Intelsat chairman sued over alleged insider trading – NY Post

Intelsat SA shareholder Walleye Group sued the satellite operator's chairman, David McGlade, before a California federal court over claims of insider trading, the New York Post reported Jan. 17.

The lawsuit reportedly alleges that McGlade, together with key Intelsat shareholders Silver Lake Partners and BC Partners, sold $246 million of company shares in November 2019. The share sale occurred hours after Intelsat's CEO learned that the U.S. Federal Communications Commission was likely to oppose the company's proposal to privately sell its government-owned spectrum.

The FCC in February 2020 approved an order to open up C-band spectrum for 5G use, with Intelsat and other satellite operators receiving billions of dollars to relocate to different spectrum.

Intelsat, which filed for Chapter 11 bankruptcy, is seeking to extend its exclusive periods to file and solicit acceptances to its reorganization plan.

Silver Lake also drew flak for selling a stake in SolarWinds Corp., days before a hack warning on the software provider, according to the Post.