-1 1 ! Eighty-three years of editorial freedom Edited and managed by students at the University of Michigan Tuition cut ignores real needs 420 Maynard St., Ann Arbor, Mi. 48104 News Phone: 764-0552 WEDNESDAY, JANUARY 9, 1974' I Courting danger THE U. S. SUPREME Court in recent weeks has agreed to hear several cases which could prove important to the well-being of those incarcerated in pri- son. Monday the court announced it will rule on the right of defendants who do not have the funds to retain a lawyer to appeal their convictions to high state and federal courts to have an attorney supplied by the state. Indigent defendants now have such rights during trial and initial appeal, but have left questions of further appeals unanswered. The case is being appealed to the Supreme Court by the State of North Carolina after a federal circuit court rul- ing that stated that while a state "al- lows other convicted felons to seek ac- cess to the higher court with help of re- tained counsel, there is a marked ab- sence of fairness in denying an indigent the assistance of counsel as he seeks ac- cess to the same court." :WHAT IS AT stake, of course, is the fairness of the judicial system. Deny- ing access to state-provided counsel ef- fectively cuts off any chance to pursue legal action, amounting to discrimina- tion based on wealth. Supreme Court de- TODAY'S STAFF: News: Charles Coleman, Christopher Parks, James Schuster, Charles Stein, Rebecca Warner Editorial Page: Marnie Heyn Arts Page: Diane Levick, Jeff Sorensen Photo Technician: Tom Gottlieb cisions have outlawed such indiscrimina- tion in the past; hopefully it will do so again. A second case accepted for review by the Court yesterday involves the right of prison inmates to have access to jour- nalists. A federal court ruled that a California state regulation not allowing inmates to solicit interviews or journalists to request to speak to specific inmates denied in- mates of their constitutional right of free speech. Thus the issue of whether or not pri- soners are to be treated as human beings is again at stake. Access to the media can provide some measure of sorely-need- ed self respect to those on the inside as well as providing some outlet for criti- cisms of the prison system. UNFORTUNATELY THE S u p r e m e Court, transformed into a bastion of conservatism during the Nixon Adminis- tration, has rendered some rather reac- tionary decisions in the field of criminal justice. Only last month the court handed down an important decision allowing po- lice to search any person under arrest for any charge, without a search warrant and without probable cause - a ruling that severely infringes upon the Fourth Amendment. It would appear that the court could be the major legacy of the Nixon presiden- cy, precipitating a series of major set- backs for various civil rights. Court ac- tion on the above two cases will bear watching. By MARK GOLD j HE ADMINISTRATION m a d e great protestations, but the dis- covery of a 3.75 million dollar bud- get surplus came as no surprise. To make amends, the Regents de- cided to grant some sort of rebate and after a few minor adjustments, proposed to give back less than half the surplus. Or more accur- ately, they're granting it if you remain here in school. Arguments may be made over the size of the rebate or the meth- ods by which the money will be returned. The Regents in their in- finite wisdom left much to quar- rel over in their proposals. Yet while it would be important to question the rebate program and examine its particulars closely, such an examination would miss the central issues rising from last September's 24 per cent tuition hike. A rebate in the form of a temporary 5 or 6 per cent cut in tuition will not alter the fact that too many people cannot afford to attend school at this University.T A STATE SCHOOL should ba an open one. Yet the University demes many Michigan students the use of its vast resources on the basis of income alone; through ever in- creasing tuitionrates, it keeps low- er income groups away. Income elitism has chronically held sway in Ann Arbor. Last Septembers' insufferable tuition increase only exacerbates this bias towards in- :ome and social elites. Research is the test of this rhe- toric and the evidence of income studies is rather disturbing. In 1967, less than 3 per cent of the Thrr CONTROL OF many large Cor- i porations by a few banks is hidden from government regulat- ors, according to a study by two Senate Subcommittees. Many companies, in oficial own- ership reports, list holdings of ma- jor institutional investors in num- erous "nominee" or "street name" accounts, the study shows. The consequence, said Senaors jLee Metcalf (D-Mont.) and Ed- mend S. Muskie (D-Me.) is a massive coverup of the extent to which holdings of stock have