News Releases for October 1996
October 31, 1996
- FOR RELEASE: OCTOBER 31, 1996
The First of the "Project Jackpot" Defendants To Settle Charges Will Provide Redress for Consumers
American Readers Service, Inc., one of the defendants named as part of "Project Jackpot" -- a nationwide crackdown by federal and state regulators on phony prize promotions and recovery room fraud -- has negotiated a settlement with the Federal Trade Commission to pay as much as $127,000 for consumer redress.
October 29, 1996
- FOR RELEASE: OCTOBER 29, 1996
Sage Seminars Settles FTC Charges; Motivational Seminar Marketer Banned from Franchise Business
Sage Seminars, Inc., a franchisor of opportunities to produce "Dreamwalk" motivational seminars, has agreed to settle Federal Trade Commission charges that it overstated the earnings of potential investors in the franchise, in violation of the FTC’s Franchise Rule and the FTC Act. Under the terms of the settlement, William R. Dempsey and Peggy Ann Davenport, owners and officers of the company, will be banned from the sale or marketing of any franchise or similar business venture in the future and from offering employment opportunities for which they charge money.
- For Your Information: OCTOBER 29, 1996
Announced Actions for October 29, 1996
Applications for approval of transactions: The FTC has received an application for approval for a transaction from the following. The FTC is seeking public comments on the application for 30 days, until Nov. 29.
October 28, 1996
- FOR RELEASE: OCTOBER 28, 1996
FTC Wants the Low Down of Feather Merchant Guides
The Federal Trade Commission is seeking public comment about whether the guides for the feather and down industry should be expanded to include a rating system disclosing the warmth of down products, similar to the R-Value ratings for home insulation.
- FOR RELEASE: OCTOBER 28, 1996
FTC Law Judge Upholds Charges; Safety Cliams for Add-On Brakes are Deceptive
Ads that claimed an add-on motor vehicle braking system were antilock braking systems (ABS) that protect against wheel lock-up were deceptive and misleading, according to Federal Trade Commission Administrative Law Judge Lewis F. Parker.
October 25, 1996
- For Your Information: OCTOBER 25, 1996
Announced Actions for October 25, 1996
Applications for approval of transactions: The FTC has received an application for approval for a transaction from the following. The FTC is seeking public comments on the application for 30 days, until Nov. 25.
October 24, 1996
- For Your Information: OCTOBER 24, 1996
FTC Has Repealed its Used Oil Rule
The Federal Trade Commission has repealed its Used Oil Rule, stating that the rule’s labeling and advertising requirements for engine oils have been preempted by the Recycled Oil Rule, which the agency promulgated in October 1995 as required by the Energy Policy and Conservation Act (EPCA).
- For Your Information: OCTOBER 24, 1996
FTC Staff Issues Advisory Opinion that a Planned Survey of Hospital Prices in the Waco, Texas Area, Appears to Meet Guidelines Outlined in the Joint FTC/Department of Justice Statements of Antitrust Enforcement Policy in Health Care, Issued in August, 1996.
BHC has been retained by the Central Texas Healthcare Coalition, a group of Waco employers, to collect and analyze data relating to hospital services in Waco.
October 23, 1996
- FOR RELEASE: OCTOBER 23, 1996
Ten Defendants in FTC Popcorn Vendng Machine Case To Pay $1,400,000 for Redress
Eight South Florida corporations and two individuals, sued by the Federal Trade Commission as part of a nationwide crackdown on business opportunity fraud, have agreed to pay approximately $1,400,000 for consumer redress to settle federal charges.
- FOR RELEASE: OCTOBER 23, 1996
FTC Settlement with Airline Job Placement Telemarkers Nets $350,000 in Redress for Consumers
Imposes Provisions to Protect Future Job Applicants
- FOR IMMEDIATE RELEASE: OCTOBER 23, 1996
Montana Physicians Agree to Settle FTC Charges that they Conspired To Raise Prices and Limit Choices for Consumers
Physicians in Billings, Montana, have agreed to settle Federal Trade Commission charges that they obstructed the entry of managed care plans into Billings, agreed on prices that they would accept from third-party payers, and otherwise acted to thwart cost-containment measures. - FOR RELEASE: OCTOBER 23, 1996
FTC Crackdown on Scholarship Search Service Frauds Nets Another Case
Agency Wins Court Order Temporarily Halting Business of Deco Consulting of Florida
October 22, 1996
- FOR RELEASE: OCTOBER 22, 1996
FTC-State Study: Checkout Scanner Pricing Largely Accurate, Undercharges Outweigh Overcharges
Study Also Finds Wide Variations in Price Error Levels Across Individual Stores, Store Types
- FOR RELEASE: OCTOBER 22, 1996
FTC Law Judge Upholds Some Charges Against Calcium Supplement, "Bone Builder"; Dismisses Others
Ads that claimed an over-the-counter calcium supplement could "restore lost bone," eliminate pain and was superior to other forms of calcium in the prevention or treatment of bone ailments were deceptive and misleading, according to FTC Administrative Law Judge Lewis F. Parker.
