Click here for Adobe Acrobat version
Click here for Microsoft Word version

******************************************************** 
                      NOTICE
********************************************************

This document was converted from Microsoft Word.

Content from the original version of the document such as
headers, footers, footnotes, endnotes, graphics, and page numbers
will not show up in this text version.

All text attributes such as bold, italic, underlining, etc. from the
original document will not show up in this text version.

Features of the original document layout such as
columns, tables, line and letter spacing, pagination, and margins
will not be preserved in the text version.

If you need the complete document, download the
Microsoft Word or Adobe Acrobat version.

*****************************************************************



                                   Before the

                       Federal Communications Commission

                             Washington, D.C. 20554


                                             )                               
                                                                             
                                             )   File No. EB-08-TC-5084      
     In the Matter of                                                        
                                             )   NAL/Acct. No. 200932170678  
     Premiere Communications Systems, Inc.                                   
                                             )   FRN No. 0011089224          
                                                                             
                                             )                               


                                     ORDER

   Adopted: September 29, 2010 Released: September 30, 2010

   By the Assistant Division Chief, Telecommunications Consumers Division,
   Enforcement Bureau:

    1. In this Order, we adopt the attached Consent Decree entered into
       between the Enforcement Bureau ("Bureau") of the Federal
       Communications Commission ("FCC" or "Commission") and Premiere
       Communications Systems, Inc. ("Premiere Communications Systems" or
       "Company"). The Consent Decree terminates an investigation and Notice
       of Apparent Liability for Forfeiture ("NAL") by the Bureau against
       Premiere Communications Systems for possible violation of section 222
       of the Communications Act of 1934, as amended ("Communications Act" or
       "Act"), 47 U.S.C. S: 222, section 64.2009(e) of the Commission's
       rules, 47 C.F.R. S: 64.2009(e), and the Commission's EPIC CPNI Order,
       regarding Premiere Communications Systems' apparent failure to timely
       file a compliant annual customer proprietary network information
       ("CPNI") certification pursuant to section 64.2009(e).

    2. The Bureau and Premiere Communications Systems have negotiated the
       terms of the Consent Decree that resolve this matter. A copy of the
       Consent Decree is attached hereto and incorporated by reference.

    3. After reviewing the terms of the Consent Decree and evaluating the
       facts before us, we find that the public interest would be served by
       adopting the Consent Decree, terminating the investigation and
       cancelling the NAL.

    4. In the absence of material new evidence relating to this matter, we
       conclude that our investigation raises no substantial or material
       questions of fact as to whether Premiere Communications Systems
       possesses the basic qualifications, including those related to
       character, to hold or obtain any Commission license or authorization.

    5. Accordingly, IT IS ORDERED that, pursuant to sections 4(i) and 503(b)
       of the Communications Act of 1934, as amended, and sections 0.111 and
       0.311 of the Commission's rules, the Consent Decree attached to this
       Order IS ADOPTED.

    6. IT IS FURTHER ORDERED that the above-captioned investigation IS
       TERMINATED and the Notice of Apparent Liability for Forfeiture IS
       CANCELLED.

   FEDERAL COMMUNICATIONS COMMISSION

   Kimberly A. Wild

   Assistant Division Chief

   Telecommunications Consumers Division

   Enforcement Bureau

                                   Before the

                       Federal Communications Commission

                             Washington, D.C. 20554


                                             )                               
                                                                             
                                             )   File No. EB-08-TC-5084      
     In the Matter of                                                        
                                             )   NAL/Acct. No. 200932170678  
     Premiere Communications Systems, Inc.                                   
                                             )   FRN No. 0011089224          
                                                                             
                                             )                               


                                 CONSENT DECREE

    1. The Enforcement Bureau  ("Bureau") and Premiere Communications
       Systems, Inc. ("Premiere Communications Systems" or the "Company"), by
       their authorized representatives, hereby enter into this Consent
       Decree for the purpose of cancelling the Notice of Apparent Liability
       ("NAL") and terminating the Enforcement Bureau's investigation into
       Premiere Communications Systems' possible noncompliance with the
       requirements of section 222 of the Communications Act of 1934, as
       amended ("Communications Act" or "Act"), 47 U.S.C. S: 222, section
       64.2009(e) of the Commission's rules, 47 C.F.R. S: 64.2009(e), and the
       Commission's EPIC CPNI Order.

