Canadian Pacific fined $1.2 million for violating FCC rules

Canadian Pacific will pay a $1.2 million fine to resolve an investigation of the Class I's operation of more than 100 wireless radio facilities in the United States without the Federal Communications Commission's (FCC) approval.

CP also failed to obtain FCC authorizations for the transfer of control of 30 wireless radio licenses, FCC officials said Monday in a press release.

The FCC fine and investigation stems from a CP internal audit conducted last year of its Soo Line Corp. subsidiary. CP's audit uncovered "extensive noncompliance" with FCC licensing regulations, which CP disclosed to the commission.

In addition to paying the fine, CP will implement a three-year plan to ensure compliance with FCC requirements, and will continue to maintain an internal compliance plan that the railroad implemented prior to discovering the violations.

The three-year plan requires CP to designate a senior corporate manager as a compliance officer; institute employee training; maintain a compliance checklist; establish a compliance manual; and report additional violations to the FCC within 15 days of discovering them.

CP's internal audit revealed no evidence of complaints about interference stemming from the noncompliant towers, said CP spokesman Andy Cummings in an emailed statement.

The Class I regrets that the regulatory oversights occurred, and the company now is in full compliance, he said.

"As part of the agreement, CP has implemented processes that will ensure the company acquires all required permits prior to commencing operation of FCC-regulated communications infrastructure going forward," said Cummings.