Notice of Debarment; Schools and Libraries Universal Service Support Mechanism, 8694-8696 [E8-2812]

Download as PDF 8694 Federal Register / Vol. 73, No. 31 / Thursday, February 14, 2008 / Notices debar.17 If the Bureau decides to debar you, its decision will become effective upon the earlier of your receipt of a debarment notice or publication of the decision in the Federal Register.18 If and when your debarment becomes effective, you will be prohibited from participating in activities associated with or related to the schools and libraries support mechanism for three years from the date of debarment.19 The Bureau may, if necessary to protect the public interest, extend the debarment period.20 Please direct any response, if by messenger or hand delivery, to Marlene H. Dortch, Secretary, Federal Communications Commission, 236 Massachusetts Avenue, NE., Suite 110, Washington, DC 20002, to the attention of Diana Lee, Attorney Advisor, Investigations and Hearings Division, Enforcement Bureau, Room 4–C330, with a copy to Vickie Robinson, Assistant Chief, Investigations and Hearings Division, Enforcement Bureau, Room 4–C330, Federal Communications Commission. If sent by commercial overnight mail (other than U.S. Postal Service Express Mail and Priority Mail), the response should be sent to the Federal Communications Commission, 9300 East Hampton Drive, Capitol Heights, Maryland 20743. If sent by first-class, Express, or Priority mail, the response should be sent to Diana Lee, Attorney Advisor, Investigations and Hearings Division, Enforcement Bureau, Federal Communications Commission, 445 12th Street, SW., Room 4–C330, Washington, DC 20554, with a copy to Vickie Robinson, Assistant Chief, Investigations and Hearings Division, Enforcement Bureau, Federal Communications Commission, 445 12th Street, SW., Room 4–C330, Washington, DC 20554. You shall also transmit a copy of the response via email to diana.lee@fcc.gov and to vickie.robinson@fcc.gov. If you have any questions, please contact Ms. Lee via mail, by telephone at (202) 418– 1420 or by e-mail at diana.lee@fcc.gov. If Ms. Lee is unavailable, you may contact Ms. Vickie Robinson, Assistant Chief, Investigations and Hearings Division, by telephone at (202) 418–1420 and by e-mail at vickie.robinson@fcc.gov. Sincerely yours, Hillary S. DeNigro Chief, Investigations and Hearings Division Enforcement Bureau. cc: Kristy Carroll, Esq., Universal Service Administrative Company (via e-mail) Aaron M. Danzig, Esq., Assistant United States Attorney. [FR Doc. E8–2800 Filed 2–13–08; 8:45 am] rwilkins on PROD1PC63 with NOTICES BILLING CODE 6712–01–P 17 See id., 18 FCC Rcd at 9226, ¶ 70; 47 CFR 54.521(e)(5). 18 Id. The Commission may reverse a debarment, or may limit the scope or period of debarment upon a finding of extraordinary circumstances, following the filing of a petition by you or an interested party or upon motion by the Commission. 47 CFR 54.521(f). 19 Second Report and Order, 18 FCC Rcd at 9225, ¶ 67; 47 CFR 54.521(d), 54.521(g). 20 Id. VerDate Aug<31>2005 16:49 Feb 13, 2008 Jkt 214001 FEDERAL COMMUNICATIONS COMMISSION [DA 08–50] Federal Communications Commission. Trent B. Harkrader, Deputy Chief, Investigations and Hearings Division, Enforcement Bureau. Notice of Debarment; Schools and Libraries Universal Service Support Mechanism The debarment letter, which attached the suspension letter, follows: Federal Communications Commission. ACTION: Notice. DA 08–50 AGENCY: SUMMARY: The Enforcement Bureau (the ‘‘Bureau’’) debars Mr. Arthur R. Scott from the schools and libraries universal service support mechanism (or ‘‘E-Rate Program’’) for a period of three years based on his conviction of conspiracy to defraud the United States and bribery in connection with his participation in the program. The Bureau takes this action to protect the E-Rate Program from waste, fraud and abuse. DATES: Debarment commences on the date Mr. Arthur R. Scott receives the debarment letter or February 14, 2008, whichever date come first, for a period of three years. FOR FURTHER INFORMATION CONTACT: Diana Lee, Federal Communications Commission, Enforcement Bureau, Investigations and Hearings Division, Room 4–C330, 445 12th Street, SW., Washington, DC 20554. Diana Lee may be contacted by phone at (202) 418– 0843 or e-mail at diana.lee@fcc.gov. If Ms. Lee is unavailable, you may contact Ms. Vickie Robinson, Assistant Chief, Investigations and Hearings Division, by telephone at (202) 418–1420 and by e-mail at vickie.robinson@fcc.gov. SUPPLEMENTARY INFORMATION: The Bureau debarred Mr. Arthur R. Scott from the schools and libraries universal service support mechanism for a period of three years pursuant to 47 CFR 54.521 and 47 CFR 0.111(a)(14). Attached is the debarment letter, DA 08–50, which was mailed to Mrs./Mr. Arthur R. Scott and released on January 9, 2008. The complete text of the notice of debarment is available for public inspection and copying during regular business hours at the FCC Reference Information Center, Portal II, 445 12th Street, SW., Room CY–A257, Washington, DC 20554. In addition, the complete text is available on the FCC’s Web site at https://www.fcc.gov. The text may also be purchased from the Commission’s duplicating inspection and copying during regular business hours at the contractor, Best Copy and Printing, Inc., Portal II, 445 12th Street, SW., Room CY–B420, Washington, DC 20554, telephone (202) 488–5300 or (800) 378– 3160, facsimile (202) 488–5563, or via e-mail https://www.bcpiweb.com. PO 00000 Frm 00053 Fmt 4703 Sfmt 4703 January 9, 2008 VIA CERTIFIED MAIL RETURN RECEIPT REQUESTED AND FACSIMILE (404–872–1622) Mr. Arthur R. Scott, c/o Seth D. Kirschenbaum, Esq., Davis Zipperman Kirschenbaum & Lotito, 918 Ponce de Leon Avenue, NE., Atlanta, GA 30306–4212, E-Mail: skirschenbaum@dzkl.com. Re: Notice of Debarment, File No. EB–07–IH– 7304 Dear Mr. Scott: Pursuant to section 54.521 of the rules of the Federal Communications Commission (the ‘‘Commission’’), by this Notice of Debarment you are debarred from the schools and libraries universal service support mechanism (or ‘‘E-Rate program’’) for a period of three years.1 On October 18, 2007, the Enforcement Bureau (the ‘‘Bureau’’) sent you a Notice of Suspension and Initiation of Debarment Proceedings (the ‘‘Notice of Suspension’’).2 That Notice of Suspension was published in the Federal Register on November 6, 2007.3 The Notice of Suspension suspended you from the schools and libraries universal service support mechanism and described the basis for initiation of debarment proceedings against you, the applicable debarment procedures, and the effect of debarment.4 Pursuant to the Commission’s rules, any opposition to your suspension or its scope or to your proposed debarment or its scope had to be filed with the Commission no later than thirty (30) calendar days from the earlier date of your receipt of the Notice of Suspension or publication of the Notice of Suspension in the Federal Register.5 The Commission did not receive any such opposition. As discussed in the Notice of Suspension, you pled guilty to and were convicted of conspiracy to defraud the United States and bribery, in violation of 18 U.S.C. 371 and 666(a)(1)(B), for activities in connection with your participation in the E-Rate program involving the Atlanta Public Schools (‘‘APS’’).6 You conspired with others, 1 See 47 CFR 0.111(a)(14), 54.521. from Hillary S. DeNigro, Chief, Investigations and Hearings Division, Enforcement Bureau, Federal Communications Commission, to Mr. Arthur R. Scott, Notice of Suspension and Initiation of Debarment Proceedings, 22 FCC Rcd 18617 (Inv. & Hearings Div., Enf. Bur. 2007) (Attachment 1). 3 72 FR 62647 (November 6, 2007). 4 See Notice of Suspension, 22 FCC Rcd at 18618– 19. 5 See 47 CFR 54.521(e)(3) and (4). That date occurred no later than December 6, 2007. See supra note 3. 6 See Notice of Suspension, 22 FCC Rcd at 18618. 2 Letter E:\FR\FM\14FEN1.SGM 14FEN1 Federal Register / Vol. 73, No. 31 / Thursday, February 14, 2008 / Notices including your wife Evelyn Myers Scott, to enter into an E-Rate contract on behalf of APS in return for personal payoffs.7 In addition, you admitted to taking bribes intending to be influenced and rewarded in connection with the APS E-Rate project.8 Such conduct constitutes the basis for your debarment, and your conviction falls within the categories of causes for debarment under section 54.521(c) of the Commission’s rules.9 For the foregoing reasons, you are hereby debarred for a period of three years from the debarment date, i.e., the earlier date of your receipt of this Notice of Debarment or its publication date in the Federal Register.10 Debarment excludes you, for the debarment period, from activities ‘‘associated with or related to the schools and libraries support mechanism,’’ including ‘‘the receipt of funds or discounted services through the schools and libraries support mechanism, or consulting with, assisting, or advising applicants or service providers regarding the schools and libraries support mechanism.’’ 11 Sincerely, Hillary S. DeNigro, Chief, Investigations and Hearings Division, Enforcement Bureau. cc: Aaron M. Danzig, Esq., Assistant United States Attorney. Kristy Carroll, Esq., Universal Service Administrative Company (via e-mail). October 18, 2007 DA 07–4336 VIA CERTIFIED MAIL rwilkins on PROD1PC63 with NOTICES RETURN RECEIPT REQUESTED AND FACSIMILE (404–872–1622) Mr. Arthur R. Scott, c/o Seth D. Kirschenbaum, Esq., Davis Zipperman Kirschenbaum & Lotito, 918 Ponce de Leon Avenue, NE., Atlanta, GA 30306–4212, E-Mail: skirschenbaum@dzkl.com. Re: Notice of Suspension and Initiation of Debarment Proceedings, File No. EB–07– IH–7304 Dear Mr. Scott: The Federal Communications Commission (‘‘FCC’’ or ‘‘Commission’’) has received notice of your conviction for conspiracy to defraud the United States and bribery in violation of 18 U.S.C. 371 and 666(a)(1)(B) in connection with your participation in the schools and libraries universal service support mechanism (‘‘E-Rate program’’).1 7 See id. The Bureau also debars Mrs. Evelyn Myers Scott from the E-Rate program. See Letter from Hillary S. DeNigro, Chief, Investigations and Hearings Division, Enforcement Bureau, Federal Communications Commission, to Mrs. Evelyn Myers Scott, Notice of Debarment, DA 08–49 (Inv. & Hearings Div., Enf. Bur. rel. Jan. 9, 2008). 8 See id. 9 Id. at 18618; 47 CFR 54.521(c). 10 See Notice of Suspension, 22 FCC Rcd at 18619. 11 See 47 CFR 54.521(a)(1), 54.521(a)(5), 54.521(d); Notice of Suspension, 22 FCC Rcd at 18619. 1 Any further reference in this letter to ‘‘your conviction’’ refers to your May 2, 2007 guilty plea and subsequent conviction of one count of conspiracy to defraud the United States and one VerDate Aug<31>2005 16:49 Feb 13, 2008 Jkt 214001 Consequently, pursuant to 47 CFR 54.521, this letter constitutes official notice of your suspension from the E-Rate program. In addition, the Enforcement Bureau (‘‘Bureau’’) hereby notifies you that we are commencing debarment proceedings against you.2 I. Notice of Suspension The Commission has established procedures to prevent persons who have ‘‘defrauded the government or engaged in similar acts through activities associated with or related to the schools and libraries support mechanism’’ from receiving the benefits associated with that program.3 You pled guilty to conspiracy to defraud the United States and bribery for activities in connection with your participation in the E-Rate program.4 You admitted that while employed as Director of Operational Technology of the Atlanta Public Schools (‘‘APS’’), you conspired with others, including your wife Evelyn Myers Scott (‘‘Myers Scott’’), to enter into an E-Rate contract on behalf of APS in return for payments to the consulting firm owned by you and Myers Scott from the vendor.5 In addition, you admitted that you, as agent of APS, corruptly solicited, demanded, accepted and agreed to accept $37,917 in order to be influenced and rewarded in connection with APS’s participation in the E-Rate program. The loss and the restitution that you owed to the ERate program resulting from the criminal offenses was $300,176.10.6 Pursuant to section 54.521(a)(4) of the Commission’s rules,7 your conviction requires the Bureau to suspend you from participating in any activities associated with or related to the schools and libraries fund mechanism, including the receipt of funds or discounted services through the schools and libraries fund mechanism, or consulting count of bribery. United States v. Arthur R. Scott, Criminal Docket No. 1:07–CR–139–CC–01, Plea Agreement (N.D.Ga. filed May 2, 2007 and entered May 7, 2007) (‘‘Scott Plea Agreement’’); United States v. Arthur R. Scott, 1:07–CR–139–CC–01, Judgment (N.D.Ga. filed and entered Oct. 2, 2007) (‘‘Scott Judgment’’). 