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FOR IMMEDIATE RELEASE: NEWS MEDIA CONTACT:
March 11, 2015 Neil Grace, 202-418-0506
E-mail: neil.grace@fcc.gov
FCC FINES OPTIC INTERNET PROTOCOL $7.6 MILLION FOR ILLEGALLY BILLING
CUSTOMERS AND SWITCHING THEIR PHONE COMPANIES
Long Distance Carrier Relied on Fabricated "Authorization" Recordings
Washington, D.C. - The Federal Communications Commission has fined Optic
Internet Protocol, Inc., an Alpharetta, GA telephone company, $7,620,000
for changing consumers' long distance carriers without their authorization
("slamming"), placing unauthorized charges for service on consumers'
telephone bills ("cramming"), and submitting fabricated audio recordings
as "proof" that consumers had authorized the company to switch their
carriers.
"Consumers should be able to count on companies not to load their phone
bills with phony charges" said Travis LeBlanc, Chief of the Enforcement
Bureau. "The FCC will enforce the law to the fullest extent possible to
stop companies from taking advantage of consumers by switching their
telephone carriers and placing charges on their telephone bills without
authorization."
The Enforcement Bureau reviewed more than 150 complaints against Optic
that consumers filed with the Commission, the Federal Trade Commission,
state regulatory agencies, and the Better Business Bureau. Consumers
complained that Optic switched their long distance service provider
without their authorization, and that they had never heard of or spoken to
the company before discovering charges on their telephone bills. Consumers
also complained that the company told them that they or someone in their
household had authorized the service, when in fact no one had done so. It
appears Optic fabricated audio recordings to "prove" that consumers
authorized changes in their services, played these bogus recordings for
consumers and produced them for law enforcement; the recordings, however,
did not in any way relate to the consumers at issue.
With today's action, the Commission has now taken nearly 30 enforcement
actions for cramming or slamming in the past five years. These actions
have announced more than $90 million in penalties, and are slated to
return more than $200 million to consumers.
For more information about the FCC's rules protecting consumers from
unauthorized charges on phone bills, see the FCC consumer guide, Cramming
- Unauthorized, Misleading, or Deceptive Charges Placed on Your Telephone
Bill. For information about other communications issues, visit the FCC's
Consumer website, or contact the FCC's Consumer Center by calling
1-888-CALL-FCC (1-888-225-5322) voice or 1-888-TELL-FCC (1-888-835-5322)
TTY; faxing 1-866-418-0232; or by writing to:
Federal Communications Commission
Consumer and Governmental Affairs Bureau
Consumer Inquiries and Complaints Division
445 12th Street, SW
Washington, DC 20554
The Forfeiture Order is available at:
[1]https://apps.fcc.gov/edocs_public/attachmatch/FCC-15-27A1.pdf
The Notice of Apparent Liability is available at:
[2]https://apps.fcc.gov/edocs_public/attachmatch/FCC-14-101A1.pdf
-FCC-
NEWS
Federal Communications Commission
445 12th Street, S.W.
Washington, D.C. 20554
This is an unofficial announcement of Commission action. Release of the
full text of a Commission order constitutes official action.
See MCI v. FCC. 515 F 2d 385 (D.C. Circ 1974).
News Media Information 202 / 418-0500
Internet: http://www.fcc.gov
References
Visible links
1. https://apps.fcc.gov/edocs_public/attachmatch/FCC-15-27A1.pdf
2. https://apps.fcc.gov/edocs_public/attachmatch/FCC-14-101A1.pdf