More than 5 years after @Home went belly-up, the high-speed debacle still is causing grief for the cable industry. The latest problem flared Mon when a DE judge refused to throw out a lawsuit that accuses Comcast and Cox of using their position as 2 of the top 3 shareholders to run the company into the ground. A bondholder that wasn’t paid from @Home’s ’01 bankruptcy brought the suit. The ruling means that the MSOs could wind up facing trial on the allegations. When @Home was operating, Comcast and Cox controlled 63% of the voting power, with AT&T set up as the largest shareholder. Previously, AT&T settled similar litigation. A federal court previously threw out another suit that accused Cox and Comcast illegally profiting from @Home’s closing.

The Daily


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