IV. Technical Qualifications

Applicants for NDIEC and CLC authority are required to make a reasonable showing of technical expertise in telecommunications or a related business. Applicant submitted biographical information on its officers that demonstrates that it possesses sufficient experience and knowledge to operate as a telecommunications provider.

Applicant's current owners formerly owned more than ten percent of Network Plus, Inc. (Network). Applicant represents that, at the end of 2001, Network suffered losses that were slightly greater, and revenues that were lower than projected. These triggered certain financial covenants under an agreement with its lenders that caused Network's funding to be substantially limited. As a result, on February 4, 2002, Network filed for bankruptcy with the United States Bankruptcy Court for the District of Delaware. Applicant represents that, unlike Network, it needs no outside funding for its operations.

In 2001, and 2002, Network was fined by the Federal Communications Commission and the Arkansas Public Service Commission for failure to file required reports.³ In 2002, the Colorado Public Utilities Commission revoked its registration for failure to file an annual report.⁴ In 2002, the Massachusetts Department of Telecommunications and Energy required it to pay reparations for slamming a single business customer.⁵ We do not believe these regulatory actions against Network should preclude the granting of the requested authority to Applicant. However, we caution Applicant that we expect full compliance with all statutory requirements as well as the rules, decisions and orders of the Commission.