2. Background

Securetel Network Inc. d/b/a STN (STN) seeks authority to provide resold interexchange services as a non-dominant interexchange carrier (NDIEC). STN will purchase bundles of minutes from its underlying service providers and package them into prepaid calling cards for sale to California consumers.

In prior decisions, we authorized the provision of competitive interexchange services by carriers meeting specified criteria. We established a ministerial level registration process pursuant to Pub. Util. Code § 1013¹ for carriers whose applications conformed to certain requirements - including the requirement that the applicant not have previously made any voluntary payments or settlements to resolve a regulatory action. STN filed its application pursuant to the § 1013 registration process. The application was originally assigned to Examiner John Leutza in the Communications Division for review in accordance with the § 1013 registration process. However, STN states that in 2009 the Federal Communications Commission (FCC) issued a Notice of Apparent Liability against STN. STN agreed to pay $2,000 to resolve the action. For this reason, STN is ineligible for registration pursuant to § 1013. The application was re-assigned to be reviewed for granting of a certificate of public convenience and necessity (CPCN) under § 1001.

STN will sell calling cards to retail outlets in California. STN will partner with underlying carriers, a network of distributors and a technical support service company, World Communications Group Services, Ltd. (WCGS) to provide switching and technical assistance services. STN has worked with WCGS to provide similar services in New York.

STN is a New York corporation qualified to do business in California. STN's principal place of business is located at 1303 53rd Street, Suite 230, Brooklyn, New York 11219. STN's telephone number is (718) 633-2195. STN has provided similar services in New York since 2007. (Correspondence from Jacqueline R. Hankins to Donna Wong, dated October 28, 2011 (Response to Data Request #1).)

¹ Unless otherwise indicated, all statutory references are to the Public Utilities Code.