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Microcap & Penny Stocks : DIGITCOM (DGIV-OTC-bb)Information Thread
DGIV 0.00Dec 5 4:00 PM EST
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To: Michael Ulysses who wrote (298)8/19/1998 6:53:00 PM
From: Michael Ulysses  Read Replies (1) of 530
 
ISPs, Netizens win in appellate court: FCC's phone-subsidy plan upheld
By Reuters
August 19, 1998 3:10 PM PT

WASHINGTON -- A U.S. Appeals Court on Wednesday upheld the Federal Communications Commission's massive 1997 overhaul of subsidies and charges paid by long-distance carriers to local telephone companies.

In backing the FCC, the Court of Appeals for the Eighth Circuit also approved the agency's controversial decision that companies providing Internet services should not be required to pay access charges to local telephone companies.

Attempting to implement key provisions of the 1996 Telecommunications Act and stimulate competition for local telephone service, the FCC last year cut billions of dollars from per-minute access charges that long-distance companies pay local carriers for beginning and ending their customers' calls. The agency also imposed some new per-line charges.

In a 75-page decision that required 24 pages just to list parties to the lawsuit, the court rejected arguments by long-distance carriers that the FCC measures failed to reduce access charges quickly enough, as well as arguments from local carriers that the reforms cut too much.

Internet service providers were big winners in the decision, as the court, based in St. Louis, Mo., agreed that the FCC had acted within its authority by exempting them from paying access charges.

Telecommunications attorneys had been unsure how the appeals court would rule, because last year it had struck down some of the FCC's other rules implementing the 1996 law.
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