Hedge-fund manager Philip Falcone is taking aim at the federal government over its refusal to authorize LightSquared to launch a wireless network, the Wall Street Journal reported on Saturday. In a letter addressed to the Federal Communications Commission, lawyers for Falcone's Harbinger Capital Partners LLC hedge fund complained that the "billions of dollars" it sunk into LightSquared has been for naught after regulators ordered an "indefinite halt" to further development of LightSquared's network. Without an operational network, which regulators said could interfere with global-positioning systems, LightSquared filed for chapter 11 bankruptcy protection in May 2012 and has since lost $1.3 billion, according to court papers. A bankruptcy judge recently threw out the company's restructuring proposal, leaving it with no immediate path out of chapter 11. In the letter, dated May 28, Harbinger's lawyers urged the FCC to take "immediate, positive action" in resolving the limbo in which LightSquared has languished for the past several years.
