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A bankruptcy trustee and government lawyers have settled accusations that the Obama administration mishandled a multimillion-dollar loan awarded to a wireless company in the waning days of the George W. Bush administration, leading the business to go broke and lay off hundreds of workers.
Nearly a year after members of Congress called for an investigation into the collapse of a Colorado wireless company that went bankrupt after receiving a multimillion-dollar loan package from the George W. Bush administration, a trustee is suing the Obama administration over accusations that officials hastened the wireless firm's collapse.
Creditors of the bankrupt wireless company Open Range Communications, which closed in October owing more than $70 million in unpaid federal loans, say the Justice Department is refusing to turn over records as part of a court-ordered investigation, including details from a meeting between two top Obama administration officials and the White House.
Wireless provider Open Range Communications recently filed for bankruptcy owing U.S. taxpayers more than $70 million from a loan awarded in the waning days of the George W. Bush administration, but now creditors are faulting the Obama administration's handling of the loan.
On the same week a congressional panel launched a probe into bankrupt wireless provider Open Range Communications — which has laid off most of its workforce and owes taxpayers more than $70 million — the company decided it needs more Washington lobbyists.