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




In the Matter of                 )
                                )
World Communications             )
Satellite Systems, Inc.          )    File No. EB-03-TC-177
                                )
                                )    NAL/Acct. No. 200332170009 
Apparent Liability for           )    FRN: 0009553652
Forfeiture                       )
                                )


           NOTICE OF APPARENT LIABILITY FOR FORFEITURE

   Adopted:  January 13, 2004           Released:  January 15, 
2004                                    

By the Commission:

I.     INTRODUCTION

               1.   In this  Notice  of  Apparent  Liability  for 
Forfeiture   (``NAL''),1  we  find   that  World   Communications 
Satellite  Systems,  Inc.  (``WCSS'')  apparently  willfully  and 
repeatedly  violated section  258 of  the Communications  Act  of 
1934, as amended (the ``Act''),2 as well as Commission rules  and 
orders,  by submitting changes  of the preferred  carriers of  10 
consumers  on  13  occasions  without  their  authorization   and 
verification, a practice commonly known as ``slamming.''3   Based 
upon our  review of the facts  and circumstances surrounding  the 
violations, we  find WCSS apparently liable  for a forfeiture  in 
the  amount  of  $560,000.  As  explained  below,  we  propose  a 
forfeiture of  $80,000 for one  apparent egregious violation  and 
$40,000 each for 12 other violations. 

II.  BACKGROUND

             2.     WCSS is a reseller of long distance telephone 
service located in Champaign, Illinois.4  After receiving a large 
number of  consumer  complaints  against  WCSS,  the  Enforcement 
Bureau, along  with  the  Public  Utility  Commission  of  Texas, 
launched an  investigation  into the  consumers'  allegations  of 
slamming.  The  Public Utility  Commission  of Texas,  which  has 
chosen to  administer our  slamming liability  rules,5  forwarded 
information on WCSS's activities to us.  

     A.   The Complaints

             3.     All of the consumers who filed the complaints 
that form  the basis  of  this NAL  maintain  that they  did  not 
authorize WCSS to change their preferred carriers, but that  WCSS 
nevertheless changed  their  preferred carriers  to  WCSS.6   For 
illustrative purposes, we will profile two complaints that appear 
to  be  representative  of  WCSS's  marketing  and   verification 
practices.

              4.    On March  4,  2003,  Kerri  Pedraza  filed  a 
complaint with the Texas Public Utility Commission alleging  that 
WCSS changed her preferred carrier  from Verizon to WCSS  without 
her authorization.7  In  support of that  complaint, Ms.  Pedraza 
filed a declaration, which stated in part:

          I received a telephone call from a  Verizon 
          representative in February, 2003  inquiring 
          why I had changed my long distance carrier.  
          I  told  the  representative  that  I   was 
          unaware of  a change  in service.   When  I 
          received my telephone  bill dated  February 
          16, 2003, I noticed unauthorized charges on 
          it from WCSS.  One charge in particular was 
          for a  long  distance service  set  up  fee 
          dated February  7,  2003.   I  called  WCSS 
          about the charges.   I was told  by a  WCSS 
          representative  that   they  had   a   tape 
          recording as  proof  of  me  authorizing  a 
          switch in my telephone service.  I asked to 
          hear the tape.  I was told that their voice 
          verification system was  down for the  rest 
          of the week.

          Neither I nor anyone  in my household  gave 
          permission to have my long distance service 
          switched.8

       
              5.    On May  7, 2003,  Dr.  Horacio Pena  filed  a 
complaint with the Texas Public Utility Commission alleging  that 
WCSS changed his preferred long distance carrier from SBC to WCSS 
without his authorization.9   In support of  that complaint,  Dr. 
Pena filed a declaration, which stated in part:

          On March  19, 2003,  I went  out of  the  United 
          States to visit relatives  in Columbia.  When  I 
          returned home from Columbia on April 21, 2003, I 
          had received my  residential telephone bill  for 
          March 2003.  I  noticed that the  bill had  long 
          distance charges  from  WCSS.  I  contacted  SBC 
          regarding the matter.  SBC  agreed to switch  my 
          service back without any charge.