be- come concentrated in the hands of very few institutions investors, es- pecially banks." The holdings of seven banks in major electric utilities were list- ed in 53 different nominee names, they said. (The banks are: Chase Manhattan, Morgan Guaranty Trust, Manufacturers Hanover Trust, First National City B a n k , Bankers Trust of New York, Bank of New York and State S t r e e t Bank and Trust of Boston.) THE HOLDINGS OF four of these banks (Bankers Trust, Chae Manhattan, the Bank of New York, and State Street Bank and Trust) in the Burlington Northern (an energy and transportation con:lom- erate) amounted to one fourth of the stock voted at the company's annual meeting in 1972, they said. However, none of the banks was identified by the BN in its report filed in 1973 (with the Interstate Commerce Commission and 'he Securities and Exchange Commis- sion) on its 30 top stockholders and their voting powers. Holdings of the BN's largest stockholder, Bank- ers Trust, were listed in six sep- Letters to The Daily should be mailed to the Editorial Di- rector or delivered to Mary Rafferty in the Student Pub- lications business office in the Michigan Daily building. Letters should be typed, double-spaced and normally should not exceed 250 words. The Editorial Direc- tors reserve the right to edit all letters submitted. nation's parental iicomes w e r e over $25,000. Yet this inc )me g.-'p sent the University almost 17 per cent of its in-state students, leav- ing this group over-represented by roughly 14 per cent. In 1971, that over-representation had grown to nearly 20 per cent. In this same 1967 to 1971 period, the representation of income groups between $25,000 and $8,000 dropped so sharply that all income groups 'a: tors si-, :e 1971 have only serv- ed to aggravate the trend. Fuition at the University has increased 22 per cent over this short two vnd a half year period. The University has lost previously allocated I'unds for student financial aid. And be- yond state actions are nationl events. Federally guaranteed loats were cut by 40 per cent in 1973. A national survey indicates thb a t more than half a million ,tiidents "A rebate in the form of a temporary 5 or 6 per cent cut in tuition will not alter the fact that too many people cannot afford to attend school at this University." inder $15,000 became under-repre- sented, where previously families earning over $8,000 had had ade- quate representation or better. The poor during this time improved this representation slightly, but were still grosslyiunder-represented at the University. THIS STUDY was made in terms of over- and under-representation to rule out the effects of infla- tion. Ithshould be emphasizeduhere that the research points to under- representation of the middle and lower middle class as well as the poor. Laborers and skilled b I u e and white collar workers with full employment have found it increas- ingly difficult to send their sons and daughters here. More and more, prospective students must apply elsewhere because of the cost bar- rier. desire a college education b u t cannot attend school because of the financial barrier. One can only sneculate about the number of stu- dents who, because of high tui- tion and expenses, must settle for an inferior educationbor an educa- tion that does not best meet their needs. MUST THE University of Mich- igan hold such a high tuition level? The University charges the highest in-state tuition of all the Big Ten schools. Its tuition is half again greater than the average Big Tan expense. Tuition at the University of California at Berkley, though it has risen drastically under con- servative Republican administra- tion, remains roughly two hundred dollars less per school than the University. Is it fair then, that a s t ate school, sipported by state taxpay- ers, be open only to a fraction of the state's qualified students? One can easily be cynical of an amazing administrative and regnt- al insensitivity. Why, over the years, have tney acted only to exaggerate the elit- ist trend? These decision makers, coming from wealthy and busines oriented backgrounds, will share little with the many students and the aspiring students who will be unable to pay the University's high tuition rate. WH 1T IS NEEDED then, is not a temporary S or 6 per cent tuition rollback. What is needed is a well designed and coordinated program geared toward opening the Univer- sity to all income groups. Part of that program must in- volve an adjustment in tuition lev- els that is more in line witn the ability of citizens to pay. Part of the program must include a well funded loan program so that lower income students and their families need not be burdened with an expense they can not immed- iately bear. And part of the program must include a restructuring of t h i s institution that has for so long per- petrated and aggravated income elitism moving towards an insti- tution that is sensitive to the is- sues of equality and truly open to the public. Mark Gold is a member of the Program for Educational and So- cial Change (PESC). 