- FOR RELEASE: OCTOBER 22, 1996
FTC Charges Founder of Arizona Company Misrepresented Ability To Improve Consumers' Credit Reports; Three Defendants Agree To Settle
The Federal Trade Commission has filed a complaint naming five defendants in connection with their roles in the now-defunct Phoenix-based National Credit Foundation, Inc. ("National"), which the FTC alleges misrepresented its ability to improve consumers' credit histories by permanently removing bankruptcies, late payments, and other delinquencies from consumers' credit reports.
- For Your Information: OCTOBER 22 1996
Announced Actions for October 22, 1996
Commission action regarding applications for approval: Following public comment periods, the Commission has ruled on applications for approval of transactions from the following:
October 21, 1996
- FOR RELEASE: OCTOBER 21, 1996
Two Manufacturers of Filters for Forced-Air Heating Systems Agree to Settle Charges they Made Misleading Health Benefits, Effectiveness, and Cost Claims for Filters]
Two companies that manufacture and market replacement filters for home forced-air furnaces have agreed to settle Federal Trade Commission charges that they made misleading claims regarding allergy relief, airborne particle removal, and cost benefits when their filters are used in place of standard forced air system filters.
- FOR RELEASE: OCTOBER 21, 1996
Magazine Telemarketers Agree to Settle Charges of Debiting Consumers' Checking Accounts without Authorizatrion
Company to Pay $1.5 Million in Consumer Redress
- FOR RELEASE: OCTOBER 21, 1996
Former Job Service Telemarketer Barred from Job Placement Business, Telemarketing under Settlement with FTC
Joel Ancelowitz, a telemarketer who sold employment services for an Orlando, Florida- based firm that had been targeted in a Federal Trade Commission crackdown on fraudulent job search services in June, has agreed to stay out of the telemarketing and employment services business altogether in the future.
- For Your Information: OCTOBER 21, 1996
FTC Announced Today that Inflation Adjustments in Civil Penalties Will Raise Penalties for Statutes Enforced by the FTC by 10 Percent.
The Federal Trade Commission has announced today that inflation adjustments in civil penalties, required by the Debt Collection Improvement Act (DCIA) of 1996, will raise penalties for statutes enforced by the FTC by 10 percent.
October 18, 1996
- MEDIA ADVISORY : OCTOBER 18, 1996
Electronic Price Scanners: Is the Price Right?
FTC to Release Study on Accuracy of Electronic Price Scanners
at Press Conference During National Consumers Week
- FOR RELEASE: OCTOBER 18, 1996
FTC Approves B.A.T Proposal To Divest Cigarette Brands and Certain Assets to Commonwealth
The Federal Trade Commission has approved B.A.T Industries' application to divest six discount cigarette brands and certain related assets, including a manufacturing plant, to Commonwealth Tobacco, LLC, a subsidiary of Commonwealth Brands, Inc.
- FOR RELEASE: OCTOBER 18, 1996
Magazine Telemarketers Agree To Settle FTC Charges of Debiting Consumers' Checking Accounts without Authorization
Genisis Marketing and Administration and the company's owner, Philip Edward Dill, have reached a settlement of charges filed by the Federal Trade Commission in March of this year.
- FOR RELEASE: OCTOBER 18, 1996
Washington State Window Manufacturer-Seller Agrees To Settle Charges of Misrepresenting Insulating Ability of Windows
Insulate Industries, Inc., of Auburn, Washington, and company vice-president and co-owner Garry E. Wamsley, have agreed to settle Federal Trade Commission charges they misrepresented the thermal performance, or energy efficiency ratings, of windows Insulate Industries manufactured and sold in the Pacific Northwest.
- For Your Information: OCTOBER 18, 1996
Announced Actions for October 18, 1996
Commission action regarding applications for approval: Following a public comment period, the Commission has ruled on an application for approval of a transaction from the following entity.
October 16, 1996
- FOR RELEASE: OCTOBER 16, 1996
Employment Services Telemarketer Agrees to Settle FTC Charges of Misrepresenting Availability of Government Jobs
Patrick Donaghy, vice president of Stratified Advertising and Marketing, Inc., a Goleta, California- based firm that also does business as Intelinet Data Services ("Intelinet"), has agreed to settle charges the Federal Trade Commission filed against him in a federal court complaint, which also named Intelinet and his two co-owners, Robin L. Murphy and Thomas F. Frontera as defendants.