       I  never gave  WCSS permission  to switch  my  long 
       distance service.10

            B. The Investigation

            6. On July  15, 2003,  the Enforcement  Bureau  staff 
sent a  letter  of  inquiry  to WCSS,  attaching  a  list  of  19 
complainants  who  had  alleged  that  WCSS  had  changed   their 
preferred carrier without authorization, and asking, among  other 
things, whether  WCSS  had  changed  these  consumers'  preferred 
carriers since December 1, 2002.11   WCSS sent a response to  the 
Letter of Inquiry on  September 16, 2003.  In its response,  WCSS 
admitted that  it  had  changed  the  preferred  carrier  of  six 
complainants, provided third-party verification tapes for four of 
them, and claimed that it had not received tapes from its  third-
party verification company for  the remaining two, Kerri  Pedraza 
and Micaela  Escoto.  With  respect  to five  other  complainants 
(Aurelio Baron, Blasa Cano, Efrain  Juarbe, Enilsa Lora and  John 
Pichurko), WCSS claimed that ``WCSS records show that it did  not 
submit or execute orders for the individuals during the specified 
time  frame.''  With  respect  to  Guadaloupe  Castillo,  Charles 
Johnson Finance,  Marco and  Lisa Martinez  and Marybel  Ramirez, 
WCSS claimed it ``has no  records listing these individuals  with 
the BTNs provided  for them.''12  With respect  to Kenneth  Munn, 
Katia Paredes and John Yohana Saucedo, WCSS stated it ``does  not 
have any records relating to the named complainants.''

            7. On July 15,  2003, Enforcement  Bureau staff  also 
sent Letters of Inquiry to the local exchange carriers who  serve 
the complainants, inquiring  whether the  preferred carriers  for 
the 19 complainants had been changed after December 1, 2002,  and 
who executed the change.13  The local exchange carriers responded 
by August 15, 2003.14 On August 19, 2003, our staff sent a Letter 
of Inquiry to Qwest, the  underlying long distance carrier  whose 
services WCSS resells, inquiring  whether the preferred  carriers 
of the  complainants  identified  by Verizon  and  SBC  had  been 
changed since  December  1,  2002,  and  who  had  requested  the 
change.15    Qwest  requested   confidential  treatment  of   its 
response (again other  than with  respect to WCSS)  based on  the 
claim that  the  information  was  customer  proprietary  network 
information subject to Section 222  of the Act.16  Therefore,  we 
shall discuss Qwest's  response in Attachment  A, which shall  be 
kept confidential at this time, except with respect to WCSS.17 

III.        DISCUSSION

              8.    Section 258 of the Act makes it unlawful  for 
any telecommunications carrier to ``submit or execute a change in 
a subscriber's  selection of  a  provider of  telephone  exchange 
service or telephone toll service except in accordance with  such 
procedures  as  the  Commission  shall  prescribe.''18    Section 
64.1120 of  the Commission's  rules  prescribes that  no  carrier 
``shall submit a change on the behalf of a subscriber . . . prior 
to obtaining:  (i) Authorization  from the  subscriber, and  (ii) 
Verification  of  that  authorization  in  accordance  with   the 
procedures prescribed in this section.''19  

              9.    The Commission's rules provide some  latitude 
in  the  methods  carriers  may  use  to  verify  carrier  change 
requests.  The  carrier may  elect to  verify that  authorization 
through one of three options: obtaining the consumer's written or 
electronically signed  authorization;  setting  up  a  toll  free 
number for the  consumer to call  for verification; or  obtaining 
authorization through an  independent third  party.20  For  those 
carriers that use  an independent third  party for  verification, 
our rules require that the  verification method confirm at  least 
six things: 

          the identity  of  the  subscriber;  confirmation 
          that the  person on  the call  is authorized  to 
          make the carrier  change; confirmation that  the 
          person on the call wants to make the change; the 
          names of the  carriers affected  by the  change; 
          the telephone numbers  to be  switched; and  the 
          types of service involved.21

Our rules also require  that carriers keep  audio records of  the 
verification  for  a  minimum  of  two  years.22   Finally,   the 
Commission's rules require that when  a carrier "is selling  more 
than one type of telecommunications service ... that carrier must 
obtain  separate  authorization  from  the  subscriber  for  each 
service sold ... Each  authorization must be verified  separately 
from   any   other   authorizations   obtained   in   the    same 
solicitation.''

