**DA 02-1649**

**July 12, 2002**

**[Via certified mail, return receipt requested]{.underline}**

Mr. David W. Niebert

Vice President

Intek License Acquisition Corporation

1690 North Topping

Kansas City, MO 64120

Mr. Robert B. Kelly, Esq.

Squire, Sanders and Dempsey, L.L.P.

P.O. Box 407

1201 Pennsylvania Avenue N.W.

Washington, DC 20044-0407

**Re: Bid Withdrawal Payment For Auction No. 18**

Dear Messrs. Niebert and Kelly:

Intek License Acquisition Corporation ("Intek"), a participant in
Auction No. 18, withdrew high bids on sixteen licenses in that
auction.[^1] Those sixteen licenses remained unsold at the close of
Auction No. 18.[^2] Auction No. 24, the subsequent auction for the
licenses on which Intek withdrew high bids in Auction No. 18 has
closed.[^3] Therefore, in accordance with the Federal Communications
Commission's ("Commission") rules, we are now able to calculate Intek's
final bid withdrawal obligations.

Under the Commission's Rules, a bidder that withdraws a high bid during
the course of an auction is subject to a bid withdrawal payment equal to
the difference between the amount of the withdrawn bid and the amount of
the subsequent winning bid.[^4] A withdrawal payment will not be
assessed if the subsequent winning bid or any of the intervening
subsequent withdrawn bids equals or exceeds that withdrawn bid.[^5] If a
high bid is withdrawn on a license that remains unsold at the close of
the auction, the withdrawing bidder will be required to make an interim
payment equal to three percent (3%) of the net amount of the withdrawn
bid.[^6] This payment amount is deducted from any up-front payments or
down payments deposited for this bidder's account with the
Commission.[^7] If, in a subsequent auction, that license receives a
winning bid (or a subsequent withdrawn bid) that is equal to or greater
than the withdrawn bid amount, then no final bid withdrawal payment will
be assessed, and upon appropriate request, the Commission will refund
the interim three percent (3%) payment.[^8] If in a subsequent auction,
the winning bid for that license (or subsequent withdrawn bid) is less
than the bidder's withdrawn bid amount, then the bidder will be required
to make a final bid withdrawal payment equal to either the difference
between the bidder's net withdrawn bid and the subsequent net winning
bid (or subsequent net withdrawn bid), or the difference between the
bidder's gross withdrawn bid and the subsequent gross winning bid (or
subsequent gross withdrawn bid), whichever is less.[^9]

With respect to Intek's withdrawals of sixteen high bids in Auction No.
18, because all sixteen licenses were auctioned in Auction No. 24, the
Commission is able to assess the full amount of the final bid withdrawal
payment for each license.[^10] For four out of the sixteen licenses, a
final bid withdrawal payment is due because the winning bid amount in
Auction No. 24, the subsequent auction of those licenses is less than
Intek's withdrawn bid amount.[^11] With respect to the remaining twelve
licenses, no final bid withdrawal payment is assessed because the
winning bid or subsequent intervening withdrawn bid in Auction No. 24
was equal to or greater than Intek's withdrawn bid amount.[^12] The
cumulative sum of the final bid withdrawal payments is \$129,900.00 as
shown below and in Attachment A to this letter.[^13]

> Albany-Schenectady-Troy, NY BEA005C \$ 0.00
>
> Wheeling, WV-OH BEA052B \$ 0.00
>
> Pittsburgh, PA-WV BEA053C \$ 0.00

###### Toledo, OH BEA056A \$ 3,600.00

> Memphis, TN-AR-MS-KY BEA073B \$ 0.00
>
> Baton Rouge, LA-MS BEA084C \$ 0.00
>
> Columbia, MO BEA098E \$ 0.00
>
> Kansas City, MO-KS BEA099B \$ 0.00
>
> Des Moines, IA-IL-MO BEA100D \$ 0.00

