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Federal Communications Commission DA 12-924
Before the
Federal Communications Commission
Washington, D.C. 20554
In the Matter of
Jahan Telecommunication, LLC
Apparent Liability for Forfeiture
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File No.: EB-TCD-12-000002861
NAL/Acct. No.: 201132170007
FRN: 0020537387
ORDER OF FORFEITURE
Adopted: June 12, 2012 Released: June 12, 2012
By the Chief, Telecommunications Consumers Division, Enforcement Bureau:
I. INTRODUCTION
1. In this Order of Forfeiture, we assess a monetary forfeiture of $29,000 against Jahan
Telecommunication, LLC (Jahan). Jahan has willfully and repeatedly violated Section 222 of the
Communications Act of 1934, as amended (Communications Act or Act),2 Section 64.2009(e) of the
Federal Communications Commission’s (FCC’s or Commission’s) rules3 and the Commission’s EPIC
CPNI Order4 by failing to submit annual customer proprietary network information (CPNI) compliance
certificates for both 2008 and 2009, and failing to respond to an Enforcement Bureau (Bureau) order to
file certain information regarding its CPNI filings.
2. Jahan is a telecommunications carrier and interconnected VoIP provider located in
Mclean, Virginia.5 Pursuant to Section 64.2009(e) of the Commission’s rules, every telecommunications
carrier, including interconnected VoIP providers must file annually on or before March 1 of each year a
CPNI compliance certificate.6 Based on the record before us, Jahan has failed to file the required CPNI
certification for the calendar years 2008 and 2009.
1 This case was formerly assigned the file number EB-10-TC-194. In January 2012, the Telecommunications
Consumers Division assigned the case a new file number.
2 47 U.S.C. § 222.
3 47 C.F.R. § 64.2009(e).
4 Implementation of the Telecommunications Act of 1996: Telecommunications Carriers’ Use of Customer
Proprietary Network Information and Other Customer Information; IP-Enabled Services, Report and Order and
Further Notice of Proposed Rulemaking, 22 FCC Rcd 6927, 6953–54, paras. 51–53 (2007) (EPIC CPNI Order),
aff’d sub nom. Nat’l Cable & Telecom. Assoc. v. FCC, 555 F.3d 996 (D.C. Cir. 2009).
5 See Jahan Products Page, http://jahantel.com/products.php (last visited May 30, 2012).
6 47 C.F.R. § 64.2009(e), 47 C.F.R. § 64.2003(o).
Federal Communications Commission DA 12-924
2
II. BACKGROUND
3. Section 222 of the Communications Act imposes the general duty on all
telecommunications carriers to protect the confidentiality of their subscribers’ proprietary information.7
As part of that obligation, carriers that receive or obtain CPNI through the provision of
telecommunications or interconnected VoIP service can only use, disclose, or allow access to that
information in connection with or to provide such telecommunications services.8
4. The Commission adopted rules implementing Section 222 of the Act.9 Section 64.2009
of these rules requires carriers to establish and maintain a system designed to ensure that they adequately
protect their subscribers’ CPNI.10 Prior to the EPIC CPNI Order, Section 64.2009(e) of the
Commission’s rules required telecommunications carriers such as Jahan to maintain and make publicly
available annual certifications of their CPNI compliance.11 The EPIC CPNI Order strengthened the CPNI
rules by adding additional safeguards to protect CPNI against unauthorized access and disclosure,
including an obligation that carriers subject to the CPNI rules file their annual certification with the
Commission on or before March 1 of each year.12 Additionally, as part of their annual certification filing,
carriers are required to provide “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.”13
5. As a result of Jahan’s failure to file its 2008 CPNI compliance certificate on or before
March 1, 2009, the Bureau sent Jahan a letter advising it of its noncompliance and directing it “either to
provide evidence of its timely filing of the 2008 report, or to file its CPNI compliance certification for
7 Section 222 of the Communications Act provides: “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.” 47 U.S.C § 222(a). See also 47 C.F.R. § 64.2003(o) (extending the
Commission’s CPNI rules to VoIP carriers).
8 See 47 U.S.C. § 222(c). The Act defines CPNI as “information that relates to the quantity, technical configuration,
type, destination, location, and amount of use of a telecommunications service subscribed to by any customer of a
telecommunications carrier, and that is made available to the carrier by the customer solely by virtue of the carrier-
customer relationship” and “information contained in the bills pertaining to telephone exchange service or telephone
toll service received by a customer of a carrier” excluding subscriber list information. Id. § 222(h)(1)(A)–(B). The
Act provides for certain limited exceptions to a carrier’s obligation to protect CPNI. See id. § 222(d).
9 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, Second Report and Order and
Further Notice of Proposed Rulemaking, 13 FCC Rcd 8061 (1998); EPIC CPNI Order, 22 FCC Rcd 6927;
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; 2000 Biennial Regulatory
Review – Review of Policies and Rules Concerning Unauthorized Changes of Consumers’ Long Distance Carriers,
Third Report and Order and Third Further Notice of Proposed Rulemaking, 17 FCC Rcd 14860 (2002);
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, Order on Reconsideration and
Petitions for Forbearance, 14 FCC Rcd 14409 (1999).
