81 FR 91932 - Order Declares Redes Modernas de la Frontera SA de CV Section 214 Authorization Terminated

FEDERAL COMMUNICATIONS COMMISSION

Federal Register Volume 81, Issue 243 (December 19, 2016)

In this document, the International Bureau of the Federal Communications Commission (Commission) declares the international section 214 authorization granted to Redes Modernas de la Frontera SA de CV (Redes) terminated given Redes' inability to comply with an express condition for holding the authorization. It also concludes that Redes failed to comply with those requirements of the Communications Act of 1934, as amended (the Act) and the Commission's rules that ensure that the Commission can contact and communicate with the authorization holder and verify Redes is still providing service, which failures have prevented any way of addressing Redes' inability to comply with the condition of its authorization.

[Federal Register Volume 81, Number 243 (Monday, December 19, 2016)]
[Notices]
[Pages 91932-91933]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-30402]


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FEDERAL COMMUNICATIONS COMMISSION

[DA 16-1321]


Order Declares Redes Modernas de la Frontera SA de CV Section 214 
Authorization Terminated

AGENCY: Federal Communications Commission.

ACTION: Notice.

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SUMMARY: In this document, the International Bureau of the Federal 
Communications Commission (Commission) declares the international 
section 214 authorization granted to Redes Modernas de la Frontera SA 
de CV (Redes) terminated given Redes' inability to comply with an 
express condition for holding the authorization. It also concludes that 
Redes failed to comply with those requirements of the Communications 
Act of 1934, as amended (the Act) and the Commission's rules that 
ensure that the Commission can contact and communicate with the 
authorization holder and verify Redes is still providing service, which 
failures have prevented any way of addressing Redes' inability to 
comply with the condition of its authorization.

FOR FURTHER INFORMATION CONTACT: Veronica Garcia-Ulloa, 
Telecommunications and Analysis Division, International Bureau at (202) 
418-0481 or [email protected].

SUPPLEMENTARY INFORMATION: This is a summary of the Commission's Order, 
DA 16-1321, adopted and released November 30, 2016.

Background

    Section 214(a) of the Act prohibits any carrier from constructing, 
extending, acquiring, or operating any line, and from engaging in 
transmission through any such line, without first obtaining a 
certificate of authorization from the Commission. Under section 214(c) 
of the Act, the Commission ``may attach to the issuance of the 
certificate such terms and conditions as in its judgment the public 
convenience and necessity may require.'' On July 27, 2007, the 
International Bureau granted Redes an international section 214 
authorization to provide international global or limited global 
facilities-based authority, and global or limited global resale 
authority, in accordance with section 63.18(e)(1) and 63.18(e)(2) of 
the Commission's rules. The International Bureau granted the 
application on the express condition that Redes abide by the 
commitments and undertakings

[[Page 91933]]

contained in its July 10, 2007 letter of assurance (LOA) to the U.S. 
Department of Justice (DOJ), U.S. Department of Homeland Security 
(DHS), and Federal Bureau of Investigation (FBI). The LOA outlines a 
number of commitments made by Redes to address national security, law 
enforcement, and public safety concerns.
    On April 13, 2016, DOJ with the concurrence of DHS (collectively, 
the ``Executive Branch Agencies'') notified the Commission of Redes' 
non-compliance with the conditions of its authorization and requested 
that the Commission terminate, declare null and void and no longer in 
effect, the international section 214 authorization issued to Redes. 
The Executive Branch Agencies stated that on July 31, 2012, the 
designated point of contact informed DHS that Redes is no longer in 
business and open source research conducted by DHS confirms this fact. 
In addition, the Executive Branch Agencies stated that Redes has not 
filed any of its international traffic and revenue reports with the 
Commission since 2007. Based on this, the Executive Branch Agencies 
conclude that Redes is no longer providing services pursuant to its 
authorization.
    The Commission has made significant efforts to communicate with 
Redes, but has also been unable to do so. On July 5, 2016, the 
International Bureau sent Redes a letter to the last addresses of 
record requesting that Redes respond to the April 13, 2016 Executive 
Branch Letter by August 3, 2016. Redes did not respond. Since that 
time, the International Bureau has provided Redes with additional 
opportunities to respond to these allegations. The International Bureau 
stated that failure to respond would result in termination of Redes' 
international section 214 authorization for failure to comply with the 
condition of its authorization. To date, Redes has not responded to any 
of the International Bureau or the Executive Branch Agencies' multiple 
requests to resolve this matter.