                10.      As  discussed  above,   WCSS  has   only 
acknowledged changing  the  preferred  carrier  for  six  of  the 
complainants whose  allegations  we are  investigating.   In  its 
response, WCSS submitted audio tapes of third-party  verification 
for only four of those six complainants.  The verification  tapes 
for two complainants show that  WCSS did not gather the  critical 
verification information that  our rules require.   Specifically, 
the tapes for Horacio Pena and Esther Hilario do not even mention 
the name of the  carrier, WCSS, or the  services to be  switched.  
Further, WCSS did not submit any  tapes for two of the  consumers 
it admitted were  switched.  As stated  above, our rules  require 
carriers to retain verification tapes for a two-year period.23  

            11.     We conclude, therefore, that WCSS  apparently 
switched   the  preferred  carriers   for  four   of  these   six 
complainants   without  authorization.   The   tapes  that   WCSS 
submitted for Horacio Pena and Esther Hilario are not  sufficient 
to  rebut the  allegations in  the complaints  that WCSS  changed 
their  preferred  carriers without  prior  authorization  because 
they  do not  contain  the information  that our  rules  require.  
WCSS did not produce tapes showing that it had properly  verified 
the  authorization to  change  the preferred  carriers  of  Kerri 
Pedraza  and Micaela  Escoto.  Absent  audio tapes  demonstrating 
that   WCSS    properly   verified   these   two    complainants' 
authorizations  to change their  preferred carriers, WCSS  cannot 
rebut  the complainants' allegations  that the complainants  were 
slammed. Furthermore, in the case of Kerri Pedraza, we find  that 
WCSS's employees  apparently misrepresented to the consumer  that 
WCSS  had a verification  tape, but  was not able  to access  its 
system, when it subsequently admitted, in response to the  Letter 
of Inquiry, that  the third-party verifier was unable to  provide 
WCSS with  a tape for Kerri  Pedraza.24 Finally, for the  reasons 
set  forth  in  Attachment  A,  we  find  that  WCSS   apparently 
committed nine other violations of the rules.25

IV.      FORFEITURE AMOUNT

           12.       Section  503(b) of  the  Communications  Act 
authorizes the  Commission  to  assess  a  forfeiture  of  up  to 
$120,000  for  each  violation  of  the  Act  or  of  any   rule, 
regulation, or order  issued by the  Commission under the  Act.26  
In exercising  such  authority,  we are  required  to  take  into 
account "the nature,  circumstances, extent, and  gravity of  the 
violation and,  with  respect  to the  violator,  the  degree  of 
culpability, any history of prior  offenses, ability to pay,  and 
such other matters as  justice may require."27  The  Commission's 
forfeiture guidelines currently  establish a standard  forfeiture 
amount  of  $40,000  for  violations  of  our  rules  and  orders 
regarding  unauthorized   changes  of   preferred   interexchange 
carriers.28  These  policies  and  guidelines,  however,  include 
upward adjustment  criteria  that  warrant  a  higher  forfeiture 
amount based on  the particular  facts and  circumstances of  the 
violation(s).29   These   include   the  egregiousness   of   the 
misconduct, ability or  inability to pay,  whether the  violation 
was intentional,  whether  substantial  harm  resulted  from  the 
violations, history of  compliance with Commission  requirements, 
whether the violator realized substantial economic gain from  the 
misconduct,  and   whether   the   violation   is   repeated   or 
continuous.30   As  provided  by  the  Commission's  rules,   the 
Commission and its staff retain the discretion to issue a  higher 
or lower forfeiture, as permitted by statute.31
 
