Attachment Assignment Applicati

This document pretains to ITC-ASG-20140128-00031 for Assignment on a International Telecommunications filing.

IBFS_ITCASG2014012800031_1033711

   BI NG HAM

                         Catherine Wang
                         Jeffrey R. Strenkowski
                         Catherine.wang@bingham.com
                         Jeffrey.strenkowski@bingham.com


                         January 28, 2014

                         Via Electronic Filing

                         Marlene H. Dortch, Secretary
                         Federal Communications Commission
                         International Bureau Applications
                         P.O. Box 979093
                         St. Louis, MO 63197—9700

                         Re:        In the Matter of the Joint Application ofITG, Inc. ("Assignor") and iTalk, Inc.
                                    ("Assignee") for Nunc Pro Tunc Grant ofAuthority Pursuant to Section 214 of
                                    the Communications Act of 1934, as amended, and Sections 63.04 and 63.24 of
                                    the Commission‘s Rules to Complete the Assignment ofAssets and Section 214
                                    License

                         Dear Ms. Dortch:

                         On behalf of ITG, Inc. ("ITG") and iTalk, Inc. ("iTalk"), enclosed for filing is an n
                         application for authority to complete the assignment of assets and Section 214 authority
                         from ITG to iTalk.

                         Pursuant to Section 63.04(b) of the Commission‘s rules, Applicants submit this filing as a
                         combined domestic section 214 application and international section 214 application
                         ("Combined Application"). Applicants are simultaneously submitting for filing the
                         Combined Application with the Wireline Competition Bureau, in accordance with the
                         Commission‘s rules.
               Beijing
               Boston    Applicants are also filing a Request for Special Temporary Authority.
             Frankfurt
             Hartford    This filing and the applicable credit card payments in the amount of $1,050.00 which
           Hong Kong
                         satisfy the filing fees required for the applications under line 2.e of Section 1.1107 of the
               London
                         Commission‘s rules, are being submitted electronically through the MyIBFS.
          Los Angeles
             New York
       Orange County     Please direct any questions regarding this filing to the undersigned.
        San Francisco
        Santa Monica     Respectfully submitted,


                             {Pe0feibtzeso}ryny
        Silicon Valley
                Tokyo
          Washington

                         Catherine Wang
                         Jeffrey R. Strenkowski
Bingham McCutchen LLP
      2020 K Street NW   Counsel for iTalk, Inc.
       Washington, DC
          20006—1806


    |+1.202.373.6000
    F +1.202.373.6001
         bingham.com


                         A/75912448.1


                                      Before the
                        FEDERAL COMMUNICATIONS COMMISSION
                                 Washington, DC 20554


                                                 )
In the Matter of the Joint Application of        )
                                                 )
lTG, Inc.,                                       )            File No. ITC-ASG-2014- - - -
        Assignor,                                )
                                                 )
and                                              )            WC Docket No. 14-- - - - - -
                                                 )
iTalk, Inc.,                                     )
       Assignee                                  )
                                                 )
For Nunc Pro Tunc Grant of Authority Pursuant to )
Section 214 of the Communications Act of 1934, )
as amended, and Sections 63.04 and 63.24 of the  )
Commission's Rules to Complete an                )
Assignment of Licenses and Purchase of Assets    )
of an Authorized Domestic and International      )
Section 214 Carrier                              )


                                      JOINT APPLICATION

I.        INTRODUCTION

          A.     Summary of Request

          ITG, Inc. ("ITG" or "Assignor") and iTalk, Inc. ("iTalk" or "Assignee") (collectively, the

"Applicants"), pursuant to Section 214 of the Communications Act, as amended, 47 U.S.C.

§ 214, and Sections 63.04 and 63.24 of the Commission's Rules, 47 C.P.R. §§ 63.04, 63.24,

respectfully request nunc pro tunc Commission approval of a transaction whereby on June 5,

2013, iTalk acquired from ITG certain assets, including Section 214 licenses, ITG's customer




N75907735.1


base and customer contracts (the "Transaction").2 As described below, iTalk is well-qualified to

hold the aforementioned Section 214 authorizations and own and operate the assigned licensed

operations. Further, the transaction was virtually transparent to assigned customers with respect

to the services that they receive.

