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                                   Before the

                       Federal Communications Commission

                             Washington, D.C. 20554

   In the Matter of SCI Cable, Inc. Former Owner of Cable Television Systems
   Perry, Kansas and Lecompton, Kansas Pottawatomie, Kansas Meriden, Kansas
   and Jefferson, Kansas ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) File No.:
   EB-11-KC-0007 NAL/Acct.No.: 201132560007 PSID No.: 008262 File No.:
   EB-11-KC-0008 NAL/Acct. No.: 201132560008 PSID No.: 014095 File No.:
   EB-10-KC-0094 NAL/Acct. No.: 201132560006 PSID Nos.: 004113, 014096 FRN:
   0020384889




                                     ORDER

   Adopted: March 13, 2014 Released: March 13, 2014

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

    1. In this Order, which follows upon Notices of Apparent Liability for
       Forfeiture and Orders (NALs) issued by the Enforcement Bureau's Kansas
       City Office on September 14, 2011,^ we determine that no forfeiture
       penalties should be imposed on SCI Cable, Inc. (SCI).

    2. In the NALs, we found SCI, former owner of cable systems in Perry,
       Lecompton, Pottawatomie, Meriden, and Jefferson, Kansas, apparently
       liable for forfeitures totaling $39,000 for violations of Sections
       11.35 and 76.1803 of the Commission's rules (Rules).^ Specifically,
       SCI failed to (1) install and maintain operational Emergency Alert
       System (EAS) equipment at each of its cable systems, and (2) file
       required Annual Basic Signal Leakage Performance Reports (FCC Form
       320s) for each of its cable systems that operated on aeronautical
       frequencies. Consistent with Section 503(b)(4) of the Communications
       Act of 1934, as amended (Act),^ SCI was granted an opportunity to
       show, in writing, why no such forfeiture should be imposed. ^

    3. In its Responses,^ SCI asserts that it is unable to pay the proposed
       forfeitures, because it is a shell corporation with no assets or
       revenues, and significant debts. SCI claims that on July 21, 2011, its
       creditors "offered all assets of SCI Cable, Inc. at a public sale.
       Failing to meet a minimum bid, SCI's creditors purchased the
       Corporation's assets."^ "On October 18, 2011, after liquidating the
       assets, [the creditor] returned the Corporation to [SCI's President].
       It is [SCI's President's] understanding that the Corporation has
       current liabilities in excess of $2,700,000.00. The Corporation
       currently has no assets, no revenue, no income, and is insolvent."^
       Agents from the Kansas City Office confirmed with the creditors that
       it currently owns the cable systems in question, and the new owners
       have brought the systems into compliance with the rules.

    4. SCI currently owns no cable systems, has no assets or revenues, and,
       while not dispositive, has liabilities in excess of $2 million
       dollars. Accordingly, we conclude that it is unable to pay the
       proposed forfeitures^ and decline to pursue a forfeiture in this case.

    5. 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, the proposed
       forfeitures issued to SCI Cable, Inc., in the above captioned
       proceedings WILL NOT BE IMPOSED.^

    6. IT IS FURTHER ORDERED that a copy of this Order shall be sent by both
       First Class Mail and Certified Mail, Return Receipt Requested, to SCI
       Cable, Inc.  at its address of record and to its counsel, Michael
       Clutter, Clutter & Aadalen, LLP, 2201 SW 29^th St. Ste. 100, Topeka,
       KS 66611.

   FEDERAL COMMUNICATIONS COMMISSION

   Dennis P. Carlton

   Regional Director

   South Central Region

   Enforcement Bureau

   ^ SCI Cable, Inc., Notice of Apparent Liability for Forfeiture and Order,
   26 FCC Rcd 12927 (Enf. Bur. 2011) (NAL/Acct. No. 201132560008 for PSID
   Nos. 014095 (Pottawatomie); SCI Cable, Inc., Notice of Apparent Liability
   for Forfeiture and Order, 26 FCC Rcd 12921 (Enf. Bur. 2011) (NAL/Acct. No.
   201132560007 for PSID No. 008262 (Perry and Lecompton)); SCI Cable, Inc.,
   Notice of Apparent Liability for Forfeiture and Order, 26 FCC Rcd 12915
   (Enf. Bur. 2011) (NAL/Acct. No. 201132560006 for PSID Nos. 004113
   (Meriden) and 014096 (Jefferson)).

   ^ 47 C.F.R. SS 11.35, 76.1803.

   ^ 47 U.S.C. S 503(b)(4).

   ^ Letter from Kirk Keberlein, President, SCI Cable, Inc., to Ronald D.
   Ramage, District Director, Kansas City Office (November 20, 2011) (on file
   in EB-10-KC-0094); Letter from Kirk Keberlein, President, SCI Cable, Inc.,
   to Ronald D. Ramage, District Director, Kansas City Office (December 7,
   2011) (on file in EB-10-KC-0094); Letter from Michael Clutter, Attorney
   for SCI Cable, Inc., to Kansas City Office (March 2, 2012) (on file in
   EB-10-KC-0094); Sworn Statement from Kirk Keberlein, President, SCI Cable,
   Inc., to Diane Law-Hsu, Regional Counsel, South Central Region (March 27,
   2012) (on file in EB-10-KC-0094).

   ^ Sworn Statement from Kirk Keberlein, President, SCI Cable, Inc., to
   Diane Law-Hsu, Regional Counsel, South Central Region (Mar. 27, 2012) (on
   file in EB-10-KC-0094). See also Transfer Pursuant to Article 9 of the
   Uniform Commercial Code (July 21, 2011) (on file in EB-KC-0094). Because
   the secured creditor purchased SCI's assets, and not its liabilities, we
   cannot hold the purchaser liable for the proposed forfeiture.

   ^ Id.

   ^ See Spirit of Alaska Broadcasting, Inc., Order 26 FCC Rcd 10418 (Enf.
   Bur. 2011) (forfeiture not imposed because of licensee's good faith
   compliance measures and because control of licensee involuntarily
   transferred to a court-appointed receiver); Capital Telecommunications,
   Inc., Order, 25 FCC Rcd 13512 (Enf. Bur. 2010) (forfeiture not imposed
   because company filed for bankruptcy protection and was no longer active).

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

   (...continued from previous page)

                                                              (continued....)

   Federal Communications Commission DA 14-338

                                       2

   Federal Communications Commission DA 14-338