           13. On several occasions,  the Commission has  sternly 
warned carriers that it would take swift and decisive enforcement 
action,  including   the  imposition   of  substantial   monetary 
forfeitures,  against  any  carrier  found  to  have  engaged  in 
slamming.32  In the case  of Kerri Pedraza, we  find that a  more 
significant forfeiture  is warranted  based on  WCSS's  egregious 
behavior in  apparently misleading  the customer  by telling  her 
that it had a  third-party verification tape  but could not  then 
access its system to provide the tape, when in fact it apparently 
did not  have such  a tape.33   We therefore  find that  WCSS  is 
apparently  liable   for  a   forfeiture  of   $80,000  for   the 
unauthorized preferred  carrier  change  of  Kerri  Pedraza,  and 
$40,000 for each of the  other 12 unauthorized preferred  carrier 
changes, for a total forfeiture of $560,000.

          14.  WCSS will have the  opportunity to submit  further 
evidence and  arguments in response to this  NAL to show that  no 
forfeiture should  be imposed or that  some lesser amount  should 
be assessed.34  

V.   CONCLUSIONS AND ORDERING CLAUSES

            15.     We have determined that World  Communications 
Satellite Systems, Inc.  has apparently violated  section 258  of 
the Act and the Commission's  preferred carrier change rules  and 
orders by changing the preferred telephone service carriers of 10 
consumers  on  13  occasions,  resulting  in  a  total   proposed 
forfeiture of $560,000.

            16.     Accordingly,  IT  IS  ORDERED,  pursuant   to 
section 503(b)  of Communications  Act of  1934, as  amended,  47 
U.S.C.   503(b),  section 1.80  of  the Commission's  rules,  47 
C.F.R.  1.80, that World Communications Satellite Systems,  Inc. 
IS HEREBY NOTIFIED of an Apparent Liability for Forfeiture in the 
amount of $560,000 for willful or repeated violations of  section 
258 of the Act, 47 U.S.C.   258, and the Commission's  preferred 
carrier change rules  and orders as  described in the  paragraphs 
above. 35

            17.     IT IS  FURTHER ORDERED,  pursuant to  section 
1.80 of the  Commission's rules,  47 C.F.R.   1.80, that  within 
thirty  (30)  days   of  the  release   of  this  Notice,   World 
Communications Satellite Systems, Inc. SHALL PAY the full  amount 
of the proposed forfeiture36 OR SHALL FILE a response showing why 
the proposed  forfeiture  should  not be  imposed  or  should  be 
reduced.

            18.     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.

            19.     Requests for payment  of the  full amount  of 
this Notice  of  Apparent  Liability under  an  installment  plan 
should be  sent to:  Chief,  Revenue and  Receivables  Operations 
Group, 445 12th Street, S.W., Washington, D.C., 20554.37

            20.     Under the Small Business Paperwork Relief Act 
of 2002, Pub L. No. 107-198,  116 Stat. 729 (June 28, 2002),  the 
FCC is engaged in a two-year tracking process regarding the  size 
of entities involved in forfeitures.   If you qualify as a  small 
entity and  if you  wish to  be  treated as  a small  entity  for 
tracking purposes, please  so certify  to us  within thirty  (30) 
days of this  NAL, either in  your response  to the NAL  or in  a 
separate filing to  be sent to  the Telecommunications  Consumers 
Division.   Your  certification  should  indicate  whether   you, 
including your parent  entity and its  subsidiaries, meet one  of 
the definitions  set forth  in  the list  provided by  the  FCC's 
Office of Communications Business Opportunities (OCBO) set  forth 
in Attachment  B  of this  Notice  of Apparent  Liability.   This 
information will  be  used  for  tracking  purposes  only.   Your 
response or  failure to  respond to  this question  will have  no 
effect on your  rights and responsibilities  pursuant to  Section 
503(b)  of  the  Communications  Act.   If  you  have   questions 
regarding any  of  the  information contained  in  Attachment  B, 
please contact OCBO at (202) 418-0990.

              21.   IT IS  FURTHER ORDERED  that copies  of  this 
Notice of  Apparent Liability  for Forfeiture  SHALL BE  SENT  by 
certified mail to  The Helein Law  Group, 8180 Greensboro  Drive, 
Suite 700, McLean, VA 22102.


