Keating’s Son Wins Delay of Trial : Courts: Though the elder Keating’s lawyers objected, a judge allows postponement to October so attorneys can prepare defense to 77-count indictment.

Despite strong objections from Charles H. Keating Jr.’s lawyer, a federal judge on Thursday approved a request by lawyers for Keating’s son to delay the criminal conspiracy, fraud and racketeering trial against them to Oct. 20.

U.S. District Judge Mariana R. Pfaelzer agreed that the public defenders representing Charles H. Keating III needed more time to prepare a defense to the 77-count indictment stemming from the 1989 collapse of Lincoln Savings & Loan in Irvine. The elder Keating is also charged in a five-count bankruptcy fraud and conspiracy indictment.

The elder Keating, working as a busboy in state prison in San Luis Obispo for his securities fraud conviction last fall, wanted no delay in the start of his criminal trial, a stance his attorney, Stephen C. Neal, took last year before the criminal trial began in state court.

Pfaelzer did approve Neal’s request to release funds from a Keating bank account, which was frozen along with his other assets, to help pay certain defense costs. The bank account was set up by family and friends to help pay for Keating’s defense.

Neal wants $7,500 released immediately and $9,500 a month to pay for such expenses as accounting services, travel and a salary and office for Keating’s administrative assistant, Carol Kassick.

Last week, Neal petitioned the federal court to seek Keating’s release from state prison to help prepare a defense on the criminal charges. The request is pending before a federal magistrate.

Keating was chairman of now-defunct American Continental Corp., which owned Lincoln. The thrift is the nation’s biggest thrift failure, costing taxpayers an estimated $2.6 billion.