U.S. JUSTICE DEPARTMENT REVIEWS ICAHN USAIR FILING
The U.S. Department of Justice (DOJ)
is reviewing whether Trans World Airlines Inc <TWA> and
Chairman Carl Icahn violated federal antitrust law by failing
to seek advance clearance from the DOJ or the Federal Trade
Commission for his extensive open-market purchases of USAir
Group Inc <U> stock, a DOJ official told a Senate panel.
    "This is a matter that is being looked into," Charles Rule,
acting assistant attorney general-antitrust, told the Senate
Judiciary Committee's Antitrust Subcommittee.
    Rule declined further comment while the review was
continuing.
    Rule was responding to panel Chairman Howard Metzenbaum
(D-Ohio), who had asked why the department was not acting
against "what appears to be a clear violation of the law."
    Metzenbaum said Icahn had failed to file a pre-merger
notification form with the FTC prior to purchasing more than 15
mln dlrs' worth of USAir stock.
    But Rule said that, for airline companies, a purchaser
would be exempt from the requirement if it instead had filed a
merger application with the U.S. Department of Transportation.
    Icahn filed such an application with the DOT, but the
filing was thrown out by the DOT on Friday.
    The DOT threw out the application late Friday on grounds it
lacked the necessary data for the government to review the
proposed USAir takeover bid.
    Icahn refiled a more complete application form Monday.
    Rule pledged to act against Icahn and TWA if a violation
were found.
 Reuter
