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Federal Communications Commission DA 16-930
Before the
Federal Communications Commission
Washington, DC 20554
In the Matter of
Telecom House, Inc.
)
)
)
)
)
File No.: EB-IHD-14-00014872
Acct. No.: 201632080009
FRN: 0011382603
ORDER
Adopted: August 19, 2016 Released: August 19, 2016
By the Chief, Enforcement Bureau:
1. The Enforcement Bureau (Bureau) of the Federal Communications Commission
(Commission) has entered into a Consent Decree to resolve its investigation into whether Telecom House,
Inc. (Telecom House) violated Sections 159(a), 222, 225, and 254(d) of the Communications Act of 1934,
as amended,
1
and Sections 1.1154, 1.1157, 43.61, 43.62, 54.711, 64.604, and 64.2009(e) of the
Commission’s Rules,
2
in connection with Telecom House’s failure to comply with the terms of a prior
Consent Decree it entered into with the Bureau,
3
as well as its failure to pay certain fees, and to file
numerous forms and certifications.
2. The Commission’s form filing requirements obligate entities that provide interstate
telecommunications services and certain other providers of telecommunications, to file, among other
things, information as set forth in the Telecommunications Reporting Worksheets; certifications regarding
protection of customer proprietary information, and reports on international telecommunications traffic
(International Traffic Reports). The failure to timely file these reports and certifications deprives the
Commission of necessary information used to determine proper assessments for support mechanisms and
to safeguard proprietary consumer information. Telecom House failed to file certain annual certifications,
and reports, including its CPNI certifications in 2013, 2014, and 2015. Telecom House also failed to file
International Traffic Reports in 2012, 2013, 2014, and failed to timely file its International Traffic Report
in 2015.
3. The Commission’s Regulatory Fee and Fund Contribution Rules require entities that
provide interstate telecommunications services and certain other providers of telecommunications to pay
annual regulatory fees, and to contribute to the Telecommunications Relay Service (TRS) Fund. The
failure to timely pay annual regulatory fees deprives the Commission of resources needed for important
regulatory programs and shifts to compliant service providers the economic cost associated with these
federal regulatory programs. Similarly, the failure to contribute to the TRS Fund deprives the TRS Fund
of the resources necessary to support the TRS, and shifts the costs to support the TRS to other, compliant
service providers. Telecom House failed to timely pay its regulatory fees for fiscal year 2013, and did not
pay those fees in full until August 21, 2015. Additionally, the TRS Fund administrator transferred a
number of the Company’s debts to the Treasury for collection under the Debt Collection Improvement
Act (DCIA)
4
because Telecom House failed to timely pay its TRS fees.
1
47 U.S.C. §§ 159(a), 222, 225, 254(d).
2
47 CFR §§ 1.1154, 1.1157, 43.61, 43.62, 54.711, 64.604, 64.2009(e).
3
Telecom House, Inc., Order, 21 FCC Rcd 10883 (2006) (adopting Telecom House, Inc., Consent Decree (2006
Consent Decree)).
4
Debt Collection Improvement Act of 1996, Pub. L. No. 104-134, 110 Stat.1321, 1358 (Apr. 26, 1996).
Federal Communications Commission DA 16-930
2
4. Telecom House violated the terms of the 2006 Consent Decree upon failing to make
timely payments of the civil penalty owed as part of that agreement. Telecom House’s failure to comply
with the 2006 Consent Decree is an egregious violation that demonstrates a lack of regard for
Commission authority.
5. To settle this matter, Telecom House admits to the violations described above, will
implement a compliance plan, and pay a seventy-five thousand dollars ($75,000) civil penalty. Upon an
Event of Default, as defined and described in the attached Consent Decree, Telecom House agrees to pay
an additional one-hundred seventy-five thousand dollars ($175,000) civil penalty.
