How important is nonprofit journalism?

Donate by May 7 and your gift to The Center for Public Integrity will be matched dollar-for-dollar up to $15,000.

LightSquared

Jeffrey Carlisle, LightSquared executive vice president of Regulatory Affairs and Public Policy, testifies in front of the House Committee on Science, Space and Technology. House Committee on Science, Space and Technology

Senator asks LightSquared to release all communications with White House

By Fred Schulte

Sen. Charles Grassley is putting pressure on wireless company LightSquared to make public all records of its contacts with White House aides as it sought to set up a national broadband network.

The Iowa Republican wants to know if campaign contributions to Democrats influenced a decision by the Federal Communications Commission to grant initial government approval to the company’s plans in late January despite fears its network could interfere with global positioning systems, posing dangers to aircraft, military operations and search and rescue missions.

In two letters sent Wednesday to LightSquared and its hedge fund owner, Philip Falcone, Grassley asked both to voluntarily turn over records of all communications with government officials. Falcone is head of Harbinger Capital Partners.

“If Harbinger has nothing to hide and would like to put questions of improper influence at the FCC, Department of Commerce, and White House to rest, the public release of these communications would allow Congress and the American people to fully examine the facts and decide for themselves,” Grassley wrote. “Incomplete information about this project only undermines public confidence in the FCC’s decision to allow this project to move forward.”

LightSquared spokesman Terry Neal said, “We received the letter and we are reviewing it.” Grassley’s letters to the companies were first reported by the Wall Street Journal.

Last month, House Republicans launched a broad investigation into White House ties to campaign donors seeking government contracts, loans and other benefits, including LightSquared, whose employees made large contributions to Democrats while gaining access to presidential aides.

LightSquared

LightSquared CEO Sanjiv Ahuja Michael Probst/AP

House Republicans scrutinizing decisions benefiting Obama donors

By Fred Schulte

House Republicans have launched a broad investigation into White House ties to campaign donors seeking government contracts, loans and other benefits, and are requesting White House contacts with a company whose employees made large contributions to Democrats while gaining access to presidential aides.

Among those facing Republican scrutiny: Wireless firm LightSquared, which won initial government approval in late January despite fears its network could interfere with global positioning systems, posing dangers to aircraft, military operations and search and rescue missions.

Darrell Issa, chairman of the House Committee on Oversight and Government Reform, has “broad concerns about the danger of government trying to pick winners and losers,” Issa spokesman Frederick Hill said Tuesday in confirming the investigation.

“The committee is reviewing information brought to its attention related to LightSquared as part of a broader effort examining government actions that pick winners and losers,” Hill added.

Issa’s investigation comes amid mounting criticism in Congress that many Obama fundraisers and other supporters have enjoyed close ties to his administration. In the run-up to his 2008 election, candidate Obama had pledged to curb the influence of lobbyists and campaign donors in government.

In a separate development on Tuesday, seven Republicans on a House science and technology committeee asked the White House to turn over all records of its contacts with LightSquared. "While some may call it a coincidence," said Rep. Ralph Hall, R-Tex, chairman of the House Science, Space and Technology Committee, "we remain skeptical that shortly after two separate sets of meetings and meeting requests one year apart, LightSquared employees made five-figure donations to the Democratic Party."

LightSquared

GPS was originally designed for military and space use. NASA/AP

Administration technology experts slow to see threats from wireless network

By Fred Schulte

While the FCC fast-tracked approval for LightSquared to build a national wireless network, administration technology experts were slow to realize threats to existing systems like aviation and military equipment -- and even cell phones.

LightSquared

A wireless internet transmitter tower in Idaho. Ted S. Warren/AP

GOP demands investigation into LightSquared contacts with White House

By Fred Schulte

Congressional Republicans are demanding an investigation into LightSquared’s contacts with White House officials—and thousands of dollars in campaign contributions the company made to Democrats and President Obama—as it sought government approval to operate its broadband network.

Rep. Michael Turner, who chairs the House Armed Services Committee’s Strategic Forces Subcommittee, cited an iWatch News report in calling for the investigation. iWatch News revealed Wednesday that on the same day that LightSquared CEO Sanjiv Ahuja made a $30,400 contribution to the Democratic Party, two of his deputies appealed to the White House for meetings with top technology advisers to Obama. 

“In my capacity as a member of the House Committee on Government Reform and Oversight, I will be asking Chairman (Darrell) Issa and Ranking Member Towns to promptly investigate this matter," Turner said Thursday.”

A spokeswoman for Issa said the request has been received and is under review.

Sen. Charles Grassley, R-Iowa, who has tried for months to gain access to White House and Federal Communications Commission records on LightSquared, also called for a probe of the Virginia company’s dealings. The FCC on January 26 gave the company conditional approval to operate.

“The emails show that LightSquared representatives cited political connections and friendships to get an audience with White House staff.  It’s in the public’s interest to know whether the same dynamic exists between LightSquared and the FCC as well,” Grassley wrote.

“If so, political connections don’t necessarily drive policy decisions, but in the absence of transparency at the FCC, it’s impossible to know one way or the other. The FCC’s refusal to make documents public continues to give the appearance that there’s something to hide." 

LightSquared

Hedge fund owner Philip Falcone, the majority owner of LightSquared Kevin Wolf/AP

Emails show wireless firm's communications with White House as campaign donations were made

By Fred Schulte and John Aloysius Farrell

LightSquared, a wireless firm, sought meeting with top White House technology officials as its CEO was making campaign contributions to President Obama and attending fundraisers, according to emails obtained under FOIA.

LightSquared

Donald Gips, ambassador to South Africa, at a soccer field with children. Themba Hadebe/AP

Big payday for U.S. ambassador with stake in go-go wireless Internet firm

By John Aloysius Farrell and Fred Schulte

Longtime Obama friend and aide scores up to half a million dollars from sale of wireless Internet company whose broadband plan is opposed by GPS users ranging from Pentagon, DOT and a third of the Senate; Sen. Grassley has questions

LightSquared

GPS devices.  Ed Andrieski/AP

Politically-connected LightSquared pushes wireless Internet plan despite GPS concerns

By John Aloysius Farrell and Fred Schulte

FCC fast-tracked wireless Internet plan that may disrupt GPS gear, interfere with millions of cell phones, and military and civilian aviation safety devices.