Path: bloom-picayune.mit.edu!enterpoop.mit.edu!snorkelwacker.mit.edu!news.media.mit.edu!americast.com!americast.com!usa-post Newsgroups: usa-today.law,americast.usa-today.law From: usa-post@AmeriCast.Com Organization: American Cybercasting Approved: usa-post@AmeriCast.com Subject: law Mon, Nov 2 1992 Date: Mon, 2 Nov 92 04:47:35 EST Message-ID: Lines: 144 11-02 0000 DECISIONLINE: Business Law USA TODAY Update Nov. 2, 1992 Source: USA TODAY:Gannett National Information Network CHINA ACCUSED OF DUMPING: The Commerce Department said Friday that China is selling a product used in making steel in the USA at prices below the market. The government said China is dumping substance ferrosilicon, imports of which from China totaled $2.3 million last year. The dumping margin on Chinese ferrosilicon equals 137.3% of its U.S. selling price, the Commerce Department said. CALIFORNIA CRACKS DOWN: The California Department of Housing and Community Development has enlisted the assistance of the Attorney General's office in enforcing state laws designed to produce more housing. The unprecedented move is supposed to break down barriers many cities place in the way of the development of affordable housing. Stern warnings were issued to 47 cities throughout the state to comply. BUSH GRANTS THRIFTS EXTENSION: Savings and loan institutions have been granted extra time to sell their real estate subsidiaries by a law signed by President Bush Friday. A 1989 banking law required thrifts to deduct their investments in real estate subsidiaries from their capital by July 1, 1994, and cut 40% by November of this year. The new law extends the 40% deadline to Jan. 1, 1993. CONTINENTAL DEADLINE MONDAY: The court-ordered deadline is Monday for formal buyout offers in the bidding war for Continental Airlines. Four investor groups are known to have made bids for Continental, which has operated under Chapter 11 bankruptcy for nearly two years. The top bid is $425 million; low bid, $385 million. Continental's Air Micronesia's assets will secure the debt loads of the offers. CALIF. NEWSPAPER IN ON DEAL: Blade Communications, owner of the Pittsburgh Post-Gazette, says it is offering a California newspaper it owns as part of a deal to buy its rival, the Pittsburgh Press, from E.W. Scripps. Blade says it didn't mention the sale of The Herald of Monterey County when it made its offer for the Press last week because it wanted to notify employees first. FDIC SEIZES TEXAS BANK: First City Bancorporation, which owns 20 Texas banks hurt by bad loans, was declared insolvent Friday. Regulators say First City is the largest bank failure this year and the eighth largest ever. Sen. Don Riegle, D-Mich., says the failure is the second time the bank has been bailed out. In 1988, the Federal Deposit Insurance Corp. gave First City $977 million to protect depositor money. BANKS TO REOPEN MONDAY: The banks of First City Bancorporation - declared insolvent on Friday - will reopen Monday. It will be under the control of the government until a buyer is found. The Federal Deposit Insurance Corp. will guarantee 80% of deposits that exceed $100,000 at four of the 20 banks. The agency said the banks were in Houston, Austin, Dallas and San Antonio. STEAKHOUSE FOLLOWS PARENT: Western Sizzlin' Inc. has filed for bankruptcy just a week after its parent company, Intermark Inc., filed for protection. Western filed for Chapter 11 protection with $51.2 million in liabilities against assets of $5.4 million. Intermark filed for bankruptcy earlier in October and said at the time the filing would not affect any operating interests. PARRETTI SUES CREDIT LYONNAIS: Italian financier Giancarlo Parretti said Friday he has filed suit against the bank that helped him buy MGM studios, claiming it pushed MGM to the verge of bankruptcy to wrest control from him. Parretti filed the suit against French bank Credit Lyonnais in Orvieto, near Rome. The suit says Credit Lyonnais repeatedly threatened the Parretti companies to force Parretti to give up. SHAREHOLDER SEEKS COMMITTEE: A shareholder of Wang Laboratories Inc. who holds 1 million shares Friday filed a motion in federal bankruptcy court for a separate committee to represent equity holders' interests. Shareholder Morton Salkind wants a committee of major shareholders to represent all shareholders' interests, his lawyer said. Wang has been reorganizing under Chapter 11 bankruptcy since August. SIERRA CLUB TO FILE SUIT: Top environmental groups Friday charged the Bush administration with being willing to sacrifice a national park and a wildlife refuge for short-term political gain. The Wilderness Society, National Audubon Society, Defenders of Wildlife and other groups said the Sierra Club Legal Defense Fund will file a federal suit on their behalf Monday over permits involving Oregon Inlet, N.C. BOX PRESIDENT TO PAY $28.5M: Box Energy Corp.'s president, Cloyce Box, has been ordered to pay $28.5 million in damages for unfair dealings with former partners. Box's countersuit has not been scheduled for trial. Potato magnate and former partner J.R. Simplot led other shareholders in convincing a federal jury that Box had diverted $20 million in pipeline income for his own use. BOSTON EDISON'S PLAN APPROVED: The Boston Edison Co. Friday announced that the Massachusetts Department of Public Utilities has approved the negotiated settlement filed in the company's 1992 retail rate case. The agreement was filed Oct. 23. Under the agreement, Boston Ed can't raise rates at least until November 1993. TRUST CO. TAKES OVER BANK: The Resolution Trust Company Friday took over San Francisco-based Homestead Savings. Deposits still are federally insured. Homestead had $1.61 billion assets and $1.55 billion liabilities. The newly created Homestead Federal Savings Association will assume all deposits and some assets and liabilities of Homestead Savings. The RTC will negotiate a permanent resolution for the thrift. TRUCKING UNIT LOSES SUIT: A federal judge Friday ruled against Lifschultz Industries' defunct trucking unit in a lawsuit against trucking concerns Roadway Services Inc., Consolidated Freightways Inc. and Yellow Freight Systems Inc. Roadway says Lifschultz had waged a "publicity campaign" to back up a "preposterous" antitrust conspiracy claim against the other three companies. TEAMSTERS' BOYCOTT ENDS: Teamsters Local 243 Friday called off its boycott against metro Detroit Highland Superstores after an agreement was ratified that protects Local 243 Highland home delivery drivers locked out in September. The local launched its boycott on Labor Day. The local, which said it succeeded in cutting patronage of Highland, said Friday that it now is urging the public to support Highland again. Business Law Editor: Beth Mann. (919-855-3491) Making copies of USA TODAY Update (Copyright, 1992) for further distribution violates federal law. This article is copyright 1992 Gannett News Service. Redistribution to other sites is not permitted except by arrangement with American Cybercasting Corporation. For more information, send-email to usa@AmeriCast.COM