District Court Convicts Deaver of Perjury

WASHINGTON--Michael K. Deaver, a close associate of Ronald Reagan through most of his political life, was convicted yesterday of lying under oath to deflect allegations he used his influence with the president in his career as a lobbyist.

Deaver, who served as Reagan's deputy White House chief of staff, was convicted by a U.S. District Court jury of two counts of lying to a grand jury and one count of lying to a House Energy and Commerce subcommittee that was investigating allegations that his lobbying violated federal ethics laws.

The jury, which began deliberations Friday, acquitted Deaver of one count charging that he had lied to the grand jury and another that he had given false testimony to the subcommittee.

In a written statement, Reagan said he and his wife Nancy were sorry to learn of the verdict.

"He has been a longtime friend, and has served with dedication," the president said "Beyond that I cannot comment further at this time since the decision will likely be appealed through our court system."

"I'm obviously very disappointed," Deaver, 49, said on the courthouse steps. "But at the same time I know in my heart that I'm innocent. And this has been a long ordeal for my family.

"But I am grateful for a good many things, and one of those things that I'm still grateful for is this country. And I'm grateful for all the strength and support I've been given by so many people around this country and my friends," he said.

The defense, which contended Deaver's memory of the events was clouded by alcoholism, said Deaver would appeal.

Deaver's daughter, Amanda, 17, sobbed as she left the courtroom with her mother. His wife, Carolyn, appeared drawn.

In the courtroom, Mrs. Deaver had put an arm around her daughter as the verdict was announced. Deaver sat down after the foreman finished, turned to his family and gave them a sad smile.

Judge Thomas Penfield Jackson scheduled sentencing for Feb. 25 and allowed Deaver to remain free on personal recognizance. Each of the three counts carries a five-year prison term. Fines could total $22,000.

Deaver had been one of Reagan's closest advisers before leaving the White House in May 1985 to form a lobbying business.

The Deaver-Reagan association went back to 1966 when Deaver joined Reagan's staff following his election as governor of California. Both Reagan and his wife came to look upon Deaver as almost an honorary son.

Deaver is the first White House official accused by a court-appointed independent counsel under the Ethics in Government Act. His conviction is the first obtained by a prosecutor appointed under that Watergate-era law.

But a constitutional challenge to the ethics law pending in a federal appeals court here could result in the conviction being set aside.

Defense lawyer Herbert J. Miller Jr. told Jackson he would file motions within 30 days asking that a mistrial be declared.

Outside, Miller conceded he may have erred by not calling any witnesses on Deaver's behalf.

"We didn't put on a defense because we didn't think we had to," he told reporters. "The jury verdict suggests I may have made a mistake. But I will tell you one thing--that we will file our motion for a new trial and we will appeal."

Juror Jesse Miller said he was surprised that Deaver did not take the stand in his own defense. But he said he didn't know if the outcome would have been different if Deaver had testified.

"The only thing we could go on was the evidence," the juror said.

Barrington Bell Jr., the jury fore man, said the panel reached its verdict "after very intense, and I mean intense, deliberations."