A False Claims Act suit against the founder of Gabelli Asset Management Inc. will proceed. The suit alleges that Mario Gabelli plotted to use dozens of related companies and partnerships to buy FCC licenses at discounted prices. The discounts were available to small telecommunications businesses.
The judge did not rule on the merits of the case.
The suit seeks $600 million in damages.
Bloomberg News reported on the story on August 4, 2004.