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AG files federal lawsuit against professional fundraisers over no-call and other violations

–telemarketers claimed to raise money for firefighters, breast cancer survivors and veterans–

 

Jefferson City, Mo.  – Attorney General Chris Koster today announced his office has filed a federal lawsuit against Illinois-based Automated Professional Marketing, LLC; Safety Publications, Inc.; and co-owners Adam Herdman and Arthur Olivera, for violations of federal and state telemarketing and No-Call laws, as well as state merchandising practice laws.

 

            The lawsuit, filed in the U.S. District Court, Eastern District of Missouri, describes calls made to Missouri residents on the No-Call list to solicit charitable donations for Firefighters and Paramedics, Inc., Breast Cancer Survivors Foundation, and VietNow National Headquarters. Despite telling consumers that the donations would go directly to the charity, the telemarketing company retained 80-86% of the donations.

 

            In addition, the telemarketers violated the federal Telemarketing Sales Rule and Telephone Consumer Protection Act by, among other things, calling consumers after they requested not to be contacted and making calls to cell phones using an automatic telephone dialing system.

 

            “This telemarketer did more than just annoy people with 25,000 robocalls; they also misled good-hearted consumers by implying all funds would go to the charity,” Koster said.  “In fact, the telemarketers kept more than 80 percent of the money collected.”

 

The Missouri Attorney General’s Office has been aggressive in the fight against illegal telemarketers in state court, and filing this lawsuit in federal court is a logical next step to combat this escalating problem. Federal penalties are much stiffer than the state’s; the federal penalty is $16,000 for every violation of the Telemarketing Sales Rule. State No-Call violations are $5,000 per violation. Every year, unwanted telemarketing calls rank highest on the list of complaints received by the Attorney General’s Office.

Koster reminds Missourians they can sign up for the Do-Not-Call hotline on his website at www.ago.mo.gov or by calling 866-662-2551. Consumers can report harassing solicitation at 1-866-buzzoff (1-866-289-9633).