2 47 CFR 54.521; 47 CFR 0.111(a)(14) (delegating to the Enforcement Bureau authority to resolve universal service suspension and debarment proceedings pursuant to 47 CFR 54.521). 3 See Schools and Libraries Universal Service Support Mechanism, Second Report and Order and Further Notice of Proposed Rulemaking, 18 FCC Rcd 9202, 9225, ¶ 66 (2003) (‘‘Second Report and Order’’). The Commission’s debarment rules define a ‘‘person’’ as ‘‘[a]ny individual, group of individuals, corporation, partnership, association, unit of government or legal entity, however, organized.’’ 47 CFR 54.521(a)(6). 4 See generally United States v. Arthur R. Scott and Evelyn Myers Scott a/k/a Evelyn M. Myers, Criminal Docket No. 1:07–CR–139, Information (N.D.Ga.. filed Apr. 30, 2007 and entered May 3, 2007) (‘‘ Scott and Myers Scott Information’’); Scott Plea Agreement at 1. 5 Scott and Myers Scott Information at 1–9. See also Letter from Hillary S. DeNigro, Chief, Investigations and Hearings Division, Enforcement Bureau, to Evelyn M. Scott, DA 07–4335, dated October 18, 2007. 6 See Scott Judgment at 5; see also Scott Plea Agreement at 4. 7 47 CFR 54.521(a)(4). See Second Report and Order, 18 FCC Rcd at 9225–9227, ¶¶ 67–74 (2003). PO 00000 Frm 00054 Fmt 4703 Sfmt 4703 8695 with, assisting, or advising applicants or service providers regarding the schools and libraries support mechanism.8 Your suspension becomes effective upon the earlier of your receipt of this letter or publication of notice in the Federal Register.9 Suspension is immediate pending the Bureau’s final debarment determination. In accordance with the Commission’s debarment rules, you may contest this suspension or the scope of this suspension by filing arguments in opposition to the suspension, with any relevant documentation. Your request must be received within 30 days after you receive this letter or after notice is published in the Federal Register, whichever comes first.10 Such requests, however, will not ordinarily be granted.11 The Bureau may reverse or limit the scope of suspension only upon a finding of extraordinary circumstances.12 Absent extraordinary circumstances, the Bureau will decide any request for reversal or modification of suspension within 90 days of its receipt of such request.13 II. Initiation of Debarment Proceedings Your guilty plea to criminal conduct in connection with the E–Rate program, in addition to serving as a basis for immediate suspension from the program, also serves as a basis for the initiation of debarment proceedings against you. Your conviction falls within the categories of causes for debarment defined in section 54.521(c) of the Commission’s rules.14 Therefore, pursuant to section 54.521(a)(4) of the Commission’s rules, your conviction requires the Bureau to commence debarment proceedings against you. As with your suspension, you may contest debarment or the scope of the proposed debarment by filing arguments and any relevant documentation within 30 calendar days of the earlier of the receipt of this letter or of publication in the Federal Register.15 8 Second Report and Order, 18 FCC Rcd at 9225, ¶ 67; 47 U.S.C. 254; 47 CFR 54.502–54.503; 47 CFR 54.521(a)(4). 9 Second Report and Order, 18 FCC Rcd at 9226, ¶ 69; 47 CFR 54.521(e)(1). 10 Second Report and Order, 18 FCC Rcd at 9226, ¶ 70; 47 CFR 54.521(e)(4). 11 Second Report and Order, 18 FCC Rcd at 9226, ¶ 70. 12 47 CFR 54.521(e)(5). 13 See Second Report and Order, 18 FCC Rcd at 9226, ¶ 70; 47 CFR 54.521(e)(5), 54.521(f). 14 Causes for suspension and debarment are the conviction of or civil judgment for attempt or commission of criminal fraud, theft, embezzlement, forgery, bribery, falsification or destruction of records, making false statements, receiving stolen property, making false claims, obstruction of justice and other fraud or criminal offense arising out of activities associated with or related to the schools and libraries support mechanism.’’ 47 CFR 54.521(c). Such activities ‘‘include the receipt of funds or discounted services through the schools and libraries support mechanism, or consulting with, assisting, or advising applicants or service providers regarding schools and libraries support mechanism described in this section ([47 CFR] 54.500 et seq.).’’ 47 CFR 54.521(a)(1). 15 See Second Report and Order, 18 FCC Rcd at 9226, ¶ 70; 47 CFR 54.521(e)(2)(i), 54.521(e)(3). E:\FR\FM\14FEN1.SGM 14FEN1 8696 Federal Register / Vol. 73, No. 31 / Thursday, February 14, 2008 / Notices rwilkins on PROD1PC63 with NOTICES Absent extraordinary circumstances, the Bureau will debar you.16 Within 90 days of receipt of any opposition to your suspension and proposed debarment, the Bureau, in the absence of extraordinary circumstances, will provide you with notice of its decision to debar.17 If the Bureau decides to debar you, its decision will become effective upon the earlier of your receipt of a debarment notice or publication of the decision in the Federal Register.18 If and when your debarment becomes effective, you will be prohibited from participating in activities associated with or related to the schools and libraries support mechanism for three years from the date of debarment.19 The Bureau may, if necessary to protect the public interest, extend the debarment period.20 Please direct any response, if by messenger or hand delivery, to Marlene H. Dortch, Secretary, Federal Communications Commission, 236 Massachusetts Avenue, NE., Suite 