**Before the**

## Federal Communications Commission {#federal-communications-commission .unnumbered}

**Washington, D.C. 20554**

)

In the Matter of ) File No. EB-02-PA-280

)

Statcom Communications Corporation ) NAL/Acct. No. 200332400007

)

Staten Island, New York ) FRN: 0005-1410-72

)

NOTICE OF APPARENT LIABILITY FOR FORFEITURE

> Released: January 27, 2003

By the District Director, Philadelphia Office, Enforcement Bureau:

# I. INTRODUCTION {#i.-introduction .unnumbered}

1.  In this Notice of Apparent Liability for Forfeiture ("NAL"), we find
    that Statcom Communications Corporation (\"Statcom\") has apparently
    violated Section 1.903(a) of the Commission's Rules (the
    "Rules").[^1] This violation occurred as a result of Statcom\'s
    operation of two trunked radio systems at the unauthorized location
    of 700 Victory Boulevard, Staten Island, New York and its operation
    of radio transmitting equipment on the unauthorized frequency
    462.075 MHz. We conclude that Statcom is apparently liable for a
    forfeiture in the amount of twelve thousand dollars (\$12,000).

## BACKGROUND

2.  On July 30, 2002, the Enforcement Bureau received information that
    Statcom was operating a trunked radio system at the unauthorized
    location of 700 Victory Boulevard, Staten Island, New York
    ("Parkview House"). FCC agents with the Philadelphia Office and New
    York Office conducted an investigation and found that on July 30,
    2002 and July 31, 2002 Statcom operated a single trunked radio
    system on the frequencies 477.8125 MHz, 462.450 MHz, 461.450 MHz,
    478.0875 MHz, 472.5125 MHz, 461.825 MHz, 462.025 MHz, 461.775 MHz,
    461.475 MHz and 462.075 MHz at the Parkview House.

3.  At the time of the investigation, Statcom was authorized to operate
    a trunked radio system at 10 Highpoint Road, Staten Island, New York
    on the frequencies 477.8125 MHz, 462.450 MHz, 461.450 MHz, 478.0875
    MHz, 472.5125 MHz, and 461.825 MHz.[^2] It was also authorized to
    operate a trunked radio system at 631 Howard Avenue, Staten Island,
    New York on the frequencies 462.025 MHz, 461.775 MHz and 461.475 MHz
    under the call sign WPUD412. At the time of the investigation,
    Statcom was not authorized to operate any radio transmitting
    equipment on any frequency at the Parkview House. At the time of the
    inspection, Statcom did not have authorization to operate any radio
    transmitting equipment on the frequency 462.075 MHz at any location.

4.  During an interview on July 31, 2002, Mr. Howard Miller, the
    President of Statcom, informed the FCC agents that Statcom recently
    relocated its trunked radio systems from 10 Highpoint Road, Staten
    Island, New York and 631 Howard Avenue, Staten Island New York.
    Statcom installed the two trunked radio systems at the Parkview
    House and combined them into a single trunked radio system. Mr.
    Miller acknowledged that Statcom relocated these stations prior to
    obtaining authorization from the Commission. He did not address
    Statcom's operation on the unauthorized frequency 462.075 MHz.

5.  On August 5, 2002, the Philadelphia Office issued a Notice of
    Violation to Statcom for operating two trunked radio systems at the
    unauthorized location of 700 Victory Boulevard, Staten Island, New
    York and for operating radio transmitting equipment on the
    unauthorized frequency 462.075 MHz, in violation of Section 1.903(a)
    of the Rules. By letter dated August 19, 2002, Statcom submitted a
    response to the Notice of Violation. In the response, Statcom stated
    that it installed a trunked radio system at the Parkview House
    because its 22-channel trunked radio system at the World Trade
    Center was destroyed when the building collapsed on September
    11, 2001. It acknowledged that it did overlook modifying the
    licenses for the Parkview House in its haste to provide adequate
    interference-free communications to its customers. It noted that it
    has taken steps to obtain authorization by filing license
    applications with the FCC for all the frequencies it intends to use
    at the Parkview House and by filing a request for Special Temporary
    Authority.

