Purple Communications Settles FCC Probe for $9.1 Million

The Federal Communications Commission has reached a $9.1 million settlement with disability telecommunications service provider Purple Communications, Inc. for improperly seeking reimbursement from a federal fund to support disability telecommunications services, the commission announced Feb. 15.

The settlement puts to bed a commission investigation alleging Purple failed to verify more than 40,000 individuals “with obviously false names,” such as “Lot$a Money” and “Myname Yourname,” according to an FCC document related to the investigation. Purple sought more than $6.1 million in reimbursements from the Telephone Relay Service Fund, administered by the FCC, for services ostensibly charged to those users. The settlement ...