I think cynicism might be popular right now. That’s not really the problem–the problem is that it is justifiable. Yesterday Big Government posted an article on a new crony capitalism scandal that is breaking. This scandal is a further development in the LIghtSquared scandal I wrote about initially on September 17 (rightwinggranny). My initial problem with the scandal was that it endangered our soldiers, but it seems that there is a whole lot more to it than that.
The article at Big Government reports:
Harbinger Capital Partners LLC hedge fund just acknowledged its highly political founder Phillip Falcone and other key executives have received “Wells Notices”. Such communications are normally sent by the Securities & Exchange Commission to a target for fraud just before the Justice Department launches a civil and or criminal case. Although the Wells Notice appears to relate to allegations that Mr. Falcone used his hedge fund customers cash as his personal slush fund; an indictment of Mr. Falcone will also inflame the swirling crony capital investigation by the Congress of White House pay-to-play donations in support of a $14 billion scheme to siphon off part of the U.S. military and civilian Global Positioning Satellite (GPS)’s dedicated wireless bandwidth by a start-up company Mr. Falcone controls, called LightSquared.
There are a lot of layers to this scandal, and I suggest that you follow the link and read the article at Big Government, but I will attempt to highlight it here. LightSquared was going to create a new wireless network from an area of bandwidth on the fringe of the safety zones for military and civilian GPS’s. Obviously GPS coordinates are vital to our military. After corporate officers made large donations to Democrat organizations in 2010, the bandwidth standards were relaxed enough for their project to move forward. There were Congressional hearings to determine whether the project would endanger our military, and there were some questions as to whether corporate executives’ testimonies were influenced by the White House.
The article at Big Government concludes:
With Phillip Falcone potentially about to do the perp walk and Congress already geared up for crony capitalist investigations of Solyndra and MF Global; the White House and several of the Executive Department agencies may have a very busy schedule over the next few months trying to figure out what they didn’t know and when they didn’t know about LightSquared. The miraculous timing of the release of this crucifying technical report will inflame Congressional suspicions that only crony capitalism could have allowed a proposal that would have disrupted navigation systems on cars, boats, tractors and planes to come so close to approval.
Washington is not Chicago. It’s time to vote out the people who are trying to make it Chicago.