'bber barons ride again arate nominee accounts: Hemfar & Co., Pitt & Co., Lehcor & Co., Salkeld & Co., Pendiv & Co., and Barnett & Co. Senators Metcalf and Muskie not- ed various authorities' conclusion that five or ten per cent of the stock in a widely-held company is often sufficient for control. SMALL STOCKHOLDERS, t h cy said, find it procedurely difficult to get a candidate or agenda item considered, or even to locate and present their case "to a few insti- tutional investors who by proxy and often casually will decide the TIIE MILWAUKEE JOURNAL pubishers-Hll Syndicat~1979 r x ~~ EMERE~C V. - R /~iNC ENE)?CV committee of Budgeting, Manago- ment and Expenditures, shows that a few unidentified banks had sign- ificant sole voting rights within principal industrial categories. The study also includes a Con- gressional Research Service analy- sis of ownership of broadcast com- panies and networks in 972. It shows that Chase Manhattan, Bank- ers Trust and Brnk of New York together had voting rights to al- most one fourth of the stock in both the Columbia Broadcasting Sysitem and American Broadcasting Com- pany. The major New York banks alto had significant voting rights in Metromedia, Pacific and Southern Broadcasting, Capital Cities Broad- casting and 14 other broadcasting groups. Commented Senators Met- calf and Muskie: "Possibly, were he still with us, Ed Murrow would say: "This is the news.' " THE STUDY INCLUDES a list- ing of broadcast companies which are subsidiaries of industrial or other non-broadcasting corpora- tions such as Avco, Dun and Brad- street, General Electric, Wes'ing- house, Schering-Plough Corpora- tion, Kansas City Sourtern Indus- tries, Kaiser Industries, Fuqua In- dustries, Pacific Southwest Air- lines, and Rust Craft Greeting Cards. The Senators said 'anks had vio- lated FCC rules regarding con- centration of ownership of broad- cast companies: "The FCC did not know that the banks were in gross violation, of regulations until tne banks told the Commission about it," they said. "It took three years to get (the bankers') material to and con- sidered by the Commission, which then gave the banks three in o r e years to get in compliance with the more lenient rules, whica may be relaxed further. "The problem," they continued,. "is inadequate and misleading cor- porate discto umre 'a Federal gt - cies. The Federal Government does not have sufficient information upon which to base reasoned p u b l i c policy. "NEITHER COMPANIES nor ord- inary stockholders have informa- tion which they need to protect their own interests rega:ding stock ownership and the personnel '-nd business relationships" betfe banks and their portfolio compan- ies. "Whatever solutions the Fed- eral Government chooses to t h e mounting problems resulting from economic concentration, the prere- auisite is the regular collection and disclosure of information which should be centrally available, mst appropriately at the Library of Congress." The study includes an article by Professor David L. Ratner, a consultant to the Subcommittee on Budgeting, Manag3ment and Ex- penditures, suggestiag that the vot- ing powers of large stockholders be reduced through "weighed voting" which was used in early American corporations. "JAMES MADISON espoused Federal chartering of corporations T~d mid1!uski (D- e.) outcome of the (annual) election." The study shows that big banks which hold stock in large firms often have voting rights t- it, along with interlocking director- ates. The study includes an analv- sis of responses of 324 of the largest corporations to a query from Senator Metcalf regarding their 30 top stockholders. T h e Senators said that analysis, by Julius Allen of the Library of Con- gress' Congressional Research Ser- vice, shows that seven New York banks and a nominee for the New York Stock Exchange have signi- ficant holdings in energy, trans- portation, manufacturing, and re- tailing. ANOTHER ANALYSIS in the re- port, by Professor Robert M. Sold- ofsky, a consultant to the Sub- Lee Metcalf (D-Mont.) and Hamilton urged waighed vot- ing," the Senators said. "Consid- eration of these far-sighted propos- als by two of the Founding Fathers would be most appropriate as the Nation's bicentennial approaches." This article was conpiled by the Senate Subcommittee on Budget- ing, Management, and Expendi- tures. 