WASHINGTON-U.S. law enforcement officials want federal regulators to delay a decision on ICO Global Communications Ltd.’s application to acquire Globalstar Corp. mobile satellite service licenses until public-safety and national security issues are resolved.
The proposed ICO-Globalstar deal has been pending before the Federal Communications Commission since late May. Cellular pioneer and billionaire Craig McCaw is a major investor in ICO.
The Justice Department and FBI weighed in with their concerns in a July 14 filing with the FCC.
“The applicants acknowledge that the DoJ and FBI have concerns that the proposed transaction and authority sought from the commission, if granted, may impair the ability of the DoJ and FBI to preserve the national security.”
ICO and Globalstar, each of which previously filed for bankruptcy, oppose any delay at the FCC. The two firms told the FCC in late July they are in discussions with law enforcement and “expect an agreement with DoJ and FBI [in the] near term.”
The Justice Department declined to comment on the status of those talks. ICO did not return a call for comment.
“This is a fairly routine regulatory matter,” said a Globalstar spokesman. “Whenever a U.S. telco changes ownership, the FCC must first review and approve the transfer of the telco’s operating license to the new owner, and in many cases it consults with other government agencies such as the Department of Justice and the FBI to ensure that their concerns are also considered. Globalstar has been working closely with all of these agencies in the review process, and we have encountered no significant issues or concerns so far. We expect the review process to be completed in the weeks ahead.”
“There is no telling how long it will take,” said Donald Abelson, chief of the FCC’s International Bureau.
