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                           Before the
                Federal Communications Commission
                     Washington, D.C. 20554

In the Matter of                 )
                                 )
ESP Leasing Corporation          )       File Number  EB-05-LA-071
                                 )
Brookfield, Illinois             )       NAL/Acct. No 200632900006
                                 )                  FRN:0004161469
Operator of Unlicensed Land      )
Mobile                           )
Transmitters Near Las Vegas, 
Nevada

             NOTICE OF APPARENT LIABILITY FOR FORFEITURE


                                               Released: February 
                                                          9, 2006

By the District Director, Los Angeles Office, Western Region, 
Enforcement Bureau:

I.   INTRODUCTION

      1.  In this Notice of Apparent Liability for Forfeiture 
 ("NAL"), we find that ESP Leasing Corporation (``ESP''), 
 apparently willfully and repeatedly violated Section 301 of the 
 Communications Act of 1934, as amended (``Act''),1 by operating 
 an unlicensed land mobile transmitter on 856.3625 MHz.  We 
 conclude, pursuant to Section 503(b) of the Act,2 that ESP is 
 apparently liable for a forfeiture in the amount of ten 
 thousand dollars ($10,000).

II.  BACKGROUND

      2.  On February 25, 2005, while conducting a routine audit 
 of installed radio equipment on Black Mountain, in Las Vegas, 
 Nevada, an agent of the Enforcement Bureau's Los Angeles Office 
 discovered six, 800 MHz, land-mobile transmitters installed in 
 rented space in one of the mountaintop buildings.  The callsign 
 found on the equipment was WPOX419.  Six frequencies were 
 listed on the six transmitters, including 856.3625 MHz, and one 
 of the transmitters was in operation.3  The name ``ESP 
 Leasing'' and a telephone number were also displayed on the 
 transmitters.  The agent noted that, for the Black Mountain 
 location, no record for the transmitters could be found in the 
 Commission's database of licensed transmitters.

      3.  On March 2, 2005, the Los Angeles agent researched the 
 Commission's records for the callsign and frequency information 
 displayed on the transmitters and determined that the 
 transmitters were associated with callsigns WPOX419 and 
 WPOX417.  The licensed location for these stations, however, is 
 Mt. Potosi, Nevada, a site approximately 20 miles from Black 
 Mountain.4  The Commission's records showed that ESP was the 
 licensee of WPOX419 and WPOX 417, until December 14, 2004, when 
 the licenses and transmitters were assigned to AIRPEAK 
 Communications, Inc.5  The owner of the rented building on 
 Black Mountain reported that ESP had been paying the rent for 
 the transmitters' space since April 1, 2000.

      4.  On April 27, 2005, Los Angeles agents again visited the 
 Las Vegas, Nevada area.  While monitoring the frequencies of 
 the transmitters which had been found on Black Mountain, the 
 agents heard significant traffic on 856.3625 MHz, without 
 callsign identification.  The agents used direction finding 
 techniques to locate the source of the signals as Black 
 Mountain.  The agents then contacted a representative of 
 AIRPEAK, who advised that AIRPEAK had recently acquired the 
 WPOX417 and WPOX419 licenses from ESP but had not yet 
 constructed new transmitters on Mt. Potosi.6   The agents then 
 contacted ESP, and a representative confirmed that the current 
 operations on 856.3625 MHz from Black Mountain were from ESP's 
 transmitter, and that the operations had been on-going for many 
 months.  When agents asked by what authority the transmitter 
 was being operated, the ESP representative asked for an 
 opportunity to research ESP's records.  On April 28, 2005 the 
 Commission's agents again monitored unidentified traffic on 
 856.3625 MHz, and again confirmed with direction finding 
 techniques that Black Mountain was the source.  Later that day, 
 the representative from ESP contacted the agents and advised 
 that several transmitters had been mistakenly located on Black 
 Mountain, and that ESP would cease operations with them as soon 
 as possible.