               
                         FEDERAL COMMUNICATIONS COMMISSION



                         Marlene H. Dortch
                    Secretary

          ATTACHMENT B


         FCC List of Small Entities

         As described  below, a  ``small  entity'' may  be a 
small organization,
         a  small  governmental  jurisdiction,  or  a  small 
business.

         (1)  Small Organization 
Any not-for-profit enterprise that is independently owned and 
operated and 
is not dominant in its field.

  
(2)  Small Governmental Jurisdiction
Governments of cities, counties, towns, townships, villages, 
school districts, or 
special districts, with a population of less than fifty 
thousand.


(3)  Small Business
Any business concern that is independently owned and operated 
and 
is not dominant in its field, and meets the pertinent size 
criterion described below.
  

       Industry Type         Description of Small Business 
                                     Size Standards
                 Cable Services or Systems
                            Special Size Standard - 
Cable Systems                Small Cable Company has 400,000 
                            Subscribers Nationwide or Fewer
Cable and Other Program 
Distribution                 $12.5 Million in Annual Receipts 
                                        or Less

Open Video Systems 
        Common Carrier Services and Related Entities
Wireline Carriers and 
Service providers 
                                1,500 Employees or Fewer
Local Exchange Carriers, 
Competitive Access 
Providers, Interexchange 
Carriers, Operator Service 
Providers, Payphone 
Providers, and Resellers


Note:  With the exception of Cable Systems, all size 
standards are expressed in either millions of dollars or 
number of employees and are generally the average annual 
receipts or the average employment of a firm.  Directions for 
calculating average annual receipts and average employment of 
a firm can be found in 
13 CFR 121.104 and 13 CFR 121.106, respectively.





                   International Services
International Broadcast 
Stations






                            $12.5 Million in Annual Receipts 
                                        or Less
International Public Fixed 
Radio (Public and Control 
Stations)
Fixed Satellite 
Transmit/Receive Earth 
Stations
Fixed Satellite Very Small 
Aperture Terminal Systems
Mobile Satellite Earth 
Stations
Radio Determination 
Satellite Earth Stations
Geostationary Space Stations
Non-Geostationary Space 
Stations
Direct Broadcast Satellites
Home Satellite Dish Service
                    Mass Media Services
Television Services

                             $12 Million in Annual Receipts 
                                        or Less
Low Power Television 
Services and Television 
Translator Stations
TV Auxiliary, Special 
Broadcast and Other Program 
Distribution Services
Radio Services
                            $6 Million in Annual Receipts or 
                                          Less
Radio Auxiliary, Special 
Broadcast and Other Program 
Distribution Services
Multipoint Distribution      Auction Special Size Standard -
Service                      Small Business is less than $40M 
                            in annual gross revenues for 
                            three preceding years
          Wireless and Commercial Mobile Services
Cellular Licensees
                                1,500 Employees or Fewer
220 MHz Radio Service - 
Phase I Licensees
220 MHz Radio Service -      Auction special size standard -
Phase II Licensees           Small Business is average gross 
                            revenues of $15M or less for the 
                            preceding three years (includes 
                            affiliates and controlling 
                            principals)
                            Very Small Business is average 
                            gross revenues of $3M or less 
                            for the preceding three years 
                            (includes affiliates and 
                            controlling principals)
700 MHZ Guard Band Licensees


Private and Common Carrier 
Paging
Broadband Personal 
Communications Services          1,500 Employees or Fewer
(Blocks A, B, D, and E)
Broadband Personal            Auction special size standard -
Communications Services      Small Business is $40M or less 
(Block C)                    in annual gross revenues for 
                            three previous calendar years
                            Very Small Business is average 
                            gross revenues of $15M or less 
                            for the preceding three calendar 
                            years (includes affiliates and 
                            persons or entities that hold 
                            interest in such entity and 
                            their affiliates)
Broadband Personal 
Communications Services 
(Block F)
Narrowband Personal 
Communications Services