###### Topeka, KS BEA123E \$ 2,300.00

###### Economic Area Group 2 EAG002F \$ 0.00

###### Economic Area Group 2 EAG002I \$113,000.00

###### Economic Area Group 3 EAG003F \$ 0.00

###### Economic Area Group 3 EAG003G \$ 11,000.00

###### Economic Area Group 4 EAG004F \$ 0.00

###### Economic Area Group 4 EAG004I \$ 0.00

###### Total \$129,900.00

###### 

Because the sixteen licenses were unsold at the end of Auction No. 18,
interim bid withdrawal payments equal to three percent (3%) of the net
amount of the withdrawn bids were deducted from any up-front payments or
down payments deposited for Intek's account with the Commission.[^14]
The cumulative sum of these interim bid withdrawal payments is
\$51,204.00 as shown in Attachment A to this letter.[^15] Therefore, in
accordance with Section 1.2104 of the Commission's rules, after applying
the interim bid withdrawal payments of \$51,204.00, Intek owes an
outstanding balance of \$78,696.00 in connection with the licenses it
withdrew high bids on in Auction No. 18.[^16]

Sum of Final Bid Withdrawal Payments \$ 129,900.00

Less sum of Interim Withdrawal Payments \$ 51,204.00

#######  Total amount due \$ 78,696.00

As a result, Intek is in debt to the United States in the amount of
\$78,696.00, payable in full, immediately, and without further demand.
As permitted under 31 U.S.C. § 3717, the debt is subject to interest,
penalties, and administrative costs, and interest accrues from the date
of this letter, which is also its mailing date. Intek, the debtor, may
avoid payment of the interest if it tenders to the Commission full
payment within 30 days of the date of the letter. Moreover, the debt is
subject to an additional charge to cover the cost of processing and
handling of delinquent debts, and a penalty charge in the amount
permitted by law. The penalty charge for delinquent debt payments
permitted by 31 U.S.C. § 3717 currently is 6 percent a year for the
failure to pay any part of the debt more than 90 days past due.

### [Ordering Clauses]{.underline}

Accordingly, IT IS ORDERED that, pursuant to Sections 4(i) and 309 of
the Communications Act of 1934 as amended, 47 U.S.C. §§ 154(i), 309, and
Section 1.2104 of the Commission's Rules, 47 C.F.R. § 1.2104(g), Intek
IS ASSESSED a final bid withdrawal payment in the amount of \$3,600.00
for license BEA0056A, \$2,300.00 for license BEA123E, \$113,000.00 for
license EAG002I, \$11,000.00 for license EAG003G, totaling \$129,900.00,
as computed in Attachment A.

IT IS FURTHER ORDERED, that no final bid withdrawal payment is due on
licenses BEA005C, BEA052B, BEA053C, BEA073B, BEA084C, BEA098E, BEA099B,
BEA100D, EAG002F, EAG003F, EAG004F, and EAG004I.

IT IS FURTHER ORDERED, that, pursuant to 47 C.F.R. §§ 1.2104 and 1.2106,
the sum of Intek's interim bid withdrawal payments of \$51,204.00 will
be applied towards the sum of the final bid withdrawal payments of
\$129,900.00 for the four 220 MHz licenses from Auction No. 18, leaving
Intek with a total debt to the Commission in the amount of \$78,696.00.

IT IS FURTHER ORDERED that Intek's debt of \$78,696.00 be paid
immediately, in accordance with the payment instructions in Attachment B
within 30 days of the date of this letter, and if it is unpaid 30 days
of the date of this letter, interest will accrue from the date of this
letter along with penalties and administrative costs permitted by 31
U.S.C. § 3717.

IT IS FURTHER ORDERED that this letter shall be sent to the applicant
and its representatives by certified mail, return receipt requested.
This action is taken pursuant to authority delegated by Section 0.331 of
the Commission's rules, 47 C.F.R. § 0.331.

