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Jonathan M. Slaughter, Notice of Debarment Action, E-Rate Program

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Released: September 10, 2012
FEDERAL COMMUNICATIONS COMMISSION
WASHINGTON, DC 20554
Enforcement Bureau
Investigations and Hearings
Division
September 10, 2012

DA 12-1467

SENT VIA CERTIFIED MAIL, RETURN RECEIPT REQUESTED
AND EMAIL

Mr. Jonathan M. Slaughter, No. 13660-002
FCI Yazoo City Low
Federal Correctional Institution
P.O. Box 5000
Yazoo City, MS 39194

Re:

Notice of Debarment
File No. EB-12-IH-0050
Dear Mr. Slaughter:
The Federal Communications Commission (Commission) hereby notifies you that,
pursuant to Section 54.8 of its rules, you are prohibited from participating in activities associated
with or relating to the schools and libraries universal service support mechanism (E-Rate
program) for three years from either the date of your receipt of this Notice of Debarment, or of
its publication in the Federal Register, whichever is earlier in time (Debarment Date).1
On May 9, 2012, the Commission’s Enforcement Bureau (Bureau) sent you a Notice of
Suspension and Initiation of Debarment Proceeding (Notice of Suspension)2 that was published
in the Federal Register on May 24, 2012.3 The Notice of Suspension suspended you from
participating in activities associated with or relating to the E-Rate program. It also described the
basis for initiating debarment proceedings against you, the applicable debarment procedures, and
the effect of debarment.
As discussed in the Notice of Suspension, on September 29, 2011, you pled guilty to
converting approximately $892,000 in E-Rate checks, payable to six schools and 14 school


1 47 C.F.R. § 54.8(g); see also 47 C.F.R. § 0.111 (delegating authority to the Enforcement Bureau to resolve
universal service suspension and debarment proceedings).
2 Letter from Theresa Z. Cavanaugh, Chief, Investigations and Hearings Division, Enforcement Bureau, Federal
Communications Commission, to Jonathan M. Slaughter, Notice of Suspension and Initiation of Debarment
Proceeding, 27 FCC Rcd 5091 (Enf. Bur. 2012) (Attachment 1).
3 77 Fed. Reg. 31010 (May 24, 2012).

Jonathan M. Slaughter
September 10, 2012
Page 2
districts located in 13 states, to your personal use while you were the owner and president of E-
Rate Consulting Services, LLC (ECS).4 Between May 2006 and January 2009, you deposited
those E-Rate funds into your ECS bank account for your personal use instead of transmitting
them to your clients.5 Pursuant to Section 54.8(c) of the Commission’s rules, your conviction of
criminal conduct in connection with the E-Rate program is the basis for this debarment.6
In accordance with the Commission’s debarment rules, you were required to file with the
Commission any opposition to your suspension or its scope, or to your proposed debarment or its
scope, no later than 30 calendar days from either the date of your receipt of the Notice of
Suspension or of its publication in the Federal Register, whichever date occurred first.7 The
Commission did not receive any such opposition from you.
For the foregoing reasons, you are debarred from participating in activities associated with
or related to the E-Rate program for three years from the Debarment Date.8 During this
debarment period, you are excluded from participating in any activities associated with or related
to the E-Rate program, including the receipt of funds or discounted services through the E-Rate
program, or consulting with, assisting, or advising applicants or service providers regarding the
E-Rate program.9
Sincerely,
Theresa Z. Cavanaugh,
Chief
Investigations and Hearings Division
Enforcement Bureau
cc: Johnnay Schrieber, Universal Service Administrative Company (via e-mail)
Rashann Duvall, Universal Service Administrative Company (via e-mail)
Andrew O. Schiff, Assistant United States Attorney, United States Department of Justice (via
e-mail)


4 United States v. Jonathan Slaughter, Case No. 2:11cr162-MEF-01, Plea Agreement at 3–5 (M.D. Ala. 2011) (Plea
Agreement
); see Appendix.
5 Id. at 4–5.
6 47 C.F.R. § 54.8(c).
7 47 C.F.R. §§ 54.8 (e)(3), (4). Any opposition had to be filed no later than June 13, 2012.
8 Id. §§ 54.8(e)(5), (g).
9 Id. §§ 54.8(a)(1), (5), (d).

Appendix
ECS’ CLIENTS
STATE
TOTAL AMOUNT
CONVERTED
Dermott Public School District
Arkansas
$6,809.24
Citrus County School District
Florida
$678,288.69
Eckerd Halfway House/E-Ku Sumee
Florida
$5,670
Hendry County School District
Florida
$39,031.19
Kuna Joint School District
Idaho
$3,523.67
Middleton School District #134
Idaho
$4,299.25
The Winchendon School
Massachusetts
$8,316.00
Northwood Children's Services
Minnesota
$24,797.66
Prairie Academy
Minnesota
$4,673.99
Poplar Bluff School District
Missouri
$7,672.77
Red Cloud Community School District
Nebraska
$2,254.52
SAU 41—Hollis Brookline Schools
New Hampshire
$1,765.18
Beaufort County School District
North Carolina
$9,730.00
Middle Ohio Education
Ohio
$23.01
Penns Valley Area School District
Pennsylvania
$10,966.83
Bedford County School District
Tennessee
$23,215.94
Banquete Independent School District
Texas
$18,655.72
Cleburne Independent School District
Texas
$7,231.32
Leander Independent School District
Texas
$31,872.31
Teague Independent School District
Texas
$3,190.56

TOTAL

$891,987.85

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