University Daily Kansan, February 27, 1985
NATION AND WORLD
Page 12
Business might use taxes for legal debts
By United Press International
WASHINGTON - General Dynamics Corp., a giant military contractor, is trying to charge taxpayers for the substantial legal costs it has incurred in responding to nine federal investigations.
"We will be looking into it," Dingell said yesterday.
Rep. John Dingell, D-Mich,
whose House Energy and Com-
merce subcommittee has con-
ducted one of the most active
in investigations, termed the move
"outrageous."
Sources familiar with the controversy estimated that the cost of the company's counsel, both in-house and from prominent outside firms, had exceeded $500,000 to date.
None of the pending investigations, including inquiries by a federal grand jury, the Internal Revenue Service, the Securities and Exchange Commission, the Naval Investigative Service and the Nationalational panels, has been completed.
In a Nov. 21, 1984, letter to the Navy's contracting office, a senior General Dynamics official rejected the Navy's request that the company immediately segregate all costs associated with the investigations and withhold billings to the government.
In the letter, W.R. Crain, the corporate director of the company's office of Government Contracts Settlements, said General Dynamics had not been charged with fraud against the government within the meaning of federal procurement regulations.
Audit claims excesses in Navy sub contracts
By United Press International
WASHINGTON — A Pentagon audit tends to support allegations that Navy Secretary John Lehman allowed two major shipbuilders with profits on non-competitive contracts for nuclear submarines.
The office of the inspector general of the Pentagon completed the audit on Oct. 12.
Under the construction contracts approved by Lehman, the audit says, the Navy agreed to pay the General Dynamics Corp. and the Newport News Shipbuilding and Drydock Co. profits on escalation costs that protect those companies from inflation.
attack submarines. It asserted that the Navy allowed nearly $30 million in excess labor and escalation costs in the base price.
As a result, it said, the company could receive additional profits of $6.9 million.
The audit did not challenge specifically Lehman's policy shift, which raised contractor profits as a per cent increase from 13 percent to as high as 18 percent.
Lehman has asserted that the only meaningful way to calculate profit is as a percentage of total costs — including inflation. Capt. Jimmy Leshman, spokesman for Lehman, said Lehman disagreed entirely with the audit.
The audit focused on a $675 million contract awarded to Newport News in 1981 to build three 688 nuclear
As a result of his policy shift, Lehman has been drawn into a controversy that has triggered nine federal investigations of General Dynamics.
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Information about and practice in clear, direct expression of thoughts and feelings—with respect for the rights of others.
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A FEW THOUGHTS ABOUT HOMOPHOBIA
In a letter to the February 15th University Daily Kansan Assistant Professor of Religious Studies Sandra L. Zimdars-Swartz claims that "Homophobia is the irrational, excessive and persistent fear of homosexuality in oneself and/or in others" and "Someone who rejects homosexual lifestyles for him or herself is not necessarily homophobic". Although Assistant Professor Zimdars-Swartz doesn't tell us whether every man who rejects the preferred services of homosexuals is "irrational" and inspired by the "persistent fear of homosexuality", she confesses to being offended by the "Fagbuster" T-shirts because they play "on a stereotypical notion of a gay male (a man evincing female characteristics)" and thus distress those "young men and women struggling to establish a sexual identity as male or female, heterosexual or homosexual".
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While living in the downtown area of four cities, I've repeatedly discovered that many homosexuals vigorously proclaim their sexual availability by manifesting the very "female characteristics" Assistant Professor Zimdars-Swartz considers insulting. Assistant Professor Zimdars-Swartz feels that homophobia "subverts the role of reason in establishing and maintaining human relationships", yet she ignores the many sick and stunted homosexuals whose commitment to the superficial precludes the use of reason and finds frequent expression in that inherently cowardly form of pollution, sexual harassment.
In order for substantial progress to occur in the sexual realm, most homosexual and heterosexual activity will again have to be governed by reason and restraint.
William Dann
2702 W. 24th St. Terr.
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