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

   In the Matter of Argos Net, Inc. Caguas, PR ) ) ) ) ) ) File No:
   EB-11-SJ-0055 File No: EB-11-SJ-0062 NAL/Acct. No.: 201232680002 FRN:
   0021525951




                                FORFEITURE ORDER

   Adopted: February 12, 2013 Released: February 12, 2013

   By the Regional Director, South Central Region, Enforcement Bureau:

   I. INTRODUCTION

    1. In this Forfeiture Order (Order), we issue a monetary forfeiture in
       the amount of twenty thousand dollars ($20,000) to Argos Net, Inc.
       (Argos), an operator of Unlicensed National Information Infrastructure
       (U-NII) transmission systems in Puerto Rico, for willful and repeated
       violation of Section 301 of the Communications Act of 1934, as amended
       (Act),^ and Section 15.1(b) of the Commission's rules (Rules).^ The
       violations involved Argos's operation of intentional radiators not in
       accordance with Part 15 of the Rules^ and without a license.

   II. BACKGROUND

    2. On March 23, 2012, the Enforcement Bureau's San Juan Office (San Juan
       Office) issued a Notice of Apparent Liability for Forfeiture and Order
       (NAL) ^ ^ to Argos for its unlicensed operations. Argos submitted a
       response to the NAL requesting cancellation or reduction of the
       proposed $25,000 forfeiture, because (1) of "Argos' lack of any
       history of prior offenses and its continued cooperation with the
       Commission's field agent in identifying and correcting the
       situation;"^ (2) "Argos' non-complying operation of the device [on
       December 2, 2011] was due to an isolated mistake and was promptly
       corrected once Argos was notified;"^ and (3) "Argos is a small
       wireless internet service provider operating in a highly competitive
       and saturated market" and is unable to pay the forfeiture.^

   III. DISCUSSION

    3. The proposed forfeiture amount in this case was assessed in accordance
       with Section 503(b) of the Act,^ Section 1.80 of the Rules,^ and the
       Forfeiture Policy Statement.^ In examining Argos's response, Section
       503(b)(2)(E) of the Act requires that the Commission 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 other such matters as justice
       may require.^ As discussed below, we have considered Argos's response
       in light of these statutory factors, and find that a reduction of the
       forfeiture based on its history of compliance is justified.

    4. We find that the evidence supports the Bureau's undisputed findings
       that, on November 18, and December 8 and 21, 2011, Argos operated its
       U-NII devices on frequencies for which those devices were not
       certified, thereby rendering such operations unlicensed. Argos asserts
       that on November 29, 2011, it met with agents from the San Juan Office
       and "made all technical and programming modifications necessary in
       order to cease any unintentional interference with the [Terminal
       Doppler Weather Radar] TDWR."^ Similarly, Argos states that on
       December 23, 2011 it notified the agent that the "device had been
       operating in the 5620 frequency due to a programming error by Argos
       technician ... [and] that the mistake had been promptly corrected."^
       Argos's corrective action taken after notification or inspection by
       the Commission does not mitigate the violation, because such action is
       expected.^ Moreover, the Commission has long held that a violator can
       be held liable for violations resulting from mistakes.^ Thus, based on
       the evidence before us, we find that Argos willfully and repeatedly
       violated Section 301 of the Act and Section 15.1(b) of the Rules by
       operating unlicensed radio transmitters on November 18, and December 8
       and 21, 2011 from two different sites in Puerto Rico.

    5. With regard to an individual or entity's inability to pay claim, the
       Commission has determined that, in general, gross revenues are the
       best indicator of an ability to pay a forfeiture.^ Based on the
       financial documents provided by Argos, we find no basis to reduce the
       proposed forfeiture based on inability to pay.

    6. We do, however, agree with Argos regarding its history of compliance
       with the Commission's rules.^ We have reviewed our records and found
       no violations prior to those at issue here today. Thus, we conclude
       that a reduction in forfeiture in the amount of $5,000 is warranted.

   IV. ORDERING CLAUSES

    7. Accordingly, IT IS ORDERED that, pursuant to Section 503(b) of the
       Communications Act of 1934, as amended, and Sections 0.111, 0.204,
       0.311, 0.314, and 1.80(f)(4) of the Commission's rules, Argos Net,
       Inc. IS LIABLE FOR A MONETARY FORFEITURE in the amount of twenty
       thousand dollars ($20,000) for violations of Section 301 of the
       Communications Act and Section 15.1(b) of the Commission's rules.^

    8. Payment of the forfeiture shall be made in the manner provided for in
       Section 1.80 of the Rules within thirty (30) calendar days after the
       release date of this Forfeiture Order.^  If the forfeiture is not paid
       within the period specified, the case may be referred to the U.S.
       Department of Justice for enforcement of the forfeiture pursuant to
       Section 504(a) of the Act.^  Argos Net, Inc. shall send electronic
       notification of payment to SCR-Response@fcc.gov on the date said
       payment is made. The payment must be made by check or similar
       instrument, wire transfer, or credit card, and must include the
       NAL/Account number and FRN referenced above. Regardless of the form of
       payment, a completed FCC Form 159 (Remittance Advice) must be
       submitted.^ When completing the FCC Form 159, enter the Account Number
       in block number 23A (call sign/other ID) and enter the letters "FORF"
       in block number 24A (payment type code).   Below are additional
       instructions you should follow based on the form of payment you
       select:

     * Payment by check or money order must be made payable to the order of
       the Federal Communications Commission.  Such payments (along with the
       completed Form 159) must be mailed to Federal Communications
       Commission, P.O. Box 979088, St. Louis, MO 63197-9000, or sent
       via overnight mail to U.S. Bank - Government Lockbox #979088,
       SL-MO-C2-GL, 1005 Convention Plaza, St. Louis, MO 63101.