   I. DEFINITIONS

    2. For the purposes of this Consent Decree, the following definitions
       shall apply:

    a. "Act" means the Communications Act of 1934, as amended, 47 U.S.C.
       S: 151 et seq.

    b. "Adopting Order" means an Order of the Commission adopting the terms
       of this Consent Decree without change, addition, deletion, or
       modification.

    c. "Bureau" means the Enforcement Bureau of the Federal Communications
       Commission.

    d. "Commission" and "FCC" mean the Federal Communications Commission and
       all of its bureaus and offices.

    e. "Compliance Plan" means the program described in this Consent Decree
       at paragraph 10.

    f. "Effective Date" means the date on which the Commission releases the
       Adopting Order.

    g. "Investigation" means the investigation commenced by the Bureau's
       letter of inquiry regarding whether Premiere Communications Systems
       violated the requirements of section 222 of the Communications Act and
       section 64.2009(e) of the Commission's rules by failing to file a
       compliant customer proprietary network information ("CPNI")
       certification.

    h. "Premiere Communications Systems" means Premiere Communications
       Systems, Inc. and its predecessors-in-interest and
       successors-in-interest.

    i. "NAL" means Notice of Apparent Liability for Forfeiture.

    j. "Parties" means Premiere Communications Systems and the Bureau.

    k. "Rules" means the Commission's regulations found in Title 47 of the
       Code of Federal Regulations.

   II. BACKGROUND

    3. Section 222 imposes the general duty on all telecommunications
       carriers to protect the confidentiality of their subscribers'
       proprietary information. The Commission has issued rules implementing
       section 222 of the Act. The Commission required carriers to establish
       and maintain a system designed to ensure that carriers adequately
       protected their subscribers' CPNI. Section 64.2009(e) is one such
       requirement.

    4. In 2006, some companies, known as "data brokers," advertised the
       availability of records of wireless subscribers' incoming and outgoing
       telephone calls for a fee. Data brokers also advertised the
       availability of certain landline toll calls. On April 2, 2007, the
       Commission strengthened its privacy rules with the release of the EPIC
       CPNI Order,  which adopted additional safeguards to protect CPNI
       against unauthorized access and disclosure. The EPIC CPNI Order was
       directly responsive to the actions of databrokers, or pretexters, to
       obtain unauthorized access to CPNI. The EPIC CPNI Order  requires that
       all companies subject to the CPNI rules file annually, on or before
       March 1, a certification with the Commission pursuant to amended rule
       47 C.F.R. S: 64.2009(e). Additionally, companies must now provide,
       with their certification, "an explanation of any actions taken against
       data brokers and a summary of all customer complaints received in the
       past year concerning the unauthorized release of CPNI."

    5. The Bureau sent a Letter of Inquiry ("LOI") to Premiere Communications
       Systems on September 5, 2008, asking it to provide copies and evidence
       of its timely filed CPNI compliance certificate for 2007, which was
       due by March 1, 2008, pursuant to section 64.2009(e) of the
       Commission's rules or an explanation as to why no certification was
       filed. Premiere Communications Systems submitted a response to the LOI
       on September 12, 2008. The Bureau concluded that Premiere
       Communications Systems failed to submit satisfactory evidence of its
       timely filing of the annual CPNI compliance certification.
       Accordingly, on February 24, 2009, the Bureau released the Omnibus NAL
       against numerous companies, including Premiere Communications Systems,
       proposing a monetary forfeiture of twenty thousand dollars ($20,000)
       for its apparent failure to comply with section 64.2009(e) of the
       Commission's rules, and the Commission's EPIC CPNI Order, and ordered
       the Company either to pay the proposed forfeiture or file a written
       response within thirty (30) days of the release date stating why the
       proposed forfeiture should be reduced or canceled. Premiere
       Communications Systems submitted a response to the Omnibus NAL;
       subsequently, Premiere Communications Systems and the Bureau entered
       into settlement discussions.

   III. TERMS OF AGREEMENT

    6. Adopting Order. The Parties agree that the provisions of this Consent
       Decree shall be subject to final approval by the Bureau by
       incorporation of such provisions by reference in the Adopting Order
       without change, addition, modification, or deletion.

    7. Jurisdiction. Premiere Communications Systems agrees that the Bureau
       has jurisdiction over it and the matters contained in this Consent
       Decree and has the authority to enter into and adopt this Consent
       Decree.

    8. Effective Date; Violations. The Parties agree that this Consent Decree
       shall become effective on the date on which the FCC releases the
       Adopting Order. Upon release, the Adopting Order and this Consent
       Decree shall have the same force and effect as any other Order of the
       Bureau. Any violation of the Adopting Order or of the terms of this
       Consent Decree shall constitute a separate violation of a Bureau
       Order, entitling the Bureau to exercise any rights and remedies
       attendant to the enforcement of a Bureau Order.

