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February 24, 1980 - Image 1

Resource type:
The Michigan Daily, 1980-02-24

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See editorial page




See Today for details

Ninley lYears (of' EitIiorialI Freedoin

Vol. XC, No. 1


Ann Arbor, Michigan-Sunday, February 24, 1980

Ten Cents

Ten Pages plus Supplement

11-13% tu

panel asks


. h- leto


A committee studying the Univer-
sity's budget has proposed a tuition in-
crease of 11 to 13 per cent for the 1980-81
academic year.
However, the tentative range of the
recommended increase is still being
discussed by high-level administration
officials, and planning for next year's
tuition and faculty salary hikes are still
in very preliminary stages," accor-
ding to University Associate= Vice-
President Lawrence Fincher.
The University Budget Priorities
Committee, composed of ad-
ministration, faculty, and students,
voted Friday to recommend that the
Regents consider a tuition hike range of
11 to 13 per cent in anticipation of a
state financial aid program deadline.
ACCORDING TO Fincher, the
University must have a preliminary
tuition schedule to meet an April 1 state
financial aid deadline.
"It's all still being developed," Fin-
cher said yesterday. "The figure is set
at the minimum to yield maximum
financial aid for students," he said, ex-
plaingin that the committee was
looking for a figure in a reasonable
range that would also aid student finan-
cial aid prospects.

Student committee member Dave
Laverty said the proposal to the Regen-
ts was "not hard and fast" but that the
proposed figure is probably close to
what will eventually be-adopted.
"THE EXECUTIVE officers will con-
tinue to develop figures," Fincher said:
"We're a March Regents meeting
away." The Regents will meet next on
March 20 and 21.
Fincher said there have been many
references made to inflation and the
economy in discussions of the tuition
rahge. A generally accepted inflation
level is 13 per cent.
Student member Ken Buckfire said
the three students on the committee
(Buckfire, Laverty, and a student from
the Flint campus) voted against the
tuition figures because they are based
on an 8.5 per cent increase in both
faculty salaries and non-salary budget.
"There is no evidence to support an
8.5 per cent increase in faculty salaries
because we don't know the extent to
which faculty are discouraged from
coming to the University because of low
salaries," Buckfire said.
HE SAID there is some evidence
faculty do not come to the University
because of inadequate facilities.
Laverty said there are several key
groups other than the University
Budget Priorities Committee which will

have input before a recommendation to
the Regents is made final.
He also said he believed the commit-
tee did not have any real time to look at
very many other options about the
tuition level, since Friday was the
committee's last meeting before the
Regents meet again. "We were looking
at what we had in front of us," Laverty
said. "Tuition was never considered
seriously until now."
Although there are many variables
which go into determining budget
allocations, the four most important
are the state appropriation level, the

tuition hike range, and faculty salary
aind non-salary increases.
GOV. WILLIAM Mlilliken has
recommended an increase in state fun- -
ds to the University of 9.5 per cent for
the coming academic year. The
University had asked for a 12.9 per cent
hike over last year's $146 million
allocation, including in its request an 11
per cent increase in faculty salaries.
Every one per cent increase in tuition
(with stable enrollment) will produce
approximately $720,000. Each one per
cent hike in the direct salary budget
See TUITION, Page 7

Daily Photo by JOHN HAGEN

Sign of the times
Demonstrators listen to anti-draft registration speakers at a rally and
march sponsored by three local organizations yesterday. The 80 protestors
marched from Community High School to the Federal Building on Liberty
Street. See story, Page 10.


.Hostages stay till April


From AP and UPI
Ayatollah Ruhollah Khomeini said
yesterday Iran would not even consider
the release of the 50 American hostages
until April and vowed Iran "will not
take a single step backwards" in its
demand for the shah's return.
Crushing hopes that the hostages, en-
ding their 16th week of captivity, could
come home soon, the Islamic
strongman said the price for the
hostages' freedom will be set by Iran's
yet-to-be-elected parliament. That body
will be chosen in March and April.
KHOMEINI'S announcement wad
coupled with a call for Iranians to'
testify on the "U.S.A.'s and the shah's
crimes" before the five-man U.N.
Inquiry commission on Iran.
"As I have said repeatedly, we
demand the return of both the shah and
Othe nation's riches. The Moslem studen-
ts who have occupied the den of
espionage (the U.S. EMbassy) have
dealt a crushing blow to the world-
devouring U.S;A.," Khomeini said.
Also yesterday, the five-man, U.N.-
sponsored commission arrived in
Tehran to begin its investigation of the
deposed shah.
Militants holding the U.S. Embassy
have said they will free the hostages,
who spent their 112th day in captivity
yesterday, only if so ordered by
'Khomeini. But a spokesperson for the