Sincerely,

Margaret W. Wiener, Chief

> Auctions and Industry Analysis Division
>
> Wireless Telecommunications Bureau

cc: Marvin E. Marstall, FCC License Manager

Intek License Acquisition Corporation

1690 North Topping

Kansas City, MO 64120

+-----------+-----------+-------+---+-----------+---------+----------+
| **        | **AUCTION | **AU  |   | **AUCTION | **Final | *        |
| License** | 18**      | CTION |   | 24**      | Wit     | *Interim |
|           |           | 24**  |   |           | hdrawal | Bid      |
| **Number  | **        |       |   | **Net     | Pa      | Wi       |
| and       | Intek's** | **    |   | Winning   | yment** | thdrawal |
| Frequency |           | Gross |   | Bid**     |         | P        |
| Blk**     | **Wi      | Wi    |   |           | (Dif    | ayment** |
|           | thdrawn** | nning |   | (or       | ference |          |
|           |           | Bid** |   | in        | between | (3% of   |
|           | **Gross   |       |   | tervening | #18 and | Intek's  |
|           | Bid**     | (or   |   | s         | #24 Net |          |
|           |           | i     |   | ubsequent | or      | w        |
|           |           | nterv |   |           | Gross   | ithdrawn |
|           |           | ening |   | net       | Bid)    | bid )    |
|           |           | subse |   | withdrawn |         |          |
|           |           | quent |   | bid)      |         |          |
|           |           | gross |   |           |         |          |
|           |           | with  |   |           |         |          |
|           |           | drawn |   |           |         |          |
|           |           | bid)  |   |           |         |          |
+-----------+-----------+-------+---+-----------+---------+----------+
| ###       | \         | \     |   | \$        | \$0.00  | \$75.00  |
|           | $2,500.00 | $26,0 |   | 16,900.00 |         |          |
| ###       |           | 00.00 |   |           |         |          |
|  BEA 005C |           |       |   |           |         |          |
+-----------+-----------+-------+---+-----------+---------+----------+
| BEA 052B  | \         | \$3,4 |   | \         | \$0.00  | \$75.00  |
|           | $2,500.00 | 00.00 |   | $2,210.00 |         |          |
| BEA 053C  |           |       |   |           | \$0.00  | \$135.00 |
|           | \         | \$5,4 |   | \         |         |          |
| ########  | $4,505.00 | 00.00 |   | $3,510.00 | \$3     | \$180.00 |
|  BEA 056A |           |       |   |           | ,600.00 |          |
|           | \         | \$2,4 |   | \         |         | \$180.00 |
| BEA 073B  | $6,000.00 | 00.00 |   | $2,400.00 | \$0.00  |          |
|           |           |       |   |           |         | \$141.00 |
| BEA 084C  | \         | \     |   | \$        | \$0.00  |          |
|           | $6,000.00 | $10,0 |   | 10,000.00 |         | \$87.00  |
| BEA 098E  |           | 00.00 |   |           | \$0.00  |          |
|           | \         |       |   | \         |         | \$237.00 |
| BEA 099B  | $4,700.00 | \$5,4 |   | $5,400.00 | \$0.00  |          |
|           |           | 00.00 |   |           |         | \$75.00  |
| BEA 100D  | \         |       |   | \         | \$0.00  |          |
|           | $2,900.00 | \$6,2 |   | $4,030.00 |         | \$159.00 |
| BEA 123E  |           | 00.00 |   |           | \$2     |          |
|           | \         |       |   | \         | ,300.00 | \$       |
| EAG 002F  | $7,900.00 | \     |   | $7,150.00 |         | 9,570.00 |
|           |           | $11,0 |   |           | \$0.00  |          |
| ###       | \         | 00.00 |   | \         |         | \$       |
|  EAG 002I | $2,500.00 |       |   | $3,185.00 | \$113   | 8,370.00 |
|           |           | \$4,9 |   |           | ,000.00 |          |
| EAG 003F  | \         | 00.00 |   | \         |         | \$       |
|           | $5,300.00 |       |   | $3,000.00 | \$0.00  | 8,790.00 |
| ########  |           | \$3,0 |   |           |         |          |
|  EAG 003G | \$3       | 00.00 |   | \$2       | \$11    | \$1      |
|           | 19,000.00 |       |   | 45,700.00 | ,000.00 | 1,370.00 |
| EAG 004F  |           | \$    |   |           |         |          |
|           | \$2       | 378,0 |   | \$1       | \$0.00  | \$       |
| EAG 004I  | 79,000.00 | 00.00 |   | 66,000.00 |         | 6,090.00 |
|           |           |       |   |           | \$0.00  |          |
|           | \$2       | \$    |   | \$1       |         | \$       |
|           | 93,000.00 | 166,0 |   | 93,700.00 |         | 5,670.00 |
|           |           | 00.00 |   |           |         |          |
|           | \$3       |       |   | \$3       |         |          |
|           | 79,000.00 | \$    |   | 68,000.00 |         |          |
|           |           | 298,0 |   |           |         |          |
|           | \$2       | 00.00 |   | \$1       |         |          |
|           | 03,000.00 |       |   | 41,050.00 |         |          |
|           |           | \$    |   |           |         |          |
|           | \$1       | 368,0 |   | \$1       |         |          |
|           | 89,000.00 | 00.00 |   | 23,500.00 |         |          |
|           |           |       |   |           |         |          |
|           |           | \$    |   |           |         |          |
|           |           | 217,0 |   |           |         |          |
|           |           | 00.00 |   |           |         |          |
|           |           |       |   |           |         |          |
|           |           | \$    |   |           |         |          |
|           |           | 190,0 |   |           |         |          |
|           |           | 00.00 |   |           |         |          |
+-----------+-----------+-------+---+-----------+---------+----------+
| #####     |           |       |   |           | \$129   | \$5      |
| ### Total |           |       |   |           | ,942.00 | 1,204.03 |
+-----------+-----------+-------+---+-----------+---------+----------+
|           |           |       |   |           |         |          |