    9. Termination of Investigation. In express reliance on the covenants and
       representations in this Consent Decree and to avoid further
       expenditure of public resources, the Bureau agrees to terminate its
       investigation and to cancel the NAL. In consideration for the
       termination of said investigation and cancellation of the NAL,
       Premiere Communications Systems agrees to the terms, conditions, and
       procedures contained herein. The Bureau further agrees that, in the
       absence of new material evidence, the Bureau will not use the facts
       developed in this investigation through the Effective Date of the
       Consent Decree, or the existence of this Consent Decree, to institute,
       on its own motion, any new proceeding, formal or informal, or take any
       action on its own motion against Premiere Communications Systems
       concerning the matters that were the subject of the investigation. The
       Bureau also agrees that it will not use the facts developed in this
       investigation through the Effective Date of this Consent Decree, or
       the existence of this Consent Decree, to institute on its own motion
       any proceeding, formal or informal, or take any action on its own
       motion against Premiere Communications Systems' basic qualifications,
       including its character qualifications, to be a Commission licensee or
       authorized common carrier or hold Commission authorizations.

   10. Compliance Plan. For purposes of settling the matters set forth herein
       and to help ensure compliance with the Commission's CPNI rules,
       Premiere Communications Systems agrees to take all measures necessary
       to achieve full compliance with section 64.2009(e) of the Commission's
       rules. Premiere Communications Systems agrees that within thirty (30)
       days its personnel will be trained as to when they are and are not
       authorized to use CPNI. Premiere Communications Systems further agrees
       to have an express disciplinary process in place for the unauthorized
       use of CPNI within thirty (30) days. Additionally, Premiere
       Communications Systems agrees to submit a copy of its annual section
       64.2009(e) compliance certificate, which it is required to file
       annually in EB Docket 06-36, for each of two (2) years following the
       Effective Date of this Consent Decree to the Chief, Telecommunications
       Consumers Division, Enforcement Bureau, Federal Communications
       Commission, 445 12th Street, S.W. Room 4-C244, Washington, D.C. 20554,
       and must include the file number listed above. Premiere Communications
       Systems will also send an electronic copy of its certification to
       other Telecommunications Consumers Division staff as directed by the
       Division Chief. This Consent Decree will expire two (2) years after
       the Effective Date or upon the termination of the certification
       requirement set forth in section 64.2009(e) of the Commission's rules,
       47 C.F.R. S: 64.2009(e), whichever is earlier.

   11. Section 208 Complaints; Subsequent Investigations. Nothing in this
       Consent Decree shall prevent the Commission or its delegated authority
       from adjudicating complaints filed pursuant to section 208 of the Act
       against Premiere Communications Systems or its affiliates for alleged
       violations of the Act, or for any other type of alleged misconduct,
       regardless of when such misconduct took place. The Commission's
       adjudication of any such complaint will be based solely on the record
       developed in that proceeding. Except as expressly provided in this
       Consent Decree, this Consent Decree shall not prevent the Commission
       from investigating new evidence of noncompliance by Premiere
       Communications Systems of the Act, the rules, or the Order.

   12. Voluntary Contribution. Premiere Communications Systems agrees that it
       will make a voluntary contribution to the United States Treasury in
       the amount of $200. The contribution will be made within thirty (30)
       calendar days after the Effective Date of the Adopting Order. Payment
       must be made by check or similar instrument, payable to the order of
       the Federal Communications Commission. The payment must include the
       NAL/Account Number and FRN Number referenced in the caption to the
       Adopting Order. Payment by check or money order may be mailed to
       Federal Communications Commission, P.O. Box 979088, St. Louis, MO
       63197-9000. Payment by overnight mail may be sent to U.S. Bank -
       Government Lockbox #979088, SL-MO-C2-GL, 1005 Convention Plaza, St.
       Louis, MO 63101. Payment by wire transfer may be made to ABA Number
       021030004, receiving bank TREAS/NYC, and account number 27000001. For
       payment by credit card, an FCC Form 159 (Remittance Advice) must be
       submitted.  When completing the FCC Form 159, enter the NAL/Account
       number in block number 23A (call sign/other ID), and enter the letters
       "FORF" in block number 24A (payment type code). Premiere
       Communications Systems will also send electronic notification on the
       date said payment is made to johnny.drake@fcc.gov.

