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Bankrupt telecommunication equipment maker Nortel Networks has won permission to sell its primary mobile carrier business at an auction in which Nokia Siemens Networks would make the opening bid of USD 650 million, Bloomberg reports. US Bankruptcy Judge Kevin Gross in Wilmington, Delaware approved the sale over objections from bondholders and other creditors who accused Nortel of tilting the auction in favour of Nokia. Gross said he would modify the rules governing the auction to address some of the creditor concerns after Nokia agreed to the changes. Nortel's biggest customers, including Verizon Wireless, have said they fear buying its most promising new technology because of the company's financial troubles, chief strategy officer George Riedel said in court. Bids for the business are due 21 July and the auction is scheduled for 24 July in New York. In a joint hearing held simultaneously in Wilmington and in Toronto, where the company is based, Gross said he would sign an order authorising the auction once final wording is worked out by Nortel. Gross declined a request by bondholders to delay the auction by two weeks so they could have time to try to put together an alternative proposal. Nokia attorney Anthony Clark said the company would agree to pay whatever so-called overbid amount was required at the auction.
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