Issued: 04/27/2015
On April 15, after a multi-year investigation arising from events in 2004-2008, the Chief of the Telecommunications Access Policy Division (TAPD) of the FCC's Wireline Competition Bureau issued an Order denying appeals by an E-rate service provider and four Massachusetts school districts of a USAC decision that found numerous flagrant violations of the E-rate rules in the provider's dealings with the schools. These included violations of the program's competitive bidding and non-discount share rules. The Order found that the provider, Achieve Telecom Network, "devised a scheme to pass through, control, and direct the disbursement of funds... to cover the Schools' non-discount share of the costs of Achieve's services, in violation of the E-rate program rules," and that "as a result of this scheme, Achieve essentially provided 'free services' to the Schools."