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Missouri Wins Order Against Telemarketer
Jan 28, 2008 8:11 AM
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Missouri Attorney General Jay Nixon has obtained a consent judgment against a San Francisco company that allegedly gave false information to state residents in telemarketing calls.

St. Louis City Circuit Judge John Garvey signed the order last week against Telelytics (doing business as Debt Solutions); its owner Scott Kaplan; and four other defendants. It requires them to pay $152,000 to the state and stop calling consumers on the state No Call list.

Although Telelytics primarily telemarkets automated political calls (robocalls), the complaints filed by Missourians protested the firm's attempts to sell credit card consolidation and credit counseling services, according to state AG Jay Nixon.

Telelytics and Kaplan must comply with all state consumer protection laws. That means they must possess an updated no-call list at all times and not contact any consumer whose name is on the list for political robocalls or other telemarketing calls, according to the judgment.

The defendants used automated calls to contact Missouri consumers and then told them, among other things, that they had been approved to consolidate their credit cards down to as low as 1.5% interest; that the consumers had already been approved by a "certified non-profit agency," and that the person would be transferred to a "certified credit counselor" right away.

Consumers were told to call a specific person, "Karyn McCarthy," at an 800 number to receive more information, according to Nixon.

Nixon's office said it received 244 complaints regarding the calls.

None of those statements made in the robocalls were true, according to Nixon. Consumers who called back were eventually directed to representatives of a separate for-profit company who would then try to sell them identity theft insurance, debt consolidation and other services, Nixon continued.



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