Discussion

    We determine that Redes' international section 214 authorization to 
provide services issued under File No. ITC-214-20070515-00189 has 
terminated for inability to comply with an express condition for 
holding the international section 214 authorization. The International 
Bureau provided Redes with notice and opportunity to respond to the 
allegations in the April 13, 2016 Executive Branch Letter concerning 
Redes' non-compliance with the condition of the grant. Redes has not 
responded to any of our multiple requests or requests from the 
Executive Branch Agencies. We find that Redes' failure to respond to 
our multiple requests demonstrates that it is unable to satisfy the LOA 
commitments, upon which the Executive Branch Agencies relied in 
providing their non-objection to the grant of the authorization to 
Redes, and compliance with which is a condition of the grant of its 
international section 214 authorization.
    Furthermore, after having received an international 214 
authorization, a carrier ``is responsible for the continuing accuracy 
of the certifications made in its application'' and must promptly 
correct information no longer accurate, ``and in any event, within 
thirty (30) days.'' Redes has failed to inform the Commission of any 
changes in its business status of providing international 
telecommunications services, as required by the rules. Finally, as part 
of its authorization, Redes ``must file annual international 
telecommunications traffic and revenue as required by Sec.  43.62.'' 
Section 43.62(b) states that ``[n]ot later than July 31 of each year, 
each person or entity that holds an authorization pursuant to section 
214 to provide international telecommunications service shall report 
whether it provided international telecommunications services during 
the preceding calendar year.'' Our records indicate that Redes failed 
to file annual international telecommunications traffic and revenue 
reports indicating whether or not Redes provided services in 2014 and 
2015, as required by section 43.62(b) of the Commission's rules. Redes' 
failure to adhere to the Commission's rules designed to ensure its 
ability to communicate with the holder of the authorization and to 
verify the holder is still providing service also warrants termination, 
wholly apart from Redes' non-compliance with the condition of its 
international section 214 authorization.

Ordering Clauses

    Accordingly, it is ordered, pursuant to sections 4(i), 214, and 413 
of the Communications Act of 1934, as amended, 47 U.S.C. 154(i), 214, 
413, and sections 1.47(h), 43.62, 63.18, 63.21, 63.22(h), 63.23(e), and 
64.1195 of the Commission's rules, 47 CFR 1.47(h), 43.62, 63.18, 63.21, 
63.22(h), 63.23(e), 64.1195, that the international section 214 
authorization issued under File No. ITC-214-20070515-00189 is hereby 
terminated and declared null and void.
    It is further ordered that the request of the U.S. Department of 
Homeland Security and U.S. Department of Justice, is hereby granted, to 
the extent set forth in this Order.
    It is further ordered that a copy of this Order shall be sent by 
return receipt requested to Redes Modernas de la Frontera SA de CV at 
its last known addresses. In addition, this Order shall be posted in 
the Commission's Office of the Secretary.
    It is further ordered that a copy of this Order, or a summary 
thereof, shall be published in the Federal Register.
    This Order is issued on delegated authority under 47 CFR 0.51, 
0.261, and is effective upon release. Petitions for reconsideration 
under section 1.106 of the Commission's rules, 47 CFR 1.106, or 
applications for review under section 1.115 of the Commission's rules, 
47 CFR 1.115, may be filed within 30 days of the date of the release of 
this Order.

Federal Communications Commission.
Denise Coca,
Chief, Telecommunications and Analysis Division, International Bureau.
[FR Doc. 2016-30402 Filed 12-16-16; 8:45 am]
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