FTC Seeks Permanent Injunction Against Phone Record "Pretexters"
Posted by Ronnie London
Whatever the role the of FCC may be with respect to “pretexting” involving personally identifiable information by FCC regulatees, the Federal Trade Commission has served notice that the fact that such information originates with FCC regulatees, such as telecom carriers, will not impede FTC enforcement actions on grounds that deceptively obtaining and/or selling consumers’ confidential phone records without their knowledge or consent constitutes an unfair and deceptive trade practice. “Pretexting” generally involves an entity illicitly obtaining under false pretenses personal information from a source that possesses it for lawful purposes, then selling it to facilitate identity theft and/or for commercial profit from purchases by third parties. Last week, the FTC filed a complaint in the United States District Court for the Middle District of Florida in Orlando seeking a preliminary and permanent injunction, and restitution to the extent necessary and feasible, against Action Research Group, Inc., Eye in the Sky Investigations, Inc., and their principals, on grounds that defendants engaged in unlawful pretexting in violation of Federal Trade Act’s prohibitions on deceptive and unfair acts and practices.
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