CenturyLink, FCC Reach Settlement Over 'Cramming' Fees On Phone Bills (cnet.com) 19
The FCC said on Tuesday that CenturyLink will pay $550,000 to settle an investigation into a practice known as "cramming": when phone companies add unauthorized third-party charges to customer bills. "CenturyLink will also stop billing for most third parties, start refunding affected customer accounts and let customers block future third-party charges," adds CNET. From the report: "Over the years, the FCC has done yeoman's work in fighting cramming and getting major phone companies to stop this practice," Rosemary Harold, chief of the FCC's enforcement bureau, said in a release. "With today's action, another major phone company will stop cramming and prevent unscrupulous third parties from adding fees to bills without prior express consent." CenturyLink has previously said its own internal investigation found no wrongdoing. The company has faced repeated complaints over issues related to alleged billing fraud, including an ongoing $12 billion class action lawsuit.
FCC Doing yeoman's work? $500K ??!! (Score:3)
CenturyLink revenue is $23 billion (voice of Carl Sagan)
$500K is what I estimate company with 45K employees spent on office supplies, for two weeks.
What the hell? FCC didn't do anything to them.
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"CenturyLink will also stop billing for most third parties, start refunding affected customer accounts and let customers block future third-party charges,"
Probably the more expensive part...
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for $500K every year or two they'd make more money by being repeat offenders. Kind of like the bars and grocery stores near the university I attended that continually broke the law about selling liquor within a certain distance of any educational facility. they just paid the $300 a month fine (this was a while ago) and kept the booze flowing.
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Since the settlement appears to involve issuing refunds, I would say it sounds like the FCC is pretty serious and the 500k is the "just a first offense" slap on the wrist. Were I them I would not count on getting that good a deal on future infractions.
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stealing and fraud need much heavier "first offence" punishments, to deter other corporations. Some tens of millions in fines at least...
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Does CenturyLink get to decide who was an affected customer, will be people have to submit a form and prove that they were? My bet would be the latter.
If the former, will there be an audit done to ensure everyone who was affected by this gets refunded?
Maybe even more expensive (Score:2)
The company has faced repeated complaints over issues related to alleged billing fraud, including an ongoing $12 billion class action lawsuit.
FCC fine doesn't help CenturyLink's case.
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No, the FCC did something for them, by giving them a sweetheart deal that basically let the off the hook.
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CenturyLink revenue is $23 billion (voice of Carl Sagan)
So assuming I make $230K (I don't), can I commit massive fraud and just pay $5 (equivalent fine) and avoid jail?
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If you're schmoozing with the elite of big corporations or politicians (in pockets of them), then yes. Otherwise pay the big fines and/or go to federal pound your ass prison
One place you'd hobnob with them is this resort island with young women to cater to your every whim...oop, this just in, fire at the resort and the owner is indisposed. But don't worry, there will be another resort somewhere else. or the Bilderberger meetings and similar.
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The worst thing is that they've been doing this for decades.
I had to review the phone bill as part of my job of overseeing the phone system 20 years ago. It was a continual battle with them nearly every month to remove bogus charges and "services" from our corporate phone bill.
It got to the point where a friend and I actually started thinking about creating a functional but mostly bogus ISP and seeing if we could get on the gravy train, because why not, it appeared to be totally acceptable and risk free.
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"Prison is just a fast track to financial freedom." These penalties are essentially just a cost of doing business. Quite destructive for the society. For a company, they're laughable - tax laws can have the penalties deducted from taxes. For an individual, I just saw the case of a fellow who made a million dollars, then had to pay back ten thousand dollars and spend a day in jail. [espn.com] Not an uncommon scenario. The Patient Zero [rollingstone.com] of the 2008 financial crisis never paid a dime. Michael Milken at least paid about
Why I ditched CenturyLink (Score:5, Funny)
CenturyLink is my ILEC here in PA and I had a landline with them.
Come the 2016 Presidential elections and I started getting robocalled by the Trump campaign incessantly since PA is a critical swing state.
I didn't have CallerID because the more they raised their prices the more I'd cut their additional $$ features, so I'd invariably answer the calls and hearing that hideous voice saying "This is Donald Trump" in my ear made me want to stab my eardrum out with a pencil.
After a few weeks of that abuseI say "Eff it, who needs a landline any more in 2016?" so I call CL to cancel my line.
Me: Cancel!
Retention Department: What can we do to keep you as a customer?
Me: Can you stop Donald Trump from calling me?
RD: Errr, no, but you're not the first one to ask that.
Me: CANCEL!
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I had a similar experience, except the hideous voice was a woman...
I'd have been pissed at that, too, but that never happened to me.
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Frying pan into fire. If have cell phone, Fearless Leader can now fill ear drums at whim. Thansk Obama!
Fuck Cramming (Score:2)
Prepaid FTW. Can't put shit on my bill if I HAVE no bill.
I fired CenturyLink last week (Score:1)
Been a customer of CenturyLink (and their predecessor) since 1998.
For a long time, the only other option for broadband here was Comcast (the only worse company on Earth).
Last week I got fiber. 25 to 40 times the Internet speed, for some $70 less per month.
That cancellation call was one of the most satisfying phone calls of my life.