PRESIDING OFFICER'S DECISION (Mailed 10/12/2000)
BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA
Investigation on the Commission's Own Motion Into the Operations and Practices of Telmatch Telecommunications, Inc., (U 5715), to Determine Whether It Has Violated the Laws, Rules and Regulations Governing the Manner in which California Consumers are Billed for Telecommunication Services. |
Investigation 99-09-001 (Filed September 2, 1999) |
OPINION ORDERING REPARATIONS AND IMPOSING SANCTIONS
The Lustigman Firm, PC by Sheldon S. Lustigman, Attorney at Law, for Telmatch Telecommunications, Inc.; Heller, Ehrman, White & McAuliffe by Raymond Sheen, Michael Plimack, and David Brownstein, Attorneys at Law, for Telmatch Telecommunications; respondent.
Stephanie E. Krapf, Attorney at Law, for Pacific Bell; Elaine Lustig, Attorney at Law, and Jay Tresler, for GTE California, Incorporated; interested parties.
Carol A. Dumond, Attorney at Law, for Legal Division.
Title Page
OPINION ORDERING REPARATIONS AND IMPOSING SANCTIONS 1
1. Summary 2
2. Procedural History 2
3. Telmatch's Past History 3
4. Position of Consumer Services Division 4
4.1 Solicitation - The Sweepstakes Method 5
4.2 Entry Form and Consent 5
4.3 Pub. Util. Code § 2890 7
4.4 Restitution and Fines 8
5. Position of Telmatch 8
6. Discussion 10
6.1 Telmatch's Solicitation and Subsequent Billing of Consumers Constituted Cramming 11
6.2 The Commission Has Authority to Redress Cramming 17
6.3 Filed Rate Doctrine 23
6.4 Sanctions 23
6.5 Other Matters 29
Findings of Fact 31
Conclusions of Law 33
O R D E R 36
Attachment A
Attachment B
1. Summary
Telmatch Telecommunications, Inc. (Telmatch) is found to have imposed unauthorized charges on consumers' telephone bills. Telmatch is ordered to pay reparations and fines. Telmatch is also found to be unfit to provide service to the public and its operating authority is revoked.
