Inside Report (4)

Keep an eye on the New York Senate race. Elizabeth Holtzman remains the woman to beat. She's still ahead of Sen. Jacob Javits, the Liberal Party nominee, and Republican candidate Alphonse D'Amato.

One reason: the Republican vote will get split between Javits, the longtime GOP senator from New York, and D'Amato, who beat Javits in the Republican primary.

But Javits could suddenly benefit from new allegations that D'Amato abused his power as Hempstead town supervisor on Long Island. The Village Voice charged that D'amato arranged to have $8 million in Hempstead Town money put into a noninterest bearing account at a bank. That same bank later loaned him campaign money at a reduced rate.

D'Amato denied wrongdoing. But D'Amato's campaign aides concede the fuss helps Javits.

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