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U.S. Compliance : FCC Activities
Last Updated: May 15th, 2008 - 08:54:58  


Commission Proposes $5 Million Fine for Slamming
May 15, 2008

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The Federal Communications Commission (FCC) has proposed a major monetary fine against a Las Vegas-based telecommunication carrier for unauthorized changes in telephone subscribers’ choice of service providers.

In a Notice of Apparent Liability for Forfeiture, the Commission has proposed a forfeiture of $5.084 million against Horizon Telecom, Inc. for willful and repeated violations of the FCC’s rules against slamming, a practice which is banned under Section 258 of Communications Act of 1934, as amended.

The Commission found Horizon liable for changing the preferred carriers of 125 consumers without proper authorization. Further, Horizon was charged with including in its written Letter of Authorization (LOA) an inducement for the subscriber to switch carriers (two free roundtrip airline ticket certificates), a practice that is specifically prohibited under FCC rules.

Our readers can view the complete text of the Commission’s Notice at this link.


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