FCC Enforcement Bureau Proposes Nearly $400,000 Fine for Apparent USF Violations

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The Federal Communications Commission (FCC or Commission) has proposed a $392,930 fine against NECC Telecom for apparently charging excessive and unlawful universal service fees to its customers. The FCC Enforcement Bureau’s investigation showed that NECC, primarily an international long distance reseller, profited from overcharges labeled as USF-related fees imposed upon its international service customers despite being exempt from any USF contribution obligation. The Commission also alleges that NECC failed to pay over $80,000 in mandatory regulatory fees and transferred its authorizations to provide telecommunications services without FCC approval. The Commission underscored the important regulatory obligations carriers have to obtain prior FCC approval for ownership transfers and to pay applicable regulatory fees in a timely manner.

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