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FCC FINES COLORADO COMPANY FOR SELLING "NON-CERTIFIED CITIZENS BAND |
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On Friday, March 21, the FCC released a "Forfeiture Order"
<http://hraunfoss.fcc.gov/edocs_public/attachmatch/DA-08-597A1.pdf> in
the amount of $7000 to CB Shop and More in Loveland, Colorado for
"willful and repeated violations of Section 302(b) of the Communications
Act of 1934, as amended (Act), and Section 2.803(a)(1) of the
Commission's Rules." According to the FCC, CB Shop and More was selling
a "non-certified Citizens Band ('CB') transceiver." According to the
Forfeiture Order, the CB Shop and More has been in the Commission's
sights since at least 2002.
Section 302(b) of the Act states: "No person shall manufacture, import,
sell, offer for sale, or ship devices or home electronic equipment and
systems, or use devices, which fail to comply with regulations
promulgated pursuant to this section." Section 2.803(a)(1) reads that
"Except as provided elsewhere in this section, no person shall sell or
lease, or offer for sale or lease (including advertising for sale or
lease), or import, ship, or distribute for the purpose of selling or
leasing or offering for sale or lease, any radio frequency device unless
in the case of a device subject to certification such device has been
authorized by the Commission."
On January 26, 2007, and March 8, 2007, the Denver Office received
complaints alleging that CB Shop and More was selling non-certified CB
transmitters and modified 10 meter band radios. On March 30, 2007, the
Denver agents again visited CB Shop and More and noted that one of the
CB transceivers offered for sale was a Galaxy Model DX99V and asked if
they could purchase the transceiver. "The Denver agents subsequently
identified themselves as FCC agents, and proceeded to interview the
owner of the CB Shop. The owner acknowledged that he once received a
Citation from the FCC, but he thought it was still legal for them to
sell the referenced CB transceivers."
On August 28, 2007, the Denver Office issued a "Notice of Apparent
Liability" (NAL) in the amount of $7000 to CB Shop and More. In the
"NAL," the Denver Office found that CB Shop and More "apparently
willfully and repeatedly violated Section 302(b) of the Act, and Section
2.803(a)(1) of the Rules by offering for sale a non-certified CB
transceiver." CB Shop and More filed a response on September 17, 2007
(Response). In its "Response," CB Shop argued that "Galaxy Model DX99V
does not require certification by the Commission because it is not a CB
transceiver." Consequently, CB Shop and More argued that the forfeiture
should be cancelled.
According to the FCC, the proposed forfeiture amount in this case was
assessed in accordance with Section 503(b) of the Act, Section 1.80 of
the Rules and "The Commission's Forfeiture Policy Statement and
Amendment of Section 1.80 of the Rules to Incorporate the Forfeiture
Guidelines." In examining CB Store and More's "Response," Section 503(b)
of the Act requires that "the Commission take into account the nature,
circumstances, extent and gravity of the violation and, with respect to
the violator, the degree of culpability, any history of prior offenses,
ability to pay, and other such matters as justice may require."
CB radio transceivers are subject to the equipment certification process
and must be certified and properly labeled prior to being marketed or
sold in the United States. Unlike CB radio transceivers, radio
transmitting equipment that transmits solely on Amateur Radio Service
frequencies is not subject to equipment authorization requirements prior
to manufacture or marketing; however, some radio transmitters that
transmit in a portion of the 10 meter band of the Amateur Radio Service
(28.000-29.700 MHz) are equipped with rotary, toggle or pushbutton
switches mounted externally on the unit, allowing operation in the CB
bands after completion of minor and trivial internal modifications to
the equipment.
To address these radios, the Commission adopted changes to the CB-type
acceptance requirements by defining a CB transmitter as "a transmitter
that operates or is intended to operate at a station authorized in the
CB." Section 95.655(a) of the Rules also states that "no transmitter
will be certificated for use in the CB service if it is equipped with a
frequency capability not listed in Section 95.625 of the Rules" (CB
transmitter channel frequencies). Also, the Commission's Office of
General Counsel released a letter on the importation and marketing of
Amateur Radio transmitters, clarifying that transmitters that "have a
built-in capacity to operate on CB frequencies and can easily be altered
to activate that capacity, such as by moving or removing a jumper plug
or cutting a single wire" fall within the definition of a CB transmitter
under Section 95.603(c) of the Rules and therefore require certification
prior to marketing or importation. The Commission's Office of
Engineering and Technology "evaluated Galaxy Model DX99V here and
determined that it could easily be altered for use as a CB transceiver."
The FCC examined CB Shop and More's Response to the NAL "pursuant to the
statutory factors above," and in conjunction with the Forfeiture Policy
Statement. As a result of the review, the Commission concluded that CB
Shop and More "willfully and repeatedly violated Section 302(b) of the
Act, and Section 2.803(a)(1) of the Rules. Considering the entire record
and the factors listed above, we find that neither reduction nor
cancellation of the proposed $7,000 forfeiture is warranted." The
Commission ordered that, pursuant to Section 503(b) of the Act and
Sections 0.111, 0.311 and 1.80(f)(4) of the Commission's Rules, "CB Shop
and More is liable for a monetary forfeiture in the amount of $7,000 for
willfully and repeatedly violating Section 302(b) of the Act, and
Section 2.803(a)(1) of the Rules."
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