Consumer News 2002

Archives: 1999 2000, 2001, 2002

Temporary Restraining Order Issued Against Trek Alliance Feds charge Trek is an illegal pyramid scheme.

Consumer Checks Issued in First Alliance Settlement Compensation checks going out to 28,000 consumers.

FTC Proposing National Do-Not-Call List Yes but ... telephone, financial services and insurance companies would be exempt.

Conseco Files for Bankruptcy Finance and insurance giant sunk by mobile-home loans.

Consumer-Driven Health Plans May Hold Hidden Dangers Consumer choice may not always be good.

More Abuse Cases Seen As Elder Population Grows Seniors at risk of physical, psychological and financial harm.

H&R Block Settles "Refund Anticipation" Suits Similar suits still pending in several states.

Canadian Lottery Scam Shut Down by Court Order U.S. seniors were allegedly bilked by telemarketers.

Envelope Stuffing Promoter Charged Big earnings didn't materialize, FTC charges.

Advance-Fee Loan Scheme Charges Settled Woodward Group charged $79 for credit cards that never materialized.

Class Action Targets Big Landlord Equity Residential charged with gouging tenants, charging illegal fees.

Blue Stuff Faces $3 Million Fine Feds charge potion not proven to relive pain, as its infomercials claim.

Court Closes Vending Machine Scheme Business opportunity? Not exactly.

MCI Raises Rates Again Customers being asked to pay for WorldCom's misdeeds?

Spam Buster Busted "WorldRemove" promised to protect against spammers, but did the opposite, FTC charges.

Spam Risks Identified Tips on protecting yourself against spam.

Bankruptcy Bill Aborted Abortion politics fells one of the most heavily-lobbied pro-business bills of the 107th Congress.

Feds Propose Safer Vans 400 rollover deaths in 15-passenger vans in last decade.

Women At Greater Risk Of Gas Pump Fires Static discharge can cause disastrous fire in seconds.

Suit Charges UnumProvident Wrongly Denies Disability Claims Doctors rubber-stamp clerks' decisions, litigants contend.

Rent-A-Center to Pay $8.4 Million Penalty Wisconsin charges stores defrauded rent-to-own buyers.

AOL Time Warner's Oxmoor House Book Club Fined $500,000 Bogus "Free Trial" Offer

Slip and Fall Accidents No Joke Inside Edition Finds 13 Million Injured Per Year

Infomercial Doctor Agrees to Stifle SNORenz Claims Federal Trade Commission accused Dr. Robert Currier of lacking scientific evidence.

Salyon "Gold Card" Settles Federal Charges Bogus credit card scheme.

Carbon Monoxide Poisonings on the Rise Cold weather, improved insulation spell danger.

Odometer Tampering Found in Canadian Car Imports Rollbacks of up to 50,000 miles reported.

Insurers Deny Daewoo Coverage Latest blow for owners of orphaned Korean car.

"BioResonance" Promoter Settles Charges Cancer "cure" not proven, prosecutors charge.

States Sue Qwest for Consumer Fraud Utah, California, Colorado charge slamming, cramming.

Minnesota Ponders Qwest's Fate May yank company's franchise or fine it $50 million.

Feds Recommend Letting Qwest Back Into Long-Distance Business Justice Department finds no problems in company's conduct.

Sears Settles Arizona Consumer Fraud Case Sold worthless maintenance agreements to consumers from Mexico.

Lab Charged In Bogus Anthrax Test Sani-Pure Labs claimed to have verified in-home anthrax test kit.

Spam List Sellers Settle Charges Companies sold lists to gullible would-be spammers.

FTC Complaint Names Toronto Credit Card Scheme First Capital Consumers Group charged much, delivered little.

Seniors Warned About Drug Discount Scams Rhode Island sues MedPlan, other states urge caution.

Canada Filling U.S. Rx Needs Big savings, some risk in online prescriptions.

Dial-Around Rates Climb Sharply Slumping telco stocks force companies to maximize profits.

California Snuffs Tobacco Samples U.S. Smokeless Tobacco fined for handing out samples.

