December 21, 2007

Administrative Action (Warning) against USEN Corporation

MIC today took administrative action (warning) against USEN Corporation to instruct the company to immediately take corrective measures, as the company violates Article 13, paragraph 2 of the Law concerning Broadcast on Telecommunications Service (obligation to follow the contract clause presented in its notification), in its CS digital broadcasting service, SOUND PLANET.

1. Subject company
USEN Corporation (President and CEO: UNO Yasuhide)

2. Details of the administrative action (warning)
In light of a large number of consumer complaints against the USEN Corporation's agents soliciting subscriptions for USEN's SOUND PLANET CS digital broadcasting service, MIC conducted an investigation and found that the company violates Article 13, paragraph 2 of the Law concerning Broadcast on Telecommunications Service (Law No. 85 of 2001) in terms of handling its contract fees. USEN has provided the service under conditions that differ from those stated in the notification submitted to the Minister for Internal Affairs and Communications.

Accordingly, MIC today issued USEN Corporation a written warning, under the name of the Director-General of the Information and Communications Policy, directing it to take corrective measures including those listed below immediately. (Additionally, MIC called for preventive measures, including the corrective measures listed below, and a report on the details of the measures within one month and on the progress of the respective measures within three months.)

1) Exemption from contract fees
USEN Corporation should end its agents' act to waive contract fees, or notify MIC that it changed the contract clause to abolish the contract fees.
2) Collection of penalties
USEN Corporation should end its agents' act to collect penalties, and direct them to return the penalties they collected in the past upon receipt of demands for their return.
3) Discount of viewing fee
USEN Corporation should discontinue offering discounts for viewing fees or notify MIC that it changed the contract clause to set a flat viewing fee of 5,775 yen.

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For further information about this press release, please fill in the inquiry form and submit it to MIC on the website
http://www.soumu.go.jp/joho_tsusin/eng/contact.html

International Policy Division,
International Affairs Department
Telecommunications Bureau, MIC
TEL: +81 3 5253 5920 / FAX: +81 3 5253 5924