   13. Waivers. Premiere Communications Systems waives any and all rights it
       may have to seek administrative or judicial reconsideration, review,
       appeal or stay, or to otherwise challenge or contest the validity of
       this Consent Decree and the Adopting Order, provided the Commission
       issues an Adopting Order adopting the Consent Decree without change,
       addition, modification, or deletion. Premiere Communications Systems
       shall retain the right to challenge Commission interpretation of the
       Consent Decree or any terms contained herein. If either Party (or the
       United States on behalf of the Commission) brings a judicial action to
       enforce the terms of the Adopting Order, neither Premiere
       Communications Systems nor the Commission shall contest the validity
       of the Consent Decree or the Adopting Order, and Premiere
       Communications Systems shall waive any statutory right to a trial de
       novo. Premiere Communications Systems hereby agrees to waive any
       claims it may otherwise have under the Equal Access to Justice Act, 5
       U.S.C. S: 504 and 47 C.F.R. S: 1.1501 et seq., relating to the matters
       addressed in this Consent Decree.

   14. Severability. The Parties agree that if any of the provisions of the
       Adopting Order or the Consent Decree shall be invalid or
       unenforceable, such invalidity or unenforceability shall not
       invalidate or render unenforceable the entire Adopting Order or
       Consent Decree, but rather the entire Adopting Order or Consent Decree
       shall be construed as if not containing the particular invalid or
       unenforceable provision or provisions, and the rights and obligations
       of the Parties shall be construed and enforced accordingly. In the
       event that this Consent Decree in its entirety is rendered invalid by
       any court of competent jurisdiction, it shall become null and void and
       may not be used in any manner in any legal proceeding.

   15. Subsequent Rule or Order. The Parties agree that if any provision of
       the Consent Decree conflicts with any subsequent rule or Order adopted
       by the Commission (except an Order specifically intended to revise the
       terms of this Consent Decree to which Premiere Communications Systems
       does not expressly consent) that provision will be superseded by such
       Commission rule or Order.

   16. Successors and Assigns. Premiere Communications Systems agrees that
       the provisions of this Consent Decree shall be binding on its
       successors, assigns, and transferees.

   17. Final Settlement. The Parties agree and acknowledge that this Consent
       Decree shall constitute a final settlement between the Parties. The
       Parties further agree that this Consent Decree does not constitute
       either an adjudication on the merits or a factual or legal finding or
       determination regarding any compliance or noncompliance with the
       requirements of the Act or the Commission's rules and Orders.

   18. Modifications. This Consent Decree cannot be modified without the
       advance written consent of both Parties.

   19. Paragraph Headings. The headings of the Paragraphs in this Consent
       Decree are inserted for convenience only and are not intended to
       affect the meaning or interpretation of this Consent Decree.

   20. Authorized Representative. Each party represents and warrants to the
       other that it has full power and authority to enter into this Consent
       Decree.

   21. Counterparts. This Consent Decree may be signed in any number of
       counterparts (including by facsimile), each of which, when executed
       and delivered, shall be an original, and all of which counterparts
       together shall constitute one and the same fully executed instrument.


     ________________________________        
                                             
     Kimberly A. Wild                        
                                             
     Assistant Division Chief                
                                             
     Telecommunications Consumers Division   
                                             
     Enforcement Bureau                      
                                             
     ________________________________        
                                             
     Date                                    
                                             
     ________________________________        
                                             
     Dale Crouse                             
                                             
     President                               
                                             
     Premiere Communications Systems, Inc.   
                                             
     ________________________________        
                                             
     Date                                    


   Implementation of the Telecommunications Act of 1996: Telecommunications
   Carriers' Use of Customer Proprietary Network Information and Other
   Customer Information; IP-Enabled Services, CC Docket No. 96-115; WC Docket
   No. 04-36, Report and Order and Further Notice of Proposed Rulemaking, 22
   FCC Rcd 6927, 6953 (2007) ("EPIC CPNI Order"); aff'd sub nom. Nat'l Cable
   & Telecom. Assoc. v. FCC, No. 07-132, (D.C. Cir. decided Feb. 13, 2009).

   47 U.S.C. S:S: 154(i), 503(b).

   47 C.F.R. S:S: 0.111, 0.311.

   Implementation of the Telecommunications Act of 1996: Telecommunications
   Carriers' Use of Customer Proprietary Network Information and Other
   Customer Information; IP-Enabled Services, CC Docket No. 96-115; WC Docket
   No. 04-36, Report and Order and Further Notice of Proposed Rulemaking, 22
   FCC Rcd 6927, 6953 (2007) ("EPIC CPNI Order"); aff'd sub nom. Nat'l Cable
   & Telecom. Assoc. v. FCC, No. 07-132, (D.C. Cir. decided Feb. 13, 2009).

