Bush Excused From North Trial; Reagan Put on Call : President’s Subpoena Quashed

The federal judge in the Iran-Contra case threw out Oliver L. North’s subpoena of President Bush but ruled today that former President Ronald Reagan can be compelled to testify in the case against his former aide.

U.S. District Judge Gerhard A. Gesell, clearing one of the last obstacles to the scheduled start of North’s trial Tuesday, ruled that the former White House aide had made no showing that Bush “has any specific information relevant and material” to the charges against North.

Gesell said Reagan “shall remain subject to call” to testify in the case but said in his three-page order that there would be further proceedings if it is found necessary to summon the former President as a witness.

Gesell also quashed, with “one narrow exception,” North’s subpoena for Reagan’s personal diary.

The judge said portions of the diary might become part of the trial “if at some point” North’s defense team “supports a claim that President Reagan ordered, directed, requested or, with advance knowledge, condoned any of North’s” alleged criminal activities in the diversion of Iranian arm-sales profits to the Contra rebels in Nicaragua.

‘Production Procedure’

In that event, Gesell said, “an appropriate production procedure” must be developed for reviewing the former President’s diary and determining whether any of the entries support North’s assertions.

North contended in testimony at the congressional Iran-Contra hearings in 1987 that all of his activities were authorized by superiors in the Reagan Administration and that he reported to former national security advisers Robert C. McFarlane and John M. Poindexter.

Government lawyers had challenged the subpoena for testimony by Reagan and Bush as unprecedented.

They argued on constitutional grounds that Reagan and Bush enjoyed executive privilege and could not be forced to testify on sensitive national security issues.

Gesell’s order implemented a tactic he had indicated at a hearing Friday that he would use with regard to Reagan’s testimony. Gesell said then that circumstances may change as evidence is introduced at the trial and that testimony of certain individuals may become relevant.

The 12 counts against North include obstruction of Congress, destruction of documents and acceptance of illegal gifts.

2 Counts Thrown Out

The two key counts returned against North March 16--conspiracy to defraud the government and theft of government property--were thrown out earlier this month. An interagency committee of intelligence experts feared that trial on those two charges could expose so much classified information that the national security would be jeopardized.

If convicted on all counts, North faces a maximum 60 years in prison and $3 million in fines.

Independent prosecutor Lawrence E. Walsh has turned over trial duties to his chief deputy, John Keker.

Jury selection is expected to take about two weeks, and lawyers for both sides have predicted that the trial will take about five months.