LIghtSquared Update - Bankruptcy Declared, Employees Laid Off, Lobbyists Still on Payroll - 5/30/12
The FCC said "no" to LightSquared's plan for wireless service in February. It then planned to cut 330 employees. In May it declared bankruptcy. But, at least some of its at one time 14 lobbying organizations are still working for the company. Lobbying was clearly important: The company spent more than $2.8 million on lobbying in 2011, nearlly four times 2010’s $700,000.
John Scofield of Shockey Scofield Solutions is still on the payroll, noting, "We have not and will not let up and expect to be successful in the end.” Two lobbying firms and a PR firm ended contracts with LightSquared, but a source close to the company suggests it must keep up the fight since adversary Save Our GPS Coalition will continue to fight, too.
- The Hill