ARRESTED It was bust time for Busta Rhymes on Sunday night, when the rapper was pulled over for driving erratically and cops found a loaded .45 in his car. He was arrested along with his business manager, Gerald Odom, who was in the passenger seat and had a small amount of marijuana in his pocket. Both were released on their own recognizance.

PROTESTING The CEO of W.R. Grace sent a letter to the press complaining about the company's unfair treatment in the new John Travolta film ''A Civil Action,'' which deals with the 1982 lawsuit against Grace for lethally polluting the drinking water of a Massachusetts town. CEO Paul Norris has not yet seen the film, but claims that from what he's heard and what he read in the source book -- Jonathan Harr's 1995 best-seller -- the project paints an unfair picture of the company. Norris argues that recent data proves that Grace didn't contaminate the water.

UNPLUGGING Dave Matthews is planning an all-acoustic 25-city tour that begins Jan. 19 in Richmond, Va. Matthews will be leaving his band at home and playing only with guitarist Tim Reynolds, who has been a guest musician on many of the group's albums. On the same day of the tour's onset, the pair is releasing a CD of one of its 1996 acoustic shows called ''Live at Luther College.''

POSSIBLE RETURN ABC is reportedly considering bringing back Charles Gibson as a temporary host for "Good Morning America." Gibson left the show last spring when the network was unhappy with the ratings, but the numbers have plummeted even further with his replacement, Kevin Newman. ABC has also been having talks with other potential hosts such as "Today"'s Jack Ford and CNN's Jim Moret. Both of these candidates have almost nine months on their current contracts, so if Gibson were to take over, it would most likely be to cover until a permanent replacement is freed. Gibson, who currently works as a substitute anchor for "World News Tonight," is about to take over the cohost seat for Monday night's "20/20."

IN COURT Songwriter Mark Scott is suing for royalties from Cher's latest hit, "Believe," the top-selling single in England this year, claiming he cowrote the song but his former partner sold it without his knowledge. Scott filed the suit in a London court against his ex-partner, Cher's British record company, and several music publishers, demanding an inquiry into the profits and payments from the single, which has sold 1.34 million units in the U.K.

OBIT "The Young and the Restless" costar Michelle Thomas, 30, died Tuesday of cancer. Thomas had been a sitcom favorite, playing the girlfriends of Theo in "The Cosby Show" and Steve Urkel in "Family Matters."

BACK FROM SPACE Lovable and profitable alien E.T. will be appearing as the spokesman for a new national ad campaign for safe driving. The public-service announcements will begin airing in January (with the full cooperation of Steven Spielberg), focusing on seatbelts, drunk driving, and road rage. But is an alien who helped a kid fly hundreds of feet in the air on a bicycle WITH NO HELMET really the best spokesperson for vehicular safety?