Wednesday, June 07, 2006

CELLPHONE LICENSE AUCTION FRAUD -- "Mutual fund mogul Mario Gabelli has reached a tentative settlement in a civil lawsuit charging him with defrauding the federal government of hundreds of millions of dollars in auctions of cellphone licenses, according to the Justice Department."

More: "The lawsuit alleges Gabelli set up about a dozen sham companies in auctions from 1995 to 2000 to snare airwave licenses. The entities were formed a few days before each auction, often were dissolved shortly afterward and never used the licenses, many of which were later sold for huge profits, the lawsuit claims. The lawsuit seeks up to $370 million in damages."