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Trustee sues U.S. over bankruptcy

Tuesday, August 21, 2012 10:25 AM

WASHINGTON, Aug. 21 (UPI) -- The trustee of a bankrupt Colorado firm has filed a complaint in U.S. Bankruptcy Court accusing the Obama administration of hastening the firm's collapse.

The liquidating trustee for Open Range Communications charges the Federal Communications Commission and the U.S. Department of Agriculture had a hand in the company's bankruptcy, The Washington Times reported Tuesday.

The trustee is seeking more than $20 million in damages.

Open Range won a $267 million loan guarantee in the waning days of the Bush administration to provide wireless service in more than 500 rural communities in 17 states.

The company filed for bankruptcy last year after federal officials cut off loan advances. At the time, the firm owed the government more than $70 million.

Recently unsealed court records charge Open Range was prevented from fulfilling its business plan and denied necessary funding.

A spokesman for the Justice Department has declined to comment on the case.

(Source: UPI )
(Source: Quotemedia)

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