      5.  On August 25, 2005, the Los Angeles Office issued a 
 Letter of Inquiry (``LOI'') to ESP concerning ESP's ownership 
 and operation of the unlicensed transmitters on Black Mountain.  
 ESP sent a response (``Response'') to the LOI on September 9, 
 2005.  In its Response, ESP stated that it had mistakenly 
 relocated the six transmitters to Black Mountain while it was 
 still the licensee, and had subsequently assigned its license 
 for the frequencies, but had been operating the transmitters 
 from Black Mountain since approximately September 2004.    ESP 
 also stated that it ceased operation of the transmitters on 
 April 28, 2005. 

III.      DISCUSSION

      6.  Section 503(b) of the Act provides that any person who 
 willfully or repeatedly fails to comply substantially with the 
 terms and conditions of any license, or willfully or repeatedly 
 fails to comply with any of the provisions of the Act or of any 
 rule, regulation or order issued by the Commission thereunder, 
 shall be liable for a forfeiture penalty.  The term "willful" 
 as used in Section 503(b) has been interpreted to mean simply 
 that the acts or omissions are committed knowingly.7  The term 
 ``repeated'' means the commission or omission of such act more 
 than once or for more than one day.8 

      7.  Section 301 of the Act requires that no person shall 
 use or operate any apparatus for the transmission of energy or 
 communications or signals by radio within the United States 
 except under and in accordance with the Act and with a license.  
 While it still held licenses WPOX419 and WPOX417, ESP relocated 
 its transmitters without authority to Black Mountain, Nevada, a 
 violation of 1.903(a) of the Commission's rules.9  From 
 December 15, 2004, to April 28, 2005, ESP operated one or more 
 transmitters on Black Mountain without a license.  ESP 
 acknowledges its unlicensed operation of these transmitters, 
 therefore, its violation was willful.  The violation occurred 
 for more than one day, therefore, it was repeated.  Based on 
 the evidence before us, we find that ESP apparently willfully 
 and repeatedly violated Section 301 of the Act by operating a 
 land mobile radio transmitter without a license.

      8.  Pursuant to The Commission's Forfeiture Policy 
 Statement and Amendment of Section 1.80 of the Rules to 
 Incorporate the Forfeiture Guidelines, ("Forfeiture Policy 
 Statement"), and Section 1.80 of the Rules, the base forfeiture 
 amount for operation without an instrument of authorization for 
 the service is $10,000.10  In assessing the monetary forfeiture 
 amount, we must also take into account the statutory factors 
 set forth in Section 503(b)(2)(D) of the Act, which include the 
 nature, circumstances, extent, and gravity of the violations, 
 and with respect to the violator, the degree of culpability, 
 and history of prior offenses, ability to pay, and other such 
 matters as justice may require.11  Applying the Forfeiture 
 Policy Statement, Section 1.80, and the statutory factors to 
 the instant case, we conclude that ESP Leasing Corporation is 
 apparently liable for a forfeiture in the amount of $10,000.
  
IV.  ORDERING CLAUSES

      9.  Accordingly, IT IS ORDERED that, pursuant to Section 
 503(b) of the Communications Act of 1934, as amended, and 
 Sections 0.111, 0.311, 0.314 and 1.80 of the Commission's 
 Rules, ESP Leasing Corporation is hereby NOTIFIED of this 
 APPARENT LIABILITY FOR A FORFEITURE in the amount of ten 
 thousand dollars ($10,000) for violations of Section 301 of the 
 Act.12

      10.      IT IS FURTHER ORDERED that, pursuant to Section 
 1.80 of the Commission's Rules within thirty days of the 
 release date of this Notice of Apparent Liability for 
 Forfeiture, ESP Leasing Corporation.  SHALL PAY the full amount 
 of the proposed forfeiture or SHALL FILE a written statement 
 seeking reduction or cancellation of the proposed forfeiture.

