GAO Investigating Pentagon-Iridium Deal After Globalstar Protest


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	GAO Investigating Pentagon-Iridium Deal After Globalstar Protest By Jeremy Singer Spacenews.com Staff Writer posted: 06:54 pm ET 21 December 2000

WASHINGTON – The U

WASHINGTON – The U.S. General Accounting Office (GAO) is investigating the Pentagon’s recently signed deal to acquire satellite telephone services from Iridium Satellite LLC, according to GAO spokeswoman Laura Kopelson.

Globalstar LP [GSTRF], which also markets satellite telecommunications services, filed a protest with GAO shortly after the Pentagon announced the deal with Iridium Dec. 5, an industry source familiar with the case said.

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Globalstar protested the deal because the Pentagon did not hold a competition for the telecommunications contract, the source said. GAO had placed a hold on the Iridium contract pending its investigation, but the Pentagon was able to have the hold lifted by citing national security reasons, the source said.

The GAO investigation, which began this month, has a 100-day limit, the source said. Pentagon spokeswoman Susan Hansen did not immediately return a request for comment.