In less than thirty days under new management, the FCC dropped a fine of over four million dollars on voice provider Telnyx for allowing an unscrupulous customer attempt to defraud consumers.

The Commission’s penalty was based on activity in February of 2024 when consumers were contacted by supposed representatives of the FCC demanding payment to the FCC of one thousand dollars in Google gift cards to avoid jail time for their crimes against the state. The scammers may have gotten away with this except for the fact that over a dozen FCC staff and some of their family members reported receiving calls on their personal and work telephone numbers.

The FCC notified the company, stating, “Voice service providers must know their customers and exercise due diligence before permitting calls.” The company, MarioCop, opened two accounts that were both funded with Bitcoin payments to Telnyx.

Any Provider of Voice is at Risk

In their notice of apparent liability for forfeiture, the FCC stated, a voice service provider must “take affirmative, effective measures to prevent new and renewing customers from using its network to originate illegal calls, including knowing its customers and exercising due diligence in ensuring that its services are not used to originate illegal traffic.” Rural voice providers need to be vigilant when accepting new voice accounts, especially when requests come from out of area. Providers should conduct regular reviews of existing accounts to identify any irregularities in call volume.