FCC Orders USF Overpayment Recovery and Plans Fine Totaling $76 Million

The Federal Communications Commission voted to take multiple actions against Sandwich Isles Communications, which provides phone and broadband service to customers on Hawaiian Home Lands, for violations and apparent violations related to Universal Service Fund (USF) support. As a result, the company will be required to repay over $27 million in improper payments of universal service support. In addition, following an investigation by the FCC’s Enforcement Bureau, the Commission has proposed more than $49 million in fines against the company for apparent violations of rules relating to the high-cost program.

Sandwich Isles has ongoing obligations to its customers, under both the Communications Act and Commission rules, to continue to provide interstate telecommunications services and may not discontinue service without the Commission’s express authorization.