110, Washington, DC 20002, to the attention of Diana Lee, Attorney Advisor, Investigations and Hearings Division, Enforcement Bureau, Room 4–C330, with a copy to Vickie Robinson, Assistant Chief, Investigations and Hearings Division, Enforcement Bureau, Room 4–C330, Federal Communications Commission. If sent by commercial overnight mail (other than U.S. Postal Service Express Mail and Priority Mail), the response should be sent to the Federal Communications Commission, 9300 East Hampton Drive, Capitol Heights, Maryland 20743. If sent by first-class, Express, or Priority mail, the response should be sent to Diana Lee, Attorney Advisor, Investigations and Hearings Division, Enforcement Bureau, Federal Communications Commission, 445 12th Street, SW., Room 4–C330, Washington, DC 20554, with a copy to Vickie Robinson, Assistant Chief, Investigations and Hearings Division, Enforcement Bureau, Federal Communications Commission, 445 12th Street, SW., Room 4–C330, Washington, DC 20554. You shall also transmit a copy of the response via e-mail to diana.lee@fcc.gov and to vickie.robinson@fcc.gov. If you have any questions, please contact Ms. Lee via mail, by telephone at (202) 418– 1420 or by e-mail at diana.lee@fcc.gov. If Ms. Lee is unavailable, you may contact Ms. Vickie Robinson, Assistant Chief, Investigations and Hearings Division, by telephone at (202) 418–1420 and by e-mail at vickie.robinson@fcc.gov. Sincerely yours, Hillary S. DeNigro, Chief, Investigations and Hearings Division, Enforcement Bureau. cc: Kristy Carroll, Esq., Universal Service Administrative Company (via e-mail), Aaron 16 Second Report and Order, 18 FCC Rcd at 9227, ¶ 74. 17 See id., 18 FCC Rcd at 9226, ¶ 70; 47 CFR 54.521(e)(5). 18 Id. The Commission may reverse a debarment, or may limit the scope or period of debarment upon a finding of extraordinary circumstances, following the filing of a petition by you or an interested party or upon motion by the Commission. 47 54.521(f). 19 Second Report and Order, 18 FCC Rcd at 9225, ¶ 67; 47 CFR 54.521(d), 54.521(g). 20 Id. VerDate Aug<31>2005 16:49 Feb 13, 2008 Jkt 214001 M. Danzig, Esq., Assistant United States Attorney. [FR Doc. E8–2812 Filed 2–13–08; 8:45 am] BILLING CODE 6712–01–P FEDERAL ELECTION COMMISSION Sunshine Act Notices DATE & TIME: Wednesday, February 20, 2008 at 10 a.m. PLACE: 999 E Street, NW., Washington, DC. STATUS: This meeting will be closed to the public. ITEMS TO BE DISCUSSED: Compliance matters pursuant to 2 U.S.C. 437g. Audits conducted pursuant to 2 U.S.C. 437g, Section 438(b), and Title 26, U.S.C. Matters concerning participation in civil actions or proceedings or arbitration. Internal personnel rules and procedures or matters affecting a particular employee. * * * * * PREVIOUSLY SCHEDULED OPEN MEETING: Thursday, February 21, 2008. This meeting has been cancelled. PERSON TO CONTACT FOR INFORMATION: Mr. Robert Biersack, Press Officer, Telephone: (202) 694–1220. Mary W. Dove, Secretary of the Commission. [FR Doc. 08–736 Filed 2–12–08; 8:45 am] BILLING CODE 6715–01–M FEDERAL ELECTION COMMISSION [Notice 2008–4] Price Index Increases for Expenditure Limitations Federal Election Commission. Notice of expenditure limitation increases. AGENCY: ACTION: SUMMARY: As mandated by provisions of the Bipartisan Campaign Reform Act of 2002 (‘‘BCRA’’), the Federal Election Commission (‘‘FEC’’ or ‘‘the Commission’’) is adjusting certain expenditure limitations set forth in the Federal Election Campaign Act of 1971, as amended (‘‘FECA’’ or ‘‘the Act’’), to account for increases in the consumer price index. Additional details appear in the supplemental information that follows. EFFECTIVE DATE: January 1, 2008. Mr. Kevin R. Salley, Information Division, 999 E Street, NW., Washington, DC 20463; (202) 694–1100 or (800) 424– 9530. FOR FURTHER INFORMATION CONTACT: PO 00000 Frm 00055 Fmt 4703 Sfmt 4703 Under the Federal Election Campaign Act of 1971, 2 U.S.C. 431 et seq., as amended by the Bipartisan Campaign Reform Act of 2002 1, coordinated party expenditure limits (2 U.S.C. 441a(d)(2), (3)(A) and (B)) are adjusted annually by the increase in the consumer price index. See 2 U.S.C. 441a(c)(1), 11 CFR 109.32 and 11 CFR 110.17. The Commission is publishing this notice to announce these limits for 2008. SUPPLEMENTARY INFORMATION: Coordinated Party Expenditure Limits for 2008 Under 2 U.S.C. 441a(c), the Commission must adjust the expenditure limitations established by 2 U.S.C. 441a(d) (the limits on expenditures by national party committees, state party committees, or their subordinate committees in connection with the general election campaign of candidates for Federal office) annually to account for inflation. This expenditure limitation is increased by the percent difference between the price index, as certified to the Commission by the Secretary of Labor, for the 12 months preceding the beginning of the calendar year and the price index for the base period (calendar year 1974). 1. Expenditure Limitation for House of Representatives in States with More Than One Congressional District. Both the national and state party committees have an expenditure limitation for each general election held to fill a seat in the House of Representatives in States with more than one congressional district. This limitation also applies to those States that elect individuals to the office of Delegate or Resident Commissioner.2 The formula used to calculate the expenditure limitation in such States multiplies the base figure of $10,000 by the price index (4.205), rounding to the nearest $100. See 2 U.S.C. 441a(d)(3)(B) and 11 CFR 109.32(b). Based upon this formula, the expenditure limitation for 2008 general elections for House candidates in these States is $42,100. 1 Public Law No. 107–155, 116 Stat. 81 (Mar. 27, 2002). 2 Currently, these States include the District of Columbia, the Commonwealth of Puerto Rico, and the territories of American Samoa, Guam, and the United States Virgin Islands. See https:// www.house.gov/house/ MemberWWW_by_State.shtml and https:// about.dc.gov/statehood.asp. E:\FR\FM\14FEN1.SGM 14FEN1

