Satellite company StarBand Communications is suing its largest investor,
EchoStar Communications Corp., alleging that EchoStar owes it millions in
revenue for illegally billing customers and collecting revenue.
The suit asks the U.S. District Court for the Eastern District of Virginia to
enjoin EchoStar from further acting as StarBand's billing agent, and to pay
StarBand the fees plus damages.
"The lawsuit against EchoStar is unfortunate but also unavoidable," said
StarBand President David Trachtenberg. "As a growing business, we couldn't
financially wait any longer to receive payments for the services we provide."
EchoStar and StarBand have a troubled history; EchoStar pulled out of its
$100 million investment in the company.
EchoStar Chairman and Chief Executive Officer Charlie Ergen and three other
EchoStar executives also recently resigned from StarBand's