Blue Jay Closes FCC Investigation With Commitments To Preserve And Protect The Integrity Of The Lifeline Program

DALLAS, July 15, 2016 /PRNewswire/ -- Today, Blue Jay entered into a settlement and consent decree with the Federal Communications Commission's Enforcement Bureau that closes an investigation and an audit appeal involving the company's provision of Lifeline services to eligible subscribers in Hawaii. The settlement memorializes Blue Jay's process for verifying self-certifications of subscribers seeking the enhanced Lifeline benefit available to residents of Hawaiian Home Lands, which included voluntarily building its own geo-mapping tool. In a recently concluded audit, USAC concluded that this process was "conservative to the Fund" because FCC rules require only applicant self-certification. The settlement also allows Blue Jay to make good on a prior commitment to "make the Fund whole" for enhanced  Lifeline benefits provided based on self-certifications of residency on Hawaiian Home Lands that were later determined by Blue Jay to be inaccurate. Blue Jay CEO David Wareikis explained that "Blue Jay made the commitment to make the Fund whole because it did not want to be seen as benefiting in any way from erroneous self-certifications made by subscribers." Wareikis also noted that the agreement reached "contains no finding or admission of wrongdoing by Blue Jay, and affirms Blue Jay's good standing as an ETC." In addition, he explained that "the financial terms of the settlement do not involve a fine or a civil penalty, and instead allow Blue Jay to reduce its future payments from the Fund." Blue Jay is pleased to have successfully concluded this FCC inquiry and USAC audit in this manner and acknowledges the cooperation of the Enforcement Bureau, Wireline Competition Bureau and USAC in bringing the investigation and the audit appeal to closure in a manner that preserves and protects the Lifeline program and avoids potential litigation. Mr. Wareikis further affirmed, "Blue Jay is committed to leading the industry in compliance and self-regulates to maintain the highest standards of compliance across all aspects of its business."

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SOURCE Blue Jay Wireless