SAN DIEGO-A bankruptcy court judge in San Diego said Leap Wireless International Inc. improperly prepared schedules of assets and liabilities that were filed with its amended reorganization plan that may have inflated the carrier’s debt holding to bondholders from $774 million to $2.6 billion.
Judge Louise Adler said Leap’s filing “partially double counted” its debt listing to bondholders, listing them first as secured creditors owed approximately $240 million and then as unsecured creditors owed $729 million.
Judge Adler noted the discrepancy as part of her denial of a request to appoint a committee of equity holders and said Leap would have to correct the schedule and provide more information to determine the value of the carrier’s assets.
