VII. MANCUSOS' ALLEGED MISREPRESENTATIONS IN APPLICATIONS, FILINGS, AND TESTIMONY TO AND BEFORE THIS COMMISSION.

A. Omissions and Misrepresentations in Applications.

Staff contends that all three Clear World and Worldwide Applications for operating authority failed to disclose the material role played by Christopher in the utilities. Apart from the false "street address" in the Worldwide Application (as found in D.03-02-066), and the failure to file with the Commission the Articles of Incorporation for Worldwide (which would have shown Christopher as "incorporator"),⁴⁷ the Mancusos affirmed and verified in all three Applications that no "affiliate, officer, director, general partner or person owning more than 10% of applicant, or anyone acting in such a capacity" had ever been found guilty for "any actions which involved misrepresentations to consumers." SR I at § XIV(C)(1). The Commission had, by that time, clarified that the phrase "anyone acting in such a capacity" includes "all those persons that might exercise significant control over an applicant regardless of its legal structure." D.97-06-107, Rulemaking to Establish a Simplified Registration Process, Finding of Fact 4. Staff alleges that none of the Clear World/Worldwide Applications disclosed Christopher Mancuso's role in those utilities in any way. SR I at § XIV(C)(1).

B. Mancusos' Misrepresentations in Sworn Testimony.

According to Staff Report I, the testimony under oath of James and Michael Mancuso in A.01-09-040 was materially misleading if not intentionally false, in: (a) denying that Clear World's predecessor was in fact DLD; (b) denying that DLD had customers of its own; (c) denying that Clear World purchased and acquired those customers; (d) denying that DLD had been operating as a long-distance reseller without certification or license from this Commission; (e) denying that Christopher had any role in founding Clear World; (f) minimizing the extent of Christopher Mancuso's involvement in Clearworld, DLD, and Worldwide; (g)

denying Christopher Mancuso's role in early negotiations with WorldCom; and (h) denying that Clear World had been the subject of other public agency investigations.

Staff Report I itemizes the specific hearing and deposition testimony that Staff claims to be false. See SR I at § XIV(A), (B).