Agencies

[Federal Register Volume 73, Number 31 (Thursday, February 14, 2008)]
[Notices]
[Pages 8694-8696]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E8-2812]


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FEDERAL COMMUNICATIONS COMMISSION

[DA 08-50]


Notice of Debarment; Schools and Libraries Universal Service 
Support Mechanism

AGENCY: Federal Communications Commission.

ACTION: Notice.

-----------------------------------------------------------------------

SUMMARY: The Enforcement Bureau (the ``Bureau'') debars Mr. Arthur R. 
Scott from the schools and libraries universal service support 
mechanism (or ``E-Rate Program'') for a period of three years based on 
his conviction of conspiracy to defraud the United States and bribery 
in connection with his participation in the program. The Bureau takes 
this action to protect the E-Rate Program from waste, fraud and abuse.

DATES: Debarment commences on the date Mr. Arthur R. Scott receives the 
debarment letter or February 14, 2008, whichever date come first, for a 
period of three years.

FOR FURTHER INFORMATION CONTACT: Diana Lee, Federal Communications 
Commission, Enforcement Bureau, Investigations and Hearings Division, 
Room 4-C330, 445 12th Street, SW., Washington, DC 20554. Diana Lee may 
be contacted by phone at (202) 418-0843 or e-mail at diana.lee@fcc.gov. 
If Ms. Lee is unavailable, you may contact Ms. Vickie Robinson, 
Assistant Chief, Investigations and Hearings Division, by telephone at 
(202) 418-1420 and by e-mail at vickie.robinson@fcc.gov.

SUPPLEMENTARY INFORMATION: The Bureau debarred Mr. Arthur R. Scott from 
the schools and libraries universal service support mechanism for a 
period of three years pursuant to 47 CFR 54.521 and 47 CFR 
0.111(a)(14). Attached is the debarment letter, DA 08-50, which was 
mailed to Mrs./Mr. Arthur R. Scott and released on January 9, 2008. The 
complete text of the notice of debarment is available for public 
inspection and copying during regular business hours at the FCC 
Reference Information Center, Portal II, 445 12th Street, SW., Room CY-
A257, Washington, DC 20554. In addition, the complete text is available 
on the FCC's Web site at https://www.fcc.gov. The text may also be 
purchased from the Commission's duplicating inspection and copying 
during regular business hours at the contractor, Best Copy and 
Printing, Inc., Portal II, 445 12th Street, SW., Room CY-B420, 
Washington, DC 20554, telephone (202) 488-5300 or (800) 378-3160, 
facsimile (202) 488-5563, or via e-mail https://www.bcpiweb.com.