+-----------+-----------+-------+---+-----------+---------+----------+
|           |           |       | T |           |         | \$129,   |
|           |           |       | o |           |         | 900. 00  |
|           |           |       | t |           |         |          |
|           |           |       | a |           |         |          |
|           |           |       | l |           |         |          |
|           |           |       | F |           |         |          |
|           |           |       | i |           |         |          |
|           |           |       | n |           |         |          |
|           |           |       | a |           |         |          |
|           |           |       | l |           |         |          |
|           |           |       | B |           |         |          |
|           |           |       | i |           |         |          |
|           |           |       | d |           |         |          |
|           |           |       | W |           |         |          |
|           |           |       | i |           |         |          |
|           |           |       | t |           |         |          |
|           |           |       | h |           |         |          |
|           |           |       | d |           |         |          |
|           |           |       | r |           |         |          |
|           |           |       | a |           |         |          |
|           |           |       | w |           |         |          |
|           |           |       | a |           |         |          |
|           |           |       | l |           |         |          |
|           |           |       | P |           |         |          |
|           |           |       | a |           |         |          |
|           |           |       | y |           |         |          |
|           |           |       | m |           |         |          |
|           |           |       | e |           |         |          |
|           |           |       | n |           |         |          |
|           |           |       | t |           |         |          |
|           |           |       | s |           |         |          |
+-----------+-----------+-------+---+-----------+---------+----------+
|           |           |       | L |           |         | \-       |
|           |           |       | e |           |         | \$5      |
|           |           |       | s |           |         | 1,204.00 |
|           |           |       | s |           |         |          |
|           |           |       | S |           |         |          |
|           |           |       | u |           |         |          |
|           |           |       | m |           |         |          |
|           |           |       | o |           |         |          |
|           |           |       | f |           |         |          |
|           |           |       | I |           |         |          |
|           |           |       | n |           |         |          |
|           |           |       | t |           |         |          |
|           |           |       | e |           |         |          |
|           |           |       | r |           |         |          |
|           |           |       | i |           |         |          |
|           |           |       | m |           |         |          |
|           |           |       | W |           |         |          |
|           |           |       | i |           |         |          |
|           |           |       | t |           |         |          |
|           |           |       | h |           |         |          |
|           |           |       | d |           |         |          |
|           |           |       | r |           |         |          |
|           |           |       | a |           |         |          |
|           |           |       | w |           |         |          |
|           |           |       | a |           |         |          |
|           |           |       | l |           |         |          |
|           |           |       |   |           |         |          |
|           |           |       | P |           |         |          |
|           |           |       | a |           |         |          |
|           |           |       | y |           |         |          |
|           |           |       | m |           |         |          |
|           |           |       | e |           |         |          |
|           |           |       | n |           |         |          |
|           |           |       | t |           |         |          |
|           |           |       | s |           |         |          |
+-----------+-----------+-------+---+-----------+---------+----------+
|           |           |       | * |           |         | **\$78,  |
|           |           |       | * |           |         | 696.00** |
|           |           |       | T |           |         |          |
|           |           |       | o |           |         |          |
|           |           |       | t |           |         |          |
|           |           |       | a |           |         |          |
|           |           |       | l |           |         |          |
|           |           |       | A |           |         |          |
|           |           |       | m |           |         |          |
|           |           |       | o |           |         |          |
|           |           |       | u |           |         |          |
|           |           |       | n |           |         |          |
|           |           |       | t |           |         |          |
|           |           |       | D |           |         |          |
|           |           |       | u |           |         |          |
|           |           |       | e |           |         |          |
|           |           |       | * |           |         |          |
|           |           |       | * |           |         |          |
+-----------+-----------+-------+---+-----------+---------+----------+

