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Former Top HUD Aide Takes Fifth

Now Pierce, Two Assistants Avoid Congress's Inquiry Into Scandal

"He was a miserable secretary of HUD," Lantos said."... The record of HUD is clear. It's there for all to see."

Rep. Bruce Morrison (D-Conn.) called for a grand jury investigation of the top-level HUD activities during Pierce's administration. He said the Justice Department should "view this not just as a case of mismanagement and mistaken judgment at the highest levels of HUD, but an instance in which white-collar crime may well have occurred."

Despite congressional protests that he was throwing up roadblocks in their investigation, Pierce read a brief statement saying he had not had time to prepare, did not have the HUD documents he needed and would invoke his constitutional right not to testify.

"The subcommittee's desire to rush me through this process, together with various statements made by members...leads me to the painful conclusion that I have been prejudged by this body," Pierce said.

"Under these circumstances, my counsel has advised me and I have agreed to assert my constitutional rights under the Fifth and Sixth Amendments by refusing to answer questions before this subcommittee," he said. "I trust this subcommittee will remember that these rights are intended as shields for the innocent and that they do not create any inference or presumption of wrongdoing."

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Paul L. Perito, his attorney, said Pierce might be ready to testify on October 27, the next date he has been ordered before the panel. But outside the committee room, Perito told reporters the subcommittee wouldn't give Pierce a fair hearing.

"They want to try, convict and sentence him, and we will not let that occur," Perito said. "This man is an innocent man."

Wilson's appearance under subpoena follows his refusal to appear August 18 before the panel and his refusal to comply with its subpoena demanding records of his dealings with HUD after leaving government.

After leaving the agency, Wilson invested in several projects that received lucrative subsidies from HUD and helped his employer, Paine Webber, obtain business with HUD.

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