Sec. 41. 35-A MRSA §7106, sub-§2, ¶D is enacted to read:

D.__The commission may order a telephone utility to withhold funds collected on behalf of a carrier that is subject to an administrative penalty proceeding conducted pursuant to this section if it finds that it is more likely than not that penalties will be imposed or customer refunds will be ordered that are equal to or greater than the amount ordered withheld.__The commission shall provide the carrier notice and an opportunity to be heard prior to ordering funds to be withheld.__If the commission finds that there is a clear danger that, if notified in advance, the carrier will conceal or otherwise make funds unavailable to satisfy penalties or customer refunds prior to providing notice and an opportunity to be heard, it may issue an order to the public utility to withhold the funds without providing notice or an opportunity to be heard.__ To issue such an order, the commission must also make the first finding required by this paragraph.__The commission shall, without delay, provide a copy of the order to the carrier along with written notice that the carrier, on request, will be provided with an opportunity to contest the finding that it is more likely than not that penalties will be imposed or customer refunds will be ordered that are equal to or greater than the amount ordered withheld.

Sec. 42. 35-A MRSA §7107, sub-§3, as enacted by PL 1999, c. 59, §1 and affected by §3, is repealed.

Sec. 43. 35-A MRSA §7107, sub-§3-A is enacted to read:

3-A.__Denial or revocation of registration; notice.__The commission may by order, after notice and opportunity for hearing, deny, suspend or revoke an application for registration as, or the registration of, a service provider or billing aggregator if the commission finds that the order is in the public interest and that the applicant or registrant, or a principal of the applicant or registrant:

A.__Has knowingly misrepresented or omitted a material fact on the application for registration as a service provider or billing aggregator or has filed an incomplete application and does not take reasonable steps to provide the missing information;