European Stars and Stripes (Newspaper) - December 5, 1990, Darmstadt, Hesse                                Page 6 the stars and stripes wednesday decembers 1990 to Washington a the education depart mint will ask Congress to toughen the higher education act to Cut Down on defaults in the Federal stud Crit loan program an official said monday. Leonard l. Haynes if assistant Secretary for Post secondary education told a banking convention that student loan defaults arc costing the nation nearly $2 billion a year. He said the figure is Quot simply unacceptable Quot although it May Pale against other Federal Agency debts. To reduce the default rates Haynes said the department will seek to toughen major provisions in the High or education act when it comes up for reauthorization next year. The Law is the statutory authority for about 60 higher education programs. To Haynes said the department May require stringent performance standards of both students colleges universities and Trade schools before they Are allowed to join student loan programs. There also May be greater scrutiny of administrative and financial abilities of schools As Well As tile Quality of education offered he said. A we will not reinvent the wheel but we believe we must create a More efficient fairer and less confusing student Aid delivery system while continuing to maximize Post secondary Access and Choice for needy students he said. Haynes speaking at a consumer Bankers association conference stressed that a we Are committed to taking the Lead on reforming student financial Aid and other higher education  a what we have in place is not serving us Well Quot he said. A but the question is How Good is  the total of student loan defaults is $7.8 billion. An a a estimated $12 billion will be Lent to some 5 million students during fiscal 1990. 1 this year the education department has come under harsh criticisms by members of Congress for lax oversight of the Federal student loan program. A report by investigators for the Senate government affairs subcommittee on investigations faulted the department for a very minimal if any oversight Over the accrediting  the department the report added granted schools eligibility in the student loan program without verifying that they were licensed and accredited. A the department will place a greater emphasis on performance standards and. Measures in the areas of school accreditation eligibility licensing and students Success a Haynes said. Haynes said performance standards might focus on an institutions ability to keep and graduate students once enrolled As Well As dropout and pass fail ratios and placement rates. V f although the department cannot assess curricula Haynes said it May use the outcomes of the educational program to determine its  it a Waverly person director of the . Geological Survey s National earthquake information Center in Golden colo., keeps a watch ail Eye on readings of seismic activity in the United states on  own party comes chose the quake really occurred. Quot a it did t happen a said Sean Thomas Morrissey technical director of St. Louis University a geophysical Observatory. The University runs a network of 60 seismographs that sense the slightest tremor a a there is a Small probability of an earthquake on new Madrid to. A the politicians the hucksters the souvenir Hunters a they All rumbled. Through this town like an earthquake. But about the Only thing that did no to make itself Felt was the earthquake itself. _ i _ climatologist Iben Browning Shook up this sleepy a Hamlet of 3,300 by saying there was a 50 percent Chance that a major quake would strike along the new Madrid fault monday a some seismologists Pooh poohed the projection. But along the 120-mile fault that runs from Arkansas to Illinois schools closed some people stayed away from work and hordes of reporters arrived just in any Given Day but its the same today As on any other Day Quot said Lawrence Braile a Purdue University seismologist and member of Quot a . Geological Survey advisory group. A Browning has put a 50 percent Chance on it which is a ridiculous  Browning was vacationing at an undisclosed location monday said his daughter Evelynn Garriss. Houston apr Continental airlines holdings inc., the remnants of Frank Lorenzo a Texas air corp. Empire filed for Protection in bankruptcy Quot court monday saying it was overwhelmed by its debts and surging fuel prices. The company Parent of Continental airlines inc., filed its chapter 1 i petition in Wilmington del., where it is incorporated. The filing is the second time in seven years that Continental has sought to reorganize. In 1983, As Lorenzo was building Texas air into what once was the nations largest airline operator Continental filed for Protection from creditors amid a bitter labor dispute with its Union. The filing allowed Continental to scrap Union contracts and hire Low Cost reply ments for strikers. It also led to a change in Federal bankruptcy Law to make such a move More difficult. A. Texas air eventually grew to include Eastern airlines but lost Day to Day control of that Carrier when a bankruptcy court judge replaced Lorenzo with a trustee. Pastern too had filed for chapter 11 after a strike. Mondays move by Continental did no to affect any operations or schedules among the 88 . Cities and 55 International destinations it serves with a feet of More than 300 planes. Management sought to reassure Pas sengers and employees that the Carrier would continue to run normally. A a in a not worried As Long As i can get Home today a Gwendolyn Currie of fort Lauderdale fla., said from Houston. But the bankruptcy court filing underscored the financial beating taken by All airlines because of a weakening Economy the explosion in fuel costs since iraqis invasion of Kuwait and sluggish demand in air travel. A the situation has made it certain that 1990 will be one of the worst years for the Industry since deregulation 12 years ago. A it became More difficult for us to raise Money As we were trying to do before the fuel crisis hit us a Continental chief Hollis Harris told reporters in Wilmington. A being highly leveraged. We could not. Handle the debt and the fuel costs at the same time a House leaders re elected for session Hollis Harris As part of the filing the Houston based earner said it has agreed to sell its route from Seattle Tacoma to Tokyo for $150 million to american airlines pending approval of the bankruptcy court. The Sale is 1� be eluded at the end of 1991, but $140 million of the Price is expected to be advanced to Continental before the Deal closes. Washington a the House re elected its leaders on monday the. Democrats by acclamation and the republicans by aggravation. House speaker Thomas s. Foley a wash., majority Leader Richard a. Gephardt d-mo., and majority whip Wilham h. Gray did pay a All will return to their jobs for the 102nd Congress. They were unopposed and received standing ovations from the democratic caucus. On the Republican Side minority Leader Robert h. Michel r-ih., and minority whip Newt Gingrich r-ga., also had no opponents. But the no 3 Republican Jerry Lewis of California and the party Campaign chairman Guy Vander Jagt r Piciw both survived Only after bitterly fought campaigns. A Vander Jagt withstood an assault from rep. Don Sundquist a Tenn who had to repeatedly deny charges he was put up to running by the White House. Sundquist accused Yander Jagt of Al