Comsat Sues Ex-CEO, Alleges Scheme

Comsat Corp. said that it sued its former chief executive, Bruce Crockett, alleging a scheme linking him to businessman Herbert Denton and two companies that proposed a fight for control of Comsat. Bethesda, Md.-based Comsat, a global provider of communications services and products, is seeking more than $20 million in damages and injunctive relief from the defendants. The defendants include Providence Capital Inc. and Wyser-Pratte Inc. and a number of unidentified individuals. Crockett and the other defendants were not immediately available for comment. Comsat said Crockett allegedly violated a 1996 termination contract in which he agreed not to disparage, compete with or disclose confidential information about Comsat to third parties. Comsat’s stock fell $2 to close at $20.375 on the New York Stock Exchange.