6. After reviewing the terms of the Consent Decree and evaluating the facts, we find that the
public interest would be served by adopting the Consent Decree before us and terminating the referenced
investigation regarding Telecom House’s violation of a Commission Order by its failure to fully and
timely pay the civil penalty associated with the 2006 Consent Decree, as well as Telecom House’s failure
to file numerous forms and certifications, and pay certain fees, pursuant to Sections 159(a), 222, 225, and
254(d) of the Communications Act of 1934, as amended,
5
and Sections 1.1154, 1.1157, 43.61, 43.62,
54.711, 64.604, and 64.2009(e) of the Commission’s Rules.
6
7. In the absence of material new evidence relating to this matter, we do not set for hearing
the question of Telecom House’s basic qualifications to hold or obtain any Commission license or
authorization.
7
8. Accordingly, IT IS ORDERED that, pursuant to Section 4(i) of the Act
8
and the
authority delegated by Sections 0.111 and 0.311 of the Rules,
9
the attached Consent Decree IS
ADOPTED and its terms incorporated by reference.
9. IT IS FURTHER ORDERED that the above-captioned matter IS TERMINATED.
10. IT IS FURTHER ORDERED that a copy of this Order and Consent Decree shall be
sent by first class mail and certified mail, return receipt requested, to Aaron Amid, CEO, Telecom House,
Inc., 1114 S Robertson Boulevard, Los Angeles, California, and to Douglas D. Orvis II., Esq., Morgan,
Lewis & Bockius LLP, 2020 K Street, NW, Washington D.C. 20006.
FEDERAL COMMUNICATIONS COMMISSION
Travis LeBlanc
Chief
Enforcement Bureau
5
47 U.S.C. §§ 159(a), 222, 225, 254(d).
6
47 CFR §§ 1.1154, 1.1157, 43.61, 43.62, 54.711, 64.604, 64.2009(e).
7
See 47 CFR § 1.93(b).
8
47 U.S.C. § 154(i).
9
47 CFR §§ 0.111, 0.311.
Federal Communications Commission DA 16-930
Before the
Federal Communications Commission
Washington, DC 20554
In the Matter of
Telecom House, Inc.
)
)
)
)
)
File No.: EB-IHD-14-00014872
Acct. No.: 201632080009
FRN: 0011382603
CONSENT DECREE
1. The Enforcement Bureau of the Federal Communications Commission (Bureau) and
Telecom House, Inc. (Telecom House), by their authorized representatives, hereby enter into this Consent
Decree for the purpose of terminating the Enforcement Bureau’s investigation into whether Telecom
House violated Sections 159(a), 222, 225, and 254(d) of the Communications Act of 1934, as amended,
1
and Sections 1.1154, 1.1157, 43.61, 43.62, 54.711, 64.604, and 64.2009(e) of the Commission’s Rules,
2
in connection with Telecom House’s failure to comply with the terms of a prior Consent Decree it entered
into with the Bureau
3
, as well as its failure to file numerous forms and certifications.
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.
4
(b) “Adopting Order” means an order of the Bureau 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) “Communications Laws” means collectively, the Act, the Rules, and the published
and promulgated orders and decisions of the Commission to which Telecom House
is subject by virtue of its business activities.
(f) “Compliance Plan” means the compliance obligations, program, and procedures
described in this Consent Decree at paragraph 15.
(g) “Covered Employees” means all employees and agents of Telecom House who
perform, or supervise, oversee, or manage the performance of, duties that relate to
Telecom House’s responsibilities under the Communications Laws, including but
not limited to the Form Filing Requirements and the Regulatory Fee and Fund
Contribution Requirements.
1
47 U.S.C. §§ 159(a), 222, 225, 254(d).
2
47 CFR §§ 1.1154, 1.1157, 43.61, 43.62, 54.711, 64.604, 64.2009(e).
3
See para. 4 infra.
4
47 U.S.C. § 151 et seq.
Federal Communications Commission DA 16-930
2
(h) “Effective Date” means the date by which both the Bureau and Telecom House have
signed the Consent Decree.