"Iranian task force" at the U.S. State
Department said, "The commission is
on its way. Let's wait and see."
that Ayatollah Khomeini is a leader
wpfb is not ready for bargaining or
abandoning any of the rights of the
people," the militants said in their
Tehran ktadio said the U.N. com-

mission would meet today with Foreign
Minister Sadegh Ghotbzadeh to discuss
the way in which'it would operate.
State Department spokesman Hod-
ding Carter said yesterday the U.N.
commission in Tehran is obligated to
seek release of the American hostages
being held by Islamic militants.
The chief State Department
spokesman suspended the ad-

ministration's "no comment" policy on
the hostage crisis, responding with har-
sh words to Khomeini's statement that
the hostages' fate will not be decided
until Iran's new parliament meets in
"THE IRANIANS are continuing to
violate the basic principles of inter-
national law and human rights by
See KHOMEINI, Page 10

Bankruptcy was defense tactic

to protect
Local developer John Stegeman sai
yesterday he filed a bankruptcy
petition as a "defense tactic" to protec
certain local properties titled in hi
Detroit Mortgage Realty, a Detroi
brokerage firm, was trying to reposses
several of his buildings as part of th
Campus Inn mortgage foreclosure
Stegeman said. The Chapter 1
provision of the Bankruptcy Act protei
ts such property by requiring tha
creditors go through the bankruptc
The University Regents recentl
granted Stegeman the option to buy<
piece of University property vital to th

property-- developer
development of a 32-story multipurpose pleted by November, 1969, when
d building. Some of Stegeman's other agreement with Aetna exp
y projects are local apartment com- Stegeman said. He said that at
t plexes, including Tower plaza, time he expected Aetna wouldg
s Maynard House, Albert Terrace, and him an extension as a routine matte
Viscount Apartments. However, said Stegeman, in De
it "IT'S NOT bankruptcy," said ber, 1969 the president of DetroitI
s Stegeman. "There's no inability to pay tgage & Realty told hini Aetna w
e debts." not give him an extension.
, Rather, said Stegeman, his filing un- "HE LIED TO me," Stegeman
1 der Chapter 11 was "part of a much He said he has since discovered
c- larger battle." Stegeman is currently Aetna had actually extended thec
it the plaintiff in an anti-trust suit against mitment until 1971.
:y Detroit Mortgage & Realty and Aetna Believing that he no longer h
Life Insurance Co. method of financing the pro
y Stegeman claims that Detroit Mor- Stegeman said, he then attempte
a tgage & Realty and Aetna Life Insuran- find other financial sources. But
e ce conspired against him to gain control cording to Stegeman, Detroit Mort
of Campus Inn and other properties a & Realty interfered with his atte
decade ago. to secure financing by refusini
In 1971, the foreclosure proceedings recommend him to lenders.
began, Stegeman said. He eventually Stegeman is charging that this'
lost not only Campus Inn but other spiracy to boycott" kept him from
property worth millions of dollars as ding another financer for the inn.
well. "No one really knows how exten

n the
ad a
ed to
, ac-
g to
. fin-

AP Photo

HELPING TO PUT the Hoosiers on top, Indiana's Mike Woodson (42)
jumps above Wolverine Paul Heuerman (15). Woodson contributed 24 points
towards the Hoosiers' 65-61 victory over Michigan's cagers.
Blue drops 65-61
decision to In'diana

Afghan soldiers continue
fight against Soviet troops

From AP and UPI
Shooting and sporadic artillery fire
1 rocked Kabul yesterday for the second
day and there were reports that some
4,000 Afghan soldiers in the capital
rebelled and battled Soviet troops in an
uprising that claimed hundreds of
Travelers from Kabul and other
sources said the mutiny occurred
Friday when about half of the 8,000
Afghan government troops stationed in,
Kabul refused orders from their Soviet
commanders to turn their guns on

thousands of Moslem demonstrators
who took to the streets in the first mass
uprising against the Russian
occupation of Afghanistan.
streets claimed hundreds of casualties
and forced the Moscow-controlled
regime of Babrak Karmal to impose
martial law for the first time since the
Soviet invasion last December.
"We have reports of an estimated 500
civilian casualties, including
approximately 150 dead," a U.S.
See AFGHAN, Page 10

