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oversight of CTA's operations in the United States, it comes after years of minimal activity. When China Telecom applied for Section 214 authorization in 2001[1] and CTA separately applied for Section 214 authorization in 2002,[2] Team Telecom did not object or raise concerns about either's proposed services. Not until 2007 did Team Telecom enter into a security agreement with the company.[3] Since entering the security agreement, Team Telecom conducted just two site visits in 13 years.[4]

The lack of oversight and monitoring is concerning given that it occurred at a time when China Telecom and CTA were publicly alleged to have hijacked and rerouted data through China.[5] The incidents allegedly affected customers across major carriers, including Qwest Communications, Level 3 Communications, AT&T, and Verizon, and impacted both civilian and U.S. government customers.[6] The reported incidents involving CTA stretch back to 2010. Team Telecom, however, did not raise these issues with CTA until 2019.

1. The FCC Streamlined and Approved China Telecom's and CTA's Initial Section 214 Authorizations within Two Weeks

China Telecom applied for international Section 214 authorization in June 2001, before the establishment of CTA.[7] China Telecom sought to provide "facilities-based and resale services between the [United States] and permissible international points, except China."[8] Although the FCC referred the application to Team Telecom,[9] neither the FCC nor Team Telecom had records demonstrating that Team Telecom reviewed the application. Because Team Telecom did not object to the application, the FCC streamlined the application and approved it two weeks

  1. ↑ Fed. Commc'ns Comm'n, Public Notice—International Applications Accepted for Filing, Rep. No. TEL-00417S, at 2 (July 6, 2001).
  2. ↑ Fed. Commc'ns Comm'n, Public Notice—International Applications Accepted for Filing, Rep. No. TEL-00558S, at 2 (Aug. 7, 2002).
  3. ↑ Letter from Yi-jun Tan, President, China Telecom (USA) Corp., to Sigal Mandelker, Deputy Assistant Att'y Gen., Dep't of Justice, Elaine Lammert, Deputy Gen. Counsel, Fed. Bureau of Investigation, & Stewart Baker, Assistant Sec'y for Policy, Dep't of Homeland Sec. (July 17, 2007).
  4. ↑ CTA informed the Subcommittee that, in recent years, it has interacted with Team Telecom on as many as 90 occasions. Letter from Morgan, Lewis & Bockius LLP, counsel to CTA, to the Subcommittee (June 2, 2020) (on file with the Subcommittee). The majority of these occasions were through written correspondence.
  5. ↑ See, e.g., Toonk, supra note 121; Madory, supra note 121; Shavitt & Demchak, supra note 109.
  6. ↑ See, e.g., Toonk, supra note 121; Madory, supra note 121; Diaz, supra note 121.
  7. ↑ See Int'l Bureau Selected Applications Listing, File No. ITC-214-20010613-00346, FED. COMMC'NS COMM'N, https://licensing.fcc.gov/cgi-bin/ws.exe/prod/ib/forms/reports/swr031b.hts?q_set=V_SITE_ANTENNA_FREQ.file_numberC/File+Number/%3D/ITC2142001061300346&prepare=&column=V_SITE_ANTENNA_FREQ.file_numberC/File+Number; FCC-PSI-000019-20; Fed. Commc'ns Comm'n, Public Notice—International Applications Accepted for Filing, Rep. No. TEL-00417S, at 2 (July 6, 2001).
  8. ↑ See FCC-PSI-000019-20 (emphasis added); Fed. Commc'ns Comm'n, Public Notice—International Applications Accepted for Filing, Rep. No. TEL-00417S, at 2 (July 6, 2001) (emphasis added).
  9. ↑ See FCC-PSI-000019-20.

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