10 See 47 C.F.R. § 64.2009.
11 See EPIC CPNI Order, 22 FCC Rcd at 6953–54, para. 52.
12 Id. at 6953, para. 51; 47 C.F.R. § 64.2009(e).
13 EPIC CPNI Order, 22 FCC Rcd at 6953, para. 51.
Federal Communications Commission DA 12-924
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calendar year 2008 within 30 days of the date of [the] letter.”14 The letter warned: “Failure to comply
with this directive may result in monetary penalties.”15 Notwithstanding the Bureau’s warning, Jahan
failed to comply by filing a CPNI compliance certificate or evidence of compliance with the
Commission’s CPNI rules. The letter also reminded Jahan about the then-upcoming certification filing
requirement for calendar year 2009 (due March 1, 2010) and warned that “violations of [the] upcoming
filing requirement [might] result in sanctions including monetary penalties.”16 Jahan failed to file its
compliance certification for calendar year 2009.
6. On February 25, 2011, the Bureau released the Omnibus NAL against several companies
including Jahan proposing a monetary forfeiture of $29,000 for the apparent failure to comply with
Section 64.2009(e) of the Commission’s rules, and the Commission’s EPIC CPNI Order, and for failure
to respond to a request for certain information regarding the companies’ CPNI filings.17 The Bureau
ordered Jahan to either pay the proposed forfeiture or file a written response within 30 days of the release
date stating why the proposed forfeiture should be reduced or canceled.18 Jahan did not pay the forfeiture
or submit a response to the Omnibus NAL.
III. DISCUSSION
7. Section 64.2009(e) of the Commission’s rules requires telecommunications carriers, such
as Jahan, to file annually before March 1 a CPNI compliance certification signed by an officer of the
carrier.19 We find that Jahan failed to comply with this Commission rule for calendar years 2008 and
2009. Under Section 503(b) of the Communications Act and Section 1.80 of the Commission’s rules, the
Commission may assess a forfeiture against a common carrier of up to $150,000 for each violation of the
Act or of any rule, regulation, or order issued by the Commission under the Act.20 The Commission may
assess this penalty if it determines that the carrier’s noncompliance is willful or repeated.21 For a
violation to be willful, it need not be intentional.22 In exercising our forfeiture 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.”23 In addition, the Commission has established guidelines for forfeiture amounts
14 Letter from Colleen Heitkamp, Chief, Telecommunications Consumers Division, FCC Enforcement Bureau, to
Jahan Telecommunications, LLC (Feb. 25, 2010) (on file in EB-TCD-12-00000286).
15 Id.
16 Id.
17 See Annual CPNI Certification, Omnibus Notice of Apparent Liability for Forfeiture, 26 FCC Rcd 2160 (Enf.
Bur. 2011) (Omnibus NAL).
18 See id. at 2163, para 13.
19 See 47 C.F.R. § 64.2009(e); accord EPIC CPNI Order, 22 FCC Rcd at 6953–54, paras. 51–53.
20 See 47 U.S.C. § 503(b)(2)(B); 47 C.F.R. § 1.80(b)(2); see also Amendment of Section 1.80 of the Commission’s
Rules and Adjustment of Forfeiture Maxima to Reflect Inflation, Order, 23 FCC Rcd 9845 (2008) (inflation
adjustment to $150,000/$1,500,000); FCC Enforcement Advisory No. 2011-02, 26 FCC Rcd 650 (Enf. Bur. 2011).
21 See 47 U.S.C. § 503(b)(1)(B).
22 See, e.g., Media Gen. Commc’ns Holdings, LLC, Notice of Apparent Liability for Forfeiture, 25 FCC Rcd 6136,
6137–38, para. 6 (2010) (quoting 47 U.S.C. 312(f)(1)) (explaining that the legislative history of Section 312(f)(1)
makes clear the same “definition of willful applies to both Sections 312 and 503(b) of the Act”); accord So. Cal.
Broad. Co. Licensee, Radio Station KIEV (AM) Glendale, Cal., Memorandum Opinion and Order, 6 FCC Rcd 4387,
4387–88, para. 5 (1991) (“Southern California Broadcasting”).
23 47 U.S.C. § 503(b)(2)(E); see The Commission’s Forfeiture Policy Statement and Amendment of Section 1.80 of
the Commission’s Rules, 12 FCC Rcd 17087, 17100–101, para. 27 (1997) (Forfeiture Policy Statement).