Rural Radiotelephone Service     1,500 Employees or Fewer
Air-Ground Radiotelephone 
Service
800 MHz Specialized Mobile   Auction special size standard -
Radio                        Small Business is $15M or less 
                            average annual gross revenues 
                            for three preceding calendar 
                            years
900 MHz Specialized Mobile 
Radio
Private Land Mobile Radio        1,500 Employees or Fewer
Amateur Radio Service                      N/A
Aviation and Marine Radio 
Service                          1,500 Employees or Fewer
Fixed Microwave Services
                            Small Business is 1,500 
Public Safety Radio Services employees or less
                            Small Government Entities has 
                            population of less than 50,000 
                            persons
Wireless Telephony and 
Paging and Messaging             1,500 Employees or Fewer
Personal Radio Services                    N/A
Offshore Radiotelephone          1,500 Employees or Fewer
Service
Wireless Communications      Small Business is $40M or less 
Services                     average annual gross revenues 
                            for three preceding years
                            Very Small Business is average 
                            gross revenues of $15M or less 
                            for the preceding three years 

39 GHz Service
                            Auction special size standard 
                            (1996) -
Multipoint Distribution      Small Business is $40M or less 
Service                      average  annual gross revenues 
                            for three preceding calendar 
                            years
                            Prior to Auction -
                            Small Business has annual 
                            revenue of $12.5M or less
Multichannel Multipoint 
Distribution Service         $12.5 Million in Annual Receipts 
                                        or Less
Instructional Television 
Fixed Service
                            Auction special size standard 
                            (1998) -
Local Multipoint             Small Business is $40M or less 
Distribution Service         average annual gross revenues 
                            for three preceding years
                            Very Small Business is average 
                            gross revenues of $15M or less 
                            for the preceding three years 
                            First  Auction special size 
                            standard (1994) -
                            Small Business is an entity 
                            that, together with its 
                            affiliates, has no more than a 
218-219 MHZ Service          $6M net worth and, after federal 
                            income taxes (excluding 
                            carryover losses) has no more 
                            than $2M in annual profits each 
                            year for the previous two years
                            New Standard - 
                            Small Business is average gross 
                            revenues of $15M or less for the 
                            preceding three years (includes 
                            affil iates and persons or 
                            entities that hold interest in 
                            such entity and their 
                            affiliates)
                            Very Small Business is average 
                            gross revenues of $3M or less 
                            for the preceding three years 
                            (includes affiliates and persons 
                            or entities that hold interest 
                            in such entity and their 
                            affiliates)
Satellite Master Antenna 
Television Systems           $12.5 Million in Annual Receipts 
                                        or Less
24 GHz - Incumbent Licensees     1,500 Employees or Fewer
24 GHz - Future Licensees    Small Business is average gross 
                            revenues of $15M or less for the 
                            preceding three years (includes 
                            affiliates and persons or 
                            entities that hold interest in 
                            such entity and their 
                            affiliates)
                            Very Small Business is average 
                            gross revenues of $3M or less 
                            for the preceding three years 
                            (includes affiliates and persons 
                            or entities that hold interest 
                            in such entity and their 
                            affiliates)
                       Miscellaneous
On-Line Information Services  $18 Million in Annual Receipts 
                                        or Less
Radio and Television 
Broadcasting and Wireless 
Communications Equipment          750 Employees or Fewer
Manufacturers
Audio and Video Equipment 
Manufacturers
Telephone Apparatus 
Manufacturers (Except            1,000 Employees or Fewer
Cellular)
Medical Implant Device            500 Employees or Fewer
Manufacturers
Hospitals                     $29 Million in Annual Receipts 
                                        or Less
Nursing Homes                $11.5 Million in Annual Receipts 
                                        or Less
Hotels and Motels            $6 Million in Annual Receipts or 
                                          Less
Tower Owners                 (See Lessee's Type of Business)

_________________________

1See 47 U.S.C.  503(b)(4)(A).  The Commission has authority 
under this section of the Act to assess a forfeiture penalty 
against a common carrier if the Commission determines that the 
carrier has "willfully or repeatedly" failed to comply with the 
provisions of the Act or with any rule, regulation, or order 
issued by the Commission under the Act.  For a violation to be 
willful, it need not be intentional.  Southern California 
Broadcasting Co., 6 FCC Rcd 4387 (1991);  see also Implementation 
of the Subscriber Carrier Selection Changes Provisions of the 
Telecommunications Act of 1996; Policies and Rules Concerning 
Unauthorized Changes of Consumers Long Distance Carriers, Second 
Report and Order, 14 FCC Rcd 1508, 1539 (1998) (1998 Second 
Report and Order).