           B.    Request for Streamlined Processing

          Applicants respectfully submit that this Application is eligible for streamlined processing

pursuant to Section 63.03 and 63.12 of the Commission's Rules, 47 C.F.R. §§ 63.03 & 63.12.

With respect to domestic authority, this Application is eligible for streamlined processing

pursuant to Section 63.03(b)(2)(i) because, immediately following the Transaction, (1)

Applicants and their affiliates, as defined in Section 3(1) of the Communications Act

("Affiliates") combined held less than a ten percent (1 0%) share of the interstate, interexchange

market; (2) Applicants and their Affiliates will not provide local exchange service; and (3) none

of the Applicants or their Affiliates is dominant with respect to any service. This Application is

eligible for streamlined processing pursuant to Section 63.12 of the Commission's Rules, 47 C.F.R.

§ 63.12, because, as further described in Section N below, none of the exclusionary criteria set

forth in Section 63 .12(c) applies.

          In support of this Application, Applicants provide the following information:

II.       DESCRIPTION OF THE APPLICANTS

          A.     lTG, Inc. (Assignor)

          lTG, Inc., a Texas corporation, located at 14911 Quorum Drive, Suite 370, Dallas, Texas

75254, is a wholly owned subsidiary of DataJack, Inc. ("DataJack"), a Nevada corporation,

located at the same address (OTC BB: "DJAK"). DataJack offers, through its subsidiaries, a

2     The Applicants are concurrently filing Requests for Special Temporary Authority with the
      International and Wireline Competition Bureaus for approval of the Transaction pending approval of
      these applications.
                                                    2
A/75907735.1


comprehensive range of mobile broadband Internet access products and services that are

designed to meet the needs of individual consumers, businesses, government subscribers and

resellers. Datal ack offers secure nationwide mobile broadband            data transmission services

primarily under the DataJ ack brand. 3

          Prior to the Transaction, DataJack's communications products included an international

calling service delivered under the brand "WQN," through its subsidiary, WQN, Inc. ("WQN").

Just prior to the Transaction, WQN changed its name to lTG, Inc. d/b/a WQN. The company's

international calling service delivers low cost international calls to consumers and businesses.

Pursuant to the Transaction, lTG sold certain intangible and other assets to iTalk, Inc. The assets

included in the Transaction were certain domain names, licenses (including FCC Section 214

licenses), service contracts including trade names and trademarks, and all rights and interests to

and in all ofthe customers of the international long distance division ofDataJack, Inc.

          A chart depicting the ownership chain of Assignor is attached hereto as Attachment 1.

          B.     iTalk, Inc. ("Assignee")

          iTalk, Inc. is a Nevada corporation with executive offices located at 2400 W Cypress

Creek Road, Suite 111, Fort Lauderdale, Florida 33309 (OTC: "TALK"). iTalk designs and

develops retail voice and data communications services and integrates these services with

wireless hardware devices to create new and more cost effective and productive communication

solutions.4

          A chart depicting the ownership chain of Assignee is attached hereto as Attachment 2.


3     Further information on DataJack, Inc. can be obtained through the company's most recent SEC
      Annual Report, available at: http://corp.datajack.com/cfiles/investors filings.asp.

4     Further information on iTalk, Inc. can be obtained through the company's most recent SEC Annual
      Report, available at: http://www.italkmobility.com/investorsfilings.

                                                   3
N75907735.1


III.       DESCRIPTION OF THE TRANSACTION


           Pursuant to an Asset Purchase Agreement (''Agreement"), dated June 5, 2013, Applicants

undertook a transaction whereby iTalk acquired those operations of ITG related to the provision

of regulated telecommunications services.           The Transaction entailed a purchase of the ITG

business operating pursuant to certain Section 214 authorizations and certain customer accounts.

iTalk will continue to offer services pursuant to blanket domestic 214 authority as well as

international 214 authority pursuant to File No. ITC-214-20090416-00200 granted to lTG on June 5,

2009, that it acquired from ITG. Customers have received, and will continue to receive service

from iTalk under the comparable rates, terms and conditions of services immediately prior to the

Transaction. Any future changes in the rates, terms and conditions of service for customers will

be undertaken pursuant to applicable federal and state notice and tariff requirements.