(i) “Form Filing Requirements” means Section 222 of the Act, Sections 43.61, 43.62,
54.711, 64.604, and 64.2009(e) of the Rules, and other provisions of the Act, the
Rules, and Commission orders related to filing required forms and certifications,
such as Telecommunications Reporting Worksheets (i.e. FCC Forms 499-A),
certifications regarding protection of the confidentiality of customer proprietary
network information (CPNI Certifications), and reports on international
telecommunications traffic (International Traffic Reports).
(j) “Investigation” means the investigation commenced by the Bureau in EB-IHD-14-
00014872 regarding whether Telecom House violated the Form Filing Requirements
and the Regulatory Fee and Fund Contribution Requirements, and whether Telecom
House violated a Commission order by failing to timely pay a civil penalty pursuant
to a Consent Decree.
(k) “Operating Procedures” means the standard internal operating procedures and
compliance policies established by Telecom House to implement the Compliance
Plan.
(l) “Parties” means Telecom House and the Bureau, each of which is a “Party.”
(m) “Regulatory Fee and Fund Contribution Requirements” means Sections 159(a) and
222 of the Act, Sections 1.1154, 1.1157, and 64.6404 of the Rules, and other
provisions of the Act, the Rules, and Commission orders related to paying annual
regulatory fees to the Commission, and contributing to federal regulatory funds such
as the Telecommunications Relay Service (TRS) Fund.
(n) “Rules” means the Commission’s regulations found in Title 47 of the Code of
Federal Regulations.
(o) “Telecom House” or “Company” means Telecom House, Inc. and its affiliates,
subsidiaries, predecessors-in-interest, and successors-in-interest.
II. BACKGROUND
3. On September 21, 2006, the Bureau entered into a Consent Decree with Telecom House,
5
to resolve a Notice of Apparent Liability (NAL) issued against Telecom House for numerous violations of
the Commission’s Rules.
6
The 2006 Consent Decree included, among other provisions, a total civil fine
of $170,000 (paid in 24 monthly installments of $7,083.33).
7
In July 2014, the Office of the Managing
Director (OMD) informed the Bureau that Telecom House had not made the required payments under the
2006 Consent Decree. On May 27, 2015, the Bureau issued a Letter of Inquiry (LOI) to Telecom House,
requesting information and documents regarding the Company’s potential violation of a Commission
order for failure to pay the civil penalty under the 2006 Consent Decree, as well as other potential
5
Telecom House, Inc., Order, 21 FCC Rcd 10883 (2006) (adopting Telecom House, Inc., Consent Decree (2006
Consent Decree)).
6
Telecom House, Inc., Notice of Apparently Liability for Forfeiture and Order, 20 FCC Rcd 15,131 (2005)
(cancelled by Telecom House, Inc., Order, 21 FCC Rcd 10883 (2006)).
7
2006 Consent Decree.
Federal Communications Commission DA 16-930
3
violations of the Communications Act and the Commission’s Rules.
8
On July 2, 2015, Telecom House
responded to the Bureau’s LOI.
9
Based on the Company’s LOI Response, the Bureau identified several
potential violations of the Act and the Rules, discussed below.
4. Violation of a Commission Order. As stated above, Telecom House agreed to pay a civil
penalty of $170,000 pursuant to the 2006 Consent Decree. The final payment was due on October 1,
2008; however as of that date Telecom House had not paid the entirety of the $170,000 civil penalty. In
such an instance, the Commission may issue a forfeiture penalty pursuant to Section 1.80(a)(2) of the
Rules.
10
The Bureau notes, however, that on August 21, 2015, Telecom House did pay the remaining
balance due on the 2006 civil penalty.
5. Form Filing Requirements. The Form Filing Requirements require entities that provide
interstate telecommunications services and certain other providers of telecommunications to file
information as set forth on the Telecommunications Reporting Worksheets (i.e., FCC Forms 499-A), to
file certifications regarding protection of the confidentiality of customer proprietary network information,
and to file reports on international telecommunications traffic. The failure to timely file these forms and
certifications deprives the Commission of necessary information used to determine proper assessments for
support mechanisms and to safeguard proprietary consumer information.