     * Payment by wire transfer must be made to ABA Number 021030004,
       receiving bank TREAS/NYC, and Account Number 27000001.  To complete
       the wire transfer and ensure appropriate crediting of the wired funds,
       a completed Form 159 must be faxed to U.S. Bank at (314) 418-4232 on
       the same business day the wire transfer is initiated.

     * Payment by credit card must be made by providing the required credit
       card information on FCC Form 159 and signing and dating the Form 159
       to authorize the credit card payment. The completed Form 159 must then
       be mailed to Federal Communications Commission, P.O. Box 979088, St.
       Louis, MO 63197-9000, or sent via overnight mail to U.S. Bank -
       Government Lockbox #979088, SL-MO-C2-GL, 1005 Convention Plaza, St.
       Louis, MO 63101.

    9. Any request for full payment under an installment plan should be sent
       to:  Chief Financial Officer--Financial Operations, Federal
       Communications Commission, 445 12th Street, S.W., Room 1-A625,
       Washington, D.C.  20554.^  If you have questions regarding payment
       procedures, please contact the Financial Operations Group Help Desk by
       phone, 1-877-480-3201, or by e-mail, [1]ARINQUIRIES@fcc.gov.

   10. IT IS FURTHER ORDERED that a copy of this Order shall be sent by both
       First Class and Certified Mail, Return Receipt Requested, to Argos
       Net, Inc. at Oficina #212, Calle Acosta #32, Caguas, PR, 00725 and to
       its counsel, Edwin Quinones and Alejandro J. Figueroa Ramirez,
       Quinones & Arbona, P.O. Box 19417, San Juan, PR 00910.

   FEDERAL COMMUNICATIONS COMMISSION

   Dennis P. Carlton

   Regional Director, South Central Region

   Enforcement Bureau

   ^ 47 U.S.C. S 301; see also 47 C.F.R. S 15.407.

   ^ 47 C.F.R. S 15.1(b).

   ^ 47 C.F.R. SS 15.1 et seq.

   ^ Argos Net, Inc., Notice of Apparent Liability for Forfeiture and Order,
   27 FCC Rcd 2786 (Enf. Bur. 2012) (NAL). A comprehensive recitation of the
   facts and history of this case can be found in the NAL and is incorporated
   herein by reference.

   ^ Letter from Edwin Quinones and Alejandro J. Figueroa Ramirez, Attorneys
   for Argos Net, Inc., to San Juan Office, South Central Region, Enforcement
   Bureau, at 2 (Apr. 23, 2012 ) (on file in EB-11-SJ-0055 and EB-11-SJ-0062)
   (NAL Response).

   ^ Id. at 3.

   ^ Id. at 4.

   ^ 47 U.S.C. S 503(b).

   ^ 47 C.F.R. S 1.80.

   ^ The Commission's Forfeiture Policy Statement and Amendment of Section
   1.80 of the Rules to Incorporate the Forfeiture Guidelines, Report and
   Order, 12 FCC Rcd 17087 (1997), recons. denied, 15 FCC Rcd 303 (1999)
   (Forfeiture Policy Statement).

   ^ 47 U.S.C. S 503(b)(2)(E).

   ^ NAL Response at 3.

   ^ Id.

   ^ See, e.g., International Broadcasting Corporation, Order on Review, 25
   FCC Rcd 1538 (2010).

   ^ See, e.g., Tidewater Communications, LLC, Order on Review, 25 FCC Rcd
   1675 (2010).

   ^ See PJB Communications of Virginia, Inc., Forfeiture Order, 7 FCC Rcd
   2088, 2089 (1992) (forfeiture not deemed excessive where it represented
   approximately 2.02 percent of the violator's gross revenues); Local Long
   Distance, Inc., Forfeiture Order, 16 FCC Rcd 24385 (2000) (forfeiture not
   deemed excessive where it represented approximately 7.9 percent of the
   violator's gross revenues); Hoosier Broadcasting Corporation, Forfeiture
   Order, 15 FCC Rcd 8640 (2002) (forfeiture not deemed excessive where it
   represented approximately 7.6 percent of the violator's gross revenues).

   ^ See 47 C.F.R. S 1.80 (b)(4) note (stating that history of overall
   compliance is a downward adjustment criteria for Section 503 forfeitures).

   ^ 47 U.S.C. SS 301, 503(b); 47 C.F.R. SS 0.111, 0.204, 0.311, 0.314,
   1.80(f)(4), 15.1(b).

   ^ 47 C.F.R. S 1.80.

   ^ 47 U.S.C. S 504(a).

   ^ An FCC Form 159 and detailed instructions for completing the form may be
   obtained at http://www.fcc.gov/Forms/Form159/159.pdf.

   ^ See 47 C.F.R. S 1.1914.

   Federal Communications Commission DA 13-186

   4

   Federal Communications Commission DA 13-186

References

   Visible links
   1. mailto:ARINQUIRIES@fcc.gov