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JUDGE REJECTS BID TO DROP CHARGES IN MARCOS CASE

U.S. District Judge John F. Keenan, who has presided over the three-month trial, declined Thursday to dismiss racketeering charges against Imelda Marcos and her co-defendant, Saudi financier Adnan Khashoggi, despite his reservations about U.S. jurisdiction.

On defense motions for dismissal, Keenan suggested the trial may belong in the Philippines instead of the United States. However, he let stand all charges, saying the law required him to review the evidence "in the light most favorable to the prosecution," and he was bound to allow the jury to decide the case.

His ruling clears the way for closing arguments Monday and submission to the jury by next Thursday.

The government alleges that Mrs. Marcos, 60, and her late husband, former Philippines President Ferdinand Marcos, looted their country's treasury of $222 million and, aided by Khashoggi, invested the money in New York commercial buildings, jewelry and artworks.

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