6. Based on information provided in the LOI Response, Telecom House, among other
things, failed to file CPNI Certifications in 2013, 2014, and 2015. Telecom House also failed to file
International Traffic Reports in 2012, 2013, and 2014, and failed to timely file its International Traffic
Report in 2015.
7. Regulatory Fee and Fund Contribution Requirements. The Regulatory Fee and Fund
Contribution Requirements require entities that provide interstate telecommunications services and certain
other providers of telecommunications to pay annual regulatory fees, and to contribute to the TRS Fund.
The failure to timely pay annual regulatory fees deprives the Commission of resources needed for
important regulatory programs and shifts to compliant service providers the economic cost associated with
these federal regulatory programs. Similarly, the failure to contribute to the TRS Fund deprives the TRS
Fund of the resources necessary to support the TRS, and shifts the costs to support the TRS to other,
compliant service providers.
8. Based on information provided in the LOI Response, Telecom House failed to timely pay
its regulatory fees in full for fiscal year 2013; Telecom House did not pay in full until August 21, 2015.
In addition, the TRS Fund administrator transferred a number of the Company’s debts to the Treasury for
collection under the Debt Collection Improvement Act (DCIA)
11
because Telecom House failed to timely
pay those debts. Telecom House did not fully pay these debts until January 15, 2016.
III. TERMS OF AGREEMENT
9. Adopting Order. The provisions of this Consent Decree shall be incorporated by the
Bureau in an Adopting Order.
8
Letter of Inquiry from Jeffrey J. Gee, Chief, Investigations and Hearings Division, FCC Enforcement Bureau, to
Telecom House, Inc., at 1 (May 27, 2015) (on file in EB-IHD-14-00014872).
9
Response to Letter of Inquiry from Keenan Adamchak, Counsel for Telecom House, Inc., to Joseph Schlingbaum,
Attorney Advisor, Investigations and Hearings Division, FCC Enforcement Bureau (July 2, 2015) (on file in EB-
IHD-14-00014872). On September 3, 2015, counsel of record for Telecom House became Douglas D. Orvis II of
Morgan, Lewis & Bockius LLP.
10
47 CFR § 1.80(a)(2).
11
Debt Collection Improvement Act of 1996, Pub. L. No. 104-134, 110 Stat.1321, 1358 (Apr. 26, 1996).
Federal Communications Commission DA 16-930
4
10. Jurisdiction. Telecom House 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.
11. Effective Date; Violations. The Parties agree that this Consent Decree shall become
effective on the Effective Date as defined herein. As of the Effective Date, the Parties agree that this
Consent Decree shall have the same force and effect as any other order of the Commission.
12. 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 the Investigation. In consideration for the termination of the Investigation, Telecom House
agrees to the terms, conditions, and procedures contained herein. The Bureau further agrees that, in the
absence of new material evidence, it will not use the facts developed in the Investigation through the
Effective Date, 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 Telecom House concerning
the matters that were the subject of the Investigation. The Bureau also agrees that, in the absence of new
material evidence, it will not use the facts developed in the Investigation through the Effective Date, or
the existence of this Consent Decree, to institute on its own motion any proceeding, formal or informal, or
to set for hearing the question of Telecom House’s basic qualifications to be a Commission licensee or
hold Commission licenses or authorizations.
12
13. Admission of Liability. Telecom House admits for the purpose of this Consent Decree
and for Commission civil enforcement purposes, and in express reliance on the provisions of paragraph
12 herein, that its actions that were the subject of the Investigation violated the Form Filing
Requirements, the Regulatory Fee and Fund Contribution Requirements, and violated a Commission
order.
