Enforcement Action Overview
On October 28, 2011, the Federal Communications Commission's Enforcement Bureau adopted and released a Notice of Apparent Liability for Forfeiture (DA 11-1809) against Keystone Wireless, LLC d.b.a. Immix Wireless. The Commission proposed a penalty of $100,000 for apparent willful and repeated violations of Section 20.19(c)(3)(ii) and Section 20.19(d)(3)(ii) of the FCC rules governing hearing aid compatibility (HAC) handset deployment.
Keystone Wireless is a Tier III Global System for Mobile Communications (GSM) carrier serving central Pennsylvania. Under Commission regulations, mobile service providers must offer specific numbers or percentages of digital wireless handsets that meet technical standards for acoustic coupling (M-ratings) and inductive coupling (telecoil or T-ratings) to ensure access for individuals with hearing loss.
- Carrier: Keystone Wireless, LLC d.b.a. Immix Wireless
- Action: Notice of Apparent Liability for Forfeiture (NAL/Acct. No. 201232100001)
- Proposed Penalty: $100,000
- Rule Sections: 47 C.F.R. § 20.19(c)(3)(ii) and § 20.19(d)(3)(ii)
- File Number: EB-11-SE-053
Investigation and Handset Shortfalls
The investigation was initiated after the Wireless Telecommunications Bureau reviewed Keystone Wireless's Hearing Aid Compatibility Status Report for the 2010 reporting period, filed on January 7, 2011, and referred the matter to the Enforcement Bureau. Cross-referencing the report with the FCC Office of Engineering and Technology Equipment Authorization System revealed inconsistencies in the ratings claimed for multiple handset models.
After accounting for the verified equipment authorizations, the Enforcement Bureau determined that Keystone Wireless fell short of the required deployment benchmarks for substantial portions of the 2010 calendar year.
For acoustic coupling (M3 or higher ratings), non-Tier I providers were required to offer at least 50% of models or at least 9 handset models per air interface through May 14, 2010, increasing to 10 models beginning May 15, 2010. Keystone Wireless failed to meet the benchmark for nine and one-half months, offering as few as 5 to 8 compliant models while offering between 15 and 22 models overall.
For inductive coupling (T3 or higher ratings), non-Tier I carriers were required to offer at least one-third of models or at least 5 models per air interface through May 14, 2010, and at least 7 models from May 15, 2010 onward. Keystone Wireless failed to meet these deployment levels for eleven and one-half months, offering as few as 3 compliant models during several months of 2010.
- M3 Acoustic Shortfall: Non-compliant for 9.5 months during the 12-month reporting period
- T3 Inductive Shortfall: Non-compliant for 11.5 months during the 12-month reporting period
- Air Interface: GSM operations across central Pennsylvania
- Equipment Data Discrepancies: Inconsistencies identified between carrier status report listings and Commission equipment authorization records
Forfeiture Calculation and Next Steps
The Commission established base forfeitures of $15,000 per missing handset model below the required threshold for each technical category. Applying this to the violations within the one-year statutory period resulted in a $15,000 base forfeiture for missing one M3 model in October 2010 and a $60,000 base forfeiture for falling short by four T3 models during late 2010, yielding a total base amount of $75,000.
Due to the extended duration of the apparent violations—spanning nearly the entire annual reporting cycle—the Enforcement Bureau applied an upward adjustment, increasing the proposed forfeiture to $100,000. Keystone Wireless was ordered to pay the forfeiture or file a written response within 30 days seeking reduction or cancellation supported by appropriate documentation.
- M3 Base Forfeiture: $15,000 (1 missing model)
- T3 Base Forfeiture: $60,000 (4 missing models at $15,000 each)
- Adjusted Total Forfeiture: $100,000 reflecting the extended duration of non-compliance
- Response Deadline: 30 days from the release date of October 28, 2011