2. Background

Krush Communications, LLC (Krush) has been offering prepaid phone products (collectively, prepaid phone cards) for sale in California since November 2007, without authorization from the Commission. On May 20, 2010, Krush filed Application (A.) 10-05-021, requesting registration to operate as a switchless reseller of interexchange telecommunications services in California on a detariffed basis. In its application, Krush filed selected financial information under seal, pursuant to Decision (D.) 97-09-035. Notice of A.10-05-021 appeared on the Commission's Daily Calendar on May 27, 2010.

On June 10, 2010, the Commission's Consumer Protection and Safety Division (CPSD) and Krush filed a Protest of the Consumer Protection and Safety Division to the Application of Krush Communications, LLC, and Joint Motion to Adopt Settlement Agreement (Protest and Motion). Prior to filing the Protest and Motion, CPSD and Krush met and negotiated a settlement that addressed Krush's request and CPSD's concerns.

CPSD's protest alleged that Krush had been operating in California as a phone card provider without registering with the Commission, pursuant to Public Utilities (Pub. Util.) Code §§ 885-886 and 1013. In its protest, CPSD also recommended that the Commission consider imposing a monetary penalty due to Krush's violation of California regulations regarding the provision of telecommunications services.

Krush, a Florida corporation, is registered with the California Secretary of State to operate in California as a foreign corporation. Krush's principal place of business is located at 1064 E. Brandon Blvd. Suite A, Brandon, Florida 33511.