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February 07, 1975 - Image 1

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Publication:
The Michigan Daily, 1975-02-07

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RUTHLESS
LANDLORDS
See Editorial Page

t I!3ZtU

A6V
AL,
:43atly

SIBERIAN
High-20
Low-3 below
See Today for details

Eighty-Jour Years of Editorial Freedom

Vol LXXXV, No. 107

Ann Arbor, Michigan-Friday, February 7, 1975

Ten Cents

Eight Pages

They beat

themselves, then collect

Z2JSEE NWWS PAth c yLLXDTh
Pilot refueled
Dick Munson, director of the Pilot Program, re-
ported yesterday that 140 more letters protesting
the possible elimination of the program were sent
yesterday to Vice President for Academic Affairs,
Frank Rhodes. Over 300 letters supporting Pilot
have already been delivered to Acting LSA Dean
Billy Frye. This flurry of student response was
prompted by a report last month that, due to an
impending 4 per cent budget cut, Pilot would be
among the first to go at the 'U.' Munson added that
he has contacted all the Regents on the matter
of Pilot Program and several have expressed a
particular interest in avoiding its elimination.
Check!
Steve Feldman and Bob Beinish, the two men
trying to break the world's marathon chess playing
record, got a mild shock yesterday morning when
they began their assault on the mark. They found
out they will have to play an additional six hours
because the standing record of 81 hours was sur-
passed last year by a pair of Southwestern Louisi-
ana University students. But the local pair re-
mained confident and undaunted by the news.
0
732 and 913...
.. .are this week's winning lottery numbers. If
you have both numbers, you qualify for the super
drawing where you can win up to $200,000. The
winning numbers in the turkey bonus drawing are
780 and 418. Winning tickets in the $1 jackpot draw-
ing are 149736, 53170, and 346.
Happenings .**
are attractive today. Jean-Pierre Debris, a
one-time prisoner of the South Vietnamese gov-
ernment, will speak at 8 p.m. tonight as part of
a documentary presentation on North Vietnam en-
titled "Year of the Tiger" at the Ecumenical Coun-
cil Center . . . a luncheon with Donald Hall will
take place at noon today at Guild House, 802 Mon-
roe. Hall will be talking about his new play,
"Bread and Roses." Home-made soup and sand-
wich will cost 50 cents . . . Peter Van Dresser will
lecture on "Biotechnic Recentralization" today at
the Residential College Auditorium, from 3:15 to
5:00 p.m. . . . East Wind will sponsor a showing
of the film "Guilty by Reason of Race" tonight at
8 p.m. The film will be followed by a discussion of
Japanese-American camp experience during World
War H. The program will take place in the Coman
Lounge at Baits H on North Campus. Refresh-
ments will be served . . . a seminar on "The Artist
and Environmental Law" will be presented by two
attorneys today from 3 to 5 p.m., at room 2113 of
the Art and Architecture Building on North Cam-
pus . . . a free concert will take place at 8 p.m.
tonight featuring the University Contemporary Di-
rections Ensemble, conducted by Uri Mayer. The
concert will be at Rackham Auditorium, and will
feature works by David Foley, Lloyd Rogers, and
Dinu Ghesso . . . the Rackham Student Govern-
ment will sponsor a "Grad Happy Hour" at the
Law Club lounge today from 4 to 6 p.m.
On the inside* *
the Editorial Page features a look at the
Citizens' information service by John Staniszew-
ski . . . the Arts Page includes the traditional Cine-
ma Weekend wrap-up of campus movies . . . and
an insight into Women's intercollegiate athletics by
Marcia Merker highlights the Sports Page.
On the outside...
Don't let the frost bite. As the arctic air fin-
ally moves in, temperatures will remain on the
arctic side. Bright sunshine will dominate the aft-
ernoon skies, interrupted only by a few scattered
clouds and an occasional flurry. Fair skies and bit-
ter cold temperatures are expected for tonight.
Highs today will reach 15-20, with a possible new
season low of -3 to 2 above. Chances of measure-
able snow will be near zero through tonight. Sat-
urday, a storm moving in from the west will
cause increasing cloudiness with a chance of snowy
evening,

i

NEW YORK, (Reuter) - A
man smashed up his car. Then
hechiseled against his teeth
with a screwdriver and also
banged his head with a grape-
fruit, raising a lump. He did it
on a regular weekly basis.
A woman complained that the
food in. a restaurant was un-
wholesome, rushed to a toilet
to vomit and in the process,
dropped and lost her false
teeth in the toilet. She has done
it numerous times.
THESE ARE just two exam-
ples cited by investigators of
what seems to be a favorite
American pastime: trying to
cheat insurance companies.
According to the Insurance
Crime Prevention Institute
(ICPI), financed by a number
of insurance firms, insurance

