KonaTel Discloses FCC Lifeline Notice to IM Telecom; Response Filed

What Happened

• KonaTel, Inc. (KTEL) reported that IM Telecom, LLC, an Oklahoma limited liability company in which KonaTel holds a 51% investment membership interest, received a Notice from the U.S. Federal Communications Commission alleging violations of the FCC’s Lifeline Advantage Program rules on July 27, 2026.
• IM Telecom informed KonaTel on August 13, 2026 that it believes it is not in violation and that it would respond directly to the FCC. IM Telecom filed its response to the FCC Notice on August 25, 2026; KonaTel included that response as Exhibit 99 in its current report filed August 28, 2026. A copy of the original FCC Notice was previously attached to KonaTel’s July 29, 2026 8-K (filed August 14, 2026).

Key Details

• KonaTel ownership: 51% investment membership interest in IM Telecom, LLC.
• FCC Notice received by IM Telecom: July 27, 2026.
• KonaTel advised of IM Telecom’s position (denial of violations): August 13, 2026.
• IM Telecom’s formal response to the FCC filed: August 25, 2026 (filed as Exhibit 99).

Why It Matters

• This is a regulatory matter connected to the FCC’s Lifeline Advantage Program that involves a company in which KonaTel holds a controlling investment interest. Regulatory findings or enforcement could affect IM Telecom’s participation in the Lifeline program and potentially have business, financial, or reputational implications for IM Telecom and, indirectly, KonaTel.
• The filing does not disclose any penalties, admissions of wrongdoing, or expected financial impact. Investors should monitor further disclosures for outcomes of the FCC review or any material financial effects.