Native Americans lose connection

4 Apr 2008 | 08:03 BST

By Nick Farrell

AFTER LOSING THEIR LANDS and being forced to march to new a location, thousands of Navajo Nation residents are about to be disconnected from the world wide wibble.

It appears that last year OnSat Network Communications double-billed the tribe, and it raised questions about how the tribe requested bids for the Internet contract.

As a result, the Universal Service Administration, which monitors the service under the Federal Communications Commission's E-rate program, told the tribe it would not have to pay $2.1 million to OnSat.

It says it is withholding money for OnSat for 2006-07 because of the possible overbilling and because the tribe didn't comply with federal rules that require it to select the most cost-effective service or equipment through a fair, open and competitive bidding process.

OnSat said that, because it had not paid, it can't pay subcontractor SES Americom for satellite time. It claims that, not only wasn't it double paid, it would end up down $4 million if it supplied the service.

The Internet is crucial to the Navajo, but it is starting to look like it is going to be switched off until the tribe can prove OnSat provided the service it is billing for and has not overbilled.

Unfortunately the evidence that would decide the matter was in an audit and that is subject to an injunction from OnSat which prevents it being made public. OnSat disagrees with the findings of the auditor. µ
L'Inq
AP

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