           As a result of the Transaction, iTalk acquired the assets and licenses of ITG.

Unfortunately, through an oversight, Applicants did not request authority for the assignment of

licenses and assets from ITG to iTalk at the time of the transaction and does so now.5 Following

consummation of the Transaction, iTalk offered service with no change in the rates or terms and

conditions of service. Further, iTalk has provided service to its customers under the same

"WQN'' brand name. Therefore, the assignment was seamless and transparent to customers.

IV.        PUBLIC INTEREST STATEMENT

           Applicants submit that approval of the Transaction will serve the public interest.

Approval of the Transaction will enhance the ability of iTalk to retain an expanded line of

products and services. Through the purchase of the ITG assets, iTalk became a more robust


5      As discussed in the attached request for Special Temporary Authority, the Applicants were unaware
       of the prior approval requirement and inadvertently failed to obtain timely authority and have taken
       steps to ensure compliance with all applicable FCC requirements going forward.
                                                      4
A/75907735. 1


competitor in the highly competitive telecommunications industry. Further, the Transaction was

conducted in a manner that was transparent to customers of lTG. The assignment of ITO's

business and licenses did not result in any changes to the terms or conditions of services of

affected customers. Following consummation of the Transaction, iTalk continued to provide

high-quality communications services to its customers without interruption.6

V.        INFORMATION REQUIRED BY SECTION 63.24(e)

          Pursuant to Section 63.24(e)(3) of the Commission's Rules, the Applicants submit the

following information requested in Section 63.18 (a)-(d) and (h)-(p) in support of this

Application:

          63.18 (a)      N arne, address and telephone number of each Applicant:

                 Assignor:
                      ITG, Inc. (flk/a WQN, Inc.)                                  FRN: 0016796914
                      14911 Quorum Drive
                      Suite 370
                      Dallas, Texas 75254
                      Tel: (972) 361-1980

                 Assignee:
                      iTalk, Inc.                                                  FRN: 0023299464
                      2400 West Cypress Creek Road
                      Suite 111
                      Fort Lauderdale, Florida 33309
                      Tel: (877) 652-3834

          63.18 (b)      Jurisdiction of Organizations:

                 Assignor:        ITG is a corporation formed under the laws of the State of Texas.

                 Assignee:        iTalk is a corporation formed under the laws of the State of
                                  Nevada.

6     As the ITG customers involved in the transfer did not receive presubscribed international, interstate,
      or inter-exchange intrastate long distance telecommunications services from ITG, the certification
      requirements set forth in Section 64.1120(e) of the Commission's Rules are inapplicable as no carrier
      subscription changes were undertaken for any customer.

                                                     5
A/75907735.1


           63.18 (c)     Correspondence concerning this Application should be sent to:

           For iTalk:                                  With a copy to:
               Catherine Wang                              David Levy
               Jeffrey R. Strenkowski                      iTalk, Inc.
               Bingham McCutchen LLP                       2400 West Cypress Creek Road
               2020 K St. NW, 11th Fl.                     Suite 111
               Washington, DC 20006                        Fort Lauderdale, Florida 33309
               202-373-6000 (Tel)                          Tel: (877) 652-3834
               202-373-6001 (Fax)
               catherine. wang@bingham. com
               jeffrey.strenkowski@bingham.com

           For ITG:
               Steven Ivester
               ITG, Inc.
               2400 W. Cypress Creek Rd.
               Suite 200
               Fort Lauderdale, FL 33309
               Tel: (954) 465-1658

           63.18 (d)     Section 214 Authorizations

                  Assignor:      ITG holds blanket domestic Section 214 authority and holds
                                 international Section 214 authority granted in File No. ITC-214-
                                 20090416-00200 on June 5, 2009.

                  Assignee:      iTalk does not hold domestic or international Section 214
                                 authority.

           63.18 (h)     Ownership

           The following entities hold, directly or indirectly a 10% or greater interest in iTalk as

calculated pursuant to Commission ownership attribution rules for wireline and international

telecommunications carriers:

  Ownership of iTalk, Inc.:

           No individual or entity owns or controls more than 10% directly or indirectly of iTalk,

Inc. iTalk, Inc. has no interlocking officers or directors with any other foreign carriers.

