inn Arp pvn Ptah to Tarp the Oft pc by Mike Causey the Washington Post Washington a defense department civilians looking for a department wide grab your pension and run offer this year Are living in a dream world according to top Pentagon manpower experts. Army Navy air Force and other Dod units expect substantial civilian Job cuts Over the next few years. Eased world tensions and changing defense commitments Are the reason. But none expects or has planned for service wide Early out offers for civilians. The Pentagon has about 1 million civilian employees including Well Over 100,000 in the Washington Baltimore area. Planners expect a series of limited Early outs base by base or command by command. The first big one could be the giant army Materiel Como which has thousands of employees in Washington. Many Dod civilians have Early out fever. It is a byproduct of talk of the so called peace dividend. Normally Federal workers May retire on immediate pension at age 55 with 30 years service at 60 with 20 years or at 62 with five years. The 55-30 Retiree gets a pension equal to 56 a percent of the High three year salary the 60-20 Retiree gets 36 i percent those with five years get 7 la percent of the High three year salary. The office of personnel management can approve Early outs when agencies make a Case that they Are facing major layoffs or downgrading. In those cases workers can retire at any age after 25 years service or at age 50 with 20 years service. Annuities Are reduced 2 percent for each year that the Retiree is under age 55. This year the pm has oked Only eight Early outs in which Only 752 employees were eligible. About 163 Are expected to take the offers. Defense officials say Early outs will be selective. They Are now watching army Materiel Comdr a payroll situation. It May have to Lay off 6,000 of its 103,500 civilians this summer. Unless Congress comes up with More Money Dod could seek the Early outs As Early As july or August. The House budget committee has voted 21-14 to keep full Cost of i veg adjustments for Federal military retirees. The president wants to skip january a cola and return in 1992 with raises that Are 1 percentage Point less than inflation. Congressional budget cutters like the a diet cola idea. In the meantime rep. Mary Rose Oakar Domo has picked up 217 co sponsors for her Resolution that would guarantee the retirees the full cola. On the Senate Side v. Domenici r-n.m., has 43 co sponsors for his full cola plan. Man opens fire in mall killing 1, wounding 3 Atlanta apr a Man in a business suit opened fire tuesday in the food court of a suburban shopping mall killing one Man and wounding at least three other people authorities said. James Calvin Brady 32, of Atlanta was charged with one count of murder and three counts of aggravated assault Dekalb county Public safety director Thomas Brown said. As officers led Brady away he muttered a you done to know what All these people have done to me a Brown said. He said police had not established a motive for the attack. A we done to believe it was directed toward the individuals who were shot. We think it was directed toward people in general a Brown said. Todd Smith assistant manager of a Deli at perimeter mall said he looked up when he thought he heard a balloon pop about 11 30 . And saw a Man in a suit firing off about four rounds. A it appears to be random a he said adding that the diners in the area panicked. A everybody just. Dispersed. He threw the gun in the trash can and then he walked one Man wounded in the Chest was taken to Northside Hospital where he died about an hour and a half after the shooting Hospital spokeswoman Carol King said. His identity was not released. Three More victims a two women and a Man a were taken to shallow Ford Hospi Tal. Hospital spokeswoman Cathy Mcafee said the Man in his 20s, suffered a leg wound that was not life threatening Ana was listed in stable but critical condition. The two women were in stable condition. One in her 50s, had a Pelvic Woun and the other in her 70s, suffered a abdominal wound she said. There was some confusion Over t number of people shot. Police at t said four then five but Hospital Ronci said Only four people were taken to two hospitals
