updated 01:25 pm EDT, Wed September 21, 2011
DoJ claims information would hamper case
The US Justice Department will not reveal to US lawmakers why it has chosen to challenge AT&T's purchase of T-Mobile. According to a Tuesday report, the Justice Department sent a letter to the House Energy and Commerce Committee's Chairman, Fred Upton, on Monday that stated it couldn't reveal information regarding live litigation that's not public. The Justice Department filed a lawsuit at the end of August to block the buyout as it would raise prices and hamper both competition and innovation.
Assistant Attorney General Ronald Weich expressed concerns in the letter that the public and courts would see sharing information with political and Congressional bodies would be seen as biasing legal decisions.
The Justice Department did weigh the pros and cons of the deal but argued that the benefits weren't enough to outweigh the negative impact of the deal. It concluded that AT&T could achieve the same benefits it states by investing into its existing network rather than eliminating a competitor.
The FCC also voiced concerns about the deal that would put AT&T in the number one national wireless carrier spot.
A trial date is expected sometime next year, with AT&T hoping for January 16 while the DOJ wants March 19.