Household Settles for $484 Million Other suits still pending against lending giant.

New Jersey Accuses Sears of Auto Repair Fraud Not the first time Sears Tire & Auto has been in trouble.

Title Companies Settle California Suits Companies dinged customers with hidden feeds during real estate transfers, suits alleged.

1st Financial Settles FTC and Illinois Charges Customers paid for credit cards, got nothing.

Electronic Processing Systems Settles FTC Charges Another work-at-home medical-billing scheme.

Old Vaccines May Pose Autism Risk to Children FDA asks manufacturers to remove mercury from vaccines but does not order recall.

New Rollover Tests Unveiled Feds will test rollover tendencies on test tracks.

Rx: Higher Drug Costs for Seniors Drug companies reducing discounts for low-income seniors.

Student Data Sold to Commercial Companies, FTC Charges Two firms settle charges, promise not to do it again.

Internet Tire Retailer Ordered to Re-inflate Consumers' Wallets Allegedly charged illegal "restocking" fee.

Credit-card "protection" Scams Shut Down Five Canadian companies nabbed.

Consumer Suit Against HMOs Thrown Out, Doctors Suit Proceeds Patients had charged companies with racketeering.

Farmers Insurance Pulls Out of Texas Water and mold claims rising too fast, company claims.

Dell Burns Its Brand on Printers Angling for a share of the inkjet/laser refill market.

Saturn Expands Its Orbit Sets sales record this year.

Ford Will Shield Police Fuel Tanks 12 deaths, many injuries later, Ford bows to pressure from cities, states.

California Sues European Health Concepts Magnetic mattress pads useless, suit alleges.

CitiGroup Settles Predatory Lending Charges for $215 Million Consumers will receive refunds and credits.

Bio Lab/Quick Slim Charged with False Advertising Weight-loss claims unproven, Federal Trade Commission chargse.

Feds Slam Weight-Loss Advertising More ads, more blatant deceptions, study finds.

Cost of Calling Directory Assistance Keeps Climbing Dial-around, cellular plans offer some relief.

Medical Billing Scam Quashed Judge blocks operations of International Trader.

FCC May Support National "Do Not Call" Registry National registry would restrict telemarkters.

Hyundai Admits Horsepower Claims Were Exaggerated Extends warranties to those most seriously misled.

Judge Approves First Alliance Settlement Failed mortgage lender will pay $60 million.

Wal-Mart Women Charge Unlawful Discrimination in Class Action Suit Health Plan Disallowed Prescription Contraceptives

Judge Throws Out PayPal Arbitration Rules Refuses to dismiss class action suit.

CitiGroup May Pay $200 Million to Settle Federal Charges Predatory lending charges were originally filed against Associates, acquired by CitiGroup in 2000.

Feds and States Crack Down on Finance Scams Advance loan fees, credit repair lead the list.

Feds Snuff Stuffing Scam Work-at-home scheme promised much, delivered nothing.

Airlines Follow US Airways' Lead and Raise Cancellation Fees Travelers canceling leisure fares won't be able to carry a credit or fly standby without stiff fees.

Feds Probe BMW Air Bags Side bags deploy without collision, agency reports.

Feds Probe Safety Problems in Corvette, Explorer, Other Models Tire problems on Nissan Pathfinder also under review.

Doctors Warned Against Bribing the Chronically Ill Gifts amount to Medicare/Medicaid awards, feds warn.

Cleveland Files Flaming Ford Suit Rear-end collisions set police cars ablaze.

Junk Fax Suit Seeks Big Bucks $2.2 trillion sought from Fax.com.

FTC Swats Lentek's Claims Bug repellant, air fresheners don't work, feds claim.

US Airways Puts New Restrictions on Leisure Fare Tickets Bankrupt carrier hopes to force business travelers to buy full-fare tickets.

Canadians Warn of Deposit Certificate Scam At least two American investors already bilked, agency says.

Big Blot for Inkjet Sites Used-inkjet sellers to pay $40,000 penalty.

