FTC Rules Says Infomercial Misrepresented Elvis Memorabilia

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U.S. District Court Judge Stephen V. Wilson levied an $11.8 million fine against Automated Systems & Concepts International, Los Angeles, yesterday in conjunction with a suit filed in August 1998. The suit charged the company and its president with misrepresentation of an infomercial that featured Elvis memorabilia. According to the ruling, the company falsely claimed that its product, the "Elvis Immortal" coffee table book, had already been sold or was in the process of being offered on QVC and in Target retail stores. The ruling also said that the product itself was misrepresented as possibly being the "Official Book of Graceland". The suit was part of a wider FTC investigation of product misrepresentation called "Project Risky Business".

The ruling permanently enjoined the company and its president John R. Munoz from misrepresentations in telemarketing or the sale of any investment. Before engaging in any telemarketing or investment sales Munoz must pay a $1 million dollar bond.

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