
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: WEDNESDAY, July 25, 1990                   TAG: 9007250206
SECTION: BUSINESS                    PAGE: A5   EDITION: METRO 
SOURCE: Associated Press
DATELINE: NEW YORK                                LENGTH: Short

EASTERN, OFFICIALS FACE INDICTMENT

Eastern Airlines and some executives will be indicted on conspiracy and other criminal charges for safety maintenance violations at airports in early 1989, the company said Tuesday.

A criminal indictment would be unprecedented in the airline industry.

Martin R. Shugrue, the Bankruptcy-Court appointed trustee running Eastern, said the airline was prepared to admit fraudulent maintenance and record-keeping but not conspiracy. The refusal led to the collapse of plea bargain talks with the U.S. attorney's office.

An indictment probably naming seven top and midlevel Eastern managers is expected to be handed up by the end of the week, according to a law enforcement source familiar with the case.

The probe reportedly has focused on allegations that Eastern altered maintenance and safety records.

by CNB