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DOT SETS ATX FITNESS CASE FOR FURTHER HEARINGS

 WASHINGTON, Oct. 7 /PRNewswire/ -- The U.S. Department of Transportation today remanded a recommendation by an administrative law judge (ALJ) to dismiss the application of ATX, Inc., to provide scheduled air transportation and directed the judge to reopen the hearings, expand the record and issue more complete recommendations in the case.
 On remanding the Sept. 8, 1993, recommendation of ALJ Robert L. Barton Jr., the department said it is reserving judgment on the judge's specific findings and that the public interest required a fuller examination of the important questions raised in the case.
 The DOT order noted that the judge's initial decision "insufficiently develops such important issues as the managerial competence of key officers and the relevance of past safety violations of carriers operated by ATX principals. It concludes only generally that, while these are important areas and could be relevant to ultimate fitness determinations , the evidentiary record is not sufficient to support definitive findings on these issues."
 In his recommendation, Barton said ATX counsel had failed to comply with his orders and had filed unsupported pleadings. The department said the ALJ's recommendations was issued before its public counsel and parties opposing the application had the opportunity to present direct evidence. ATX presented its direct evidence in the portion of the hearing held June 28-July 1.
 DOT ordered the ALJ to complete the proceeding, including a new recommended decision, by Dec. 28, 1993.
 ATX applied last March for certification as a new air carrier, then under the name Friendship Airlines, with plans to base its operations in the Baltimore-Washington area. Its founder and principal shareholder is Frank Lorenzo, the former chairman of Texas Air Corp. ATX's president and chief executive officer is Stephen Kolski.
 -0- 10/7/93
 /CONTACT: Bill Mosley of the U.S. Department of Transportation, 202-366-5571/


CO: U.S. Department of Transportation; ATX, Inc. ST: District of Columbia IN: TRN AIR SU: EXE

DC-KD -- DC016 -- 9797 10/07/93 13:33 EDT
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Publication:PR Newswire
Date:Oct 7, 1993
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