14. Compliance Officer. Within thirty (30) calendar days after the Effective Date, Telecom
House shall designate a senior corporate manager with the requisite corporate and organizational
authority to serve as a Compliance Officer and to discharge the duties set forth below. The person
designated as the Compliance Officer shall be responsible for developing, implementing, and
administering the Compliance Plan and ensuring that Telecom House complies with the terms and
conditions of the Compliance Plan and this Consent Decree. In addition to the general knowledge of the
Communications Laws necessary to discharge his or her duties under this Consent Decree, the
Compliance Officer shall have specific knowledge of the Communications Act and the Commission’s
Rules, including but not limited to the Form Filing Requirements and the Regulatory Fee and Fund
Contribution Requirements, prior to assuming his/her duties.
15. Compliance Plan. For purposes of settling the matters set forth herein, Telecom House
agrees that it shall, within sixty (60) calendar days after the Effective Date, develop and implement a
Compliance Plan designed to ensure future compliance with the Communications Laws and with the
terms and conditions of this Consent Decree. With respect to the Form Filing Requirements and the
Regulatory Fee and Fund Contribution Requirements, Telecom House will implement, at a minimum, the
following procedures:
(a) Operating Procedures. Within thirty (30) calendar days after the Effective Date,
Telecom House shall establish Operating Procedures that all Covered Employees
must follow to help ensure Telecom House’s compliance with the Form Filing
Requirements and the Regulatory Fee and Fund Contribution Requirements.
Telecom House’s Operating Procedures shall include internal procedures and
policies specifically designed to ensure that:
12
See 47 CFR 1.93(b).
Federal Communications Commission DA 16-930
5
i. Telecom House timely files required Commission forms and certifications,
including but not limited to those covered by the Form Filing Requirements;
ii. Telecom House timely and fully makes required payments, including but not
limited to those covered by the Regulatory Fee and Fund Contribution
Requirements;
iii. Telecom House timely and fully pays each Installment Payment as specified
in paragraph 20 below.
Telecom House shall also develop a Compliance Checklist that describes the steps
that a Covered Employee must follow to ensure compliance with the Form Filing
Requirements and the Regulatory Fee and Fund Contribution Requirements.
(b) Compliance Manual. Within sixty (60) calendar days after the Effective Date, the
Compliance Officer shall develop and distribute a Compliance Manual to all
Covered Employees. The Compliance Manual shall explain the Form Filing
Requirements and the Regulatory Fee and Fund Contribution Requirements and set
forth the Operating Procedures that Covered Employees shall follow to help ensure
Telecom House’s compliance with the Form Filing Requirements and the
Regulatory Fee and Fund Contribution Requirements. Telecom House shall
periodically review and revise the Compliance Manual as necessary to ensure that
the information set forth therein remains current and accurate. Telecom House shall
distribute any revisions to the Compliance Manual promptly to all Covered
Employees.
(c) Compliance Training Program. Telecom House shall establish and implement a
Compliance Training Program on compliance with the Form Filing Requirements
and the Regulatory Fee and Fund Contribution Requirements, and the Operating
Procedures. As part of the Compliance Training Program, Covered Employees shall
be advised of Telecom House’s obligation to report any noncompliance with the
Form Filing Requirements and the Regulatory Fee and Fund Contribution
Requirements under paragraph 16 of this Consent Decree and shall be instructed on
how to disclose noncompliance to the Compliance Officer. All Covered Employees
shall be trained pursuant to the Compliance Training Program within sixty (60)
calendar days after the Effective Date, except that any person who becomes a
Covered Employee at any time after the initial Compliance Training Program shall
be trained within thirty (30) calendar days after the date such person becomes a
Covered Employee. Telecom House shall repeat compliance training on an annual
basis, and shall periodically review and revise the Compliance Training Program as
necessary to ensure that it remains current and complete and to enhance its
effectiveness.
