FCC Fines Calling 10, Telseven, Owner $3.4 Million for Cramming, Other Violations

The FCC fined Calling 10, Telseven and their owner Patrick Hines more than $3.4 million for unauthorized charges they billed to consumers, and other rules violations, said an agency release on Enforcement Bureau actions (here, here) approved under the consent agenda at Thursday's commission meeting. The related companies in Florida "deceived consumers who mistakenly called their toll-free numbers about their purported services and then subsequently billed those consumers for services that were neither provided nor requested, a practice known as 'cramming,'" said the release. "At the direction of Mr. Hines, the companies, based in the Jacksonville area, acquired approximately one million toll-free numbers, some of which were similar to existing working numbers or formerly used by well-known entities such as Chase Bank and other financial institutions. These acquisitions served no apparent purpose other than to increase the likelihood that consumers would dial one of these numbers and reach Telseven or Calling 10 by mistake," the release said. The companies didn't deny the violations, but Hines said he shouldn't be held personally liable, it said. Neither Hines nor a representative of the companies could be reached for comment.