March 26, 1996

In a rare independent examination of the Federal Reserve's operations, a Congressional report issued today criticized management by the secretive central bank of its own finances, suggesting that it could spend less and return billions of dollars to the Treasury. The report by the General Accounting Office was released by two Democratic Senators a day before the Senate Banking Committee is to take up nomination of the Federal Reserve's chairman, Alan Greenspan, to a third term. While it contains no direct criticism of Mr. Greenspan and does not address the monetary policy pursued by the Federal Reserve under his leadership, the report provides an unusually detailed look inside an institution with enormous power and, critics contend, insufficient accountability.

If there is a new Bob Dole, he is the man who returned to his home town today, not as a loser in a national campaign, as he has three times before, but as a winner. "By most accounts, I now have enough delegates to be the Republican nominee for President of the United States," Mr. Dole told 3,000 cheering people in the high school gym here, on the day before the California primary, which is expected to clinch the Republican Presidential nomination for him. "And tomorrow I will add enough to erase any doubt."

A suitcase containing $94,000 worth of jewelry was stolen Sunday afternoon from a booth at the Atlantic City Convention Center, the police said yesterday. The victim, who was not identified for security reasons, had just finished packing the bag and had momentarily turned her back when the bag disappeared, said Sgt. Ernest Jubilee, a spokesman for the Atlantic City Police Department.

Partners for Seniors has expanded its pharmacy benefit!" a newspaper ad proclaims to Tucson's big retirement community. "Enjoy free health club benefits," promises Intergroup of Arizona. "Do you know," touts FHP Health Care, "how your health plan stacks up against FHP's? You tell us. $0 plan premium. $0 deductibles." Tucson's health maintenance organizations offer free hospital stays, free annual physical exams, free X-rays, free mammograms, free laboratory tests, $26 eyeglasses, $5 and $10 doctors' appointments, free rides to get to them and this year's newest offering: $7 for a three-month supply of any of 300 prescription drugs.

A Port Authority police officer was injured yesterday in an automobile crash just outside the Holland Tunnel and a second officer was stabbed when the police tried to subdue the driver who struck the first officer's car, officials said. Officer Larry McKevitt and Sgt. Mark Potepa were treated at Christ Hospital and released yesterday afternoon. Authority officials said that Carlos Jassy, of Fort Lee, a pyschiatric patient, had been driving erratically and crashed into a police car after officers tried to stop him from entering the tunnel. Mr. Jassy was being held at Jersey City Medical Center for medical and psychiatric evaluation, the officials said.