Mario Gabelli must pay $130 million to end a lawsuit that claims he created fake small businesses to purchase mobile licenses at a discount from FCC auction and resold them for profit. Neither Gabelli nor any of the companies involved admitted wrongdoing. The settlement, approved by U.S. District Judge Paul Crotty, doesn't keep Gabelli and his company, Lynch Interactive, from bidding in the upcoming advanced wireless services (AWS) auction in August. Gabelli and his company have filed numerous applications to bid in the auction. The FCC recently revised its rules to prevent large companies from gaining access to wireless licenses at discounts. Qualified small businesses receive a 25 percent discount at auctions.
To read more about Gabelli's $130-million settlement:
- read this article from RCR Wireless News