247 U.S.C.  258.  

3    ``Slamming''  is   the  submission   or  execution   of   an 
unauthorized change in a subscriber's selection of a provider  of 
telecommunications   service.    See    generally    47    C.F.R. 
64.1100?64.1195.
4 WCSS's principal place of business is 4301 Brittany Trail 
Drive, Champaign, Illinois 61822.  It is a Virginia corporation, 
wholly owned by Caterina Bergeron.  Letter from Charles H. 
Helein, counsel for WCSS, to Peter Wolfe, FCC (September 16, 
2003)(WCSS Response).
5 See Implementation of the Subscriber Carrier Selection Changes 
Provisions of the Telecommunications Act of 1996, First Order on 
Reconsideration, 15 FCC Rcd 8158, 8169-79 (2000) (establishing 
guidelines for state administration of the slamming rules).
6 The complainants whose allegations form the basis of this NAL 
are Micaela Escoto, Esther Hilario, Charles Johnson Finance, Lisa 
and Marco Martinez, Kerri Pedraza, Katia Paredes, Horacio Pena, 
Marybel Ramirez, Aurilia Ruiz, and Yohana Saucedo.
7 Complaint dated  February 27, 2003,  from Kerri Pedraza,  filed 
with the Texas Public Utility Commission.
8 Declaration  of Kerri  Pedraza, dated  June 24,  2003.  In  its 
response to our staff's Letter  of Inquiry, WCSS stated that  its 
third-party verifier, Federal Verification Company, was unable to 
provide a verification tape for Kerri Pedraza.
9 Complaint dated May 7, 2003, from Horacio Pena, filed with the 
Texas Public Utility Commission.
10 Declaration of Horacio Pena, dated July 15, 2003.
11  Letter from  Colleen K.  Heitkamp, Chief,  Telecommunications 
Consumers Division, Enforcement Bureau, FCC, to Mary White,  WCSS 
(July 15, 2003) (``Letter of  Inquiry'').  On September 9,  2003, 
the  Enforcement  Bureau  released   an  NAL  against  WCSS   for 
apparently willfully and repeatedly violating a Commission  order 
by failing to respond to the Letter of Inquiry.

12 ``BTNs'' refers to the consumers' billed telephone numbers.
13 Letter  from Colleen  K. Heitkamp,  Chief,  Telecommunications 
Consumers   Division,   Enforcement    Bureau,   FCC,   to    SBC 
Communications, Inc.  (``SBC'')  (July  15,  2003);  Letter  from 
Colleen  K.   Heitkamp,   Chief,   Telecommunications   Consumers 
Division, Enforcement Bureau,  FCC, to  Suzanne Carmel,  Manager, 
Regulatory Affairs, Verizon (July 15, 2003).  
14 Letter  from  Suzanne  Carmel,  Manager,  Regulatory  Affairs, 
Verizon, to Peter  G. Wolfe ,  FCC (Aug. 13,  2003); Letter  from 
Terri L. Hoskins, SBC,  to Peter G. Wolfe,  FCC (Aug. 15,  2003).  
Because SBC has asked for confidential treatment of its responses 
to the Letter of Inquiry (other than with respect to WCSS)  based 
on the  claim  that  the  information  was  customer  proprietary 
network information subject to Section 222 of the Act, 47  U.S.C. 
 222, and that request remains pending, to protect the  consumer 
information, we will reflect the responses from SBC in Attachment 
A, which we are  keeping confidential at  this time, except  with 
respect to  WCSS.  See  E-Mail  from  Terri  L.  Hoskins,  Senior 
Counsel, SBC,  to  Peter  Wolfe, FCC  (Dec.  8,  2003)(on  file).  
Because of the interrelationship of the information, we are  also 
including Verizon's information in Attachment A.
15 Letter  from Colleen  K. Heitkamp,  Chief,  Telecommunications 
Consumers Division, Enforcement  Bureau, FCC,  to Joyce  Bullard, 
Qwest Communications Corporation (``Qwest'') (Aug. 19, 2003).
16 See E-Mail  from Kathryn  Krause, Senior  Attorney, Qwest,  to 
Peter Wolfe, FCC (Dec. 9, 2003)(on file).
17 Letter from  Joyce Bullard,  Qwest ,  to Peter  G. Wolfe,  FCC 
(Sept. 22, 2003).  
18   47 U.S.C.  258.

