Auction Guide Marketers Pay $535K to Settle FTC Charges

Share this content:
A company that sold government auction guides by telephone settled charges of issuing bills without authorization by agreeing Friday to pay $535,000 to refund consumers and post a $1 million bond before conducting more telemarketing.

Santa Barbara, CA-based Nationwide Information Service also agreed to be banned permanently from the sale of information guides. They were also permanently banned from selling their customer lists.

The company was charged in a June 2000 Federal Trade Commission sweep targeting fraudulent auction guide marketers.

According to the FTC, Nationwide Information Service charged consumer accounts without authorization and falsely represented that consumers could obtain refunds on request.

The FTC also alleged that Nationwide Information Service provided only general information on auction houses that was available for free in local phone directories, despite promises of regular updates and detailed listings on home and car auctions.

Shortly after the FTC filed the charges, a federal judge issued a restraining order freezing the company's assets and placing it into receivership.


Next Article in Marketing Strategy

Sign up to our newsletters

Company of the Week

Since 1985, Melissa has helped thousands of companies clean, correct and complete contact data to better target and communicate with their customers. We offer a full spectrum of data quality solutions, including global address, phone, email, and name validation, identify verification - available for batch or real-time processes, in the Cloud or on-premise. Our service bureau provides dedupe, email/phone append and geographic/demographic append services for better targeting and insight. For direct mailers, Melissa offers easy-to-use address management/postal software, list hygiene services and 100s of specialty mailing lists - all with competitive pricing and excellent customer service.

Find out more here »

Career Center

Check out hundreds of exciting professional opportunities available on DMN's Career Center.  
Explore careers in digital marketing, sales, eCommerce, marketing communications, IT, data strategies, and much more. And don't forget to update your resume so employers can contact you privately about job opportunities.

>>Click Here

Relive the 2017 Marketing Hall of Femme

Click the image above