Federal Communications Commission DA 12-924
4
and, where there is no specific base amount for a violation, we retain discretion to set an amount on a
case-by-case basis.24
8. The Commission’s Forfeiture Policy Statement does not establish a base forfeiture
amount for the failure to timely file an annual CPNI certification. The $3,000 base forfeiture amount
suggested in the Commission’s Forfeiture Policy Statement for failure to file documents generally is
inadequate when applied to a failure to file CPNI certifications. Failure to file the annual CPNI
certification jeopardizes the Commission’s ability to effectively monitor and respond to violations of
consumer privacy. The annual certification filing obligation is specifically intended to “ensure that
carriers regularly focus their attention on their duty to safeguard CPNI” and allow the Commission to
“monitor the industry’s response to CPNI privacy issues and to take any necessary steps to ensure that
carriers are managing customer CPNI securely.”25 We find that Jahan has not only failed to comply with
a Bureau order but also failed to file its annual certification for calendar years 2008 and 2009,
notwithstanding the Bureau’s notice and warning. We find that Jahan’s history of non-compliance with
the Commission’s rules affirms our forfeiture decision in the Omnibus NAL.
9. In the Omnibus NAL, the Bureau took into account the statutory factors for determining a
forfeiture amount, Commission precedent involving violations of our CPNI rules, and the fact that
protection of a subscriber’s CPNI is an important carrier obligation and the certification filing is an
important part of that obligation.26 Based on these criteria, the Bureau proposed a forfeiture of $25,000
against Jahan for failing to file annual CPNI certifications. With respect to determining the forfeiture for
Jahan’s violation of a Commission order to provide information, the Commission’s base forfeiture for
failing to respond to Commission communications is $4,000.27 Taking both sets of apparent violations
into account, the Omnibus NAL proposed a total forfeiture amount of $29,000. That amount is consistent
with other recent forfeiture orders and the Commission’s rules.28 As Jahan neither paid the forfeiture nor
filed a response to the Omnibus NAL, we find no reason why we should not impose the forfeiture as
proposed in the Omnibus NAL.
IV. CONCLUSION
10. For the foregoing reasons, we find Jahan has willfully and repeatedly violated Section
222 of the Communications Act, Section 64.2009(e) of the Commission rules and the Commission’s
EPIC CPNI Order by failing to submit annual CPNI compliance certificates for the calendar years 2008
and 2009, and by failing to respond to a Bureau order to submit certain information regarding Jahan’s
CPNI filings. We assess a monetary forfeiture of $29,000 against Jahan.
V. ORDERING CLAUSES
11. Accordingly, IT IS ORDERED THAT, pursuant to Section 503(b)(1) of the Act,29 and
Sections 0.111, 0.311 and 180(f)(4) of the Commission’s rules,30 Jahan Telecommunication, LLC IS
24 See Forfeiture Policy Statement, 12 FCC Rcd at 17099, para. 22.
25 EPIC CPNI Order, 22 FCC Rcd at 6953, para. 51.
26 See Omnibus NAL, 24 FCC Rcd at 2162, para. 8; EPIC CPNI Order, 22 FCC Rcd at 6953, para. 51.
27 See 47 C.F.R. § 1.80(b)(4).
28 For the annual CPNI certifications for calendar year 2008, the Bureau issued NALs in the amount of $25,000
against the carriers that failed to file for both calendar year 2007 and 2008. See Omnibus Notice of Apparent
Liability for Forfeiture, 25 FCC Rcd 1790 (Enf. Bur. 2010); 47 C.F.R. § 1.80(b)(4).
29 47 U.S.C. § 503(b)(1).
30 47 C.F.R. §§ 0.111, 0.311, 1.80(f)(4).
Federal Communications Commission DA 12-924
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LIABLE FOR A MONETARY FORFEITURE in the amount of twenty-nine thousand dollars
($29,000) for willfully and repeatedly violating Section 222 of the Act,31 Section 64.2009(e) of the
Commission’s rules,32 and the Commission’s EPIC CPNI Order33 and for failing to provide certain
information regarding its CPNI filings in response to a Commission order. If the forfeiture is not paid
within the period specified, the case may be referred to the Department of Justice for collection pursuant
to Section 504(a) of the Act.34
12. Payment of the forfeiture must be made by check, credit card, or similar instrument,
payable to the order of the Federal Communications Commission. The payment must include the
NAL/Account Number and FRN referenced above. 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. Regardless of the form of
payment, 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). Jahan shall also send electronic notification to
Johnny.Drake@fcc.gov on the date said payment is made. Requests for full payment under an installment
plan should be sent to: Chief Financial Officer – Financial Operations, 445 12th Street, S.W., Room 1-
A625, Washington, D.C. 20554. Please contact the Financial Operations Group Help Desk at 1-877-
480-3201 or e-mail: ARINQUIRIES@fcc.gov with any questions regarding payment procedures.
13. IT IS FURTHER ORDERED that a copy of this Order of Forfeiture shall be sent by
Certified Mail Return Receipt Requested and First-Class Mail to Jahan Telecommunication, LLC at 1637
Great Falls Street, Mclean, VA, 22101.
FEDERAL COMMUNICATIONS COMMISSION
Richard A. Hindman
Chief
Telecommunications Consumers Division
Enforcement Bureau
31 47 U.S.C. § 222.
32 47 C.F.R. § 64.2009(e).
33 EPIC CPNI Order, 22 FCC Rcd at 6953–54, paras. 51–53.
34 47 U.S.C. § 504(a).