MCI, the company formerly known as WorldCom has managed to convince the government that it has cleaned house. The U.S. General Services Administration (GSA) has lifted the suspension on MCI receiving new government business and contract extensions, according to The Wall Street Journal. Greg Gorbatenko, one of our favorite analysts who recently jumped ship to When2Trade, says, “This means that the government revenue pool is ready for MCI to swim in again. Government contracts make up a sizeable portion of MCI’s business, which is not a surprise seeing that it is headquartered in DC.”
What he does not say is that the government after making very public noises about not doing business with MCI has sneakily reversed its decision. The criminal enterprise, sans the head boss, is being given a chance to flourish again, and this time at the expense of other phone companies including the Baby Bells, who have played by the rules, not taken huge amounts of loans, committed fraud, filed for bankruptcy. In fact, MCI decision is a clear indication, that sometimes, crime pays!