*Pages 1--1 from Microsoft Word - 58155.doc* Federal Communications Commission FCC 06- 91 SEPARATE STATEMENT OF COMMISSIONER JONATHAN S. ADELSTEIN CONCURRING Re: NEC- Business Network Solutions, Inc., Notice of Debarment and Order Denying Waiver Petition, File No. EB- 03- IH- 0738, FCC 06- 91 (June 21, 2006). Since its inception, the universal service support mechanism for schools and libraries (commonly referred to as the E- rate program) has opened up a new world of learning and opportunity for millions of school children and library patrons. To ensure the continued success of the E- Rate program, we must remain committed to monitoring, auditing, reviewing and reinforcing the program. A critical part of our Commission oversight is the use of debarment, which prohibits bad actors from participating in the program. Accordingly, I support our decision in this Order to debar NEC from all involvement in the E- Rate program, our first such action against a corporate defendant. I concur in, rather than approve, this Order because I would have supported a longer debarment period. The Commission’s rules provide for a debarment period of three years, which may be extended to protect the public interest or reduced upon a finding of extraordinary circumstances. I note that the Department of Justice has encouraged the Commission to exercise our debarment policy in a way that encourages early and complete cooperation from defendants, and I recognize that the Commission may take into account payment of fines and restitution, the length of time that a provider has not participated, and most importantly a high degree of cooperation with law enforcement. Even weighing these factors, the six- month debarment period adopted in this Order falls short, given the scope and seriousness of the fraud- related activities in this case. Strong enforcement encourages compliance, and penalties should be substantial enough to constitute more than just a cost of doing business. In this case, a longer debarment period would have sent a stronger and clearer message that fraud will not be tolerated. 1