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About The Battalion. (College Station, Tex.) 1893-current | View Entire Issue (Dec. 3, 1982)
opinion Battalion/Page 2 December 3,1982 Slouch By Jim Earle ” ... and if you think this week was tough, wait’ll next week! Don’t wake me up until Monday.” Making crime pay in Washington law by Maxwell Glen and Cody Shearer Ronald Reagan’s Wall Street watch dog seems determined to make crime pay. In a striking tiew interpretation of a half-century-old law, Reagan’s men at the Securities and Exchange Commission (SEC) indicated last week that the gov ernment woidd investigate illegal corpo- 1 rate behavior only when such actions re- 1 suited in financial gain. The reasoning behind a speech by I SEC enforcepient chief John Fedders is classically Reaganesque. Though Fed- I tiers told a lawyers’ group that most American investors expect businesses to abide by standards of loyalty and hones ty, he insisted that all stockholders share ; but one genuine interest: “the expecta- ; tion of a return on investment.” Unless company behavior affects the bottom line, he argued, the particulars don’t matter. Since the creation of the SEC, prohibi tion of questionable behavior by publicly- traded companies has hinged on a slim provision in federal law stipulating strict reporting of company transactions, legal or otherwise. Suppression of this infor mation, know as “material facts,” has been illegal since 1934 on the grounds that it encouraged the kind of misin-/ formed public investing that ^ helped cause the 1929 stock market crash. Yet, from Fedders’ perspective, re porting requirements serve no public in terest as long as the culprit companies haven’t profited from their mischief. “If unlawful conduct could not have a material economic ef fect on a corpora tion, it is not likely to be considered im portant by a reasonable investor,” said Fedders.” ... therefore it would be diffi cult to prove in a law enforcement pro ceeding that the information would be important.” Hence, less than five years after the SEC invoked the anti-fraud provision to force confessions of bribery from nearly 500 U.S. companies (nearly a third of the Fortune 500), the administration is aban doning the traditional standard of “in tegrity of management.” By reneging on its major enforcement responsibility, the administration also sends a strong signal to business that ethical purity is subordin ate to rough-and-tumble risk-taking. In the short term, this policy may brighten corporate outlooks. In the end, however, it could sour investors and soil reputations. Reasoned one source close to SEC investigations: “Fedders may be lieve that as long as the company steals for you, rather than from you, it’s OK. But if a guy steals for you today, who’s to say he won’t steal from you tomorrow? This could create a climate that will lead to a lot of other liberties with the law.” Yet another Washington outrage has been the ref usal of incumbent senators to move into the new $150 million office building they’ve built for themselves. One suggestion for filling the 50-suite structure, named for the late Sen. Phillip A. Hart (D-Mich.), would be to move the 49 senators who voted for the most re cent appropriation request for the mar ble-faced Capitol Hill eyesore. Garry Trudeau, creator of the soon- to-disappear comic strip “Doonesbury,” expects to begin work with Robert Red- ford early next year on the production of their new movie about the New Right. Frudeau has finished the script for the still-unnamed film, which involves the efforts of a young conservative political action committee operative to unseat a liberal congresswoman. Yale University has joined a handful of American colleges which have agreed to provide financial aid to male students whose federal assistance has been jeopar dized by failure to register with the Selec tive Service System. Yale has vowed to make scholarship funds and loans avail able to those who lose their federal grants and loan eligibility. Borrowers, however, will have to pay market interest rates rather than the 9 percent charged on fed eral loans. The Battalion USPS 045 360 ^ Member ot Texas Press Association Southwest Journalism Conference Editor Diana Sultenf'uss Managing Editor Phyllis Henderson Associate Editor Denise Richter City Editor Gary Barker Assistant City Editor Hope E. Paasch Sports Editor Frank L. Christlieb Entertainment Editor Nancv Floeek Assistant Entertainment Editor Colette Hutchings News Editors Cat In Capps, Jennif er Carr, Johna Jo Maurer, Daniel Puckett, Jan Werner, Todd Woodard Staf fWriters Jennif er Carr, Susan Dittman, Beverly Hamilton, David Johnson, John Lopez, Robert McGlohon, Carol Smith, Dana Smelser, Joe Tindel, John Wagner. Rebeca Zimmermann Copy editors Elaine Engstrom, Jan Svvaner, Chris Thayer Cartoonist Scott McCullar Graphic Artist Pam Starasinic Photographers David Fisher, Jorge Casari, Ronald