LightSquared Inc.’s bankruptcy plan gives hedge funds that invested in the broadband company a leg up while blocking telecommunications firms from competing with it, a fund owned by Dish Network Corp. Chairman Charles Ergen said in court papers appealing the plan, Bloomberg News reported yesterday. LightSquared’s reorganization was drafted by “sophisticated hedge funds that have taken a commercial bet that the spectrum owned by LightSquared might one day be usable and therefore worth many billions of dollars,” Ergen’s fund said in its filing on Monday. The fund, SP Special Opportunities LLC, is challenging specific wording in the plan that bars creditors from taking actions that could impede LightSquared’s ability to get a license for the use of its airwaves.