19   Id.  64.1120(a)(1).
20 Id.  64.1120(c).
21 Id.  64.1120(c)(3)(iii).
22 47 C.F.R.  64.1120(c)(3)(iv).
23 47 C.F.R.  64.1120(c) (3)(iv). 
24 Declaration of Kerri Pedraza; WCSS Response at 4.
25 Attachment A.
26   Section 503(b)(2)(B) provides for forfeitures up to $100,000 
for each violation or a maximum of $1,000,000 for each continuing 
violation by common carriers or an applicant for any common 
carrier license, permit, certificate or similar instrument.  47 
U.S.C.  503(b)(2)(B).  The Commission amended its rules by 
adding a new subsection to its monetary forfeiture provisions 
that incorporates by reference the inflation adjustment 
requirements contained in the Debt Collection Improvement Act of 
1996 (DCIA), Pub L. No. 104-134,  31001, 110 Stat. 1321 (1996).  
Thus, the maximum statutory forfeiture per violation pursuant to 
section 503(b)(2)(B) increased from $100,000 to $120,000.  See 
Amendment of Section 1.80(b) of the Commission's Rules and 
Adjustment of Forfeiture Maxima to Reflect Inflation, 15 FCC Rcd. 
18,221 (2000).

27   See 47 U.S.C.  503(b)(2)(D); see also The Commission's 
Forfeiture Policy Statement and Amendment of Section 1.80 of the 
Commission's Rules, 12 FCC Rcd 17,087 (1997) (Forfeiture Policy 
Statement); recon. denied, 15 FCC Rcd 303 (1999).

28   See 47 C.F.R. 1.80(b)(4).

29   See 47 U.S.C.  503(b)(2)(D);  see also Forfeiture Policy 
Statement, 12 FCC Rcd at 17100-01 (1997); 47 C.F.R.  1.80(b)(4).

30   See 47 U.S.C.  503(b)(2)(D);  see also Forfeiture Policy 
Statement, 12 FCC Rcd at 17100-01 (1997); 47 C.F.R.  1.80(b)(4).  

31   See 47 C.F.R.  1.80(b)(4). 
32   Brittan Communications International Corp., 15 FCC Rcd 4852 
(2000); Amer-I-Net Services Corp., 15 FCC Rcd 3118 (2000); All 
American Telephone Company, Inc., 13 FCC Rcd 15040 (1998).

33 Declaration of Kerri Pedraza; WCSS Response at 4.
34   See 47 U.S.C.  503(b)(4)(C); 47 C.F.R.  1.80(f)(3).

35   See 47 C.F.R. 64.1120; see also 1998 Second Report and 
Order, 14 FCC Rcd at 1508; 1997 FNPRM & Order on Reconsideration, 
12 FCC Rcd at 10,674.

36   The forfeiture amount should be paid by check or money order 
drawn to the order of the Federal Communications Commission.  
WCSS should include the reference ``NAL/Acct. No. 200332170009 '' 
on its check or money order.  Such remittance must be mailed to 
Forfeiture Collection Section, Finance Branch, Federal 
Communications Commission, P.O. Box. 73482, Chicago, Illinois 
60673-7482.  Requests for full payment under an installment plan 
should be sent to: Chief, Credit and Debt Management Center, 445 
12th Street, S.W., Washington, D.C. 20554.  See 47 C.F.R.  
1.1914.
37 47 C.F.R.  1.1914.