PeoplePC to Pay $100,000 Penalty Computer maker didn't fulfill mail-order responsibilities, FTC charges.

Chinese Diet Pills May Contain Fenfluramine Potions blamed for deaths and illness in Japan.

GM Tops Loyalty Rankings R.L. Polk Survey again finds GM customers most loyal.

Continental Recalls Tires Used on Ford SUVs Uneven tread wear noted on Expedition and Navigator models.

GM Recalls Vehicles to Fix Airbags No incidents reported, company found problem during tests.

Satellite Radio Looks Wobbly Sirius warns of possible bankruptcy, XM not much better off.

Feds Probe Ford Focus Fires One of six investigations surrounding the troubled model.

Rebuilt Air Bags May Fail, Group Warns Used cars may have faulty bags, or none at all.

Ford Settles Leasing Lawsuit Company charged excessive late fees, the suit alleged.

US Airways Files for Bankruptcy Says it will remain airborne during reorganization.

Conseco's Financial Condition Deteriorates Bankruptcy filing possible this week, observers say.

Microsoft Settles FTC Charges Alleging False Security and Privacy Promises Passport Single Sign-In, Passport "Wallet," and Kids Passport Named in Complaint Allegations

First FTC Action Against Rebate Foot-Draggers "Changed rules of game while it was being played," FTC charges.

Bogus Rebate Offers Violate Federal Law, Court Rules Case involves Internet access service.

"Discount Club" Ordered to Pay $3 Million Bilked consumers out of $50 million, prosecutors charged.

GM Settles Ohio Charges Company failed to properly label lemon "buybacks."

Senate Confirms Safety Chief Hal Stratton takes helm at Consumer Product Safety Commission.

Medicor Ordered to Pay Over $16.5 Million Promoted medical billing at home "opportunity."

Fed-State Strike Force Shuts Down Web Scams 19 actions against various scams.

Bankruptcy Bill Stalls After Problems in House The measure will be considered when Congress returns from its summer break.

BioPulse Ordered to Shelve Ads For Unproven Cancer Treatment Feds warn 280 Web sites they're next.

Root Stoppage Suit Settled Texas consumers sued ServiceMaster and American Home Shield.

More Federal Charges Against Enforma Chitozyme, Acceleron, Fat Trapper all worthless, FTC charges.

Bigsmart Settles FTC Charges "E-business opportunity" was a pyramid, FTC charged.

WorldCom Files Biggest Bankruptcy Ever Service won't get any worse, apologists promise.

E. coli Scare Triggers Big Beef Recall Toxic strain found in beef from big Colorado plant.

Court Closes Arizona Boiler Room

Midwest Mortgage Lender Agrees to Settle Illegal Lending Charges

Improperly Installed Guardrails Can Kill, Inside Edition Reports States often ignore federal guidelines, reporter finds.

FDIC Shutters NextCard Cardholders' accounts canceled, incentive points in most programs lost.

Fax Blast Goes Bust Car dealer to pay up to $6.5 million.

Home Depot Changes Gift Card Policy Gift cards still riskier than credit cards, attorney general warns.

FDA Rules Nico Water An Unapproved Drug Cannot be sold as dietary supplement, agency rules.

D.C. Credit Pays $300,000 For Collection Violations Violated federal debt collection rules.

Online Cigarette Sales to Minors Skirt Regulations Wide-open Web contributs to "normalization" of tobacco.

Web Site Chronicles MCI's Demise Includes advice for WorldCom & MCI customers.

Con Artists Using "Do Not Call" Scam Consumers tricked into revealing personal information.

Consumer Groups Sue Over Tire Pressure Rule Allows manufacturers to cheap out on safety, groups charge.

Online Gambling & Kids: A Risky Combination Study finds few gambling sites screen out minors.

Ford Agrees to Police Car Safety Probe Critics charge fuel tank design leads to fires.

AOL Agrees to $15 Million Settlement of Class Action Suit Users claimed AOL Version 5.0 blocked access to other providers.

