FCC Sticks With Proposed Fine Against Network Services Solutions
The FCC modified language in a notice of apparent liability approved under ex-Chairman Tom Wheeler against Network Services Solutions and its CEO for wire fraud and overbilling the USF Rural Health Care program, but otherwise is largely sticking with the…
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fine, increasing it slightly from almost $21.7 million to just over $22.5 million. The company and CEO Scott Madison allegedly used forged and false documents to seek funding from the program, a violation of the federal wire fraud statute and the program’s competitive bidding rules (see 1611070045). The order was approved Monday, over a partial dissent from Commissioner Mike O’Rielly, and released Wednesday. “An erroneous or illegal payment from the Fund must be recouped,” the NAL said. “We have a duty to recover those misspent funds, and if payment is not received by the Commission as demanded, we have an inherent right to collect by exercising available legal procedures.” The company didn’t comment.