And now:Ish <[EMAIL PROTECTED]> writes:

Published Thursday August 05, 04:28PM CDT 
Indians' Lawyers Seek Funds Watchdog
http://www.omaha.com/Omaha/OWH/APStoryViewer/1%2C3293%2C84379%2C00.html
By MATT KELLEY Associated Press Writer

WASHINGTON (AP) - The federal government cannot be trusted to fix decades-old 
mismanagement of about $500 million of American Indians' money without court 
oversight, lawyers for the Indians argued to a federal judge.

In court papers filed shortly before midnight Wednesday, the Indians' lawyers asked 
U.S. District Judge Royce Lamberth to appoint an independent watchdog to make sure the 
government fixes problems with some 300,000 trust accounts. The Interior Department 
oversees the accounts, which mainly hold proceeds from oil drilling, mining, logging 
or grazing on reservation land owned by individual Indians.

''Without judicial intervention, reform efforts will fail, since the (Interior) 
Department will ultimately lose focus and interest,'' the Indians' lawyers wrote.

Interior Secretary Bruce Babbitt and other federal officials have strongly opposed 
appointing a court watchdog, known as a special master, to oversee efforts to fix the 
problems with the trust accounts. The department's Bureau of Indian Affairs is working 
on a computerized system to track the accounts, but Babbitt admitted this summer that 
the plans wouldn't fix all of the problems.

Babbitt and other officials acknowledge that for decades, many records regarding the 
trust accounts were never kept, collected haphazardly or eventually destroyed. 
Millions of dollars were invested improperly or not at all, and record-keeping is so 
lax that officials cannot say whether billions of dollars' worth of transactions were 
legitimate or not.

Lamberth held Babbitt, BIA head Kevin Gover and then-Treasury Secretary Robert Rubin 
in contempt of court earlier this year for repeatedly failing to hand over documents.

That contempt citation helped speed federal efforts to clean up the problems, said 
Keith Harper, one of the Indians' lawyers. Without continued court pressure, reform 
efforts would likely flounder, he said.

''You turn off the lights and all the roaches start coming out again,'' Harper said 
Thursday. ''It's difficult to get the Department of Interior to focus on this issue 
for an extended period of time.''

Tom Clark, the Justice Department lawyer heading the government's defense team, did 
not return repeated telephone calls seeking comment Thursday.

Five Indians sued the federal government in 1996 on behalf of all Indian account 
holders, seeking to force the government to clean up the problems and repay account 
holders for lost revenue. Lamberth split the trial into two parts: One dealing with 
solving the trust management systems and the other with determining how much the 
Indian account holders should be paid.
Final written arguments in the first phase were filed this week. The Indians plan to 
seek billions of dollars in the second phase.


Copyright 1999 Associated Press. All rights reserved. This material may not be 
published, broadcast, rewritten, or redistributed.
Reprinted under the Fair Use http://www4.law.cornell.edu/uscode/17/107.html doctrine 
of international copyright law.
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