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Details a misconduct case which questions if Stanford University tried to whitewash the results of an internal investigation into charges of fraud against Stanford medical researcher Zoltan J. Lucas. Demonstration of why the government should not rely too much on universities to investigate charges of misconduct; Congressional hearing; Series of letters; Dr. Eugene Dong, lawyer, whistleblower, dealing in the legal responsibilities of scientists.

Details the investigation by the Naval Investigative Service into Stanford University's overhead charges billed to the federal government on their federal research contracts. `Shortcomings' in the accounting system at Stanford; Congressional investigation into Harvard Medical School's overhead rate; Detailed records backing claims; Increase in overhead costs.

Details changes announced last week by Stanford University in its billing procedures for overhead charges connected to federal research monies which include the creation of a written code of ethics and conduct and an overhaul of its accounting system. Special new procedures to identify expenses that should not be billed in any part to the government. Stanford's overhead rate; Recommendations from Arthur Andersen & Company.

Details a marathon House hearing, chaired by Rep. John D. Dingell (Dem.-Mich.), into alleged and acknowledged improprieties in the way Stanford University had billed the government for the overhead costs of research during the last 10 years. Bloated overhead, excess, arrogance, and lax governmental oversight; Serious deficiencies in Stanford's cost allocation and charging practices; Outright errors in billing, some technically legal but inappropriate.

Announces that Stanford University will forgo about $500,000 in controversial overhead charges that had been billed to federal research agencies. Continuing investigations by General Accounting Office and the Office of the Chief of Naval Research; Press reports; Other universities.

Reports that the Office of Naval Research has appointed a committee to determine who should be held accountable for the agency's failure to follow standard government procedures in negotiating overhead rates for federally supported research at Stanford University. Growing political controversy; Recommendations that ONR terminate all special agreements with Stanford for setting overhead rates; Cooperation in federal investigations.

Comments on a report from the Inspector General of the Office of the Chief of Naval Research which found `there appears to be some validity' to fears that the government overpaid Stanford University for overhead costs over ten years. `No apparentpartiality by ONR in its treatment of Stanford as compared to other universities.' Tightening procedures.