16. Reporting Noncompliance. Telecom House shall report any noncompliance with Form
Filing Requirements and the Regulatory Fee and Fund Contribution Requirements, and with the terms and
conditions of this Consent Decree, within fifteen (15) calendar days after discovery of such
noncompliance. Such reports shall include a detailed explanation of: (i) each instance of noncompliance;
(ii) the steps that Telecom House has taken or will take to remedy such noncompliance; (iii) the schedule
on which such remedial actions will be taken; and (iv) the steps that the Telecom House has taken or will
take to prevent the recurrence of any such noncompliance. All reports of noncompliance shall be
submitted to Chief, Investigations and Hearings Division, Enforcement Bureau, Federal Communications
Commission, 445 12th Street, S.W., Washington, DC 20554, with a copy submitted electronically to
Jeffrey J. Gee at Jeffrey.Gee@fcc.gov, Kalun Lee at Kalun.Lee@fcc.gov, and Gregory Vadas at
Gregory.Vadas@fcc.gov. Telecom House’s obligation to monitor and report noncompliance pursuant to
the paragraph operates in addition to Telecom House’s obligation to respond to Notice of suspected
noncompliance pursuant to paragraph 21.
Federal Communications Commission DA 16-930
6
17. Compliance Reports. Telecom House shall file compliance reports with the
Commission ninety (90) calendar days after the Effective Date, twelve (12) months after the Effective
Date, twenty-four (24) months after the Effective Date, and thirty-six (36) months after the Effective
Date.
(a) Each Compliance Report shall include a detailed description of Telecom House’s
efforts during the relevant period to comply with the terms and conditions of this
Consent Decree and the Form Filing Requirements and the Regulatory Fee and Fund
Contribution Requirements. In addition, each Compliance Report shall include a
certification by the Compliance Officer, as an agent of and on behalf of Telecom
House, stating that the Compliance Officer has personal knowledge that Telecom
House: (i) has established and implemented the Compliance Plan; (ii) has utilized
the Operating Procedures since the implementation of the Compliance Plan; and (iii)
is not aware of any instances of noncompliance with the terms and conditions of this
Consent Decree, including the reporting obligations set forth in paragraph 16 of this
Consent Decree.
(b) The Compliance Officer’s certification shall be accompanied by a statement
explaining the basis for such certification and shall comply with Section 1.16 of the
Rules and be subscribed to as true under penalty of perjury in substantially the form
set forth therein.
13
(c) If the Compliance Officer cannot provide the requisite certification, the Compliance
Officer, as an agent of and on behalf of Telecom House, shall provide the
Commission with a detailed explanation of the reason(s) why and describe fully: (i)
each instance of noncompliance; (ii) the steps that Telecom House has taken or will
take to remedy such noncompliance, including the schedule on which proposed
remedial actions will be taken; and (iii) the steps that Telecom House has taken or
will take to prevent the recurrence of any such noncompliance, including the
schedule on which such preventive action will be taken.
(d) All Compliance Reports shall be submitted Chief, Investigations and Hearings
Division, Enforcement Bureau, Federal Communications Commission, 445 12th
Street, S.W., Washington, DC 20554, with a copy submitted electronically to Jeffrey
J. Gee at Jeffrey.Gee@fcc.gov, Kalun Lee at Kalun.Lee@fcc.gov, and Gregory
Vadas at Gregory.Vadas@fcc.gov.
18. Termination Date. Unless stated otherwise, the requirements set forth in paragraphs 14
through 17 of this Consent Decree shall expire thirty-six (36) months after the Effective Date.
19. 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
14
against Telecom House 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 Telecom House with the
Communications Laws.
13
47 CFR § 1.16.
14
47 U.S.C. § 208.
Federal Communications Commission DA 16-930
7
20. Civil Penalty. Telecom House will pay a civil penalty to the United States Treasury in
the amount of seventy-five thousand dollars ($75,000). Payment of the civil penalty shall be made in 12
installments (each an Installment Payment), as specified below:
(a) The first Installment Payment in the amount of $6,250 is due on October 1, 2016.
(b) Thereafter, 11 Installment Payments of $6,250 will be due on the first day of each
subsequent month.
