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ANCOM Sanctions the Electronic Communications Provider Enigma-System

21.05.2013

 

The National Authority for Management and Regulation in Communications (ANCOM) sanctioned the company Enigma-System Mobile Virtual Network Operator (hereinafter Enigma-System), authorised as a provider of electronic communications services and holder of numbering resources, with a cumulated fine amounting to RON 25,000 after finding that this operator used the mobile telephony numbering in an inadequate way, attempting to speculate the difference between the fixed and the mobile termination rates, and also reported incorrect and incomplete statistical data to ANCOM.
The ANCOM control action revealed that Enigma-System did not observe the destination of the numbering resources allotted by the Authority under the licences for the use of numbering resources for the period 10 November 2011 - 21 March 2013. Furthermore, the ANCOM inspectors discovered that Enigma-System transmitted incorrect and incomplete information to the Authority concerning the traffic and revenues registered in 2012. Both actions infringe the ANCOM decisions in force and represent contraventions, therefore the Authority sanctioned this provider with fines amounting to RON 20,000 and, respectively, RON 5,000.
The ANCOM control personnel found that Enigma-System, notified as mobile virtual network operator[1] (MVNO), provided electronic communications services by means of the numbering resources in the 0Z=07 domain, allotted for mobile telephone services, without having however concluded agreement of access (hosting) to the network of a holder of licences for the use of radio frequencies. In the absence of such agreement, the services this operator provided are not deemed mobile telephone services but electronic communications services at fixed locations and, therefore, Enigma-System should have used the location-independent numbering from the 0ZA=037 range. Non-observance of the usage destination of the numbering resources allotted by the Authority has implications on the establishment of the interconnection rates for call termination, considering that the mobile termination rates are higher than the fixed termination rates. Given that it is providing services by means of the numbering resources in the 0Z=07 domain without having concluded an agreement of access to the network of a mobile operator, the MVNO operator Enigma-System is thus avoiding the costs determined by the building or by the accessing and operation of a mobile telephone network. Nonetheless, the MVNO operator charges interconnection tariffs for the termination of calls at these numbers which are similar to those charged by the mobile network operators and hence obtains undue benefits in relation to the interconnection partners.
As for the other contravention ANCOM discovered, Enigma-System transmitted to the Authority that it did not have activity in 2012 and therefore did not report any traffic or revenues. During the control action, ANCOM found that, on the contrary, the Enigma-System network registered traffic, as the MVNO operator charged at least one provider for terminating on its network the calls originated on the network of the provider in question.
Beside the contravention fine, Runex Telecom S.R.L. (a change of name and shareholding took place as of 12 April 2013 and thus Enigma-System Mobile Virtual Network Operator S.R.L. became Runex Telecom S.R.L.) was imposed measures for the recovery of the lawful status, respectively the obligation to cease the provision of electronic communications services by means of the numbering resources in the 0Z=07 domain until having concluded an agreement of access to the network of a holder of licences for the use of radio frequencies. Moreover, Enigma-System has the obligation to communicate to the Authority the correct and complete statistical data within 7 days from the transmission of the minute referring to the contravention and enforcement of sanction.


[1]The MVNO is the provider of electronic communications services at mobile locations who does not hold a licence for the use of radio frequencies but provides these services by using elements of other mobile public networks, based upon agreements concluded with the operators of such networks. Consequently, an MVNO ensures the electronic communications service at mobile locations after concluding an agreement of access to the network of a holder of licences for the use of radio frequencies.Â