Fraudulent insurance claims increase

fraud costs the industry more
than $1 billion a year.
And the variety of fraudulent
practices is bounded only by
imagination.
THE aforementioned screw-
driver and grapefruit man had
automobile casualty policies
with a number of insurance
firms and took turns filing
against each, literally and pain-
fully using his head to try to
increase damages in "acci-
dents" around the nation, inves-
tigators said.
The toothless woman filed in-
cessantly against companies
which insured the hapless res-
taurant she patronized in her

travels about the United States,
seeking money to replace the
teeth she said she lost, investi-
gators said.
And then there is the claim-
ant who attempted to collect
from his insurer for a knee in-
jury that he said prevented him
from kneeling at mass in a Ro-
man Catholic church, thus de-
priving him of the joys of com-
munion with his god and reli-
gion. The company might have
paid, but it discovered the man
was a Methodist.
THERE'S also "Nub City," a
small Florida town that insur-
ance investigators decline to
identify by its real name be-

cause of continuing disputes
over claims.
More than 50 people in the
town have suffered "accidents"
involving the loss of various or-
gans and appendages and
claims of up to $300,000 have
been paid out by insurers.
Their investigators are posi-
tive that the maimings are
self-inflicted and Nub City resi-
dents have trouble these days
getting insurance coverage.
BUT MORE classic and us-
ual cases of insurance fraud
involve persons who regularly
slip and fall in front of places
they know or believe to be
heavily insured against such

accidents, or rings of doctors
and lawyers who combine to il-
licitly raise the damages in-
curred in real or staged auto
accidents.
ICPI has already broken a
number of such rings.
One of its biggest cases in-
volved a ring in Detroit that
ICPI said swindled auto insur-
ers out of more than $1 million.
More than 70 people have been
indicted in the case since it
was broken in 1972, including
doctors, lawyers, private inves-
tigators and even policemen act-
ing as "runners" - agents who
direct accident victims to par-
ticular lawyers and get a kick-

back in return.
IN addition to the ambulance-
chasing operation, the ring is
alleged to have forged doctor's
reports and collected for "vic-
tims" of bus crashes who, it
developed, hadn't been on the
buses at all.
James Ahern, ICPI director,
said several of the ring mem-
bers also had ties to organized
crime whose role in insurance
fraud is reported to be growing.
Organized crime has appar-
ently found out what lone-wolf
operators learned long ago:
that insurance companies would
rather pay off a small claim
than go to the greater expense
of going to court.
BUT while the collective
amount of small claims was
See INSURANCE, Page 2

Fleming 14
contender

Dading

for

U

Cal. p
By DAVID BURHENN
University President Robben
Fleming is reportedly one of
three or four candidates for the
presidency of the nine-campus
University of California system.
One California source indicated
that Fleming was the front run-
ner for the prestigious post.
According to officials in the
California s y s t e m, Fleming,
Michigan State University pres-
ident Clifton Wharton, Univer-
sity of Utah president David
Gardener, and UCLA vice chan-
cellor David Faxon are the top
contenders to head the nation's
second largest university sys-
tem.
FLEMING acknowledged last
night that he had been inter-
viewed by t h e presidential
search committee in California
last weekend. "The committee
members asked 'would I have
an interest in the position?",
Fleming said.

residency

MSU president W h a r t o n,
reached at his East aLnsing
home last night, would not com-
ment on his candidacy. Ile said
that a statement released last
week declaring. Wharton "has
had no contact with any Cali-
fornia officials with respe-t to
his possible interest in such a
position' was still valid.

WHARTON, according to the
California sources, is consider-
ed a long shot for the presi-
dency.
The next president of the Uni-
versity of California will be re-
sponsible for the administration
of 120,000 students. The current
president, Charles Hitch, is re-,
tiring on June 30.