  Ownership ofiTG, Inc.:

                                                   6
A/75907735.1


          The following entity owns or controls 10% or more of lTG, Inc.:

                  Name:                     Datal ack, Inc.
                  Address:                  14911 Quorum Drive, Suite 370, Dallas, Texas 75254
                  Citizenship:              us
                  Principal Business:       Mobile Broadband Internet Services
                  %Equity:                  100%

                  Name:                     Gerald & Seena Sperling
                  Address:                  17899 Aberdeen Way, Boca Raton, Florida 33496
                  Citizenship:              us
                  Principal Business:       Individuals
                  %Equity:                  18% ofDataJack, Inc. (18% OfiTG, Inc. indirectly)?

                  Name:                     Warren Gilbert
                  Address:                  1800 NE 114th St., Suite 2110, Miami, Florida 33181
                  Citizenship:              us
                  Principal Business:       Individual
                  %Equity:                  14% ofDataJack, Inc. (14% OfiTG, Inc. indirectly)

          No other individual or entity owns or controls more than 10% directly or indirectly of

lTG, Inc. lTG, Inc. has no interlocking officers or directors with any other foreign carriers.

          63.18 (i)        iTalk certifies that it is not a foreign carrier and is not affiliated with any
                           foreign carriers.

          63.18 (j)        iTalk certifies that it does not seek to provide international
                           telecommunications services to any destination country where:

                  (1)      iTalk is a foreign carrier in that country; or

                  (2)      iTalk controls a foreign carrier in that country; or

                  (3)      Any entity that owns more than 25 percent of iTalk, or that controls iTalk,
                           controls a foreign carrier in that country; or

                  (4)      Two or more foreign carriers (or parties that control foreign carriers) own,
                           in the aggregate more than 25 percent of iTalk and are parties to, or the
                           beneficiaries of, a contractual relation affecting the provision or marketing
                           or international basic telecommunications services in the United States.

          63.18 (k)        Not applicable (no destination countries are listed in response to paragraph

7     Gerald and Seena Sperling own their shares of DataJack, Inc. both directly and through a trust, with
      beneficial ownership held by Seena Sperling.

                                                         7
A/75907735.1


                         G) above).

          63.18 (1)      Not applicable (iTalk is not a foreign carrier and is not affiliated with any
                         foreign carriers).

          63.18 (m)      Not applicable (iTalk is not a foreign carrier and is not affiliated with any
                         foreign carriers).

          63.18 (n)      Applicants certify that they have not agreed to accept special concessions
                         directly or indirectly from any foreign carrier with respect to any U.S.
                         international route where the foreign carrier possesses market power on
                         the foreign end of the route and will not enter into such agreements in the
                         future.

          63.18 (o)      Applicants certify that they are not subject to denial of federal benefits
                         pursuant to Section 5301 of the Anti-Drug Abuse Act of 1998. See 21
                         U.S.C. § 853a. See also 47 C.F.R. §§ 1.2001-1.2003.

          63.18 (p)      Applicants respectfully submit that this Application is eligible for
                         streamlined processing pursuant to Section 63.12(a)-(b) of the
                         Commission's Rules, 47 C.F.R. §63.12(a)-(b). In particular, Section
                         63.12(c)(1) is inapplicable because the Applicant is not affiliated with any
                         foreign carriers and none of the scenarios outlined in Section 63 .12(c) of
                         the Commission's Rules, 47 C.F.R.§ 63.12(c), apply.


VI.       INFORMATION REQUJRED BY SECTION 63.04

          In lieu of an attachment, pursuant to Commission Rule 63.04(b), 47 C.F.R. § 63.04(b),

Applicants submit the following information in support of their request for domestic Section 214

authority in order to address the requirements set forth in Commission Rule 63.04(a)(6)-(12), 47

C.F.R. § 63.04(a)(6)-(12):

          (a)(6) A description of the Transaction is set forth in Section III above.

          (a)(7) Applicants do not currently offer domestic telecommunications services.