      11.      Payment of the forfeiture must be made by check or 
 similar instrument, payable to the order of the Federal 
 Communications Commission. The payment must include the 
 NAL/Acct. No. and FRN No. referenced above. Payment bycheck 
 or money order may be mailed to Federal Communications 
 Commission, P.O. Box358340,Pittsburgh, PA 15251-8340. 
 Payment by overnight mail may be sent toMellon 
 Bank/LB358340,500 Ross Street, Room 1540670, Pittsburgh, PA 
 15251. Payment by wire transfer may be made to ABA 
 Number043000261, receiving bankMellon Bank, and account 
 number911-6106.

      12.      The response, if any, must be mailed to Federal 
 Communications Commission, Enforcement Bureau, Western Region, 
 Los Angeles Office, 18000 Studebaker Rd, Suite 660, Cerritos, 
 CA 90703 and must include the NAL/Acct. No. referenced in the 
 caption.  

      13.      The Commission will not consider reducing or 
 canceling a forfeiture in response to a claim of inability to 
 pay unless the petitioner submits: (1) federal tax returns for 
 the most recent three-year period; (2) financial statements 
 prepared according to generally accepted accounting practices 
 ("GAAP"); or (3) some other reliable and objective 
 documentation that accurately reflects the petitioner's current 
 financial status.  Any claim of inability to pay must 
 specifically identify the basis for the claim by reference to 
 the financial documentation submitted.  

      14.      Requests for payment of the full amount of this 
 Notice of Apparent Liability for Forfeiture under an 
 installment plan should be sent to: Associate Managing Director 
 - Financial Operations, Room 1A625, 445 12th Street, S.W., 
 Washington, D.C. 20554.13

      15.      IT IS FURTHER ORDERED that a copy of this Notice 
 of Apparent Liability for Forfeiture shall be sent by Certified 
 Mail, Return Receipt Requested, and regular mail, to ESP 
 Leasing Corporation. 


                              
                              FEDERAL COMMUNICATIONS COMMISSION




                              Catherine Deaton
                              District Director
                              Los Angeles District Office
                              Western Region
                              Enforcement Bureau



_________________________

1 47 U.S.C.  301.
2 47 U.S.C.  503(b).
3 The other frequencies listed were 857.3625 MHz, 858.3625 MHz, 
859.3625 MHz, 860.3625 MHz and 859.6375 MHz.
4 The callsign WPOX419 was listed in the Commission's Universal 
Licensing Service (``ULS'') database as licensed to AIRPEAK 
Communications, LLC, which authorized frequencies 858.3625 MHz, 
859.3625 MHz and 860.3625 MHz on Mt. Potosi. Another AIRPEAK 
license, WPOX417, authorized 856.3625 MHz and 857.3525 MHz, also 
at Mt Potosi.  
5 See Application Nos. 0001888410 and 0001970542.
6 Prior to the license assignment, ESP executed, and filed with 
the Commission, a ``De Facto Transfer Lease'' of the licenses to 
AIRPEAK which commenced on October 8, 2004 and expired on April 
6, 2005. 
7 Section 312(f)(1) of the Act, 47 U.S.C.  312(f)(1), which 
applies to violations for which forfeitures are assessed under 
Section 503(b) of the Act, provides that "[t]he term 'willful', 
when used with reference to the commission or omission of any 
act, means the conscious and deliberate commission or omission of 
such act, irrespective of any intent to violate any provision of 
this Act or any rule or regulation of the Commission authorized 
by this Act...."  See Southern California Broadcasting Co., 6 FCC 
Rcd 4387 (1991).
8 Section 312(f)(2) of the Act, 47 U.S.C.  312(f)(2), which also 
applies to violations for which forfeitures are assessed under 
Section 503(b) of the Act, provides that "[t]he term 'repeated', 
when used with reference to the commission or omission of any 
act, means the commission or omission of such act more than once 
or, if such commission or omission is continuous, for more than 
one day.'' 
9 47 C.F.R.  1.903(a).
10 12 FCC Rcd 17087 (1997), recon. denied, 15 FCC Rcd 303 (1999); 
47 C.F.R. 1.80.
11 47 U.S.C.  503(b)(2)(D).
12 47 U.S.C.  301, 503(b), 47 C.F.R.  0.111, 0.311, 0.314, 
1.80.
13 See 47 C.F.R.  1.1914.