FCC Fines Chipmaker Funai for V-Chip Violations

The FCC has issued a fine of more than $7 million to Funai Corp. for voilating commission rules covering the V-Chip.

The Notice of Apparent Liability for Forfeiture (NAL) totals $7,745,687 for willful and repeated violations of Section 330(c) of the Communications Act of 1934. The apparent violations are for interstate shipment, after March 15, 2006, of digital television receivers that do not comply with FCC rules section 15.120(d)(2), which requires DTV receivers to have the capability for receiving program rating descriptors and to be able to block programs from viewing when the program rating meets pre-determined user requirements, as well as to respond to changes in the program rating system.

The NAL was in response to a complaint the Enforcement Bureau received in July 2007 alleging the violations. On Aug. 7, 2007, the Bureau issued a letter of inquiry to Funai. Funai responded on Sept. 7, 2007, and requested confidentiality for portions of the response.

Refer to the Notice of Apparent Liability for Forfeiture (NAL) for details on how the forfeiture amount was calculated.