The Courier-Journal from Louisville, Kentucky • Page 24

Leak-prevention project closes reservoir walkway Construction vehicles have displaced joggers and walkers at Louisville's Crescent Hill Reservoir until next summer. Page B2 Qfre mmxJ3mxml Wednesday, December 8, 1999 Neighborhood news B2 Kentucky and the Region B4 Weather B4 Briefs B4 Deaths B5 euro Editor: Chuck Clark Phone: 582-4691 Fax: 582-4200 www.courier-Journal.com U.S. alleges three used export firm as Racketeering enterprise' Indictment claims fraud, bribery in defense deals D. Burks, 53, president and owner; David A. Klemenz, 41, former chief financial officer; and Larry L.

May, 50, former vice president. One count accuses Burks of obstructing a grand jury investigation into the case by ordering employees to shred subpoenaed documents. Steve Pence, an attorney for Klemenz, said he hadn't reviewed the indictment. But "I can assure you we'll be entering a plea of not guilty." May's attorney, Peter Oster-miller, said he couldn't comment because he hadn't seen taking kickbacks in return for helping AM-AR charge inflated prices for aircraft-part kits. All five defendants are scheduled to be arraigned Tuesday.

Here are lists of charges against the Louisville men from the U.S. attorney's office: Burks, of 809 Rugby Place, is charged with conspiracy, aiding and abetting, mail fraud, money laundering, obstruction of justice, racketeering, and payment of illegal kickbacks. If convicted, the maximum penalties are 275 years in prison and $9.5 million in fines. Klemenz, of 1304 Golden Springs Court, is charged with conspiracy, aiding and abetting, mail fraud, money laundering, racketeering, and payment of illegal kickbacks. The maximum penalties for the offenses are 265 years in prison and $9.25 million in fines.

May, of 1605 Clarice Way, is charged with conspiracy, aiding and abetting, mail fraud, money laundering, racketeering, and payment of illegal kickbacks. The maximum penalties are 205 years in prison and $7.25 million in fines. charged. Charles J. Knoblach, 49, of Dayton, Ohio, a former buyer with Sciences Application International a Defense Department contractor, took kickbacks from Burks, Klemenz and May, the indictment alleges.

In return, Knoblach helped secure contracts for an AM-AR affiliate, the indictment said. Burks, Klemenz and May are charged with laundering the payments in offshore accounts. John Demeritt, 62, of Schertz, Texas, a former employee of another company, UNC-Lear Siegler, is accused of the indictment. David Lambertus, Burks' attorney, could not be reached. No one answered Burks' phone.

The company lists two addresses in the phone book: 3311 Gilmore Industrial Boulevard and 9721 Ormsby Station Road. It has been under investigation since at least June 1997, when federal agents searched its offices. At the time, Burks said the company had not violated any federal laws "to the best of our knowledge." Two employees of out-of-state companies were also turned in U.S. District Court accuses them of operating AM-AR International an exporter of aircraft parts and electronics, as a "racketeering enterprise." The indictment charges that the three men paid kickbacks to win defense contracts and obtain inflated payments from the Defense Department. Two of the men also submitted false invoices to receive more than $14 million in overpayments under a contract with the Royal Saudi Air Force, the indictment alleges.

The three indicted are Gary By MARK SCHAVER The Courier-Journal A federal grand jury indicted the president of a Louisville company and two of its former executives yesterday on charges that they used fraud, bribery and extortion to win defense contracts. A 37-count indictment re 'KENTUCKY HAS A GOOD FOUNDATION' Airport mm i mm Arson suspected in fire that injured 3 Jefferson girl, 5, remains in critical condition 'Hush flight tracks among ideas prr' 4i388t a BY KEITH WILLIAMS, THE COURIER-JOURNAL Katie Winters, a drum major at Muhlenberg North High School, directed fellow band members as they passed the governor's reviewing stand during yesterday's Inaugural parade in Frankfort. Crowd sparse for inaugural But Denny Rued, co-chairman of the noise monitoring committee and a resident of Minor Lane Heights, said the noise should not be shifted from one area to another. Building the "hush houses" three-sided or enclosed structures in the middle of the airport. Airplanes would steer into the hush house for engine maintenance.

Paying for the relocation or soundproofing of more than 2,000 homes most affected by airport noise. That suggestion was in the presentation of Don Conrad, chairman of the relocation committee. It drew applause from many of the approximately 50 people at the meeting, at Fourth Presbyterian Church on Preston Highway. The study group a team of airport officials, users and neighbors organized by the airport authority is helping consultants draw up recommendations for measuring and dealing with airport noise. The goal is to send final recommendations to the Federal Aviation Administration next fall.

