ALJ/MD2/avs Date of Issuance 6/19/2009

Decision 09-06-024 June 18, 2009

BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA

Application of Telenational Communications, Inc.
(U6666C), Rapid Link, Incorporated, and for Apex Acquisitions, Inc., for Authority to Transfer Control of Telenational Communications, Inc.

Application 09-02-021
(Filed February 25, 2009)

DECISION APPROVING TRANSFER
OF CONTROL AND IMPOSING A FINE

TABLE OF CONTENTS

Title Page

DECISION APPROVING TRANSFER OF CONTROL
AND IMPOSING A FINE 2 2

1. Summary 2 2

2. Parties to the Transaction 2 2

3. The Transaction 3 3

4. Review of Joint Application 4 4

5. Discussion 5 5

5.1. Whether to Approve the Application 5 5

5.2. Whether to Impose a Fine for a Violation of Section 854(a) 9 9

5.2.1. Severity of the Offense 10 10

5.2.2. Conduct of the Utility 11 11

5.2.3. Financial Resources Available to Telenational 13 13

5.2.4. Totality of the Circumstances 14 14

5.2.5. The Role of Precedent 14 14

5.2.6. Conclusion 15 15

6. Request to File Under Seal 15 15

7. Categorization and Need for Hearing 15 15

8. Comments on Proposed Decision 16 16

9. Assignment of Proceeding 16 16

Findings of Fact 16 16

Conclusions of Law 17 17

ORDER 20 20

DECISION APPROVING TRANSFER
OF CONTROL AND IMPOSING A FINE

1. Summary

This decision grants the joint application of Telenational Communications, Inc. (Telenational). Rapid Link, Incorporated (Rapid Link) and for Apex Acquisitions, Inc., (Apex), collectively Applicants, for approval of a May 3, 2006 transaction in which Rapid Link acquired 100% of the ownership of Telenational (Joint Application), pursuant to Sections 852 and 854.¹

The approval is prospective in nature. Also, we impose a fine of $1,000 for failure to obtain advance approval of the transfer.

¹ All Code references are to the Public Utilities Code, unless otherwise stated.