This episode's headline: New Arrests; Controversial Nominee; Medicare Health; Winners and Losers. The guests include GAYLORD SHAW, New York Newsday; ELAINE SHANNON, Time Magazine; DR. HENRY FOSTER, Surgeon General Nominee; SEN. DAN COATS, [R] Indiana; SEN. BARBARA MIKULSKI, [D] Maryland; REP. BILL ARCHER, Chairman, Ways & Means Committee; DONNA SHALALA, Secretary, Health and Human Services; CORRESPONDENT: RICHARD RODRIGUEZ. Byline: In New York: ROBERT MAC NEIL; In Washington: JAMES LEHRER