GTA Teleguam Holdings, a cellphone service provider on Guam, will pay $450,000 to over 1,300 U.S. military personnel as part of a settlement over unlawful bill charges it assessed, the Justice Department said in a statement June 17, 2025. (Enrique Diaz/U.S. Marine Corps)
A cellphone service provider on Guam will pay out $500,000 over unlawful charges it made on the bills of redeploying U.S. service members, according to the Justice Department.
GTA Teleguam Holdings will provide $450,000 in compensation to affected armed forces members, including double damages to those who paid early termination fees, a DOJ statement Tuesday said.
More than 1,300 military personnel were forced to pay fees to GTA after they ended their cellphone service contract in connection with military relocation orders, the department said.
The company also was handed a $50,000 civil penalty as part of a settlement to resolve allegations that it violated the Servicemembers Civil Relief Act, the statement said.
The legislation shields troops, whose job requires frequent moves, by postponing or suspending financial obligations in matters such as lease payments, credit card debts and cellphone contracts.
The law aims to ensure that troops can devote their full attention to their duties without unnecessary financial distractions.
In addition to the monetary terms, GTA also will revise its policies to ensure that eligible personnel can end their cellphone service contracts without illegal early termination charges, according to the agreement.