W. Emerson, Octavio Garcia, Irene Mees, John Ryan, Robert Snider Editorial Policy The ButlHlion is ;i non-protit, sclt-suppoiling news paper operated as a community service to Texas AKM University and Bryan-Collegc Station. Opinions ex pressed in The Battalion are those ot the editor or the author, and do not necessarily represent the opinions ot Texas A&M University administrators or tacuilv mem bers, or of the Board of Regents. The Battalion also serves as a laboratory newspaper tor students in reporting, editing and photography clas ses within the Department of Communications. Questions or comments concerning any editorial mat ter should be directed to the editor. United Press International is entitled exclusively to the use for reproduction of all news dispatches credited to it. Rights of reproduction of all other matter herein reserved. Second class postage paid at College Station, TX 77843. Letters Policy Letters to the Editor should not exceed 300 words in length, and are subject to being cut if they are longer. 1 he editorial staff reserves the right to edit letters for style and length, but will make every effort to maintain the author’s intent. Each letter must also be signed and show the address and phone number of the writer. Columns and guest editorials are also welcome, and are not subject to the same length constraints as letters. Address all inquiries and correspondence to: Editor, The Battalion. 210 Reed McDonald, Texas A&M Uni versity, College Station, TX 77843, or phone (713) 84r>- 2011. The Battalion is published daily during Texas A&M’s fall and spring semesters, except for holiday and exami nation periods. Mail subscriptions are $10.75 persemes- ler, $33.25 per school year and $35 per full year. Adver tising rates furnished on request. Our address: The Battalion, 210 Reed McDonald Building, Texas A&M University, College Station. TX 77843. ‘ Reagan and U.S. Love Boat by Art Buchwald “This is your Captain speaking. Wel come to ‘Love Boat USA.’ We’re going to have a wonderful triji because my crew has navigated a sure-f ire course to get us out of these heavy seas.” “Permission to come on the bridge, sir.” “Permission granted, Stockman.” “Sir, we’re in much deeper water than I predicted.” “Stay the course.” “When we set sail my calculations indi cated that we would be short 50 billion gallons of fuel. But now because the shijj is hardly moving, we could be short 185 billion gallons.” “Let’s give every passenger another fare cut. That should get the boat moving again.” “We have to find some way of getting more fuel. Giving everyone a fare cut now won’t do it.” “Why don’t we lay off more of the crew?” “We’ve cut the crew to the bone. There won’t be much savings there.” “Then cut down on benefits for the passengers.” “Yes, sir. All the passengers?” “Of course not. Just those, in tourist class. We don’t want to deprive the first class passengers of anything they need. If the first class passengers are happy, it will eventually trickle down to the tourist class.” “Chief Regan wants to speak to you, sir.” “What is it, Regan?” “Bad news from the boiler room. We’re running out of steam and the en gines are only operating at half their capacity.” “Stay the course, Regan.” “Yes, sir, but if we can’t produce steam we’re going to have to use up even more fuel than we anticipated.” “Don’t worry. When my fare cut goes into effect we’ll have all the steam we want.” “Captain, this is Officer Schweiker on C Deck. A lot of steerage passengers are seasick. Many of them are f alling over the side.” “Put uj) some more safety nets.” “I don’t have any safety nets. You ordered them thrown overboard to light en the shijj’s load.” “Well, then, the passengers are going to have to stay in the water until we get things straigtened out on the bridge.” “They’re drowning, sir.” “My heart goes out to them, but stay the course.” “Captain, damage control says we’re taking bilge in the cargo holds)! gross national product baro«i dropping fast.” “Tell them to reduce the pm terest rate values.” “They have, sir, but the bilgt stoj). They want to know if you- turn the shij) 20 degrees until lit |)inn|) out the water.” “I’m not interested in quid ft save a leaking boat. Stay the conn “Chief Gunnery Officer Weii requests to speak to the captain,’ “Of course, Caspar. What’s up! | “I’m going to have to put morel | guns f ront and aft, sir, and 1 m i controlled dej)th charges andtorp I on deck, and I must install MSmiss | the stern.” “I don’t see any problem will; | that. Go ahead. WTy are yous I Stockman?” "Sir, if we put all that militan ware on deck in these heavyseasu short over 220 billion gallonsoffi | “As Captain I have no intention! I ting back on the security needsi shijj. If Caspar says he needsJ stuff, then that’s good enoughfol “Captain, look at those wavesll we’re rolling into a depression." "Keej) your voice down, Dole, scare the passengers. Staythecoii Bi ke by B Street be more the