FCC Debars Seven Convicted Individuals from E-Rate and Universal Service Fund Programs Over Multi-Million-Dollar Fraud Schemes
WASHINGTON — The Federal Communications Commission (FCC) has formally debarred seven convicted individuals from participating in the federal E-Rate program and any other telecommunications support mechanism funded by the Universal Service Fund (USF).
The regulatory enforcement action, issued by the FCC’s Enforcement Bureau, follows formal criminal convictions tied to elaborate schemes designed to siphon millions of dollars from the E-Rate program—the cornerstone federal mechanism that subsidizes high-speed broadband, telecommunications, and internal network infrastructure for public and non-profit schools and libraries across the United States.
According to the FCC, the bad actors defrauded the program through falsified filings with the Universal Service Administrative Company (USAC), bid rigging, unearned billing, kickbacks, and inflated vendor contracts.
Debarred Individuals & Key Findings:
Donatus Anyanwu & Donna Woods (Texas): Conspired to defraud the E-Rate program of over $337,000 by abusing Woods’ position as CEO of Nova Charter School to steer lucrative E-Rate contracts to Anyanwu’s firm, ADI Engineering.
Shawn Clemmons (Ohio): As Executive Director of service provider South Central Ohio Computer Association, unlawfully withheld and manipulated school reimbursements, resulting in a court order to pay more than $3.2 million in restitution.
Kenneth Collura (Ohio): Submitted fraudulent certifications to USAC claiming contracts with the Diocese of Columbus Office of Catholic Schools covered only eligible services, while inflating costs with ineligible expenses.
John Comito (New York): Orchestrated a scheme to defraud USAC and 26 schools in New York City, resulting in a $250,000 fine and over $505,000 in ordered restitution.
Charles Jones & Mark Whitaker (Tennessee): Jones siphoned more than $6 million across a ten-year wire fraud conspiracy involving fabricated documentation in Tennessee and Missouri to benefit his private companies, while Whitaker knowingly transmitted false communications to federal authorities.
"The FCC has been clear that criminals who defraud our connectivity programs will face debarment. The idea of these bad actors targeting the E-Rate program to line their own pockets is unconscionable," FCC Chairman Brendan Carr said in an official statement. "I want to thank our federal enforcement partners and the great folks here at the FCC for their hard work on these cases."
The debarments represent the conclusion of suspension proceedings initiated earlier this year following updated rules that empower the FCC to accelerate disqualifications and aggressively safeguard public funds earmarked for digital inclusion.
