Companies to Pay Record Fine for Violating FCC Foreign Ownership Rules
Puerto Rico Telephone Co. and PRTC parent América Móvil of Mexico agreed to pay $1.1 million to resolve an investigation by the Enforcement Bureau, the FCC said Tuesday. Stock purchases of América Móvil by owner Carlos Slim Helú and family…
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“repeatedly exceeded the foreign ownership levels approved by the Commission,” the FCC said in a news release. Bureau Chief Travis LeBlanc said the fine is the largest ever for violating the agency’s foreign ownership rules. The companies exceeded their approved foreign ownership three times in five years, the FCC said. Most recently, in June 2014, “the Slim family increased its ownership in and control of América Móvil through a purchase of stock from AT&T International,” the FCC said. “This also increased the family’s ownership in FCC licensee PRTC beyond the voting and equity interests then approved by the agency’s International Bureau in accordance with the FCC’s foreign ownership rules and policies.” As part of the settlement, PRTC and América Móvil also agreed to adopt compliance plans to prevent future stock purchases by the Slim family without first receiving the International Bureau’s review and approval, the FCC said. The companies didn’t comment.