Agencies
An Internet services company that allegedly “crammed” $19 million in charges on customers’ phone bills without their authorization was hit with a temporary restraining order and preliminary injunction, the FTC said. The commission said Inc21 and its affiliated companies sold…
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website design services, hosting, online directory listings, search-engine advertising and Internet-based faxing for $12.95 to $39.95 a month, using offshore telemarketers to call prospective clients. Inc21 used third-party billing aggregators to charge consumers and businesses regardless of whether they were contacted at all, told when contacted by telemarketers they were being called just to “verify business information,” they declined Inc21’s offer, or were offered a free trial but not told they would be charged if they didn’t cancel, the commission said. It also told the U.S. District Court in San Francisco that Inc21 and its agents “doctored” recordings of consumer calls to imply the recipients authorized the charges. The FTC is asking the court to enter a permanent injunction and force the defendants to hand over their proceeds from the crammed charges.