Telecom - Commission Letter addressed to Naved Ashraf (Net2Web Inc.)

Ottawa, 3 February 2021

Our reference: 1011-NOC2021-0338

BY EMAIL

Naved Ashraf
Net2Web Inc.
9040 Leslie Street
Richmond Hill, Ontario
L4B 3L8
info@Net2Web.ca

Subject: Your company’s mandatory participation in the CCTS – Commission staff request for information

Dear Mr. Ashraf,

This is a follow-up to the letter sent by email, dated 21 October 2020.

As noted in that letter, according to the information provided to the Canadian Radio-television and Telecommunications Commission (CRTC) by the the Commission for Complaints for Telecom-television Services (CCTS), Net2Web Inc. was required to become a participant in the CCTS by 11 November 2020, but has failed to do so. Appendix A includes additional details concerning the CCTS participation requirement and the Telecommunications Act.

We remind you that failure to participate in the CCTS is taken seriously by the CRTC and may result in enforcement action being taken against non-compliant service providers. For instance, the CRTC may undertake regulatory proceedings and could, at the end of such proceedings, impose administrative monetary penalties against non-compliant service providers. A first contravention can result in a penalty of up to $25,000 for individuals and of up to $10,000,000 in any other case. It should also be noted that a person can be held liable for a violation that is committed by an employee, agent or mandatary of that person. In addition, officers, directors, agents or mandataries of a corporation can be held responsible for a corporation’s violation in some circumstances. Appendix A includes additional details concerning the CCTS participation requirement and the Telecommunications Act.

To prevent the CRTC from undertaking regulatory proceedings and taking further enforcement action against you, your business or any other responsible person, Net2Web Inc. must become a participant in the CCTS and provide proof of that participation. As proof, please provide a copy of the CCTS letter confirming your business’s participation to the Chief of Consumer, Research and Communications by 24 February 2021 at the latest.

Please note that if the Commission begins an enforcement proceeding against you, your company and/or its Director(s), AMPs may be imposed for past non-compliance even if you or your company ultimately become a participant of the CCTS.

If you have any questions concerning the CCTS registration process, contact Josée Thibault at the CCTS at 613-688-4752. If you have any specific questions concerning the participation requirement imposed by the CRTC or any of the requirements of the Telecommunications Act, contact Nanao Kachi, Director of Social and Consumer Policy, at 819-997-4700 or nanao.kachi@crtc.gc.ca.

Additional Information Required

In order to better understand Net2Web’s operations, you are also required to file the following information:

This information is being requested in accordance with subsection 37(2) of the Act, which grants the CRTC the authority to require the submission of any information that it considers necessary for the administration of the Act. This information is to be filed no later than 24 February 2021.

Yours sincerely,

Original signed by

Scott Hutton
Chief of Consumer, Research and Communications

Appendix A – Additional details concerning Net2Web’s requirement to participate in the CCTS and the Telecommunications Act

As per paragraph 45 of Broadcasting and Telecom Regulatory Policy 2016-102, the CRTC requires, pursuant to sections 24 and 24.1 of the Telecommunications Act (the “Act”), that as a condition of offering or providing telecommunication services:

The term “person” includes any individual, partnership, body corporate, unincorporated organization, government, government agency and any other person or entity that acts in the name of or for the benefit of another, including a trustee, executor, administrator, liquidator of the succession, guardian, curator or tutor; as defined in subsection 2(1) of the Act.

Pursuant to section 72.001 of the Act, every contravention of a provision of this Act, other than section 17 or 69.2, every contravention of a regulation or decision made by the Commission under this Act, other than a prohibition or a requirement of the Commission made under section 41, and every contravention of any of subsections 51(1) to (4) and (7), 52(1) to (3) and 53(1) to (3) and (6) of the Accessible Canada Act constitutes a violation and the person who commits the violation is liable

(a) in the case of an individual, to an administrative monetary penalty not exceeding $25,000 and, for a subsequent contravention, a penalty not exceeding $50,000; or

(b) in any other case, to an administrative monetary penalty not exceeding $10,000,000 and, for a subsequent contravention, a penalty not exceeding $15,000,000.

Pursuant to section 72.008 of the Act, an officer, director or agent or mandatary of a corporation that commits a violation is liable for the violation if they directed, authorized, assented to, acquiesced in or participated in the commission of the violation, whether or not the corporation is proceeded against.

Pursuant to section 72.16 of the Act, a person is liable for a violation that is committed by an employee of the person acting in the course of the employee’s employment, or by an agent or mandatary of the person acting within the scope of the agent’s or mandatary’s authority, whether or not the employee or agent or mandatary who actually committed the violation is identified or proceeded against.

The CRTC received a letter from the CCTS on 23 June 2020. In that letter, the CCTS informed the CRTC of the following:

According to the CRTC’s information as of 3 February 2021, Net2Web is still in non-compliance with its obligation to participate in the CCTS.

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