Remember when I grumbled about getting 20 calls a week from scamsters claiming that my car warranty had expired? The FTC is finally suing the fuckers after NY Sen. Chuck Schumer complained that he had been getting the calls during meetings on Capitol Hill.
In two related complaints filed in federal court on Thursday, the FTC said it was taking action against the promoter of the phony extended auto warranties, as well as the telemarketing company that it hired to carry out its allegedly illegal campaign. The FTC filed complaints against four companies and a handful of individuals related to their operations. “This is one of the most aggressive telemarketing schemes the FTC has ever encountered,” said FTC Chairman Jon Leibowitz. The agency, which helps prevent fraudulent and deceptive business practices, said the robocalls have prompted complaints from consumers who are either on the “Do Not Call” registry or asked not to be called. According to the agency, five telephone numbers associated with the defendants have generated 30,000 complaints. If consumers answer the call, a “warranty specialist” would mislead them into believing their company was affiliated with an auto dealer or manufacturer and try to sell a service contract between $2,000 and $3,000, according to the FTC. The seller of these false warranties allegedly took in more than $10 million as a result of the phony service contracts.
The FTC is seeking to freeze (and hopefully, seize) the company’s assets.