' tense as GEO
begins walkout vote

Daoily Photo by STEVE KAG.AN
THE ANNUAL KIWANIS sale always draws a large and varied crowd. A number of people ex-
amine the wares during the event's opening yesterday. It will run through tomorrow.
Rummage sale hits infation

"I always tal
bargaining, hook
fished through m
footballs andy
crowded opening
Rummage Sale.
Ice-skates sold
for $8. Antique
the-century lamp
seemed pleasing
"the longer you
get."
"THE ONLYI

By SUSAN ADES you can't get close enough to buy anything with-
k 'em down," boasted a hard- out forcing yourself through." The crowding in
ey-playing twelve year old as he the three-story Kiwanis warehouse kept a good
nounds of used clothing, deflated number of people waiting in line outside.
yellowing books at yesterday's Twenty year veteran Kiwanis Rummage sales-
of the local three-day Kiwanis man Stan White felt sure that "the first day,
right after people get out of work there will be
for $2 and a "new" men's tux another mad rush. They'll all be crabbing that
freaks crowded around turn-of- they hadn't gotten here early enough."
ps and $10 sausage mills. Prices Chairman of this year's sale, Harry Kenwor-
and according to one shopper, thy, appeared confident that the large number
hang around, the cheaper they of customers guaranteed a financially successful
sale. "It's too early to tell but it seems they are
paying asking price," he said.
PROBLEM," she noted, "is that See SALE, Page 2

He indicated
word had been
candidacy.

that no farther
received on his

CONFRONTA TION BREWING:
congress hits tax plan

Fleming refused to Say wheth-
er he would accept the position
should it be offered to h!m.
It was announced last week
that Fleming was one of 10
prime candidates for the Uni-
versity of California presidency.
At that time, it was expected a
final decision would rot be
reached until sometime later
this month or in March.
HOWEVER, sources said last
night that the name of the new
president might be announced
as early as next Friday, at a
meeting of the 26 University of
California regents in San Fran-
cisco.
One of the regents, William
Coblentz, said yesterday that
Fleming was "certainly being
considered" for the post and
that "the number of names has
been narrowed down."
But Coblentz would not con-
firm whether Fleming was the
leading contender, or whether
he would accept the $60,000 a
year post. "I have no idea," he
said, and then asked, "Why
would he want to leave Mich-
igan?"

By JIM TOBIN
The tense, waiting atmos-
phere which has surrounded the
mounting Graduate Employes
Organization (GEO) crisis for
the past week was shattered
today by the announcement that
the union has begun a strike
vote.
As the strength and steadfast
stance of the organization be-
came apparent, department
chairpersons were forced to
consider their options in the
event of a strike.
THE IMPENDING walkout by
the University's 2,200 Teaching
Fellows, and staff and research
assistants was hotly debated in
classrooms throughout the cam-
pus, as professors and the grad-
uate workers presented their
positions to students.
The union began a strike vote
yesterday and the balloting will
continue until Monday. A strike
if authorized by GEO would go
into effect on Tuesday.
Many department heads indi-
cated that while they hope a
strike can still be avoided, they
have considered contingency
plans for covering classes. Most
claim the impact of the strike
will be felt most severely in
the large introductory courses
where teaching assistantshan-
dle the bulk of administrative
work.
THOUGH chairpersons plan
to do all they can to cover un-
dergraduate classes, they intend
to leave the decision whether
to report striking GSAs to in-
dividual professors.
In a letter to "members of
the academic community," Vice

By The AP and Reuter
WASHINGTON-Congress, ac-
cused by President Ford of do-
ing "basically nothing" about
the ailing economy, drove on
yesterday toward crucial com-
mittee votes on an emergency
tax cut.
Shaping its remedy for reces-
sion, the House Ways and Means
Committee rejected bids to give
businesses, including such finan-

