Path: bloom-picayune.mit.edu!snorkelwacker.mit.edu!news.media.mit.edu!americast.com!americast.com!usa-post Newsgroups: usa-today.law From: usa-post@AmeriCast.Com Organization: American Cybercasting Approved: usa-post@AmeriCast.com Subject: law Mon, Jun 22 1992 Date: Mon, 22 Jun 92 05:14:50 EDT Message-ID: 06-22 0000 DECISIONLINE: Business Law USA TODAY Update June 22, 1992 Source: USA TODAY:Gannett National Information Network U.S. MAXWELL ASSETS TO BE SOLD: U.S. assets of Maxwell Communications Corp. will be among those sold to raise money for creditors of the collapsed firm, administrators say. Mark Homan, senior insolvency partner with Price Waterhouse, says the sales will bring in between $700 million and $1.1 billion. Excluded from the sale is Macmillan Publishing, which includes college, trade, adult and reference books. COURT RULES AGAINST AMR: A federal bankruptcy judge Friday ruled that AMR Corp. violated the bankruptcy protection of a commuter airline. AMR violated an automatic stay protecting the assets of Metro Airlines Inc., which is operating under Chapter 11, the court ruled. AMR, the parent of American Airlines, told Metro in April it was canceling Metro's contract to provide service at the Dallas:Fort Worth Airport. POOR PEOPLE BEING DENIED CARE: Although federal law prohibits denial of emergency medical care to poor people, a new survey found that more than one out of 10 operators of American hospitals say indigent patients are being turned away. Rising health care costs were blamed. The denial of hospital care for indigent patients was outlawed in 1986 by the federal Emergency Medical Treatment and Active Labor Act. UPI HEARING TUESDAY: A hearing is scheduled for Tuesday in U.S. Bankruptcy Court to consider any offer for United Press International that New York lawyer Leon Charney decides to make. Charney, who has been funding the wire service's operations while deciding whether to buy all or part of it, says he has ended talks with a Dutch foundation that offered to provide $7 million in his bid. MEDIATOR MAY MEET WITH AT&T: If a pact isn't signed by midnight Sunday, AT&T and union officials will meet with a federal mediator Monday. The telecommunications company, the Communications Workers of America and the International Brotherhood of Electrical Workers have been negotiating a new three-year contract since March 30. The unions have been working without a pact since May 30. SIDES AT ODDS OVER JOB SECURITY: While talks have been going on since March 30 between AT&T and union officials, issues relating to job security remain unsolved. Bernard DeLury, director of the Federal Mediation and Conciliation Service, said that if an agreement can't be reached by midnight Sunday, "I feel I must personally and directly proffer FMCS assistance." TALKS TO RESUME TUESDAY: Talks are scheduled to resume Tuesday between officials of striking Teamsters and Pittsburgh Press Co. Three days of negotiations ended Friday with "meaningful" progress having been made, a federal mediator said. Pittsburgh's two major daily newspapers have been idled for four weeks because of the strike newspaper delivery drivers. BILL PROPOSES FINES: Infant-formula makers who cheat a federal nutrition program for poor women and children would be penalized under legislation introduced Friday by Sen. Patrick Leahy, D-Vt. Under the bill, firms that are found guilty could be fined up to $100 million and expelled from the Women, Infants and Children program. USDA would determine the amount of the fine after an administrative review. REMAND OF CASES ASKED FOR: Plaintiff's attorneys have asked the Judicial Panel on Multidistrict Litigation to remand all federal asbestos cases which have been transferred to Philadelphia, it was announced Friday. The attorneys argued that fewer than 12 cases pending in federal courts have completely settled since July 29, 1991. The action would send thousands of claims back to their original jurisdictions. OTS ACTS ON CALIFORNIA BANK: The Office of Thrift Supervision Friday placed First Newport Bank, F.S.B., Newport Beach, Calif., in receivership and chartered a new federal mutual institution to take its place. OTS initiated the action because First Newport was operating in an unsafe and unsound condition primarily because of high operating expenses, poor net interest income, and loan losses. AGREEMENT REACHED WITH SEC: James Douglas Donahue, Hedged Investment Associates Inc. and Broker Services have agreed not to repeat offenses alleged by the Securities and Exchange Commission. The SEC charged Donahue and the firms with fraud relating to an alleged 14-year investment scam that took in over $288.3 million, reports Bloomberg Business News. Donahue and the firms did not admit or deny guilt. ORION GRANTED EXTENSION: U.S. Bankruptcy Judge Burton Lifland Friday granted Orion Pictures Corp. until July 13 to file a voluntary reorganization plan with the U.S. Bankruptcy Court. Orion was scheduled to present its plan on June 22. Lifland also allowed Orion access to $31.1 million from its accounts to pay operating costs and make interest payments. Business Law Editor: Jason P. Smith. (919-855-3491) Making copies of USA TODAY Update (Copyright, 1992) for further distribution violates federal law. This article is copyright 1992 Gannett News Service. Redistribution to other sites is not permitted except by arrangement with American Cybercasting Corporation. For more information, send-email to usa@AmeriCast.COM