### III. DISCUSSION {#iii.-discussion .unnumbered}

6.  Section 1.903(a) of the Rules requires that stations in the Wireless
    Radio Services must be used and operated only in accordance with the
    rules applicable to their particular service as set forth in this
    title and with a valid authorization granted by the Commission under
    the provisions of this part. Statcom was authorized to operate
    separate trunked radio systems at 10 Highpoint Road, Staten Island,
    New York and 631 Howard Avenue, Staten Island, New York. Statcom
    relocated these two trunked radio systems to the Parkview House
    prior to obtaining authorization from the Commission. On July 30,
    2002 and July 31, 2002, Statcom operated these two trunked radio
    systems at the Parkview House. Furthermore, on July 30, 2002 and
    July 31, 2002, Statcom operated radio transmission equipment system
    at the Parkview House on the unauthorized frequency 462.075 MHz.

7.  In its response to the Notice of Violation, Statcom explained that
    it was severely impacted on September 11, 2001 when its 22-channel
    trunked radio system at the World Trade Center was destroyed.
    Statcom detailed how it installed radio-transmitting equipment at
    alternative sites including the Parkview House to provide adequate
    coverage for its affected customers. However, the Enforcement Bureau
    conducted its inspection almost a year after September 11, 2001.
    Statcom had sufficient time to submit appropriate applications to
    the Commission for any changes that it made to its radio
    communications systems. None of the stations that the FCC agents
    inspected at the Parkview House were ever authorized to operate from
    the World Trade Center. In fact, Mr. Miller stated that Statcom had
    relocated the stations that were once licensed at the World Trade
    Center to 1 Chrysler Building, New York City, New York after
    September 11, 2001.

8.  In response to a further inquiry from the Philadelphia Office,
    Statcom stated that operation on 462.075 MHz at the Parkview House
    was covered by an agreement with Frequency Plus Corp., the licensee
    of the equipment. Frequency Plus Corp. stated in response to a
    follow-up letter to them that Statcom was not authorized to relocate
    their transmitter from the licensed location of Todt Hill in Staten
    Island, New York.

9.  Based on the evidence before us, we find that Statcom willfully[^3]
    and repeatedly[^4] violated Section 1.903(a) of the Rules. *The
    Commission's Forfeiture Policy Statement and Amendment of Section
    1.80 of the Rules to Incorporate the Forfeiture Guidelines*, 12 FCC
    Rcd 17087, 17113 (1997), *recon. denied*, 15 FCC Rcd 303(1999)
    ("*Forfeiture Policy Statement*"),[^5] sets the base forfeiture
    amount for operation of each radio system at an unauthorized
    location at \$4,000 and for operation on an unauthorized frequency
    at \$4,000. In assessing the monetary forfeiture amount, we must
    take into account the statutory factors set forth in Section
    503(b)(2)(D) of the Communications Act of 1934,[^6] (the "Act"), as
    amended, which include the nature, circumstances, extent, and
    gravity of the violation, and with respect to the violator, the
    degree of culpability, any history of prior offenses, ability to
    pay, and other such matters as justice may require. Applying the
    *Forfeiture Policy Statement* and the statutory factors to the
    instant case and applying the inflation adjustments, we believe that
    a twelve thousand dollar (\$12,000) monetary forfeiture is
    warranted.

## IV. ORDERING CLAUSES {#iv.-ordering-clauses .unnumbered}

10. Accordingly, IT IS ORDERED THAT, pursuant to Section 503(b) of the
    Act,[^7] and Sections 0.111, 0.311 and 1.80 of the Rules,[^8]
    Statcom is hereby NOTIFIED of its APPARENT LIABILITY FOR A
    FORFEITURE in the amount of twelve thousand dollars (\$12,000) for
    its operation of two trunked radio systems at an unauthorized
    location and its operation of radio transmitting equipment on an
    unauthorized frequency.

11. IT IS FURTHER ORDERED THAT, pursuant to Section 1.80 of the Rules,
    within thirty days of the release date of this NOTICE OF APPARENT
    LIABILITY, Statcom SHALL PAY the full amount of the proposed
    forfeiture or SHALL FILE a written statement seeking reduction or
    cancellation of the proposed forfeiture.

