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Friday, September 16, 1977
University Dally Kansan
Lance angrilv responds to Senate, media 'smears'
By JAMES HILDRETH
After Lance ended his 90-minute presentation, President Carter said he was keeping "an open mind" on the future of his old friend and budget director and probably would make a decision when the Senate completes hearings on the matter.
Lance, giving no indication whether he will resign, showed occasional anger as he read a 49-page statement rebulting charges of financial misdeeds, questionable ethics
and incept management stemming mostly from his years as a Georgia banker.
"I did not ask for this fight," he told 709 persons packed into the Senate's largest hearing room. "But now that I am in it, I am fighting not only for myself, but also for our
In response to one of the most damaging charges he faces, Lance said it is entirely unfair to say he withheld information on his financial dealings while the Senate was looking into his background before confirming him as budget director in January.
Lance said that on Jan. 13—seven days before he was confirmed—he told Senate investigators about his bank accounts, several banks, problems his Caliboun, Ga., bank had faced,
"I disclosed to the representatives of this committee the various financial matters which now are the focus of this hearing," he said.
and that the Justice Department had looked into the financing of his 1974 campaign for governor of Georgia.
Committee members, however, in the questioning that followed, noted that Lance's defense detailed only the bank overdrafts he personally incurred in the early 1700s—ignoring much larger debts in the accounts of his wife and other relatives.
Lance's attorney, Clark Clifford, advised his client to take responsibility only when he feels it is safe.
In a telephone question-and-answer
session with broadcasters in San Francisco, Carter said, "I have no reason to feel that Bert Lance is dishonest or incompetent, or that he is acting unethically."
"I am sure that the decision I make, along with Bert Lance, at the conclusion of these hearings, will be satisfactory to the American people," Carter said.
During his speech, Lance said the charges against him fall into 10 categories and he rebutted them one by one. On the major topics, he said:
He had "no apologies" for the overdrifts because they were not illegal and he paid them.
with multimillion dollar loans he got from banks; he never attempted to use personal clout to end a federal investigation into his 1974 gubernatorial campaign or to remove his Georgia bank from the national bank regulator's "trouble" list.
It was the largest Capitol Hill hearing to occur on days and the atmosphere was quieter.
"The burden of proof is on you," Republican Sen. William Roth told Lance as the committee settled in for two to three days of hearings with the budget director.
"I have worked hard these past eight months in Washington, and I am proud of
the job I have done," he said. "But it is part of our American system that a man can be drummed out of government by a series of repressive and inappropriate representations, inquando and the like?"
Lance aimed his strongest criticism at the two top members of the Senate Governmental Affairs Committee, who voted to confirm him as budget director in August. The committee has been unfairly "smeared," and publicity called for his resignation earlier this month.
Schneider probably will not run
HAYS (UPI) — At the urging of former Kansas Democrat Chairman Norbert Dreiling, Atty Gunther C. Schneider our gate bid for Democratic nomination for governor in 1978.
Dreiling said the recent attacks on Schneider's personal character and activities were apprehended and more would follow if the attorney general made a gubernatorial bid. Dreiling said that kind of atmosphere was not one in which to run a company.
“In the light of the information available to me, my conscience dictates that I must command Curt not become involved in the gubernatorial race,” said Drelling, who has been unofficial chairman of Schneider’s board. “The ultimate decision will be his alone.”
Drilling and Schneider issued statements at the end of a half hour meeting
SCHNEIDER, WHO repeated his statement that he had become disenchanted with the tenor of politics in Kansas, said he would stay in the attorney general's office and would watch political activities closely in the next few months.
"But I feel that unless there is a dramatic change in the political arena that it is unlikely that I will be involved in the 1978 gubernatorial race," he said.
Dreiling, who had been building an unofficial campaign in Schneider's name, told me that she discussed widespread rumors about Schneider's personal life, as well as the disclosure by the news media of Schneider's relationship with a young woman leaving a dolein motel.
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Schneider said he had discussed his
work with the situation with his family,
friend and Drew.
I have become increasingly aware that if
I choose to become involved in the next gubernatorial election that my family and friends could suffer from what I consider to be deplorable campaign tactics," he said.
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MECHA
The Chicano/Latino Student Organization invites you to a free program and dance commemorating Mexican Independence Day September 16 Activities start at 7:00 p.m. in the Kansas Room of the Union Dance at 9:00 Cash Bar Provided (Partially funded by the Student Senate)
Whether you're afoot or afloat—
Sperry Top-Siders will keep you dry and comfortable. They're an old favorite of sailors, a boon companion on campus. Slip them on or off easily. Great moccasin comfort with barefoot flexibility. For guys and gals.
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843-3470
802 west 23rd street 841-2277