June 4, 2003

Study by Children's Rights Inc shows welfare workers in South Jersey are responsible for well-being of 80 children each, more than three times accepted national standard; workers are overextended and unable to devote sufficient attention to each case; organization, which is suing New Jersey over quality of its foster care system, found Division of Youth and Family Services does not meet six child welfare standards set by Child and Family Service Review, federal panel that evaluates states on specific child welfare issues (M)

Martha Stewart Living Omnimedia says Martha Stewart faces likely criminal indictment related to her personal trading in Imclone stock just before FDA turned down Erbitux drug application and stock price plunged; photos; graph; disclosure, raising possibility that Stewart may have to step down from company posts, comes before tense annual meeting, at which she speaks by video; Stewart's lawyers have apparently failed to win agreement with federal prosecutors after months of negotiations (M)

Federal Reserve chairman Alan Greenspan, speaking at bankers' conference in Berlin, says that economy stopped deteriorating in May and that he foresees 'the makings of a turnaround'; sees inflation as no major concern, opening possibility of further interest rate reductions; tailors remarks to emphasize positive signs (M)

Fierce battles erupt in New York City's affluent suburbs over school budgets, as residents watch their taxes climb; some taxpayers cut back on other activities to afford tax payments; some residents who voted for tax increase last year are railing against this year's proposed increases; budget votes in legislature were delayed by battle over education aid after Gov Pataki cut state aid to schools, shocking districts across state; move forced responsibility for funding to local level; examples of increases in various towns noted; photos (M)

Martha Stewart Living Omnimedia announces that Stewart expects to be indicted on charges that she disposed of her shares of ImClone Systems stock based on non-public 'insider' information; sales of company's wares have fared well during controversy about her stock-trading ethics; fortunes of her media properties are floundering; Martha Stewart Living magazineadvertising revenues are down, while imitators copy its graphic design and her lifestyle fantasies in new publications; Stewart's company's share price has lost half its value since revelation about her trading in ImClone stock; photos; share price graph (M)