LightSquared founder sued by SEC for fraud

[K4WGE]

Link

US regulators sued hedge fund billionaire Philip Falcone for fraud Wednesday, accusing him of taking $113 million from a fund to pay his taxes.

The Securities and Exchange Commission (SEC) said Falcone, who raked in billions betting against packaged mortgage securities ahead of the US real-estate crash, took clients' money from funds run by his Harbinger Capital Partners to pay his personal taxes.

It also said Falcone illegally manipulated bond prices, traded preferential treatment to investors who backed a controversial board initiative, and broke restricted period trading rules in three initial public offerings to make money on short sales.

http://en.wikipedia.org/wiki/LightSquared

LightSquared is a company that seeks to develop a wholesale 4G LTE wireless broadband communications network integrated with satellite coverage across the United States using a block of frequencies located near the band used by the Global Positioning System (GPS). However, the issue of interference (using high-powered ground transmitters in spectrum intended for low-powered signals from satellites) has caused problems.

[KY5U]

They need to arrest Mark Zuckerberg for insider trading. He withheld info about Facebook until he unloaded $1B in stock.

[N8YX]

IBTNPL (In Before The "No Politics!" Lock)

[WA9SVD]

IBTNPL (In Before The "No Politics!" Lock)

Maybe, maybe not. While politics is involved (where ISN'T politics involved?) it's still about a company marketing their product and inviting investors when they didn't know if they would be able to offer a "product." Even their original proposal was based on the FCC ruling that consumer and scientific GPS had to accept interference and often be rendered unusable.
If you or I came up with such a scheme we'd be rotting in a cell somewhere by now.

[NA0AA]

Since Falcone made his money betting on the collapse of the home morgage market, I don't feel all that bad for him. His play with lightsquared was cynical and wrong.