1 VIPs Play Ball in County SEE STORY PAGE 2 Storms Ahead •->, Thunderstorms likely today. FINAL Clearing, mild tonight. Sunny, Red Bank, Freehold pleasant tomorrow and Long Branch Wednesday. I EDITION Moiimoufli County's Outstanding Homo VOL 94 NO. 40 RED RANK, N.J.. MONDAY, AUGUST 23,197 L Court Test On Freeze Defiance WASHINGTON (AP) - duly enacted by the people of Although no other gover- rate profits and bank interest -Federal officials anxiously Texas Gov. Preston Smith our state," he said. nors have challenged the rates "if the freeze goes watched the opening of Eu- says he will obey the courts if The Justice Department freeze, he said, "we are about beyond 90 days." ropean money markets today they rule he cannot imple- has said it will file suit this the only state affected. The Vice President Spiro T. Ag- to determine the value of the ment a state employe's pay week to prevent the pay in- others have already had their new said on ABC's "Issues dollar. Most foreign ex- raise in defiance of President creases. legislative sessions and their and Answers" that opposition changes have been closed Nixon's wage-price freeze. Smith said he would obey a pay raises have been imple- from organized labor prob- since Aug. 15 when Nixon an- But the Democratic gover- possible temporary injunction mented." ably will not nullify the wage- nounced he was freeing thp nor repeated yesterday that pending appeal and "if the As Smith spoke on CBS, price freeze. dollar from the price of gold, he thinks the President cannot courts hold with them (the "Face the Nation," Gov. Referring to opposition allowing it to seek its own lev- override the state law per- government), well of course George Wallace of Alabama from AFL-CIO President el. mitting the Sept. 1 raises. we'll have no alternative." told an NBC "Meet The George Meany, Agnew said: "It would be oijr guess that Asked why he would not Press" panel that raises of "I still don't believe any per- -Virginia N. Knauer. spe- this ought to be carried to the call a legislative session to state employes and teachers son, any individual, can wreck cial assistant to thePresident Supreme Court to determine postpone the increases, he should go into effect. But he a president's program that is for Consumer Affairs, said whether or not the president said: "Because I would like said he would not defy the geared to assist the American her office has received com- of the United States, any pres- this question of presidential government on that point. people out of a dilemma." plaints on some markups ident, has the authority to .- authority to void a state law He said some controls also In other economic devel- since the wage-price freeze void a law which has been solved once and for all." should be imposed on corpo- opments: began. Educator Denies ENB Debt By JANE FODERARO Schotte was indicted by a fed- demands a jury trial. that Dr. Parenty "executed charges that the defendant eral Grand Jury last April on In his complaint against and delivered" a promissory failed to reimburse the bank FREEHOLD - The super- charges of conspiring to mis- Mr. Schotte, Dr. Parenty al- note to the Eatontown Nation- for a note signed on July 10 intendent of Monmouth Re- apply funds of the Eatontown leges that "consideration for al Bank on June 25, 1970, for 1970, for J45.300 and another gional High School in New bank. said loans was turned over to $33,137.75 at 6 per cent inter- note signed on Aug. 3, 1970, est. The suit-states-thaUthe—for H.™.-TheJotaLamountot Shrewsbury, sued by the re- Superior Court Judge An- Douglas J. Schotte who used th suit ceiver of the defunct Eaton- drews A. Salvest signed an or- said funds for his own use." defendant made payments on « . including interest and town National Bank for der July 16 granting the mo- Dr. Parenty demands judg- the note, but still owed a bal- legal costs, is set at $53,044.65 $53,144, denies charges that he tion by Dr. Parenty. ement against Mr. Schotte for ance of $1,444 when the bank Representing the FDir is failed to pay off loans from In answering papers filed "all sums that may be ad- was closed on Aug. 7,1970, by attorney George Whitmore of the bank.. with the court, Dr. Parenty judged against the defend- the U.S. Controller of the Cur- the Red Bank law firm, Par- He further claims that he 1 claims he "at no time re- ant." rency for insufficient funds. sons, Canzona, Blair and War- MISS WESTSIDE — Beverly Ross, 18, right, a Red Bank model, was See Leader, Page 2 crowned Miss Westside at the Red Bank Community Center Block Party. "at no time received