Upon an Event of Default, as described in paragraph 22, Telecom House agrees to pay an
additional Installment Payment (Additional Installment Payment) in the amount of one-hundred seventy-
five thousand dollars ($175,000).
Telecom House acknowledges and agrees that upon execution of this Consent Decree, the civil
penalty and each Installment Payment shall become a “Claim” or “Debt” as defined in 31 U.S.C.
§ 3701(b)(1).
15
Upon an Event of Default (as defined below), the Additional Installment Payment shall
also become shall become a “Claim” or “Debt” as defined in 31 U.S.C. § 3701(b)(1),
16
and all procedures
for collection as permitted by law may, at the Commission’s discretion, be initiated.
Telecom House shall send electronic notification of payment to Jeffrey J. Gee at
Jeffrey.Gee@fcc.gov, Kalun Lee at Kalun.Lee@fcc.gov, and Gregory Vadas at Gregory.Vadas@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 Account Number and FRN referenced above. Regardless of
the form of payment, a completed FCC Form 159 (Remittance Advice) must be submitted.
17
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
that should be followed based on the form of payment selected:
? 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.
Questions regarding payment procedures should be addressed to the Financial Operations Group
Help Desk by phone, 1-877-480-3201, or by e-mail, ARINQUIRIES@fcc.gov.
15
Debt Collection Improvement Act of 1996, Pub. L. No. 104-134, 110 Stat. 1321, 1358 (Apr. 26, 1996).
16
Id.
17
An FCC Form 159 and detailed instructions for completing the form may be obtained at
http://www.fcc.gov/Forms/Form159/159.pdf.
Federal Communications Commission DA 16-930
8
21. Notice and Cure. For the purposes of this Consent Decree, the following procedures
shall govern suspected Events of Default:
(a) Notice. Upon notice (pursuant to paragraph 16) or discovery of a suspected Event
of Default, the Bureau shall provide Notice thereof to Telecom House. Notice shall
be provided in writing within thirty (30) days of the Bureau’s discovery thereof.
Notice shall set forth the nature of the act or omission that gave rise to the suspected
Event of Default and the date upon which the act or omission occurred.
Notice shall be deemed given when sent by first class mail, postage prepaid, and
addressed, as appropriate, to Aaron Amid, CEO either at Telecom House’s last
known address or such other address as may be designated in writing to the Bureau.
(b) Cure. Upon receipt by Telecom House of Notice of a suspected Event of Default,
Telecom House shall be afforded an opportunity to Cure. Telecom House may Cure
by paying the amounts that are past due, along with any fees penalties, and interest
as to infra paragraphs 22(a) 22(b), 22(c); and/or file those forms, reports, and
certifications that are then late as to infra paragraphs 22(d), 22(e). Telecom House
shall be afforded thirty (30) days from receipt of Notice of a suspected Event of
Default to Cure, after which the opportunity to Cure shall be deemed waived.
(c) Effect of Failure to Cure. The failure by Telecom House to Cure renders a
suspected Event of Default an Event of Default.
These Notice and Cure procedures operate in addition to the obligation by Telecom House,
pursuant to paragraph 16, to monitor and report noncompliance.
22. Event(s) of Default. Telecom House agrees that an Event of Default shall occur upon:
(a) Failure by Telecom House to pay the full amount of Installment Payments 1 through
12 on or before the due dates specified in this Consent Decree;
(b) Failure by Telecom House to timely and fully pay Regulatory Fees, pursuant to
Section 159(a) of the Act
18
and Sections 1.1154 and 1.1157(b)(1) of the Rules;
19
(c) Failure by Telecom House to timely and fully contribute to the TRS Fund, pursuant
to Section 225 of the Act
20
and Section 64.604(c)(5)(iii)(A) of the Rules;
21
(d) Failure by Telecom House to timely file CPNI certifications, pursuant to Section
222 of the Act
22
and Section 64.2009(e) of the Rules;
23
(e) Failure by Telecom House to timely file international traffic and revenue reports,
pursuant to Sections 43.61(a) and 43.62(b) of the Rules.
