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Article: DOT Probes Soundness Of Texas Air; Safety, Finances Eyed; Fine Sought Against Eastern
- Article from:
- The Washington Post
- Article date:
- April 14, 1988
- Author:
CopyrightThis material is published under license from the Washington Post. All inquiries regarding rights should be directed to the Washington Post. (Hide copyright information)
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The Department of Transportation yesterday began an investigation
of whether Frank Lorenzo's Texas Air Corp. is financially fit and
sufficiently committed to safe operation of the country's largest air
transportation empire, including Eastern Air Lines and Continental
Airlines.
In a related action, the department's Federal Aviation
Administration said it is proposing a $823,500 fine against Eastern
for violation of safety rules and will "literally touch every one of
Eastern's 267 planes through a special 100 percent ramp-inspection
program." Transportation Secretary James H. Burnley IV said both
actions will be completed within 30 days.
The government's actions appeared to be a major blow ...