Obama Backed LightSquared Files Bankruptcy

So who cares if it interferes with radar?

Hey folks,

Remember LightSquared? I told you about them...

A new Start Up Company of which Philip Falcone, BIG TIME Obama supporter, Contributor to the Democrat Party, has invested $3 BILLION Dollars in it. What they are attempting to bring to Market is a NEW and CHEAPER 4G Network. Turns out, it interferes with GPS. Not just that little box on your dash, or on your Phone, but also Ships, the Military, Air force, Comical Air Flights, ETC. It actually FRIES their systems.

So of course, in no Sane World, would they be approved of this. Witnesses, like a Four Star Air Force General William Shelton, who oversees Air Force Space Command, would Testify of the FACTS that this is DANGEROUS, and a potential THREAT to National Security, and Life itself. He would be listening to. LightSuared would be denied, and YES, Investors, no matter who they are, would lose out. LightSquared would have to go back to the drawing board. Either FIX it so that it doesn't interfere with GPS, or complete fold and go away.

HOWEVER, as I pointed out to you, Philip Falcone, BIG TIME Obama supporter, Contributor to the Democrat Party, is the Investor with the most to loose. SO? Obama called Four Star Air Force General William Shelton, and told him to CHAGE his Testimony.

But then we learned that there was yet another witness that was told to lie. 

On Monday, a second witness, Anthony Russo, director of the National Coordination Office for Space-Based Positioning, Navigation, and Timing, told The Daily Beast that he too was asked by the OMB to insert the 90-day timeframe into his testimony before the House Science Committee, but he refused. The hearing originally was scheduled for Aug. 3, then rescheduled for Sept. 8.

“They gave that to me and presumably the other witnesses,” he said. “There is one sentence I disagreed with, which said that I thought the testing could be resolved in 90 days. So I took it out.”

Russo said he objected to that language because “I have low confidence that we can complete all of the testing in 90 days.” He estimated that such testing would take at least six months. Russo called the White House efforts to alter his testimony “guidance rather than pressure.”

This is all because, Obama is in bed with Falcone. And Falcone was set to lose $3 billion dollars. That's B as in Billion. So who cares if it interferes with radar? The Democrat Party, and Obama, get a lot of money from this guy. It didn't work. The proposed network was blocked. 

So now?

LightSquared, based in Reston, Virginia, listed assets of $4.48 billion and debt of $2.29 billion as of Feb. 29 in a Chapter 11 filing yesterday in U.S. Bankruptcy Court in Manhattan. The filing followed intense negotiations with creditors, who had requested that the company’s backer, Philip Falcone, step aside. Falcone and the current management team will remain with the company, Terry Neal, a LightSquared spokesman, said yesterday.

Bankruptcy “is intended to give LightSquared sufficient breathing room to continue working through the regulatory process that will allow us to build our 4G wireless network,”Chief Financial Officer Marc Montagner said in a statement. Reaching agreements with U.S. agencies may take as long as two years, he said in court papers.

Harbinger Capital Partners, Falcone’s New York-based hedge fund, had invested about $3 billion in LightSquared and owned about 74 percent of it as of Jan. 27.

Falcone also had served on LightSquared’s board. Creditors asked for Falcone’s departure when they gave the company a weeklong extension on April 30 to stave off a default and keep trying to renegotiate its debt, according to a person with knowledge of the matter.

LightSquared’s bankruptcy underscored tensions between the Federal Communications Commission and the telecommunications business, which is seeking more flexibility in how it uses airwaves. AT&T Inc. (T) Chief Executive Officer Randall Stephenson has blamed the FCC for not acting quickly enough to approve the acquisition and use of spectrum, creating a logjam for the industry. 

No it was because there were serious problems. It FRIES GPS systems. Including commercial flights, military flights, and ships. It was going to pose a danger for millions of people and posse a threat to national security. THAT is why it was blocked. And rightfully so.


The issue here is that Obama and his crew didn't care. They wanted witnesses to change their testimony. To lie. To down play the threat. To make it sound as if all is OK. I'm glad this was blocked. It had to be blocked. But now, those that invested in LightSquared are screwed.

Yesterday’s bankruptcy filing wasn’t an “option the company embraced quickly or easily, but it was necessary to protect LightSquared against creditors who were looking for a quick profit,” Falcone said in a statement. “We remain committed to our original mission, and I remain steadfast in my belief that a path forward exists that will satisfy and benefit all constituencies.”

Translation. I'm not losing my money. Trust me. I'll get you yours, uh, sometime. {Laughing} It goes on and on to tell you that that people are pulling out all over the place. Contracts are ending. There is really no new information. There is no fix to the original issue. There was no new plan. There is nothing.

In a sane world, LightSquared needs to either fix the problem, or lose out. Fix the problem or go bye, bye. I have no idea how many jobs will be lost. I know Falcone will lose some of his $3 billion. I know the Democrat Party will most likely loose out on some future campaign funds. But this is the right thing to do.

My only fear is, because Obama and the Democrat Party do stand to loose out on future funds from Falcone, the may attempt to step in here. Perhaps even bail him out with your money. They have done it before. Why not do it again? Right?
Peter

Sources:
The Daily Beast - White House’s Testimony ‘Guidance’
Bloomberg news - LightSquared Files Bankruptcy After Network Blocked By Tiffany Kary and Michael Bathon - May 15, 2012 12:12 AM ET