24
18
47 U.S.C. § 159(a).
19
47 CFR §§ 1.1154, 1.1157(b).
20
47 U.S.C. § 225.
21
47 CFR § 64.604(c)(5)(iii)(A).
22
47 U.S.C. § 222.
23
47 CFR § 64.2009(e).
24
Until March 12, 2015, the requirement for carriers to file international traffic and revenue reports was codified at
47 CFR § 43.61(a). Effective March 12, 2015, the international traffic and revenue report requirement is codified at
47 CFR § 43.62(b).
Federal Communications Commission DA 16-930
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Pursuant to paragraph 21, above, Telecom House shall be provided Notice and afforded an
opportunity to Cure a suspected Event of Default.
23. Interest, Charges for Collection, and Acceleration of Maturity Date. After an Event
of Default has occurred under this Consent Decree, the then unpaid amount of the civil penalty (including
the Additional Installment Payment) shall accrue interest, computed using the U.S. Prime Rate in effect
on the date of the Event of Default plus 4.75 percent, from the date of the Event of Default until payment
in full. Upon an Event of Default, the then unpaid amount of the civil penalty (including the Additional
Installment Payment), together with interest, any penalties permitted and/or required by the law, including
but not limited to 31 U.S.C. § 3717 and administrative charges, plus the costs of collection, litigation, and
attorneys’ fees, shall become immediately due and payable, without notice, presentment, demand, protest,
or notice of protest of any kind, all of which are waived by Telecom House.
24. Waivers. As of the Effective Date, Telecom House 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. Telecom House 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 Consent Decree or the Adopting Order, neither Telecom House nor the Commission shall contest the
validity of the Consent Decree or the Adopting Order, and Telecom House shall waive any statutory right
to a trial de novo. Telecom House hereby agrees to waive any claims it may otherwise have under the
Equal Access to Justice Act
25
relating to the matters addressed in this Consent Decree.
25. Failure to Enforce Not a Waiver. The failure of the Bureau or the Commission to
enforce at any time any provision of this Consent Decree shall in no way be construed to be a waiver of
such provision or of any other provision hereof.
26. Severability. The Parties agree that if any of the provisions of the Consent Decree shall
be held unenforceable by any court of competent jurisdiction, such unenforceability shall not render
unenforceable the entire Consent Decree, but rather the entire Consent Decree shall be construed as if not
containing the particular unenforceable provision or provisions, and the rights and obligations of the
Parties shall be construed and enforced accordingly.
27. Invalidity. 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.
28. 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 Telecom House does not
expressly consent) that provision will be superseded by such Rule or Order.
29. Successors and Assigns. Telecom House agrees that the provisions of this Consent
Decree shall be binding on its successors, assigns, and transferees.
30. Final Settlement. The Parties agree and acknowledge that this Consent Decree shall
constitute a final settlement between the Parties with respect to the Investigation.
31. Modifications. This Consent Decree cannot be modified without the advance written
consent of both Parties.
32. 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.
25
See 5 U.S.C. § 504; 47 CFR §§ 1.1501–1.1530.
Federal Communications Commission DA 16-930
10
33. Authorized Representative. Each Party represents and warrants to the other that it has
full power and authority to enter into this Consent Decree. Each person signing this Consent Decree on
behalf of a Party hereby represents that he or she is fully authorized by the Party to execute this Consent
Decree and to bind the Party to its terms and conditions.
34. Counterparts. This Consent Decree may be signed in counterpart (including
electronically or by facsimile). Each counterpart, when executed and delivered, shall be an original, and
all of the counterparts together shall constitute one and the same fully executed instrument.
______________________________
Travis LeBlanc, Chief
Enforcement Bureau
________________________
Date
________________________
Aaron Amid, CEO
Telecom House, Inc.
________________________
Date