W. Va. Court Rejects Forced Arbitration Clause Friedman's Jewelers contract sought to block class action suits.

Sting Nabs 77 Work-at-Home & Franchise Promoters Feds and state agencies gang up on suspected scam artists

Wheeler & Dealer Settles Federal Charges "Wholesale brand-name" items were often anything but

Insurance Companies Scrutinizing Customers' Credit Reports

Qwest Faces Hard Times It won't be easy for new CEO to quell consumer unrest.

Citibank Blocks Online Gambling Charges After Threat of Prosecution New York Attorney General warns banks they may face criminal charges for promoting online gambling.

Antibiotics Found in Shrimp The FDA says it will step up inspections of shrimp and crayfish.

GM Will Sell Rebadged Daewoos But GM still insists it has no obligations to former Daewoo dealers, leaving consumers on hold for now.

U.S., Canada Target Cross-Border Telemarketers Scams target elderly.

Questionable Doctors Database Debuts on Web Public Citizen publishes records from 12 states, says more will follow.

Tire Makers Oppose New Safety Standards

Federal Appeals Court Refuses to Reconsider Ford-Firestone Decision Denies class-action status to non-injured consumers.

Investigators Close Down Longitude Pill Works Pills supposedly enlarged "strategic" body parts.

Ford Focus Setting Recall Record 9 recalls, 5 defect investigations blurring Ford's vision of rebuilding its reputation.

Premier Consumer Services Settles FTC Charges Telemarketers sold credit card "protection."

AARP Joins Drug Price Suit Drug companies accused of paying off competitors.

Chrysler Cuts Off Warranties for Gray-Market Canadian Cars Vehicles built for sale in Canada are being "smuggled" into the U.S.

Wyndham Accused of Deceptive Charges Guests weren't told of energy surcharge, Florida charges.

Appeals Court Overturns FCC Rules on Local Telephone Competition Soviet-style rules were supposed to "jump-start" competition.

Ford Lashes Out at Suppliers Demands better quality at lower prices.

Court Closes Web Copycat Scam Bars Operator From Hijacking, Mousetrapping Surfers

FDA Seizes Gel Candies After Choking Deaths Six children's deaths blamed on imported candy.

Rx Express Hits the Road. Hundreds of Senior Citizens Demand Action On Medicare Prescription Drug Benefit

Micro Star Software To Pay $90,000 Penalty "No-risk offer" carried considerable risk.

BulkRegister Sues Verisign Network Solutions Claims poaching of subscribers through deceptive "renewal" mailings.

Records Stolen from Ford Credit Cybercrooks make off with 13,000 consumer credit files.

New Jersey City Sues Ford New Brunswick police say Crown Vics' gas tanks can explode.

Consumer Class Action Names AB Energizer Says "jiggle belts" do nothing to strengthen abs.

Rental Scooters, Mopeds Can Be Risky Inside Edition finds tourists often don't get adequate instruction.

Sears Buys Direct Marketer Lands' End

Retirees, Unions Expose Drug Company "Front Group"

Watch For Phony Bank Correspondence Bogus questionnaires are latest tool in identity theft arsenal.

FTC To Monitor Gas Prices Daily Agency wants to learn what causes spikes.

Ab Belts Charged With Beefing Up Claims Electronic jiggling doesn't reduce fat, FTC charges.

GM Recalls SUVs Again The problem this time involves a fuel filter fitting.

Take a Hike, HHS Secretary Advises Seniors Thompson organizes a Mall Walk to mark Older Americans Month.

Dangers of Petting Zoos Often Overlooked Harmful bacteria often present on animals.

Consumers File Class Action Suit Against Household Suit alleges predatory lending; Wall Street shrugs it off.

Justice Department Opens Campaign Against ID Theft Losses exceed $100 million annually.

Appeals Court Deflates Ford/Firestone Suit

WorldCom's Troubles Mount - So Do Its Rates

Company Introduces One-Cent Long Distance

GM Buys Daewoo; US Dealers Bereft

Court Agreement Ends Another Credit Card Scam Canadian telemarketers sold "identity protection" and advance-fee credit cards.

