A Dallas bankruptcy court approved General Wireless Inc.’s reorganization plan early last week, only to have a federal district court effectively stay the ruling on Thursday in response to a challenge from the Federal Communications Commission.
The FCC disagrees with the bankruptcy court’s decision allowing GWI to forgo payment to the federal government on a portion of the $1 billion the firm pledged for C-block personal communications services licenses before it filed for bankruptcy.
The Texas district court issued a 20-day temporary restraining order and is expected to make a ruling within weeks.
