Cable Company Settles Suit for Fraudulent FCC Funding Claims

 The group allegedly claimed reduced-cost internet subsidies from 2008 to 2023.

The Armstrong Group, a cable company cohort serving the Eastern United States, paid $6.5 million to settle allegations that it knowingly filed false claims to receive funding from the Federal Communications Commission (FCC).

The FCC manages its Universal Service Fund through four grants, which are intended to ensure rural citizens and residents in high-cost areas have access to quality internet and phone service. The Armstrong Group allegedly submitted reports to the FCC between 2008 and 2023 that inflated the cost of its operations in order to receive these grant funds.

“In the digital age, it is critical for everyone, everywhere to have access to reliable, high-speed broadband, including in rural and underserved areas,” said FCC General Counsel Michele Ellison. “That is why we are laser-focused on pursuing waste, fraud, and abuse in these critical programs and ensuring that available funds flow to companies that play by the rules.”

As the Lord Leads, Pray with Us…

  • For the commissioners of the FCC as they seek to maintain the integrity of the agency’s grant programs.
  • For Chair Rosenworcel to be led by the Lord as she oversees the FCC.
  • For officials in the Department of Justice as they conduct investigations and prosecute fraud cases.

Sources: Department of Justice

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