    Federal Communications Commission.
Trent B. Harkrader,
Deputy Chief, Investigations and Hearings Division, Enforcement Bureau.
    The debarment letter, which attached the suspension letter, 
follows:

January 9, 2008

DA 08-50

VIA CERTIFIED MAIL

RETURN RECEIPT REQUESTED AND FACSIMILE (404-872-1622)

Mr. Arthur R. Scott,
c/o Seth D. Kirschenbaum, Esq.,
Davis Zipperman Kirschenbaum & Lotito,
918 Ponce de Leon Avenue, NE.,
Atlanta, GA 30306-4212,
E-Mail: skirschenbaum@dzkl.com.

Re: Notice of Debarment, File No. EB-07-IH-7304

Dear Mr. Scott:

    Pursuant to section 54.521 of the rules of the Federal 
Communications Commission (the ``Commission''), by this Notice of 
Debarment you are debarred from the schools and libraries universal 
service support mechanism (or ``E-Rate program'') for a period of 
three years.\1\
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    \1\ See 47 CFR 0.111(a)(14), 54.521.
---------------------------------------------------------------------------

    On October 18, 2007, the Enforcement Bureau (the ``Bureau'') 
sent you a Notice of Suspension and Initiation of Debarment 
Proceedings (the ``Notice of Suspension'').\2\ That Notice of 
Suspension was published in the Federal Register on November 6, 
2007.\3\ The Notice of Suspension suspended you from the schools and 
libraries universal service support mechanism and described the 
basis for initiation of debarment proceedings against you, the 
applicable debarment procedures, and the effect of debarment.\4\
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    \2\ Letter from Hillary S. DeNigro, Chief, Investigations and 
Hearings Division, Enforcement Bureau, Federal Communications 
Commission, to Mr. Arthur R. Scott, Notice of Suspension and 
Initiation of Debarment Proceedings, 22 FCC Rcd 18617 (Inv. & 
Hearings Div., Enf. Bur. 2007) (Attachment 1).
    \3\ 72 FR 62647 (November 6, 2007).
    \4\ See Notice of Suspension, 22 FCC Rcd at 18618-19.
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    Pursuant to the Commission's rules, any opposition to your 
suspension or its scope or to your proposed debarment or its scope 
had to be filed with the Commission no later than thirty (30) 
calendar days from the earlier date of your receipt of the Notice of 
Suspension or publication of the Notice of Suspension in the Federal 
Register.\5 \The Commission did not receive any such opposition.
---------------------------------------------------------------------------

    \5\ See 47 CFR 54.521(e)(3) and (4). That date occurred no later 
than December 6, 2007. See supra note 3.
---------------------------------------------------------------------------

    As discussed in the Notice of Suspension, you pled guilty to and 
were convicted of conspiracy to defraud the United States and 
bribery, in violation of 18 U.S.C. 371 and 666(a)(1)(B), for 
activities in connection with your participation in the E-Rate 
program involving the Atlanta Public Schools (``APS'').\6\ You 
conspired with others,

[[Page 8695]]

including your wife Evelyn Myers Scott, to enter into an E-Rate 
contract on behalf of APS in return for personal payoffs.\7\ In 
addition, you admitted to taking bribes intending to be influenced 
and rewarded in connection with the APS E-Rate project.\8\ Such 
conduct constitutes the basis for your debarment, and your 
conviction falls within the categories of causes for debarment under 
section 54.521(c) of the Commission's rules.\9\ For the foregoing 
reasons, you are hereby debarred for a period of three years from 
the debarment date, i.e., the earlier date of your receipt of this 
Notice of Debarment or its publication date in the Federal 
Register.\10\ Debarment excludes you, for the debarment period, from 
activities ``associated with or related to the schools and libraries 
support mechanism,'' including ``the receipt of funds or discounted 
services through the schools and libraries support mechanism, or 
consulting with, assisting, or advising applicants or service 
providers regarding the schools and libraries support mechanism.'' 
\11\
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    \6\ See Notice of Suspension, 22 FCC Rcd at 18618.
    \7\ See id. The Bureau also debars Mrs. Evelyn Myers Scott from 
the E-Rate program. See Letter from Hillary S. DeNigro, Chief, 
Investigations and Hearings Division, Enforcement Bureau, Federal 
Communications Commission, to Mrs. Evelyn Myers Scott, Notice of 
Debarment, DA 08-49 (Inv. & Hearings Div., Enf. Bur. rel. Jan. 9, 
2008).
    \8\ See id.
    \9\ Id. at 18618; 47 CFR 54.521(c).
    \10\ See Notice of Suspension, 22 FCC Rcd at 18619.
    \11\ See 47 CFR 54.521(a)(1), 54.521(a)(5), 54.521(d); Notice of 
Suspension, 22 FCC Rcd at 18619.
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Sincerely,

Hillary S. DeNigro,
Chief, Investigations and Hearings Division, Enforcement Bureau.

cc: Aaron M. Danzig, Esq., Assistant United States Attorney.
    Kristy Carroll, Esq., Universal Service Administrative Company 
(via e-mail).

