5. Technical Qualifications
To be granted a CPCN for authority to provide local exchange and interexchange service, an applicant must make a reasonable showing of managerial and technical expertise in telecommunications or a related business.2 Wholesale supplied biographical information on its management in Exhibit 3 to its application that demonstrated that it has sufficient expertise and training to operate as a telecommunications provider.
Wholesale also verified that, except as discussed below, no one associated with or employed by Wholesale as an affiliate, officer, director, partner, or owner of more than 10% of Wholesale was previously associated with a telecommunications carrier that filed for bankruptcy, was sanctioned by the Federal Communications Commission or any state regulatory agency for failure to comply with any regulatory statute, rule, or order, or has been found either civilly or criminally liable by a court of appropriate jurisdiction for a violation of § 17000, et seq. of the California Business and Professions Code, or for any actions which involved misrepresentations to consumers, nor is currently under investigation for similar violations.
During our review, we discovered two possible state tax liens against Wholesale, one in California and one in Pennsylvania. Wholesale provided a Certificate of Revivor from the California Franchise Tax Board (FTB) stating that Wholesale is in good standing with the FTB. Wholesale also stated that the California State Board of Equalization found no amount due from it, and that the FTB and the California Secretary of State found no lien against it. Wholesale also provided documentation that it has now filed the tax return in question in Pennsylvania, and does not owe any taxes for that return. These explanations resolve our concerns regarding these state tax liens.
Since Wholesale has resolved the issues in question, we find that Wholesale is in compliance with the managerial and technical requirements of D.95-12-056.
2 D.95-12-056 at Appendix C, Rule 4.A.
