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July 13, 1978 - Image 1

Resource type:
Michigan Daily, 1978-07-13

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Vol. LXXXVIII, No. 42S
(rfII~hIThursday, July 13, 1978
[o..ichigan DAILY 12 Pages
Ann Arbor, Michigan Ten Cents

Marc Levin, former city accountant
who was fired as a result of an invest-
ment scandal last fall, is suing the city
for $1 million plus lawyers' fees.
In the lawsuit filed Monday, Levin
charges he was denied due process in
the personnel review which led to his
dismissal. He also charges the city with
breach of contract, in part alleging the
city did not follow its own rules and
regulations in the review of his
dismissal. The third count of the suit
claims defamation.
LEVIN WAS fired on October 5 by
city administrator Sylvester Murray
shortly after it was announced that the
city had been involved in an investment
deal similar to arbitrage.
If an individual borrowed money
from a bank at five per cent interest
then invested that money in something
which offered 10 per cent interest, that
would be arbitrage. It is not generally
considered a risk, but there are federal
laws which prohibit cities from using
the technique.
GENEVA, Switzerland (AP) -
President Carter accused the Soviet
Union yesterday of violating the 1975
Helsinki human rights accords in the
trials of Anatoly Shcharansky, Alexan-
der Ginzburg and other prominent
Soviet dissidents.
Carter made the accusation in a
message to Soviet President Leonid
Brezhnev that Secretary of State Cyrus
Vance delivered to Soviet Foreign
Minister Andrei Gromyko in a private
meeting following day-long arms con-
trol negotiations.
Soviet authorities with "disregard for
due process" in the conduct of the trials
of Shcharansky and Ginzburg.
U.S. spokesman Hodding Carter said
the administration was still "not
linking" its displeasure over the trials
to an effort to complete a treaty
limiting strategic nuclear weapons -
the purpose of the Vance-Gromyko
talks. He added, however, that "We are
reviewing other aspects of our relation-
One possible course of action known
to be under consideration is blocking
shipment of oil drilling equipment from
American firms to the Soviet Union.
U.S. officials privately question
whether economic sanctions of this sort
could have a major impact on Soviet
behavior.. -
See TRIALS, Page 10

employee sues city
The city had paper losses of more manner in which the hearing in (Levin) be given an increase in pay."
than $1 million in the investment deal in December was conducted." Russell said he asked at the hearing
which Levin was implicated. The deal Russell said Levin alleges that Garret not be allowed to chair the
involved borrowing millions of dollars specifically that the review board board. He said the city attorney also
of securities from the Merril, Lynch, would not allow all defense witnesses requested Garret be excused. Russell
Pierce, Fenner and Smith brokerage requested to testify. said the request "was basically
firm. The city came out of the deal un- ignored."
scathed because the firm absorbed the RUSSELL SAID the board did not
loss. reveal some documents to him concer- IN RESPONSE to suggestions that

LEVIN DOES not deny his involve
ment in the deal but charges that his
supervisors knew of the operation and
had given consent. Levin's supervisors
suffered disciplinary action but were
not fired. .
According to Levin's Detroit attor-
ney, Lyle Russell, the lack of due
process charge "centers around the

ning Levin until the day of the hearing.
In this and other respects Russell called
the board "biased."
The personnel board and the chair-
man, William Garret, had been chosen
by Murray, Russell said. He said
Garret had reviewed Levin's invest-
ment activities only a few months
before the "whole thing blew up and he
had signed a recommendation that

Levin might have been the victim of a
conspiracy in the city hall, Russell said
he "stopped short of that accusation"
because it would be too difficult to
While discounting the certainty of a
conspiracy, Russell attributed Levin's
plight to administrative "ineptness."
See FIRED, Page 10

Daily Photo by JOHN KNOX
A SON OF a postal worker shows a sign claiming a family of four cannot live comfortably on $5.50 an hour. Workers
picketed yesterday for higher wages and better working conditions and complained about the slow progress in contract
Postal workers criticize talks

Unhappy with the pace of negotiations for a new contract,
ten postal service employees picketed yesterday in front of the
Liberty St. postal station.
The picketers complained the U.S. Postal Service was un-
willing to propose improvements in the employees' working
conditions and wages.
YESTERDAY'S "informational picket" was one of many
nationwide protests against the postal service management.
Nearly 6,000 emplyees demonstrated in Washington, D.C.,
where the negotiations are in progress.
"This isn't a strike, We are just trying to tell the public and
Congress that the current contract expires on July 20, and
negotiations are going so slowly that we're worried that a new
contract won't be done in time," said Louis Brough, former
president of the Michigan Association of Letter Carriers.
Brough said he would not completely rule out the possibility
of a strike if a new contract is not signed by July 20.
THE EMPLOYEES carried placards reading, "Postal
people are united", and "U.S. postal workers are the most ef-

ficient in the world."
A spokesman for the National Association of Letter Carriers
in Washington said the organization is seeking to insure that
supervisors are not assigned jobs that are normally relegated
to clerks.
"Our basic demands are a 14 per cent wage increase, better
working conditions especially concerning sick leave benefits
and better working rules," he said.
BUT THE MAIN thrust of the picket was to protest against
alleged secrecy and-lack of speed in the negotiations. Brough
said he learned from a postal official in Washington that the
Postal Service wants to take away over 100,000 jobs.
Brough charged the Carter administration has become too
active in the negotiating process.
"The administration is trying to use us as the scapegoat of
the economy's problems," he said.
He also said he believed the Postal Service would have to
negotiate a fair contract or the national interest would be
significantly harmed.
See POSTAL, Page 12

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