ACCORDING TO Stegeman, Aetna
Life Insurance, working through
Detroit Mortgage & Realty, gave him a
written promise in 1968 that upon com-
pletion of the Campus Inn project, the
insurance company would be a 25 per
cent shareholder in the hotel.
On the security of that promise,
Stegeman said, he took out construction
loans to finish the inn project. As part of
this process, Stegeman pledged other
buildings as security for the construc-
tion advances.
The Campus Inn was not quite com-

these abuses are," said Stegeman. He'
said he has hired private detectives
who have uncovered "strange prac-
tices" and illegal transactions between
Aetna Real Estate and Detroit Mor-
tgage & Realty.
Stegeman said he thinks his law suit
will have a "reforming effect on the
way mortgage business is conducted in
this country."
An attorney for Detroit Mortgage &
]Realty and Aetna Life Insurance,
Eugene Driker, could not be reached
for comment yesterday.

Michigan tried, but it couldn't over-
come a disastrous start in the first half
as the Indiana Hoosiers defeated the
Wolverines 65-61 before a sellout crowd
of 13,609 at Crisler Arena yesterday.
The win for Indiana puts it in the
driver's seat in the Big Ten champion-
ship race as it currently is tied with
Ohio State for first place with an 11-5
conference record. The Hoosiers host
Wisconsin and the Buckeyes in their
final two games.
THE LOSS doesn't make the post-
season picture any clearer for
Michigan as it fell to 8-8 ,in the con-
ference and 15-10 overall. According to
assistant coach Bill Frieder, a win over
Indiana would have assured a spot in
the National Invitational Tournament.
Now it will probably take a road win

over Iowa or Minnesota to earn such a
The Hoosiers got out of the starting
blocks fast as they leaped ahead 8-0.
Mike McGee scored with 15:20 to go in
the first half on a layup.
Indiana continued to widen the
margin until they led 34-17 with less
than five minutes remaining in the half.
But the Wolverines were not about to
roll over and play dead.
MICHIGAN SCORED ten straight
points, led by the play of sophomore
forward Thad Garner. The streak star-
ted as Garner stole a Hoosier pass and
went the length of the court for. the
dunk. That one play turned the momen-
tum of the game around as Michigan
charged back to trail by only 34-27 with
18 seconds left before intermission.
See WOODSON, Page 9

Fun in Florida
In anticipation of the annual spring break exodus of
Michiganians to the beaches of sunny Florida, the Daytona
Beach Police Departmentsent us a list of do's and don'ts
for tourists. The city .of Daytona Beach invites local
migrators to "have a good time" in their city, any time-as
long as you behave. The speed limit on the Atlantic Ocean
Beach is 10 mph at all times, and motorists are asked not to
drive in the water or on soft sand areas. For safety's sake,
the police also warn sunbathers not to recline or sit in the

(a coalition of self-proclaimed radical faculty and students) |
were calling for a one-day moratorium on classes to debate
University ties with the military. The Assembly and
Radical College were also calling for a suspension of on-
campus recruiting by corportions considered "imperialist"
or "racist." The international situation was pretty hot also,
as U.S. B-52s bombed the Ho Chi Minh Trail in Laos for the
seventh straight day. Members of Congress were protesting
the bombing, in fear of another Vietnam. On the sports
scene, Denny McLain, the Detroit Tiger star pitcher, was
1 . _.. __ ren _- -t -t+- 1 *" ._ _- -nA ,__Fnm hnoo nl hi

long distance calls made by customers in parts of
Nebraska, North and South Dakota, and Iowa. The
company can't bill the customers because they don't know
who called where. A clerk accidentally erased computer
tapes that show the billings for November 9 to 13. None of
the customers asked about the missing phone bills which
would have totaled $535,677, about one per cent of the
company's monthly long-distance revenue. Maybe Ma Bell
does have a soft spot in her heart. If only you could be
so lucky. Ep
S. ..


___ - ~j~) ~ ~.3



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