WASHINGTON-The FCC’s Wireless Telecommunications Bureau said Aug. 8 that the 15 licenses owned by Airadigm Communications Inc., a bankrupt PCS C- and F-block licensee in Iowa and Wisconsin, did not cancel when Airadigm filed for bankruptcy and did not make a timely installment payment in 1999.
“In light of the U.S. Supreme Court’s decision in the case involving bankrupt NextWave Telecom Inc., we grant Airadigm’s motion and clarify that, because Airadigm was under the protection of the Bankruptcy Code, the Federal Communications Commission’s automatic cancellation rule was ineffective,” wrote WTB Chief John Muleta.
The Airadigm order was made widely available Aug. 11.
Airadigm is the only C-blocker to actually turn on service to customers and then go bankrupt. As such it argued for special consideration, but its situation was held in limbo at the FCC while the agency and NextWave argued before various courts and finally at the Supreme Court, which sided with NextWave. NextWave (and Airadigm) had argued that it was not required to make installment payments while undergoing bankruptcy reorganization.
