8. Changes from the POD

Pursuant to Public Utilities Code Section 1701.2, the Commission must provide a statement explaining changes from a POD. In its appeal, Western Referral alleged that the POD addressed the wrong issue in the case and omitted material facts. Western Referral contended that the issue was not whether there was probable cause to support the initial disconnect order. Western Referral argued that the proper issue was whether sufficient evidence had been produced to support continuation of the disconnect order. The Goldin opinion makes it clear that, contrary to complainant's assertions, both issues must be addressed by the Commission. As for Western Referral's second contention that material facts were omitted, we find that all necessary and relevant issues are addressed in the decision. We have, however, made several non-substantive clarifying modifications to the POD, but have not altered the substantive result.

Findings of Fact

1. Western Referral, doing business as VIP Escorts, operates a nude modeling and entertainment service in Los Angeles, California.

2. The telephone number (800)477-2454 was disconnected by AT&T on July 25, 2000, pursuant to its Tariff Rule 22, except that AT&T did not immediately notify Western Referral in writing; however, complainant and its attorney had actual notice of the action taken and the Rule 22 remedies available to them within three days of the disconnection.

3. Pursuant to Rule 22, Western Referral filed a complaint seeking restoration of the telephone numbers disconnected by AT&T and a timely hearing was held on the complaint.

4. The Los Angeles Police Department presented credible evidence through two investigating officers that the telephone service at issue here was being used to assist in the violation of applicable laws against prostitution.

5. Acts of prostitution pose a significant danger to the public health, welfare, and safety.

Conclusions of Law

1. In Goldin the California Supreme Court approved the process set out in Rule 22, against constitutional challenges.

2. Goldin and Rule 22 require the Commission to examine the face of the affidavit supporting the finding of probable cause on which the disconnection of telephone service is based in order to determine the adequacy of the affidavit and weigh any request for relief.

3. Rule 22 places the burden on the law enforcement agency responsible for a disconnection to (1) show that the telephone service was used directly or indirectly to violate or assist in violating the law; (2) show that the character of the violation was such that significant dangers to public health, safety, or welfare would result if immediate and summary action had not been taken; and (3) show that the service should not be restored.

4. The affidavit set forth in Exhibit 1, and the police reports (Exhibits 5 and 6) which were attached to the affidavit presented to the Court, is adequate to support the Court's disconnection order of July 21, 2000.

5. The request for immediate restoration of the telephone line disconnected on July 25, 2000, should be denied, and the complaint should be dismissed.

6. Because the complaint seeks immediate action by the Commission, this order should be made effective immediately.

ORDER

IT IS ORDERED that:

1. The complaint of Western Referral, Inc., doing business as VIP Escorts, seeking restoration of telephone line (800) 477-2454, disconnected pursuant to AT&T Tariff Rule No. 22 on July 25, 2000, is denied.

2. This proceeding is closed.

This order is effective today.

Dated December 21, 2000, at San Francisco, California.

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