12. Payment of the forfeiture may be made by mailing a check or similar
    instrument, payable to the order of the Federal Communications
    Commission, to the Forfeiture Collection Section, Finance Branch,
    Federal Communications Commission, P.O. Box 73482, Chicago, Illinois
    60673-7482. The payment should note the NAL/Acct. No. 200332400007
    and FRN: 0005-1410-72.

13. The response, if any, must be mailed to Federal Communications
    Commission, Enforcement Bureau, Technical and Public Safety
    Division, 445 12th Street, S.W., Washington, D.C. 20554 and MUST
    INCLUDE THE NAL/Acct. No. 20033240007 and FRN: 0005-1410-72.

14. The Commission will not consider reducing or canceling a forfeiture
    in response to a claim of inability to pay unless the petitioner
    submits: (1) federal tax returns for the most recent three-year
    period; (2) financial statements prepared according to generally
    accepted accounting practices ("GAAP"); or (3) some other reliable
    and objective documentation that accurately reflects the
    petitioner's current financial status. Any claim of inability to pay
    must specifically identify the basis for the claim by reference to
    the financial documentation submitted.

15. Requests for payment of the full amount of this Notice of Apparent
    Liability under an installment plan should be sent to: Chief,
    Revenue and Receivables Operations Group, 445 12th Street, S.W.,
    Washington, D.C. 20554.[^9]

16. Under the Small Business Paperwork Relief Act of 2002, Pub L. No.
    107-198, 116 Stat. 729 (June 28, 2002), the FCC is engaged in a
    two-year tracking process regarding the size of entities involved in
    forfeitures. If you qualify as a small entity and if you wish to be
    treated as a small entity for tracking purposes, please so certify
    to us within thirty (30) days of this NAL, either in your response
    to the NAL or in a separate filing to be sent to the Technical and
    Public Safety Division. Your certification should indicate whether
    you, including your parent entity and its subsidiaries, meet one of
    the definitions set forth in the list provided by the FCC's Office
    of Communications Business Opportunities (OCBO) set forth in
    Attachment A of this Notice of Apparent Liability. This information
    will be used for tracking purposes only. Your response or failure to
    respond to this question will have no effect on your rights and
    responsibilities pursuant to Section 503(b) of the Communications
    Act. If you have questions regarding any of the information
    contained in Attachment A, please contact OCBO at (202) 418-0990.

17. IT IS FURTHER ORDERED THAT a copy of this NOTICE OF APPARENT
    LIABILITY shall be sent by Certified Mail, Return Receipt Requested,
    to Statcom Communications Corporation, 1324 Forest Avenue, Staten
    Island, New York 10302.

FEDERAL COMMUNICATIONS COMMISSION

John E. Rahtes

District Director

Philadelphia Office

Attachment A: Condensed List of Small Agencies

[^1]: 47 C.F.R. § 1.903(a).

[^2]: Statcom is authorized to operate stations WIL718 (477.8125 MHz),
    WPPH856 (462.450 MHz), KNEW768 (461.450 MHz), WIL766 (478.0875 MHz
    and 472.5125 MHz) and WNIH640 (461.825 MHz) at 10 Highpoint Road,
    Staten Island, New York in a trunked radio system configuration.

[^3]: Section 312(f)(1) of the Act, 47 U.S.C. § 312(f)(1), which applies
    to Section 503(b) of the Act, provides that "\[t\]he term 'willful',
    when used with reference to the commission or omission of any act,
    means the conscious and deliberate commission or omission of such
    act, irrespective of any intent to violate any provision of this Act
    ...." *See Southern California Broadcasting Co.*, 6 FCC Rcd 4387
    (1991).

[^4]: Section 312(f)(2), which also applies to Section 503(b), provides:
    \[t\]he term "repeated", when used with reference to the commission
    or omission of any act, means the commission or omission of such act
    more than once or, if such commission or omission is continuous, for
    more than one day.

[^5]: 47 C.F.R. § 1.80.

[^6]: 47 U.S.C § 503(b)(2)(D).

[^7]: 47 U.S.C § 503(b).

[^8]: 47 C.F.R. §§ 0.111 and 0.311.

[^9]: See 47 C.F.R. § 1.1914.