or had ceived or had use of the • The FDIC claims in its suit In addition, the FDIC WHK'her are, from left, Miss Donna Johnson, Miss Marie Weeks, Clar- use of funds," and he has fund?" he allegedly borrowed. enjoined Douglass J. Schotte, The answer states that the ence Brown, djrector of the Red Bank Monmouth Community Action Pro- former ENB president, as Eatontown National Bank gram office, and Mrs..Lillian Reevey> chairman of the-event. Related sto- party to the action. "had benefit" of money alle- ry, photos page 2. The Federal Deposit Insur- gedly loaned to the defendant ance Corp., receiver of the because those funds were to shuttered bank, filed a civil be used for purchase of suit against Patrick Parenty stocks. 'Shared Time' Mulled of 5 Fairway Ave., Eaton- Value in Access town, the superintendent, for Moreover, the defendant a total of $53,144.65. claims to have voluntarily re- The FDIC alleges that turned securities to the re- For Private Schools Dr. Parenty failed to pay the ceiver. He states that the val- balance due on three promis- ue of those securities was TRENTON (AP) - The religiously-affiliated schools. tain to bring a constitutional sory bank notes that he signed "far in excess of the amount Cahill administration is con- Last Wednesday the gover- challenge. in June, July and August of of the loans." sidering tuition grants and a nor said his administration Also under study, according 1970. The rate of interest due The defendant also claims "shared time" system to pro- would find other ways to give to administration sources, is a on each note was set at 6 per that "the plaintifff (FDIC) vide aid to the financially assistance to the private plan to increase textbook cent. has failed and refused to cred- troubled parochial and pri- schools. grants now totaling ?3.4 mil- The defendent in turn filed it the alleged notes which vate school systems, actord- Under a shared time plan, lion for private and parochial a motion to make Mr. Schotte have accrued to it." ing to sources in the gover- parochial school students are schools. a party to the action. Mr. In conclusion, Dr. Parenty nor's office. shuttled to public schools for Both the state attorney gen- The state is prepared to un- instruction in secular subjects eral's office and the executive derwrite the schools up to $6.1 by teachers at those schools. office have a team of lawyers million, but must find ways to Shared time has been ap- trying to find the best means stay within the constitution. proved by the courts and has of supporting the schools Students to Get In June the U.S. Supreme been attempted in several while staying within the First Court declared uncon- school districts in the state. Amendment guarantee of sep- stitutional all but $3.4 million Direct tuition grants to par- aration of church and state. of the $9.5 million aid pack-, ents of non-public school chil- "It is the governor's hope Lottery Windfall age. The funds would have dren have never been tried in and firm conviction that a paid salaries of teachers at the state and are almost cer- honpubiic school aid bill will TRENTON (AP) - Reve- The commission thus far be passed by the legislature nues $15 million higher than has given away about $29 mil- before the end of the year," anticipated for the first six lion in prize money. Another said Cahill's chief counsel, months of the New Jersey lot- $4 million is as yet unclaimed. Pierre Garven. tery will be used to send more Winners have a year in Bottle Recycling— Jerseyans to college, Gov. which to pick up their prizes. Register Staff Photo Legislative leaders said a William T. Cahill says. ELKS ADDITION — The Bates Lodge Elks held groundbreaking ceremo- new aid package would have State officials say the 50- Citing figures from the New cent tickets and weekly draw- nies yesterday for the $94,000 addition to their facility on Shrewsbury With a Bright Touch a good chance of getting Ave., Red Bank. Starting the construction are, from left, Henry Daniels through the legislature, which Jersey lottery commission, ings, which generate wide- Cahill said the lottery had net- spread attention and publi- Building Inspector Maxwell Klarin, Clarence Taylor, chairman of the It's Midland Glass Company's recycling program. reconvenes in November, if Elks Building Fund, and Exalted Ruler William Harris. And it's part of a strong effort to better our environment the Cahill administration is ted 533 million in profits. Es- city, account for the success in the county. willing to take an agressive timates before the lottery be- of the lottery.