The FCC wants to fine wireless carrier Truphone $660,000 for links to Russian oligarch Roman Abramovich
FCCproposed a $660,000 fine for UK-based Truphone, which owns small US carrier iSmart.
- The agency said Truphone had "misrepresented" its ownership and it was ultimately controlled by Russian oligarchs.
Truphone, a British wireless carrier, faces a $660,000 fine by the FCC over its ties to Russian oligarchs including Chelsea FC owner
All three Russians are major shareholders in steel giant Evraz.
The regulator said Truphone, which owns a small US carrier called iSmart Mobile, had "misrepresented" its ownership structure, meaning control of iSmart's FCC-authorized telco licenses were "passed to foreign entities that were not vetted."
The FCC's notice outlined a series of complex ownership structure changes for Truphone that indicate the three oligarchs' involvement.
"Truphone failed to accurately report its ownership structure and obtain prior approval before vesting control of the company in its current owners, and also failed to obtain Commission approval before an unvetted foreign individual/entity acquired more than five percent of Truphone," the agency said in its
FCC Chairwoman Jessica Rosenworcel said in a statement the commission launched an "internal assessment of Russian ownership of
"While it does not appear that these individuals are currently subject to any US sanctions, they have been targeted with
He added that the action was about keeping US networks secure.
"Even before Russia's invasion of Ukraine, the United States and other democracies around the world were reassessing their policies towards entities affiliated or otherwise subject to the jurisdiction of adversary states," he said, citing recent action to "rip and replace" Huawei and ZTE equipment from US networks as an example.
Truphone has 30 days to pay the fine or file an appeal.
Truphone previously said in an April 1 statement that Abramovich has been a minority investor in the company since 2013 through investing firm Minden Worldwide. "It should be emphasized that Truphone is not subject to any sanctions," it said in the statement.
Truphone did not immediately respond to Insider's request for comment sent via FRP Advisory, a business advisory it has appointed.
- Towards a Greener Footprint: Prioritising Carbon-Neutrality Makes Good Businesses Sense! Are Indian Firms Making the Transition?
- Netflix confirms an ad supported tier is coming to its streaming service by year end
- Accenture, Cognizant could see revenue growth but a strong US dollar could spoil the party
- Kharif sowing is off to a weak start with extended dry spells and floods
- Best ladder for home use in India