- The Washington Times - Friday, May 10, 2002

THE WASHINGTON TIMES
Judicial Watch has filed a lawsuit against bankrupt fiber-optic cable giant Global Crossing Holdings and some of its benefactors.
The suit by the District nonprofit was filed Monday in U.S. District Court in California on behalf of Global Crossing shareholders, charging fraud, civil conspiracy and violations of the California business code. Thirteen top officers and directors of the company, including Chairman and Chief Executive Officer Gary Winnick, are named in the suit.
The suit charges former Defense Secretary and Global Crossing board member William Cohen with conspiring to "pump and dump" company stock and for corruptly awarding contracts.
Global Crossing's customers include the Pentagon and the State Department.
Also named is Democrat National Committee Chairman Terry McAuliffe, for "allegedly conspiring with Global Crossing directors and officers to inflate and artificially enhance Global Crossing's income and market price of its stock."
Beleaguered accounting firm Arthur Andersen is also named in the suit, for participating in, aiding and abetting Global Crossing's fraudulent acts as a co-conspirator.
The suit also names Li Ka-Shing as a defendant, with his Global Crossing affiliate, Asia Global Crossing. Mr. Li, a Hong Kong businessman who runs the Hutchison Whampoa conglomerate and has close ties to Chinese leaders, is seeking majority control over the corporation.
Global Crossing, the former high-flying telecommunications network builder, filed for bankruptcy protection in January.


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