Background

On October 18, 1999, the Commission's Consumer Services Division (CSD) wrote Bell to inform him that he was operating as household goods carrier without proper authorization. On January 25, 2000, Bell submitted an application (amended on August 31, 2000) for a Household Goods Carrier Permit. On September 14, 2000, the Director of CSD wrote Bell that CSD had discovered Bell had been convicted in 1987 of possession of narcotics with intent to sell. Based on this conviction and Bell's failure to disclose it on his application, the Commission staff refused to issue a permit to Bell.

On February 28, 2001, Bell filed this formal application seeking a Household Goods Carrier Permit from the Commission. Bell stated that he pleaded no contest to the narcotics possession in 1987 while he was a college student. He further stated that since that time he learned his lesson, and has had no further criminal convictions. Bell explained that he failed to disclose his 1987 conviction on the application form due to an oversight. He concluded by stating that he possesses the knowledge, ability, integrity, and financial resources and responsibility to perform moving services in California.

CSD protested Bell's application, alleging that Bell's 1987 conviction, and his failure to disclose it, are grounds upon which the Commission, pursuant to Pub. Util. Code § 5135 (e), may deny a Household Goods Carrier Permit.² They demonstrate, according to CSD, that Bell is unamenable to regulation and likely to engage in criminal behavior injurious to the public.