Newsman snags Fed "bomb
squad" carrying shoebox gag

cially troubled giants as Chrys-
ler Corp., Lockheed Aircraft
Corp. and Pan American World
Airways, a $1 billion tax break.
BUT White House Press Sec-
retary Ron Nessen said Con-
gress, controlled by Democrats,
wasn't moving fast enough. He
quoted the President as saying
it "really has done basically
nothing. . . on anything" dur-
ing its first month in session.
The criticism s h a r p e n e d
Ford's confrontation with Con-
gress, where his economy-
energy program is in trouble.
The House voted 309-114 on
Wednesday to suspend Ford's
increase in oil import tariffs,
part of the President's effort to
curb consumption by driving
up prices.
FORD has countered such op-
position by challenging Congress
to come up with an energy-
economic package ofits own.
Nessen said Ford wanted Con-
gress to 'stop wasting all this
time."
Noting a House recess sched-
uled to begin Friday, Nessen
declared: "Congress is going
home. 'They've been here a
monthrand all they've done is
vote for a delay."
.He said the President spoke

"with practically no support,"
Nessen said, "the 114 is more
than he expected . . . The bad
news is that he didn't do as well
as he hoped he would."
NESSEN ALSO asserted that
the inflation rate this year would
be "a shade over nine per cent,"
rather than the 11.3 per cent
cited in the 1976 budget Ford
presented to Congress Monday.
In criticizing rejection of the
proposed increase in food cou-
pon prices, Nessen said the ac-
tion by Congress would add 600
million dollars to the budget
See CONGRESS, Page 8

President for Academic Affairs
Frank Rhodes directed faculty
members to take the same mea-
sures in regard to absence and
lack of fulfillment of degree re-
quirements that they would un-
der normal circumstances.
Chemistry department chair-
man Thomas Dunn stated that
chemistry 'professors are on
their own in regard to lowering
grades of striking GSAs.
"THAT'S ENTIRELY up to
the individual professor," Dunn
said. "You can't make a rule
about things like that. It will
See 'U', Page 2
Daycare'
measure
on ballot
By DAVID WHITING
Two proposed City Charter
amendments, calling for door-
to-door voter registration and
local government funding of
child care, were certified by
the city clerk's office yester-
day to appear on the April bal-
lot.
In contrast to a controversial
rent control proposal which has
already been challenged by lo-
cal landlords, the child care
and voter registration propos-
als are not expected to be
challenged and are almost cer-
tain to appear on the ballot.
THE HUMAN Rights Party
(HRP) sponsored child care
proposal would require 1.7 per
cent, or $306,000 of the city's
total budget to be appropriated
to day care.
The door-to-door registration
initiative, backed by the Uni-
versity's Pilot Program, would
require the city to accept vol-
unteer deputy registrants who
would be allowed to register'
voters anywhere in the city.
Larry Moloney, chairman of
the Voter Registration Commit-
tee of the Pilot Program, em-
phasized his committee is non-
partisian with support from
HRP, Democrats, and plans to
ohtain GOP and League of Wo-

WASHINGTON (R') - The agency re-
sponsible for protecting federal buildings
from bomb terrorists expressed dismay
but little surprise yesterday to learn that
a bearded newsman carrying a suspicious-
looking shoebox had penetrated tough new
security precautions.
"We have said all along that anybody
who is determined to make violence can do
so," said Rich Vawter, spokesman for the
General Services Administration (GSA).
VAWTER added, however, that he had
warned his agency just two days earlier to
"tighten up like hell because we would be
tetedagan."

Department and GSA itself, the agency
that trains and deploys 3,500 guards across
the country to protect federal property.
"Oh no! I can't believe it!" a young wo-
man exclaimed when the newsman arrived
at the offices of GSA Administrator Ar-
thur Sampson and explained what had hap-
pened. Sampson was the man who issued
new security measures in the wake of
last week's State Department explosion.
Guards were told to deny entrance to
anyone who didn't disnlay a government
ID card and submit his briefcase or pack-
pge for inspection.
THE REPORTER slipped past three

Youth center may lose license
as director faces charges

By CHERYL PILATE
The University C e n t e r, a
much-maligned psychiatric f a-
cility for emotionally disturbed
adolescent males, will probably
not be re-licensed at the end of
this month, according to sources
in the State Department of So-
'.Aj gp,Vj.-

DURING THE past jear, the
University Center has been in-
vestigated by three state:aen-
cies and a U.S. Senate suocom-
mittee for a variety of ;dleged
offenses, including questionable
billing practices, patient mis-
treatment and rampant traffic-
king in illegal drugs.

" .. .. .. .. .. t

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