October 18, 2007

DA 07-4336

VIA CERTIFIED MAIL

RETURN RECEIPT REQUESTED AND FACSIMILE (404-872-1622)

Mr. Arthur R. Scott,
c/o Seth D. Kirschenbaum, Esq.,
Davis Zipperman Kirschenbaum & Lotito,
918 Ponce de Leon Avenue, NE.,
Atlanta, GA 30306-4212,
E-Mail: skirschenbaum@dzkl.com.

Re: Notice of Suspension and Initiation of Debarment Proceedings, 
File No. EB-07-IH-7304

Dear Mr. Scott:

    The Federal Communications Commission (``FCC'' or 
``Commission'') has received notice of your conviction for 
conspiracy to defraud the United States and bribery in violation of 
18 U.S.C. 371 and 666(a)(1)(B) in connection with your participation 
in the schools and libraries universal service support mechanism 
(``E-Rate program'').\1\ Consequently, pursuant to 47 CFR 54.521, 
this letter constitutes official notice of your suspension from the 
E-Rate program. In addition, the Enforcement Bureau (``Bureau'') 
hereby notifies you that we are commencing debarment proceedings 
against you.\2\
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    \1\ Any further reference in this letter to ``your conviction'' 
refers to your May 2, 2007 guilty plea and subsequent conviction of 
one count of conspiracy to defraud the United States and one count 
of bribery. United States v. Arthur R. Scott, Criminal Docket No. 
1:07-CR-139-CC-01, Plea Agreement (N.D.Ga. filed May 2, 2007 and 
entered May 7, 2007) (``Scott Plea Agreement''); United States v. 
Arthur R. Scott, 1:07-CR-139-CC-01, Judgment (N.D.Ga. filed and 
entered Oct. 2, 2007) (``Scott Judgment'').
    \2\ 47 CFR 54.521; 47 CFR 0.111(a)(14) (delegating to the 
Enforcement Bureau authority to resolve universal service suspension 
and debarment proceedings pursuant to 47 CFR 54.521).
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I. Notice of Suspension

    The Commission has established procedures to prevent persons who 
have ``defrauded the government or engaged in similar acts through 
activities associated with or related to the schools and libraries 
support mechanism'' from receiving the benefits associated with that 
program.\3\ You pled guilty to conspiracy to defraud the United 
States and bribery for activities in connection with your 
participation in the E-Rate program.\4\ You admitted that while 
employed as Director of Operational Technology of the Atlanta Public 
Schools (``APS''), you conspired with others, including your wife 
Evelyn Myers Scott (``Myers Scott''), to enter into an E-Rate 
contract on behalf of APS in return for payments to the consulting 
firm owned by you and Myers Scott from the vendor.\5\ In addition, 
you admitted that you, as agent of APS, corruptly solicited, 
demanded, accepted and agreed to accept $37,917 in order to be 
influenced and rewarded in connection with APS's participation in 
the E-Rate program. The loss and the restitution that you owed to 
the E-Rate program resulting from the criminal offenses was 
$300,176.10.\6\
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    \3\ See Schools and Libraries Universal Service Support 
Mechanism, Second Report and Order and Further Notice of Proposed 
Rulemaking, 18 FCC Rcd 9202, 9225, ] 66 (2003) (``Second Report and 
Order''). The Commission's debarment rules define a ``person'' as 
``[a]ny individual, group of individuals, corporation, partnership, 
association, unit of government or legal entity, however, 
organized.'' 47 CFR 54.521(a)(6).
    \4\ See generally United States v. Arthur R. Scott and Evelyn 
Myers Scott a/k/a Evelyn M. Myers, Criminal Docket No. 1:07-CR-139, 
Information (N.D.Ga.. filed Apr. 30, 2007 and entered May 3, 2007) 
(`` Scott and Myers Scott Information''); Scott Plea Agreement at 1.
    \5\ Scott and Myers Scott Information at 1-9. See also Letter 
from Hillary S. DeNigro, Chief, Investigations and Hearings 
Division, Enforcement Bureau, to Evelyn M. Scott, DA 07-4335, dated 
October 18, 2007.
    \6\ See Scott Judgment at 5; see also Scott Plea Agreement at 4.
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    Pursuant to section 54.521(a)(4) of the Commission's rules,\7\ 
your conviction requires the Bureau to suspend you from 
participating in any activities associated with or related to the 
schools and libraries fund mechanism, including the receipt of funds 
or discounted services through the schools and libraries fund 
mechanism, or consulting with, assisting, or advising applicants or 
service providers regarding the schools and libraries support 
mechanism.\8\ Your suspension becomes effective upon the earlier of 
your receipt of this letter or publication of notice in the Federal 
Register.\9\
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    \7\ 47 CFR 54.521(a)(4). See Second Report and Order, 18 FCC Rcd 
at 9225-9227, ]] 67-74 (2003).
    \8\ Second Report and Order, 18 FCC Rcd at 9225, ] 67; 47 U.S.C. 
254; 47 CFR 54.502-54.503; 47 CFR 54.521(a)(4).
    \9\ Second Report and Order, 18 FCC Rcd at 9226, ] 69; 47 CFR 
54.521(e)(1).
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    Suspension is immediate pending the Bureau's final debarment 
determination. In accordance with the Commission's debarment rules, 
you may contest this suspension or the scope of this suspension by 
filing arguments in opposition to the suspension, with any relevant 
documentation. Your request must be received within 30 days after 
you receive this letter or after notice is published in the Federal 
Register, whichever comes first.\10\ Such requests, however, will 
not ordinarily be granted.\11\ The Bureau may reverse or limit the 
scope of suspension only upon a finding of extraordinary 
circumstances.\12\ Absent extraordinary circumstances, the Bureau 
will decide any request for reversal or modification of suspension 
within 90 days of its receipt of such request.\13\
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    \10\ Second Report and Order, 18 FCC Rcd at 9226, ] 70; 47 CFR 
54.521(e)(4).
    \11\ Second Report and Order, 18 FCC Rcd at 9226, ] 70.
    \12\ 47 CFR 54.521(e)(5).
    \13\ See Second Report and Order, 18 FCC Rcd at 9226, ] 70; 47 
CFR 54.521(e)(5), 54.521(f).
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II. Initiation of Debarment Proceedings