**[ATTACHMENT B]{.underline}**

The following information is being provided to assist you in making your
payment.

**PAYMENT INSTRUCTIONS**

All payments must be made in U.S. currency in the form of a wire
transfer. No personal checks, cashier's checks or other forms of payment
will be accepted. Wire transfer payments must be received by Mellon Bank
by 6:00 PM Eastern Time, no later than thirty days from the date of the
ORDER; however, if the 30th day falls on a non-business day, e.g.,
Saturday, Sunday or holiday, it is due the next business day. Applicants
must allow sufficient time for the wire transfer to be initiated and for
the transmission to be completed prior to the deadline. To submit funds
by wire, applicants will need the following information to properly
effect the transmittal:

ABA Routing Number: 043000261

Receiving Bank: Mellon Pittsburgh

BNF: FCC/Account #911-6106

OBI Field: (Skip one space between each information item)

"AUCTIONPAY"

TAXPAYER IDENTIFICATION NO. (same as FCC Form 159, Block 12)

PAYMENT TYPE CODE (enter "APEN") same as FCC Form 159, Block 24A

FCC CODE 1 (same as FCC Form 159, Block 28A: ("18")

PAYOR NAME (same as FCC Form 159, Block 2)

LOCKBOX No.: 358850

A completed FCC Remittance Advice Form (FCC Form 159, Version 2/00) must
accompany payments. On the same business day that the applicant submits
payment to Mellon Bank, the applicant must submit a completed FCC Form
159 via facsimile at (412) 209-6045, at least one-hour prior to placing
the order for the wire transfer. The specified debt is due and payable
to the United States immediately and without demand, and it is subject
to interest, penalties, and additional administrative costs. Interest
accrues from the date of the ORDER; however, to avoid the payment of
charges (i.e., interest, penalties, and administrative costs) and
enforced collection, full payment must be made and received within 30
days from the date of the ORDER. Debtor's failure to make complete
timely payment will result in assessment of such charges permitted by 31
U.S.C. § 3717.

