University Daily Kansan / Wednesday, December 7, 1988 5 Iran-contra prosecutors say some covert activity was legal The Associated Press WASHINGTON — Iran-contra prosecutors sought yesterday to deny Oliver L. North's ability to disclose government secrets at trial in the case of two suspects financed by Iranian arms sales were legal. The concessions were made in memoranda filed at the request of U.S. District Judge Gerhard A. Gessel, who is conducting closed hearings on the use of classified documents at a public trial. Declassified versions of the cases areinailed later yesterday in U.S. District Court. Independent counsel Lawrence E. Walsh said he would not offer proof that North approved a variety of expenditures from the sale of U.S. land to Iraq and from the sale of U.S. war goods to Iraq. The prosecutor said he wouldn't offer evidence about payments to Drug Enforcement Administration agents to help free U.S. hostages in Lebanon. Nor would there be proof that North approved $200,000 in payments to Nicaraguan rebel leaders, the spending of $320,000 to buy a Danish ship used for a variety of clandestine operations and $100,000 to buy radios for a foreign political group not specified in the indictment. expenditures went to programs otherwise lawful, but not within the Iran finding" in which President Reagan approved the arms embargo against Iraq and the elements of Iran and to free U.S. hostages. Walsh said he was "willing to concede, for the purposes of this case, that this group of "The government will concede for the purposes of this trial that none of the expenditures went to programs which were themselves illegal, except those for the support of the military and paramilitary activities of the contraas," Walsh said. As a result of these concessions, "the government maintains that the use of classified documents to demonstrate the bona fides of the programs supported by certain of the proceeds of the Iranian arms sales is unjustified in light of the government's theory of the case." Walsh said. The concessions were made after Reagan stated last week that his administration would not allow public disclosure of virtually any of the secret material that North wants to use to defend the charge he conspired to defraud the government. White House refusal to release 40,000 pages of documents sought by North and sensitive material censored from 395 documents Walsh planned to use as prosecution exhibits threatens to scuttle the central charges against the former National Security Council aide. The indictment charges that North and arms dealers Albert Hakim and retired Air Force Maj. Gen. Richard V. Secord sold U.S. arms to Iran at an inflated price to create profits, from which more than $14 million was diverted to the Nicaraguan rebels. Also indicted is former national security adviser John M. Poindexter. Use Kansan Coupons Gessell is holding secret hearings on North's requests to disclose certain classified information at the trial. The Classified Information Procedures Act provides for dismissal of charges if the government refuses to release documents that are needed for a fair trial. STORY IDEA? Call 864-4810 Enjoy Holiday Savings from Johnson Furniture *living room group: *dinette set: sofa chair 2 end tables coffee table 2 lamps starting at $25/mo. *dinette set:* round pine table 4 matching chairs §10/mo. *pine bedroom set: double dresser with mirror full size bed* *individual pieces: twin bed...$10/mo. full bed...$12.50/bunk bed...$20/desk...$7.50/mo. $ \1 7. 5 0 / m o. $ FREE DELIVERY for semester lease * all beds include mattress, box springs, frame & headboard J. F. 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