Bill Willkie, a senior associate with Leigh Fisher, said in an interview that the consultants would be "recommending, not dictating." Next month they'll explain the legal, operational ana potential benefits of each suggestion. The study group will then decide what noise-abatement policies should be pursued. Dorn Crawford, chairman of the navigation committee, said that the community's voice is a key part in the process and that the group is following a strict schedule. "We're telling the consultants what we want them to analyze," he said. "We're all on a time line next fall we're going to have a product." By SHANNON TANGONAN The Courier-Journal People who live near Louisville International Airport and endure the noise of roaring jets offered suggestions last night on how to ease the problem.

They ranged from making sure that aircraft stick to preferred flight tracks to building "hush houses" for airplane maintenance to reduce the impact of engine noise on neighboring communities. The recommendations came from about 10 committees that are part of an airport noise study group. They presented their ideas to consultants from Leigh Fisher Associates of San Francisco, who will study them and come back next month with suggestions for noise abatement. The proposals included: Establishing a public noise office under the Regional Airport Authority to continuously monitor noise. Marinelle Var-ela, head of the sensitive facilities committee, suggested that new airport projects would be introduced to the forum for study before being approved.

The community noise forum could also determine penalties or corrective measures if airport users don't comply with abatement policies. Setting up flight patterns that restrict takeoffs and landings to and from the south a controversial proposal from Varela's committee. She said that would restrict the noise to areas in which fewer people live. By ERIC WESLANDER The Courier-Journal Jefferson County police say they may file charges soon in a suspected arson fire that left a 5-year-old girl critically injured. Amanda Embry, who was trapped in a bedroom in her family's mobile home early Monday and was rescued by firefighters, remained in critical condition last night at Kosair Children's Hospital.

The condition of her brother, 9-year-old Christopher Embry, was upgraded yesterday from fair to good, said Mary Newby, a spokeswoman for Norton Health Care. Charges could depend on whether Amanda survives, said Officer Robert Biven, a spokesman for Jefferson County police. He would not say how police think the fire started or how many suspects are involved. Firefighters were called to Lazy Acres Mobile Home Park at 5601 Cane Run Road about 1:20 a.m., and when they arrived the Embry trailer was engulfed in flames. Firefighters determined yesterday that there were no working smoke detectors in the mobile home, and one of the two doors was blocked by furniture, said Doug Atwell, chief of the Pleasure Ridge Park Fire Protection District.

The children's mother, Barbara Embry, suffered minor injuries. Neighbors helped her and Christopher escape, but they could not reach Amanda. The children's father, Mark Embry, was not at home when the fire broke out. Atwell said his department plans to begin distributing smoke detectors and batteries door-to-door at the six mobile-home parks in the Pleasure Ridge Park area. "We're going to use this tragedy to make people aware that you need a smoke detector and two ways in and out of your home," he said.

Atwell said the Embrys' trailer was at least 15 years old and was built of materials that are more combustible than those used for newer models. He said it's possible for a fire to spread throughout a mobile home in five to seven minutes. 'JO nO'M 1 fmmmmm-mm- kvn 1 i ate Thomas Clark, who sat on the front row with the ex-governors, said in an interview afterward that Kentucky's prospects are "much brighter than when we started this century. Kentucky has a good foundation on which to build." The audience interrupted Patton's speech with applause eight times, including when he said, "It is my determination that we will go further than we have ever gone before!" But he gave only general ideas about what he will ask the legislature to do next month. "We will address the educational needs of all of our people, from our youngest children to our adult work force.

We'll invest in more infrastructure, we'll seek solutions in health care, we'll protect the environment, we'll punish criminals, we'll improve our economy, we'll make our tax system more fair and we'll address a hundred other topics," he said. While Patton is coy about General Fund tax increases, he had money on his mind when asked what he remembered about the Rev. Eddie Grigsby's remarks at the private inaugural worship service yesterday morning. Recalling that Grigsby told a parable to show that "a lighted world costs more, Patton said, "I believe he said if you want something, you have to pay for it." See PATTON Page 3, col. 1, this section By AL CROSS and MICHAEL QUINLAN The Courier-Journal FRANKFORT, Ky.