Federal Government Issues Nursing Home Data for First Time Personal visits and state inspection reports also important.

Canadian Domain Name Scam Stopped Small businesses warned of bogus duplicate names, FTC charges.

Inside Edition Investigates Oven Tip-Overs Children can be severely injured.

U.S. Probes Ford Adjustable Pedals Drivers can step on both pedals at once.

Distributor of Cybersonic Toothbrush Pays Fine Company violated late-shipment rules, FTC charges.

Consumer Site Reveals True Cost of Long-Distance Calls "Hidden" charges itemized in new database.

Star Light No More Star Tobacco removing word "light" from its low-tar brands.

Media Warned About False Advertising of Vitamin and Weight-Loss Products "Nothing stops us" from prosecuting media, FTC commissioner notes.

Debt Collector to Pay $240,000 Penalty Houston company targeted Hispanics.

11 New York Area Funeral Homes Cited Violated consumer protection statutes.

Furniture.com returns to Web Dusted off and good as new? Time will tell.

FTC Accuses 11 Companies of Telemarketing Fraud Medical billing schemes, advance fee cards lead the list.

New Jersey Doctor Files Class-Action Against HMOs Fee reductions, delays hurt patient care, physician charges.

Class Travel Pays $30,000 in Calfiornia Settlement The defunct company operated student tours and class trips.

Prosecutors Target Magazine Telemarketers Companies misrepresent costs of subscriptions and buying club memberships, agencies charge.

FDA Bans Nicotine Pops Popular lollipops pose danger to children and are unproven, agency says.

Ford Ordered To Pay $6.5 Million In Seat-Belt Case Ford Ranger pickup called "unreasonably dangerous."

Triad Defendant Settles Federal Charges Deceptive practices in telemarketing led to unauthorized charges to consumers.

Canadian Operation Charged with Credit Card Schemes Worthless card protection and advance-fee loans at issue.

First Union Trumps Its Own ATM Customers Uses unmarked ATMs to extract higher fees.

Three-cent Postal Increase Expected This Week Last price hike til 2004, Postmaster General promises.

GM Recalls Cars to Fix Ignition Switch Problem Switches can overheat and start a fire.

Small Claims Court Limits Rising ... Slowly Maryland latest state to raise maximum damages.

"Liquid Siding" Makers Settle FTC Charges Advertising claims unsubstantiated, agency charges.

Jones Apparel Penalized For Faulty Care Labels Company pledges to get it right next time.

Doubleclick Pays Billions to Settle Privacy Suits Suits strike at heart of ad firm's business.

Nasty New Email Virus "My Life" spreads through email and instant messaging.

Consumer Group Wants Stronger Response to Nursing Home Safety Standards Four year study dismissed out of hand, group charges.

First Alliance Mortgage Faces $60 Million Settlement "Predatory lending" violations alleged in one of largest FTC settlements ever.

Magazine Telemarketers Ordered To Pay $39 Million Federal judge finds company in contempt of court.

FTC Wants More Authority Over Phone Companies Today's rules based on one-phone-company era.

Gouging by Long-Distance Companies? Huge disparties between basic and dial-around rates lead to charges of price-gouging.

Weight Loss Drug Implicated in 28 U.S. Deaths FDA says it is "monitoring" the sibutramine deaths.

PayPal Named in Class Action Suit Illegally froze client accounts, suit charges.

Information Brokers Shut Down by FTC Sold illegally-obtained personal data.

Court Closes Bogus Domain Name Website Patriotic appeal used to sell ".usa" URLs.

Net First National Bank Closed by Federal Regulators "Pay-as-you-go" credit card scheme failed to impress regulators.

Extended Cab Pickups Dangerous for Kids Study finds higher risk of injury and death than in other vehicles.

MCI WorldCom Agrees to $8.5 Million Penalty "Wake-up call," says California Attorney General.

Palm Agrees To Be More Open-Handed Will disclose that options may be needed for some advertised functions.

Wonder Bread Ads Disputed Does calcium really build strong minds?

Toyota Settles California Emissions Suit Still faces possible federal penalties.

