FTC Accuses Canadian Firms of Telemarketing Fraud

Share this article:
The Federal Trade Commission said yesterday that U.S. court action was taken against two groups of Canadian-based defendants, each accused in widespread cross-border fraud schemes.


In FTC vs. Centurion Financial Benefits, the commission alleged that the defendants placed unsolicited outbound telemarketing calls to U.S. consumers, falsely offering them pre-approved MasterCard and Visa credit cards for an advance fee of $249.


In FTC vs. Pacific Liberty Benefits, the commission accused these defendants of the same type of fraud, with the company's telemarketers promising credit cards and complimentary gifts for $319.


In neither case did consumers receive the credit cards or other goods they were promised, and in each case U.S. consumers lost millions of dollars, the FTC alleged.


The commission contends each set of defendants violated Section 5 of the FTC Act and the Telemarketing Sales Rule, as amended. Judges in U.S. District Court in Chicago issued temporary restraining orders barring the conduct and freezing the assets of defendants.


In each case, Canadian law enforcement agencies executed criminal search warrants and made arrests.


Melissa Campanelli covers postal news, CRM and database marketing for DM News and DMNews.com. To keep up with the latest developments in these areas, subscribe to our daily and weekly e-mail newsletters by visiting www.dmnews.com/newsletters
Share this article:
You must be a registered member of Direct Marketing News to post a comment.

Sign up to our newsletters

Follow us on Twitter @dmnews

Latest Jobs:

More in News

Customer Centricity Is Spurring Marketing-Tech Investments

Customer Centricity Is Spurring Marketing-Tech Investments

A majority of marketers rank customer satisfaction improvements as paramount in the technology investment decisions.

Big, Bold Moves in the C-Suite

Big, Bold Moves in the C-Suite ...

JCPenney appoints Home Depot's Marvin Ellison as CEO; Harte Hanks and JWT add hitting power to their C-level benches

Campaign Comes to the States

Campaign Comes to the States

DMN's UK-based sister publication launches Campaign US

Copyright © 2014 Haymarket Media, Inc. All Rights Reserved
This material may not be published, broadcast, rewritten or redistributed in any form without prior authorization.
Your use of this website constitutes acceptance of Haymarket Media's Privacy Policy and Terms & Conditions.