    Your guilty plea to criminal conduct in connection with the E-
Rate program, in addition to serving as a basis for immediate 
suspension from the program, also serves as a basis for the 
initiation of debarment proceedings against you. Your conviction 
falls within the categories of causes for debarment defined in 
section 54.521(c) of the Commission's rules.\14\ Therefore, pursuant 
to section 54.521(a)(4) of the Commission's rules, your conviction 
requires the Bureau to commence debarment proceedings against you.
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    \14\ Causes for suspension and debarment are the conviction of 
or civil judgment for attempt or commission of criminal fraud, 
theft, embezzlement, forgery, bribery, falsification or destruction 
of records, making false statements, receiving stolen property, 
making false claims, obstruction of justice and other fraud or 
criminal offense arising out of activities associated with or 
related to the schools and libraries support mechanism.'' 47 CFR 
54.521(c). Such activities ``include the receipt of funds or 
discounted services through the schools and libraries support 
mechanism, or consulting with, assisting, or advising applicants or 
service providers regarding schools and libraries support mechanism 
described in this section ([47 CFR] 54.500 et seq.).'' 47 CFR 
54.521(a)(1).
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    As with your suspension, you may contest debarment or the scope 
of the proposed debarment by filing arguments and any relevant 
documentation within 30 calendar days of the earlier of the receipt 
of this letter or of publication in the Federal Register.\15\

[[Page 8696]]

Absent extraordinary circumstances, the Bureau will debar you.\16\ 
Within 90 days of receipt of any opposition to your suspension and 
proposed debarment, the Bureau, in the absence of extraordinary 
circumstances, will provide you with notice of its decision to 
debar.\17\ If the Bureau decides to debar you, its decision will 
become effective upon the earlier of your receipt of a debarment 
notice or publication of the decision in the Federal Register.\18\
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    \15\ See Second Report and Order, 18 FCC Rcd at 9226, ] 70; 47 
CFR 54.521(e)(2)(i), 54.521(e)(3).
    \16\ Second Report and Order, 18 FCC Rcd at 9227, ] 74.
    \17\ See id., 18 FCC Rcd at 9226, ] 70; 47 CFR 54.521(e)(5).
    \18\ Id. The Commission may reverse a debarment, or may limit 
the scope or period of debarment upon a finding of extraordinary 
circumstances, following the filing of a petition by you or an 
interested party or upon motion by the Commission. 47 54.521(f).
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    If and when your debarment becomes effective, you will be 
prohibited from participating in activities associated with or 
related to the schools and libraries support mechanism for three 
years from the date of debarment.\19\ The Bureau may, if necessary 
to protect the public interest, extend the debarment period.\20\
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    \19\ Second Report and Order, 18 FCC Rcd at 9225, ] 67; 47 CFR 
54.521(d), 54.521(g).
    \20\ Id.
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    Please direct any response, if by messenger or hand delivery, to 
Marlene H. Dortch, Secretary, Federal Communications Commission, 236 
Massachusetts Avenue, NE., Suite 110, Washington, DC 20002, to the 
attention of Diana Lee, Attorney Advisor, Investigations and 
Hearings Division, Enforcement Bureau, Room 4-C330, with a copy to 
Vickie Robinson, Assistant Chief, Investigations and Hearings 
Division, Enforcement Bureau, Room 4-C330, Federal Communications 
Commission. If sent by commercial overnight mail (other than U.S. 
Postal Service Express Mail and Priority Mail), the response should 
be sent to the Federal Communications Commission, 9300 East Hampton 
Drive, Capitol Heights, Maryland 20743. If sent by first-class, 
Express, or Priority mail, the response should be sent to Diana Lee, 
Attorney Advisor, Investigations and Hearings Division, Enforcement 
Bureau, Federal Communications Commission, 445 12th Street, SW., 
Room 4-C330, Washington, DC 20554, with a copy to Vickie Robinson, 
Assistant Chief, Investigations and Hearings Division, Enforcement 
Bureau, Federal Communications Commission, 445 12th Street, SW., 
Room 4-C330, Washington, DC 20554. You shall also transmit a copy of 
the response via e-mail to diana.lee@fcc.gov and to 
vickie.robinson@fcc.gov.
    If you have any questions, please contact Ms. Lee via mail, by 
telephone at (202) 418-1420 or by e-mail at diana.lee@fcc.gov. If 
Ms. Lee is unavailable, you may contact Ms. Vickie Robinson, 
Assistant Chief, Investigations and Hearings Division, by telephone 
at (202) 418-1420 and by e-mail at vickie.robinson@fcc.gov.
Sincerely yours,
Hillary S. DeNigro,
Chief, Investigations and Hearings Division, Enforcement Bureau.
cc: Kristy Carroll, Esq., Universal Service Administrative Company 
(via e-mail), Aaron M. Danzig, Esq., Assistant United States 
Attorney.

[FR Doc. E8-2812 Filed 2-13-08; 8:45 am]
BILLING CODE 6712-01-P
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