Report No. CC-568    COMMON CARRIER ACTION     March 25, 1994

     ACC AND ALLNET AWARDED DAMAGES FOR VIOLATIONS BY TELCOS OF
RATE
                         OF RETURN PRESCRIPTION

     The Commission determined that several local exchange
carriers
(LECs) have violated the Communications Act by earning in excess
of
the rate of return for interstate access services prescribed by
the
Commission for the period January 1, 1989, through December 31,
1990.

     ACC Long Distance Corporation had filed a complaint against
New York Telephone Co. and Allnet Communications Services filed
against BellSouth, Cincinnati Bell, Mountain States Telephone and
Telegraph, Northwestern Bell and Pacific Northwest Telephone Co.
The last three companies later consolidated into U S West.

     The Commission awarded monetary damages, plus interest, for
the defendants' violations.

     The Commission also concluded that Allnet had failed to
establish that BellSouth and Cincinnati Bell violated Section
201(b) and 202(a) of the Act by failing to provide dial-1 access
in
the manner requested by Allnet or that the defendants are
required
to assess non-premium access rates. 

     Allnet was awarded $89,540 from BellSouth; $802 from
Cincinnati Bell and $358,000 from U S West.  ACC was awarded
$10,427 from New York Telephone Co.

     Action by the Commission March 22, 1994, by Memorandum
Opinion
and Order (FCC 94-73).  Chairman Hundt, Commissioners Quello and
Barrett.

                           - FCC -

     News Media contact: Rosemary Kimball at (202) 632-5050.
     Common Carrier Bureau contact: Colleen Heitkamp at (202)
632-
4887.