'Ah'm jes doin' mah patriotic dooty, boy!' Peace and quiet trust come slowly to ravaged Laos By JOHN BURGESS VIENTIANE, LAOS THOUGH ALL-OUT WAR seems to be brewing in South Vietnam, and the conflict in Cambodia is stalemated, the two antagonists in Laos - the Ameri- can-supported Vientiane government and the leftist Pathet Lao - continue to make slow progress toward stabil- ity. If present trends continue, within the next few months there may be a provisional coalition government, and an end to the warfare which has de- vastated Laos intermittently since the mid-1950's. The new government is to be com- posed of five Pathet Lao ministers, five Vientiane ministers and two neutralists. Vientiane Prime Minister Souvanna Phouma is expected to remain on to lead the new government, with a Pathet Lao and a Vientiane deputy prime min- ister beneath him. Perhaps the clearest sign of the cau- tious trust develoned between the Vien- and civil servants who will work in the coalition government. NOW, THE 1700 Pathet Lao in Vien- tiane are settling into a peaceful daily routine, surrounded by an army with which they were at war for years. Their quarters include half a dozen dilapidated French villas, a former school building, and a small base camp just north of the city. Pathet Lao soldiers dressed in baggy olive drag fatigues and soft caps are common sights throughout the city. In the early morning dozens of the leftist soldiers can be seen in Vient- iane's central market, shopping for vegetables, meat, and other essentials. Though friendly and polite with other Laotians, most of the troops are sus- picious of foreigners and shy away from photographers. Slowly, they are making contacts with the citizens of Vientiane. One can sometimes see them engrossed in con- popular with the city's inhabitants, who can be seen awaiting treatment at all times of the day. EACH THURSDAY, back in Vient- iane, the Joint Commission to Imple- ment the Agreement (composed equal- ly of delegated from the Vientiane gov- ernment and the Pathet Lao) meets to haggle out details of putting into prac- tice the protocols that the two sides signed last September 14. Progress is difficult, and the com- mission's most significant accomplish- ment since it was formed six weeks ago has been selection of insignia, to be worn by the commission's mixed field teams, and formulation of ground rules for the teams' operation. Yet decisions and dialogue continue, un- like a similar commission in Vietnam, formed by Saigon and the Provisional Revolutionary Government, which be- came deadlocked almost immediately. In the mountainous battlefields of BOTH SIDES AVOID ultimatums and demands which the other cannot meet. Most observers agree that the important thing now is that the two sides continue to talk and make pro- gress, however slowly. "Everything seems to take four or five times as long as it's supposed to," said one resident of Vientiane, "but a year ago, who would have thought we'd have al- most two thousand Pathet Lao walking around Vientiane?" Diplomats report that the formation of the new government is held up at present by Pathet Lao insistence that all details of the neutralization of Vien- tiane and Luang Prabang be settled first. The September protocols provide that the Pathet Lao can bring 1,000 police and a battalion of troops into Vientiane, and 500 police and two companies of troops into Luang Prabang. Vientiane government forces in the two cities are (about 25 miles) outside the city, a task which would take several month';. People within the Vientiane govern- ment accuse the Pathet Lao of using the neutralization issue to obstruct the formation of the new government, and of bringing in more troops and mater- ial than allowed. "These questions will be decided at Pathet Lao convenience," a Vientiane civil servant close to the commission's negotiations commented caustically. However, neutralization is an ex- tremely important issue for the Pathet Lao. During the unsuccessful coalitions of 1957 and 1962 their members of the government were harrassed, imprison- ed, and even assassinated by rightist agents in Vientiane, the age-old turf of the powerful conservative Sannani- kone family. FOREIGN TROOPS and advisors - about sixty thousand North Vietnamese Vietnam remains unresolved, Hanoi will retain at least a token presence in Laos, along the Trail. The big question now is when the government will actually be formed. But predicting events is particularly unadvisable in Laos. Despite the pro- gress the two sides have made toward reconciliation, there remains the fun- damental question of whether two ideol- ogically different parties, at war with each other for years, can successfully shift to purely political means. THE TWO PREVIOUS coalitions here failed largely because of foreign intervention - most of it coming from the United States. This time, however, it appears that the U.S. and the com- munist powers want to see reconcilia- tion in Laos work. Though two coali- tions have failed already, today's third