X. RECOMMENDATIONS

Based on Staff's findings in this report, CPSD requests that the Commission open an Order Instituting Investigation (OII) into Americatel's actions. CPSD believes that competent evidence exists to warrant an OII.

If the Commission finds that Americatel violated any laws, rules, or regulations of this State as described in this report, the Commission should impose penalties against Americatel. P.U. Code§ 2107 states: "Any public utility which violates or fails to comply with any provision of the Constitution of this state or of this part, or which fails or neglects to comply with any part or provision of any order, decision, decree, rule, direction, demand, or requirement of the commission, in a case in which a penalty has not otherwise been provided, in subject to a penalty of not less than five hundred dollars ($500), nor more than twenty thousand dollars ($20,000) for each offense." (Emphasis added.) Statutory grounds exist for the imposition of substantial penalties and Staff intends to file a separate testimony in this regard at a later time.

Staff is extremely concerned by the findings in this report and questions Americatel's fitness to continue to operate in California. CPSD asks that the Commission consider Americatel's fitness in the OII and what additional sanctions are appropriate for the Commission to impose upon Americatel to protect California consumers.