Attachment Letter dtd 2.1.07

This document pretains to SCL-T/C-20081215-00023 for Transfer of Control on a Submarine Cable Landing filing.

IBFS_SCLTC2008121500023_686250

Before the FEDERAL COMMUNICATIONS COMMISSION Washington, D.C. 2055@@@?3 In the Matter of Telecom Omision L/ REACH LTD. intemationeal Bursett % Application for Authority Pursuant to Section 214 of the Communications File No. ITC—214—20001228—00771 Act of 1934, as amended, for Global Authority to Provide Facilities—Based And Resold Services Between the J { a & ,i;\ United States and All Authorized ;{E%, t 4s International Points, Except Kiribati $wmw Petition To Adopt Conditions To Section 214 Authorization The United States Department of Justice (°DOJ") and the Federal Bureau of Investigation ("FBI") respectfully submit this Petition to Adopt Conditions to Authorization ("Petition") pursuant to 47 C.F.R. § 1.41. Through this Petition, the DOJ and the FBI hereby advise the Federal Communications Commission ("FCC" or "Commission") that the DOJ and the FBI have no objection to FCC grant of the above—referenced application for authority to provide international common carrier services under Section 214 of the Communications Act, as amended, provided that the Commission conditions the grant on compliance with the terms of the Agreement (attached hereto as Exhibit 1) between Reach Ltd. (*Reach"), Telstra Corporation Limited ("Telstra") and Pacific Century CyberWorks Limited {"PCCW"), on the one hand, and the DOJ and the FBI, on the other.

Reach, the applicant in this docket,! is a Bermuda corporation that is indirectly owned: 50% by Telstra, an Australian corporation, itself 50.1% owned by the Federal Government of Australia; and 50% by PCCW, a Hong Kong Corporation in which the largest investors are companies owned or controlled by Richard Li, a Hong Kong citizen. As the Commission is aware, the DOJ and the FBI have previously noted that their ability to satisfy their obligations to protect the national security, to enforce the laws and preserve the safety of the pubic can be significantly impacted by transactions in which foreign entities will offer communication service in the United States. In such cases, the DOJ and the FBI have stated that foreign involvement in the provision of U.S. communications must not be permitted to impair the U.S. government‘s ability to satisfy its obligations to U.S. citizens to: (1) carry out lawfully authorized electronic surveillance of domestic U.S. calls or calls that originate or terminate in the United States; (2) prevent and detect foreign—based espionage and electronic surveillance of U.S. communications, which would jeopardize the security and privacy of such communications and could foreclose prosecution of individuals involved in such activities; and (3) satisfy the National Emergency Preparedness Act and U.S. infrastructure protection requirements. To address these concerns, the DOJ and the FBI have negotiated agreements to ensure their ability to fulfill their responsibilities to protect the national security, to enforce the laws and preserve the public safety in the event that the proposed underlying mergers, transactions and ventures were successfully concluded. The agreements reached in the past have been filed by stipulation among the parties with the Commission, and The applicant « name to Reach Ltd. See Secretan 3

the Commission has conditioned its grants of approval on compliance with the terms of the agreements.2 The application at issue here was originally filed on December 28, 2000, and was accepted for filing by the FCC on a non-strcamlined basis on January 26, 2001.3 Subsequently, the DOJ and the FBI requested that the Commission defer the grant of the application pending the resolution by Reach, Telstra, PCCW, the DOJ and the FBI of those aspects of the application that could give rise to national security, law enforcement and public safety concerns. When this request was made, the parties were engaged in negotiations to reach an agreement that would ensure that national security, law enforcement and public safety concerns were adequately addressed. The DOJ and the FBI have now entered into an Agreement with Reach, Telstra and PCCW. The Agreement is intended to ensure that the DOJ, the FBI and other entities with responsibility for enforcing the law, protecting the national security and preserving public safety can proceed in a legal, secure and confidential manner to satisfy these responsibilities. Accordingly, the DOJ and the FBI hereby advise the Commission that the DOJ and the FBI have no objection to the FCC granting the above—referenced Section 214 application of Reach, provided that the Commission conditions its grant on compliance with the terms of the afore—described Agreement. 2 See, e.g., Memorandum Opinion and Order, Merger of MCI Communications Corp. and British Telecommunications, pic, 12 FCC Red 15,351 (1997) (agreement adopted by the Commission, but the merger did not take place) Memorandum Opinion and Order, AirTouch Communications, Inc. and Vodafone Group, ple, DA No. 99—1200, 1999 WL 413237 (rel. June 22, 1999); Memorandum Opinion and Order, AT&T Corp., British Telecommunications, plc, VLT Co. LLC., Vielet License Co., LLC and TNV [Bahamas}, 14 FCC Red (Oct. 29, 1999); Memorandum Opinion and Order, Vodafone AirTouch PLC and Beil Atlantic Corp., DA No. 99—2415, 2000 WL 332670 ({rel. Mar. 30, 2000}; Memorandum Opinion and Order, Aerial Communications, Inc. and VoiceStream Wireless Holding Corp., 15 FCC Red 10,089 {2000}; orandum Opinien and Order GiPH PCS, Inc. and Eliska Wireless Ventures License Subsidiary 1, 2000); Memorandum Opinion and Order, VoiceStream Wireless 1. and Deutsche Telekom AG, IB Docket No.00—187, 2001 WL 431689 , rel. January 26, 2001. to

In addition, the DOJ and the FBI also would have no objection if the FCC chose to grant the Reach Section 214 application by issuing a Public Notice rather than a formal written opinion, provided said Notice clearly states that the authorization granted to. Reach is conditioned upon compliance with the terms of the afore—described Agreement. Finally, The DOJ and the FBI are authorized to state that Reach, Telstra and PCCW do not object to the grant of this Petition. Respectfully submitted, he4 204. ATohee——— m Maie John G. Malcolm U Larry R. Parkinson Deputy Assistant Attorney General General Counsel Criminal Division Federal Bureau of Investigation 950 Pennsylvania Avenue, N.W. 935 Pennsylvania Avenue, N.W. Washington, D.C. 20530 Washington, D.C. 20532 (202) 616—3928 (202) 324—6229 November 24 _, 2001 4e


Document Created: 2008-12-23 14:03:10
Document Modified: 2008-12-23 14:03:10
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