Phil Falcone is sticking with his narrative for a little debacle called LightSquared: First, GPS companies started using his spectrum without permission, and then said that if Phil started to use it to provide 4G all over this great country, it would be a great country littered with airline wrecks. This planted a seed in the twisted mind of the wickedest man in the whole wide world, Charlie Ergen, who is trying to buy the entire electromagnetic spectrum so that anyone with entertainment needs will have no choice but to come to him and his Dish Network empire. Now, being a man absent of moral fiber, Charlie Ergen thought nothing of buying up as much LightSquared debt as he could on the cheap, even though he more or less explicitly wasn’t allowed to. This “fraudulently deprived Harbinger of control of LightSquared when it was needed most,” so that Charlie and Dish could swoop in and buy the precious if not entirely usable spectrum for nothing. Which, whether you buy Phil’s story or are partial to Charlie’s “it was for my daughter’s college fund” angle, is pretty much what happened.
Long story short, as far as Phil is concerned, this means it is not his fault that Harbinger’s investors have taken a $2 billion bath on LightSquared. And he would very much appreciate it if a judge let him show who is at fault. Treble damages would also be nice.
Philip Falcone ’s Harbinger Capital Partners is urging a Colorado judge not to throw out its lawsuit against Dish Network Corp. and Dish Chairman Charlie Ergen….
Harbinger in July sued both Mr. Ergen and Dish for at least $1.5 billion, saying Mr. Ergen violated the Racketeer Influenced and Corrupt Organizations Act when he acquired the debt of LightSquared—the wireless venture controlled by Harbinger—as Dish was making a bid for the company. Under RICO, originally designed to prosecute organized crime, parties can seek more damages than are typically allowed.