March 1, 2008
After AT&T, other US operators under ringtone scheme investigation
In four short years, the ringtone industry has emerged from nowhere and has become a billion-dollar market. And just as fast, scam artists found a way to tap into the line. That's what's behind a major settlement of a fraud investigation announced yesterday by Florida attorney general Bill McCollum, and it will impact cell phone customers nationwide. CBS News reports.
"... AT&T isn't the only company that's gotten in trouble. According to investigators, the other major cell phone companies, ringtone providers and their advertisers use strikingly similar tactics.
As one observer put it: it's as if they've all gotten together at a ringtone convention to share the tactics of the scheme. That's why the Florida Attorney General also announced today that investigations are beginning into Verizon, Sprint/Nextel, Alltell and T-Mobile.
Look for those companies to quickly try to get the monkey off their back by making quick settlements and agreeing to follow AT&T's lead in changing their ways.
For customers: it's all good. As far as restitution if you live outside of Florida or are using a company other than AT&T: try filing a complaint with not only your phone company but also the FCC online at fcc.gov. "
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