The crowd was thin but the history was thick yesterday as Gov. Paul Patton and Lt. Gov. Steve Henry were inaugurated for another four years. Despite 50,000 invitations and a last-minute round of privately funded radio commercials to boost the crowd, only a few thousand people lined the streets of Frankfort for the inaugural parade, and there were plenty of seats available for the mid-afternoon ceremony at the Capitol.

The weather was sunny and chilly, but still warmer than at the inauguration four years ago. But that was the beginning of Patton's governorship, and he acknowledged as he left the parade reviewing stand, "There's less interest in a continuing administration." While the 56th inaugural lacked some attendance, it was loaded with history. A millennial year is weeks away, and thanks to a change in the state constitution, Patton is the first governor in 199 years to win a second full term in succession and the first to win back-to-back terms by direct vote of the people. Henry is the first lieutenant governor to serve consecutive terms. To highlight history, Patton invited all eight living former governors to sit on the front row of the plat- Sports-equity checklist for schools is praised BY DURELL HALL JR THE COURIER-JOURNAL Judi and Paul Patton waved to the crowd during the grand march at last night's ball In the Capitol.

By LONNIE HARP The Courier-Journal FRANKFORT, Ky. The state's high school athletic as tus as a leader in many areas, and that 100 years ago it was on "the very brink of civil war" with the assassination of Gov. William Goebel. But he said that in the last half of this century, "I see a ray of hope when we've been willing at times to face up to our responsibilities." And state historian laure form, and all did except his immediate predecessor, Brereton Jones, whose office said he was in West Virginia with his widowed and ailing mother. Patton's main historical point was negative that the middle century of Kentucky's history (1842-1942) "was an abysmal failure" because the state lost its sta Welcome-home reception set for Murden The Courier-Journal A welcome-home reception for Louisville's Tori Murden, the first woman and the first American to row solo across the Atlantic Ocean, will be at 12:30 p.m.

Saturday in the rotunda at Louisville International Airport. The public is invited. Murden also will hold a news conference. She rowed the 2,962 miles from the Canary Islands, off northwest Africa, to Guadeloupe in 82 days, landing Fri-dav mornine. people and visiting," said True, who is an executive in a national accounting firm.

He added, however, that the association has assembled a thorough system for checking compliance. Association officials said the Title IX checklist is new, and it will be able to begin more extensive audits in June after the 58 schools identified for equity checks this year complete their paperwork. Other schools will get an introduction to the documents at the association's annual meeting in January and will be responsible for monitoring themselves until they come up for a state audit. True said the state wants the program enforced vigorously. "We are concerned in any delay, but I understand you have to collect the data first.

Louis Stout, the association's commissioner, said yesterday that the most serious problems in the initial visits have involved old facilities used for girls' sports compared to newer facilities for boys' teams. So far, the association has visited high schools in Pulaski, Fayette, Bourbon, Muhlenberg, McCracken and Franklin counties. Officials said visits are scheduled at four Jefferson County schools in January. State Board of Education appoints Kevin Noland interim commissioner. B4 i Ill k.

sociation won points yesterday for putting together what it claims is the toughest checklist in the nation for making sure that schools offer equal treatment to boys' and girls' teams. But state officials who pushed the Kentucky High School Athletics Association into the oversight role said they want the group to ensure that the new process has teeth. In recent weeks, the association has conducted its first eight visits to schools to monitor Title IX, a 1972 federal law that requires equity in extracurricular programs at public schools. An investigation last year by The Courier-Journal showed the law was rarely known, much less enforced, in Kentucky schools. Association officials said their initial visits are acquainting school officials with a new process for documenting how well schools are obeying Title IX.

But Craig True, chairman of the state Board of Education committee that has pushed for the new enforcement, said the association needs to make sure its audit visits become a process for verifying information. "I would say what you're doing so far is not auditing; it's sitting down and chatting with 0 Murden has been in New il' aiiL York City for interviews, and she is scheduled to be on 1 NBC's "Today" show tomorrow morning, said April Gentile, a Louisville friend. Murden left Louisville on Sept. 4 for the Canary Islands BY MICHAEL CLEVENC.ER, THE COURIER-JOURNAL Gov. Patton Invited former governors to join him yesterday.

From left were Julian Carroll; Patton; Judi Patton; Wendell Ford; Wallace Wilkinson; Jill Brown, wife of John Y. Brown Brown; Martha Layne Collins; Louie B. Nunn and Edward "Ned" Breathitt. Former Gov. Brereton Jones did not attend.

to make final preparations for the voyage..