Monday, April 11, 2005

FTC charges two organizations with duping consumers in Internet kiosk scam

There has been a lot of news surrounding the breakup of the scams behind those late-night internet kiosk infomercials, but I like this article from InternetRetailer the best. Here's a snippet:

"The Federal Trade Commission has charged two California organizations with duping hundreds of consumers into buying Internet kiosk business opportunities using deceptive sales tactics.

One of the groups—entities owned by Edward Bevilacqua—already has reached a settlement with the FTC, withdrawing all claims to more than $1.5 million the Federal Bureau of Investigation seized from its bank accounts. The settlement also bars the group from selling any business venture or franchise in the future. Businesses operated by Escondido, CA-base Bevilacqua were Bikini Vending Corp. and MyMart Inc.

The FTC filed a separate claim against Charles Castro, Elizabeth Castro, Gregory High, and Phillis Watson. Their businesses operated under the names of Network Services Depot Inc., Network Marketing LLC, doing business as Network Services Marketing LLC, Net Depot Inc., Network Services Distribution Inc, and Sunbelt Marketing Inc. The companies are based in Brea, CA.

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