You're watching...
Newsweek Correspondent Eli Lake on the growing scandal surrounding LightSquared and the military’s concerns the company’s wireless network would i...
Also in this playlist...
Auto-advance: ON
Auto-advance
This transcript is automatically generated
-- investigators want to know whether fundraisers were involved and another Obama White House scandal concerning wireless solar company light squared.
Our next guest broke the story on general William Shelton's claims that the White House tried to pressure the general.
In to changing his testimony in advance of his appearance before congress.
And in favor of -- where.
Joining us now Newsweek Daily Beast correspondent -- -- lake.
You like this story our first while we're just compliment your congratulate you on the story terrific they're reporting.
If you will describe the process here by which suddenly.
Old white squared is put into such favorable position.
By the SEC by the administration by the US government.
Well in January.
The FCC.
Not through vote from its full commission but through a kind of regulatory rule making that was highly -- usual.
Made an unprecedented decision to allow -- -- to use.
That's satellite and kind of only spectrum for broadband to use for terrestrial cellphone something that would.
Make their license that would be used for satellite phones or phones with satellite and terrestrial mobile much more valuable.
The concerns then began to mount that a terrestrial.
Cellphone network that close to the GPS part of the -- What caused interference not just for.
Your commercial Garmin GPS but for things -- military uses to.
Track missiles and to do all kinds of other things.
And so as a result -- been a number of hearings or that have been scheduled looking at would this new cellphone network.
For lights where interfere with GPS and they had OMB.
I'm sorry I but I mean you've got a four star general saying she sure as hell -- I think -- you have got serious concerns being raised by professional staff in this instance -- four star general the united states air force and He is.
And his staff.
I mean what in the world who in the White House richest -- disregarding.
Their concerns.
And their statement.
The specific disagreement is not over whether there would be interference but whether.
Proposed solutions from light squared.
Would fix or mitigate that problem right what the OMB asked general -- to say and other witnesses before the house science committee.
-- to say that the testing would could be resolved in ninety days right and Shelton balked at that as did other witnesses who refused to say it.
And that's kind of where my reporting comes in and the question is.
Why is the Office of Management and Budget.
Intervening at that level are ostensibly on a matter that affects one private company not a matter of kind of overall policy.
And the satellite in question to which they were given access and that buys and so -- been proximity to.
US military are broad band.
-- explain that to us if you look.
What the issue is that GPS is -- a signal that you know.
Both commercial and the military uses.
The way that general some describe this in in testimony last week was it's a quiet neighborhood.
Having a huge cell phone network like Verizon -- AT&T.
Right next to that on the broad band He said would be like putting a rock band in the middle of that quiet neighborhood and for some residents how Long Will it take.
To resolve those differences OMB and widespread say it shouldn't take that long general Shelton and others in the government say it's -- -- pretty long time.
Are extraordinarily.
It is safe to say the FCC taking -- on this initiative that affects.
Property and the possession of the US military it is overridden.
Always MB in -- itself into a process lacking one would assume sufficient expertise to be holding forth on -- either.
The satellite technology the broadband technology or any of the science necessary.
To as you have reported.
Overcome it with testing in the course of ninety days.
Remarkable.
-- like we thank you for being with us again extraordinary reporting we thank you for being -- Your life you -- I like -- Newsweek and the Daily Beast a terrific job of reporting on the lights.