          (a)(8) Applicants respectfully submit that this Application is eligible for streamlined
                 processing pursuant to Sections 63.03 of the Commission's Rules, 47 C.F.R. §63.03.
                 In particular, with respect to domestic authority, this Application is eligible for
                 streamlined processing pursuant to Section 63.03(b)(2)(i) because, immediately
                 following the transaction, (1) Applicants and their Affiliates combined held less
                 than a ten percent (10%) share of the interstate, interexchange market; (2)
                 Applicants and their Affiliates will not provide local exchange service; and (3)

                                                   8
N75907735.1


                  none of the Applicants or their Affiliates is dominant with respect to any service.

           (a)(9) By this Application, Applicants seek authority with respect to both international
                  and domestic Section 214 authorizations. (This Application is being separately
                  and concurrently filed with respect to both types of authorities in compliance with
                  Commission Rule 63.04(b), 47 C.F.R. § 63.04(b)). Except with respect to the
                  requests for Special Temporary Authority being filed concurrently with the
                  Commission as outlined above, no other applications are being filed with the
                  Commission with respect to this Application.

           (a)(lO) The Applicants are seeking Special Temporary Authority with respect to the
                   Transaction described in this Application. As such, Applicants respectfully request
                   that the Commission approve this Application expeditiously.

           (a)(ll) Not applicable (no other waiver requests are being filed).

           (a)(12) A statement showing how grant of the application will serve the public interest,
                   convenience and necessity is provided in Section IV above.

VII.       CONCLUSION

           For the reasons stated above, Applicants respectfully submit that the public interest,

convenience, and necessity would be furthered by a grant of this Application.              Applicants

therefore respectfully request that the Commission consider and approve this Application as soon

as possible.

                                                         Respectfully submitted,

                                                        Is/ Catherine Wang
                                                        Catherine Wang
                                                        Jeffrey R. Strenkowski
                                                        Bingham McCutchen LLP
                                                        2020 K St., NW
                                                        Washington, DC 20006
                                                        202-373-6000 (Tel)
                                                        202-373-6001 (Fax)
                                                        catherine. wang@bingham.com
                                                        jeffrey.strenkowski@bingham.com

                                                         Counsel for iTalk, Inc.



Dated: January 28, 2014

                                                    9
A/75907735.1


                 ATTACHMENT 1

               ASSIGNOR OWNERSHIP




A/75907735.1


                               Assignor Ownership




        Gerald and Seena              Warren Gilbert                          Widely Held By Multiple
         Sperling (US)                    (US)                                    Shareholders

               1   18%                          14%                                      1   68%



                           I        DataJack, Inc. (US)
                                                              I
                                               100%



                                I     lTG, Inc.* (US)
                                                          I

                                                                  *Assignor




75388638.2


                 ATTACHMENT 2

               ASSIGNEE OWNERSHIP




N75907735 .1


Assignee Ownership




  Widely Held By Multiple
       Shareholders
                100%


      iTalk, Inc.* (US)




                            * Assignee


                                           VERIFICATION


           I, state that I am the President of ITO, Inc. ("ITO"); that I   am authorized to make this
Verification on behalf of lTG; that the foregoing filing was prepared under my direction and

supervision; and that the contents with respect to IGT are true and 90rrect to the best of my

knowledge, information, and belief.

           I declare under penalty of perjury that the foregoing is true and correct. Executed this

28th day of January, 2014.


                                                  AME, Steven Ivester
                                                TITL President
                                                lTG, Inc .




N7S651 115 II


                                        VERIFICATION


         1, David F. Levystate that I am the CEO of iTalk, Inc. ("iTalk"); that I am authorized to

make this Verification on behalf of iTalk; that the foregoing filing was prepared under my

direction and supervision; and thatthe contents with respect to iTalk are true and correct to the

best of my knowledge, information, and belief.

         I declare under penalty of perjury that the          ‘is true and correct. Executed this

28th day of January, 2014.



                                              TITLE CEO
                                              iTalk, Inc.




ansoorms i



Document Created: 2014-01-28 18:26:52
Document Modified: 2014-01-28 18:26:52

© 2024 FCC.report
This site is not affiliated with or endorsed by the FCC