   See Letter from Marcy Greene, Deputy Division Chief, Telecommunications
   Consumers Division, Enforcement Bureau, FCC, to Premiere Communications
   Systems (Sept. 5, 2008) ("LOI").

   47 C.F.R. 64.2009(e).

   Section 222 of the Communications Act, 47 U.S.C S: 222, provides that:
   "Every telecommunications carrier has a duty to protect the
   confidentiality of proprietary information of, and relating to, other
   telecommunications carriers, equipment manufacturers, and customers,
   including telecommunication carriers reselling telecommunications services
   provided by a telecommunications carrier." Prior to the 1996 Act, the
   Commission had established CPNI requirements applicable to the enhanced
   services operations of AT&T, the Bell Operating Companies ("BOCs"), and
   GTE, and the customer premises equipment ("CPE") operations of AT&T and
   the BOCs, in the Computer II, Computer III, GTE Open Network Architecture
   ("ONA"), and BOC CPE Relief proceedings. See Implementation of the
   Telecommunications Act of 1996: Telecommunications Carriers' Use of
   Customer Proprietary Network Information and Other Customer Information
   and Implementation of Non-Accounting Safeguards of Sections 271 and 272 of
   the Communications Act of 1934, as amended, CC Docket Nos. 96-115 and
   96-149, Second Report and Order and Further Notice of Proposed Rulemaking,
   13 FCC Rcd 8061, 8068-70,  para. 7 (1998) ("CPNI Order") (describing the
   Commission's privacy protections for confidential customer information in
   place prior to the 1996 Act.

   See CPNI Order. See also  Implementation of the Telecommunications Act of
   1996: Telecommunications Carriers' Use of Customer Proprietary Network
   Information and Other Customer Information and Implementation of the
   Non-Accounting Safeguards of Sections 271 and 272 of the Communications
   Act of 1934, as amended, CC Docket Nos. 96-115 and 96-149, Order on
   Reconsideration and Petitions for Forbearance, 14 FCC Rcd 14409 (1999); 
   Implementation of the Telecommunications Act of 1996: Telecommunications
   Carriers' Use of Customer Proprietary Network Information and Other
   Customer Information and Implementation of the Non-Accounting Safeguards
   of Sections 271 and 272 of the Communications Act of 1934, as amended, CC
   Docket Nos. 96-115 and 96-149; 2000 Biennial Regulatory Review -- Review
   of Policies and Rules Concerning Unauthorized Changes of Consumers' Long
   Distance Carriers, CC Docket No. 00-257,  Third Report and Order and Third
   Further Notice of Proposed Rulemaking, 17 FCC Rcd 14860 (2002); EPIC CPNI
   Order.

   See, e.g., http://www.epic.org/privacy/iei/.

   See id.

   EPIC CPNI Order, 22 FCC Rcd 6927. Specifically, pursuant to section
   64.2009(e): A telecommunications carrier must have an officer, as an agent
   of the carrier, sign and file with the Commission a compliance certificate
   on an annual basis. The officer must state in the certification that he or
   she has personal knowledge that the company has established operating
   procedures that are adequate to ensure compliance with the rules in this
   subpart. The carrier must provide a statement accompanying the
   certification explaining how its operating procedures ensure that it is or
   is not in compliance with the rules in this subpart. In addition, the
   carrier must include an explanation of any actions taken against data
   brokers and a summary of all customer complaints received in the past year
   concerning the unauthorized release of CPNI. This filing must be made
   annually with the Enforcement Bureau on or before March 1 in EB Docket No.
   06-36, for data pertaining to the previous calendar year. 47 C.F.R. S:
   64.2009(e).

   Id. at 6928.

   Id. at 6953; 47 C.F.R. S: 64.2009(e).

   EPIC CPNI Order, 22 FCC Rcd at 6953.

   See note 2, supra.

   See email from Premiere Communications Systems to Marcy Greene (Sept. 12,
   2008).

   Annual CPNI Certification, Omnibus Notice of Apparent Liability for
   Forfeiture, 24 FCC Rcd 2299 (Enf. Bur. 2009) ("Omnibus NAL").

   Id.

   Federal Communications Commission DA 10-1830

   4

   Federal Communications Commission DA 10-1830