Written Notice of Long-Distance Rate Changes Asked Consumer groups petition FCC.

Class Action Suit Against AOL Shop Direct Charges company shipped goods that were not ordered.

FTC Asks Court to Halt International Lottery Scams Elderly consumers targeted by supposed Australian, Spanish lotteries.

Violent Death Among Children Linked to Household Firearms Harvard study finds drastically higher murder and suicide gun-death rates in regions with higher gun ownership.

Government Study Provides Compelling Evidence For Nurse Staffing Standards in Nursing Homes

National Academy of Sciences Gives NHTSA Five-Star Ratings No Stars

FTC Sues Cell Phone Radiation Blockers

FTC Obtains Stipulated Preliminary Injunction Against Promoters of "Miss Cleo"

TechnoBrands Settles FTC Charges for Misleading Ads and Deceptive 'Upselling' for Buying Club Service

$85,000 Fine for Worthless Credit Card Protection Companies misrepresented plan, government charges.

Jolly Time Web Site Fined $10,000 for Violating Children's Privacy Collected kids' personal information without parents' consent.

Credit Card Service Companies Charged with Defrauding Small Businesses Unauthorized fees, deceptive practices charged.

Federal Safety Agency Finds No Defects in Ford Explorer No more likely to rollover than other SUVs.

Infant Seat Maker Fined MTS failed to report safety problems.

Toyota Agrees to Cover Engine Sludge Problem for One Year Consumers irate over early engine failures in their Toyotas.

Federal Regulators Close NextBank NextCard Visas will remain active, at least temporarily.

AT&T Flat-Fee Plan Falls Flat Not likely to stem AT&T's customer erosion, critics say.

Handyman Scams Elderly Homeowners of $1 Million He helped victims take out home equity loans so they could pay his fees.

NHTSA May Probe Roadworthiness of Explorer Decision expected later this month.

Jury Finds Ford Explorer "Defective by Design" But design not a factor in California crash, jurors hold.

New Ford Ranger Pickups Recalled Axle needs replacement on some models.

FTC Seeks $51 Million Fine Against Magazine Telemarketers The agency also seeks a contempt citation against the Oklahoma City operation.

Prudential Case Goes to the Jury Consumers want heavy penalty for "churning."

Consumer Product Safety Act Upheld Companies Must Report Dangerous Products, Judge Rules

Pyramid Promoter Settles FTC Charges Promoted sale of -- what else? -- diet products.

Deceptive Billers Settle FTC Charges Billed Internet users for services they didn't order.

Turnaround Artist Takes Kmart Helm Cost-cutting not enough. Adamson must make Kmart more competitive.

Business Bankruptcies Bad News for Consumers Customers often big losers when retailers go broke.

FTC Proposes Do Not Call Registry One call would remove consumers from telemarketing lists.

Identity Theft Tops 2001 Complaints List Internet auctions close behind.

$920,000 Settlement for Chicago Ironworker First law firm told him he had no case.

Marketing & Vending Concepts Settles FTC Charges Opportunity not so sweet, after all.

Kmart Ponders Options as Vendors Withhold Shipments Retail giant may be headed for bankruptcy.

Bridgestone Corp. Avoids Tire Trial Settles West Virginia case involving Ford Explorer rollover.

States Sue Online Pharmacy Selling Cipro Washington, Florida AGs say other suits may follow.

Navestar, Financial Services Network to Pay $350,000 Fine Companies offered "free cash" and guaranteed loans.

Proteva Suit Certified as Class Action Home Shopping Network also named

Suit Alleges Cell Phone Companies Stifle Competition Big Four restrain competition, consumer lawsuit charges.

More Consumers Using Cell Phones as Their Primary Phone Consumer advocates warn steep price increases may be down the road.

Big 3 Phone Companies Increase Rates, Fees MCI WorldCom leads this round of follow-the-leader.

Disposable Lighter Distributor Fined $180,000 Child safety guards had been removed.

Big Three Raise Air Freight Rates FedEx, UPS, Airborne target residential addresses.