Monday, Feb. 24, 1986

Business Notes Investigations

Because of its 13 daily flights to Latin America, Eastern Air Lines has unwillingly become a carrier of choice for cocaine cowboys. Since November 1983 federal agents have discovered 26 cases of coke-smuggling aboard Eastern jets. Last week a top Drug Enforcement Administration official revealed that indictments are in the works against some 50 of Eastern's baggage handlers in Miami. The agency suspects them of smuggling billions of dollars' worth of cocaine into the U.S. in airliner cargo bellies.

The spotlight on Eastern intensified in April 1984, when U.S. Customs Service agents seized one of the company's jumbo jets after discovering 3 lbs. of coke under the cockpit. Federal investigators enlisted the help of Eastern Chairman Frank Borman, who gave his mechanics the go-ahead to help agents search planes for illegal stashes. The current probe began last August after Customs agents found two coke shipments totaling 1,722 lbs., or $430 million worth, aboard Eastern flights from Colombia. Investigators discovered that the contraband was generally stuffed into suitcases by baggage handlers in Colombia and then slipped through Customs by fellow conspirators in Miami.