city system t for repai municip; manager The ( Division ing a cc would f; and ma Ilschner of the n partinen Traffic 1 He s managei PAVER Bryan st priority ter coul which st paired fi PA VI $69,000 joint p: Municip ment an ing dej A&M 1 said. The l IFMEiS AH AGENT MOLOTOV BUM THIS OFFICE, W WIFEYWISYOUTO PICK UP SOME MILK OH YOUR WAY HOI develop ram for gradual! gather i While ai miles of would r conditio dons. Using PAVER nance cr quire Ilschner P& ap by S Ba The Col aftd Zonin day night the ColU Church fo sign. Pastor that the c has been ii the churc The churc in membei since its o that with church, ar order. A 19-f focal poin In oth ■nission: Letters: Twelfth Man non-reqs —appr 10 childrt cated in t 603 of t Apartmen —authc Editor: This letter is in response to Coach Jackie Sherrill’s recent announcement that he plans to use “the 12th Man” on his kick-off coverage team at all home games beginning next season. Although Coach Sherrill is sincere about this great, new endeavor, he is being quite biased in his choice of using only members of the Corps of Cadets. Come on, Jackie! Were you aware that there are 30,000 plus non- regs at this university, many of whom are just as supportive of “the 12th Man” tra dition? It is attitudes like yours and many other jxiojde that keep this institution from progressing as it should. Even the publication of an underground news paper which was meant to wake many people up and make them aware of their outdated views seems to have done no good! Let’s face it, Ags, the “good old clays of‘Old Army’” are on their way out! One last question for Coach Sherrill: What would the stands of Kyle F'ield look like if more than 30,000 non-regs de cided to abandon the 12th Man tradi tion? You’re trying hard, Coach, but you need to be aware of till the resources available to you. Steve Trolinger ’83 Nuclear news Editor: I noticed Maxwell Glen and Cody Shearer reporting in their column titled “Brief News about Reagan” that the nuc lear power industry is preparing a “wide- ranging” program to promote atomic energy next year. It was reported $21 million has been pledged by the entire industry which in cludes advertising in resj^onse to frustra tion over its treatment in the mainstream American jiress. It is about time that the nuclear indus try stopped reacting to the environmen talist “greenie” onslaught against prog ress like a damned ostrich, burying its head in the sand. It was also reported that Cambridge reports presented Findings of a poll that Americans oppose exjxmsion of atomic plants by a 2-1 margin to the American Nuclear Society. The opposition to solv ing our energy problems once and for all by the widespread expansion of safe, clear nuclear power installations, spent fuel reprocessing, closing the nuclear fuel cycle, and rapid development and commercialization of fusion reactors is not surprising . The media outside of Sci entific journals, Fusion Magazine, and New Solidarity Newspaper has consis tently blacked out any coverage of any organized opposition to the No Nuke — zero growth movement. Also rather than inform the American people of the facts and cover the opinions and actions of both sides of this issue, the media (which is tightly controlled) has given only one-sided coverage. That is why the American people do not know who Lyndon LaRouche is, or who Dr. Steven Bardwell is, or have heard of the National Democratic Policy Committee or of the Fusion Finergy Foundation. The above organizations and people I’ve listed represent the main {proponents for the policy of switching to a hydrogen- based economy through expansion of Nuclear power and development of fu sion. I implore fellow Aggies who want economic development to call the various news media and demand that they start covering both sides of this inf issue. Also, the National Democrai 1 cy Committee and the Fusion Foundation challenge any oppoi expanding nuclear power toap bate. I only hope that the industry tactic of arranging public deW paying' for network coverage NDPC had the funds of $20milli able, I know for a fact that the would change the direction of dons energy policies by turning 1 out of three currently ignorant icans into educated citizenry Brian ’ Camera stolen Editor: This past week my dad came bonfire. He stayed in my roomtl While we were outside, somedj into my room and stole my dad’s It is a Canon AE-1,35mm, with? Canon lens and Albinar lens covet camera is valued at $350. The theft has been reported University Police; however, the^ has not turned up. My dad and want to blame an Aggie for the since there were many people n(f Texas A&M watching Bonfit thought Aggies would have raon If the person responsible ford is reading this letter, bring the hack, contact me at 260-6849 or by Dormitory 11, Room 111. a 37.06 aci a fthe sou intersectic Wellborn I district. —passe Karl A. Tre^ William P. Ire 111 • Witt diplon mourn with a loma V with y, iater tl AVAIL o ar