For questions regarding the submission of payment, and the FCC Form 159,
contact Gail Glasser or Tim Dates, Office of the Managing Director,
Financial Operations Center, Auctions Accounting Group, at (202)
418-0578 or (202) 418-0496.

[^1]: Phase II 220 MHz Service Auction Closes, Winning Bidders in the
    Auction of 908 Phase II 220 MHz Service Licenses, Report No.
    AUC-18-F (Auction No. 18), *Public Notice*, 14 FCC Rcd. 605,
    Attachment C (1998) ("*Auction No. 18 Winning Bidders Public
    Notice*"). During Auction No. 18, Intek withdrew high bids on
    thirty-six licenses and twenty of those licenses subsequently sold
    in the same auction. *Id.* at Attachment C. Because eight of the
    twenty licenses received winning bids that were less than Intek's
    withdrawn bid amount, a final bid withdrawal penalty in the amount
    of \$114,000.00 was assessed and deducted from Intek's upfront
    payment for licenses BEA003A, BEA015A, BEA029E, BEA107A, EAG003H,
    EAG005F, EAG005H, EAG005I. *Id*. at Attachment B and C. With respect
    to the remaining twelve licenses, no bid withdrawal penalties were
    assessed because the winning bid was equal to or greater than
    Intek's withdrawn bid amount for licenses BEA008B, BEA035B, BEA053E,
    BEA054A, BEA063A, BEA079B, BEA083B, BEA099E, BEA118D, BEA152E,
    BEA164E, and BEA174C. *Id.* at Attachment C.

[^2]: *Auction No. 18 Winning Bidders Public Notice* at Attachment A and
    C.

[^3]: Phase II 220 MHz Service Spectrum Auction Closes, Winning Bidders
    in the Auction of 225 Licenses in the Phase II 220 MHz Service,
    Report No. AUC-24-E (Auction No. 24), *Public Notice*, 14 FCC Rcd
    11218 (1999) ("*Auction No. 24 Winning Bidders Public Notice*").

[^4]: 47 C.F.R. § 1.2104(g)(1) (1998).

[^5]: *Id.*

[^6]: *Id.*; *Auction No. 18 Winning Bidders Public Notice*, 14 FCC Rcd
    at 608 and Attachment C (lists bidders' three percent interim bid
    withdrawal payments).

[^7]: 47 C.F.R. § 1.2106(e) (1998); *see Auction No. 18 Winning Bidders
    Public Notice*, 14 FCC Rcd at 608.

[^8]: 47 C.F.R. § 1.2104(g)(1).

[^9]: *Id.*

[^10]: *See Auction No. 24 Winning Bidders Public Notice*, DA 99-1287 at
    Attachment E which provides a multi-auction withdrawal payment
    report detailing Intek's final bid withdrawal payments and the
    amounts due.

[^11]: 47 C.F.R. § 1.2104(g)(1).

[^12]: With respect to license EAG003F, during Auction No. 24, 220 MHz
    Auction Group withdrew a gross high bid that was higher than Intek's
    withdrawn gross high bid in Auction No. 18. *Auction No. 24 Winning
    Bidders Public Notice* at Attachment C and E. Similarly, with
    respect to license EAG004F, Police Emergency Radio Services, Inc.
    withdrew a gross high bid that was higher than Intek's withdrawn
    gross bid in Auction No. 18. *Id.* Accordingly, Intek is not
    assessed bid withdrawal penalties on licenses EAG003F and EAG004F.
    47 C.F.R. 1.2104(g)(1).

[^13]: Attachment A calculates the final bid withdrawal payments for
    each of the licenses; *see also* *Auction No. 24 Winning Bidders
    Public Notice* at Attachment E.

[^14]: *See Auction No. 18 Winning Bidders Public Notice* at Attachment
    B and C.

[^15]: *Id*.

[^16]: To make the final bid withdrawal payment, Intek must submit
    payment in accordance with the instructions set forth in Attachment
    B.