October 11, 1996
- For Your Information: OCTOBER 11, 1996
Announced Actions for October 11, 1996
Applications for approval of transactions: The FTC has received an application for prior approval for an acquisition from the following. The FTC is seeking public comments on the application for 30 days, until Nov. 12.
October 10, 1996
- FOR RELEASE: OCTOBER 10, 1996
Court Halts Phony Work-at-Home Marketer: $16 Million Restitution for Defrauded Consumers
A federal district court in Chicago, Illinois, has ordered a firm that used deceptive ads to lure thousands of consumers to invest in home employment opportunity programs and other scams to pay back $16 million and has barred its president from deceptive practices in the future.
October 9, 1996
- FOR RELEASE: OCTOBER 9, 1996
One of the Individual Defendants in a FTC "Recovery Room" Fraud Case Agrees To Settle
Russell Mann, one of the remaining defendants sued by the Federal Trade Commission over his role in an allegedly deceptive telemarketing scheme that purported to recover money consumers lost to investment fraud, has agreed to post a $200,000 performance bond to protect consumers before engaging in, or assisting others in, any telemarketing activities in the future.
- For Your Information: OCTOBER 9, 1996
FTC's Annual Report to Congress on Cigarette Sales and Advertising for 1994 Showed the First Decrease in Promotional Spending Since 1986
The Federal Trade Commission's annual report to Congress on cigarette sales and advertising for 1994 showed the first decrease in promotional spending since 1986.
October 8, 1996
- For Your Information: OCTOBER 8, 1996
Announced Actions for October 8, 1996
Commission action regarding applications for approval: Following a public comment period, the Commission has ruled on applications for approval of divestitures from the following:
October 7, 1996
- FOR RELEASE: OCTOBER 7, 1996
FTC Staff Report Issued Today Examines Changes in Consumers’ Fat, Saturated Fat, and Cholesterol Consumption from 1977 through 1990
A Federal Trade Commission staff report issued today examines changes in consumers’ fat, saturated fat, and cholesterol consumption from 1977 through 1990.
October 4, 1996
- FOR RELEASE: OCTOBER 4, 1996
FTC Updates the "Green Guides"
Changes Keep Pace with Evolving Consumer Perceptions, and New Environmental Claims
New Guidance on Recyclable Claims to Await Study Results
- FOR RELEASE: OCTOBER 31, 1996
Announced Actions for October 4, 1996
October 3, 1996
- FOR RELEASE: OCTOBER 3, 1996
Magazine Telemarketer to Settle Charges Sales Pitches and Collection Practices were Deceptive, FTC Says
A national telemarketer of magazine subscriptions, Budget Marketing, Inc.(BMI), and 11 of its dealers have agreed to settle Federal Trade Commission charges that their sales and collection practices were deceptive and violated federal laws.
- FOR RELEASE: OCTOBER 3, 1996
FTC Announces Streamlined Guidelines for the Marketer of Leather, Imitation Leather Goods
If it looks like leather, is it really leather? Under revised guidelines issued by the Federal Trade Commission today, the answer is "yes," unless the manufacturer specifically discloses that the product is made of some other material.
October 2, 1996
- FOR RELEASE: OCTOBER 2, 1996
David Del Dotto Agrees to Settle FTC Charges He Misrepresented "Money-Making" Real Estate Program; Will Pay $200,000 Judgment
Del Dotto Enterprises, Inc., NFN Inc., and David P. Del Dotto have agreed to settle Federal Trade Commission charges that Del Dotto and his companies made allegedly deceptive claims in marketing a set of books and audio tapes about purchasing real estate and obtaining credit -- known as the "Cash Flow System," -- including claims that it has helped hundreds of thousands of consumers make substantial sums of money buying and selling real estate. - FOR RELEASE: OCTOBER 2, 1996
FTC Settlement in Advance-Fee Loan Scheme Includes $10,000 for Redress, $250,000 Bond Requirement
Patricia Esme Popp has agreed to pay $10,000 to settle Federal Trade Commission charges that she enticed consumers to call her nationally-advertised 800 number with promises of "guaranteed" loans. In fact, all she did was refer consumers to other firms to which they could apply for loans, the FTC alleged. - For Your Information: OCTOBER 31, 1996
FTC gives testimony before the Senate Special Committee on Aging
The Federal Trade Commission has told the Senate Special Committee on Aging that a new industry-sponsored education and certification program in the funeral industry may signal a "new attitude of cooperation on the part of industry" and may help increase compliance with the FTC’s Funeral Rule.
October 1, 1996
- For Your Information: OCTOBER 1, 1996
Announced Actions for October 1, 1996
Commission action regarding petitions to reopen and modify FTC orders: Following a comment period, the FTC has ruled on a petition from the following:
- FOR RELEASE: OCTOBER 1, 1996
FTC Settlements with Marketers of 900-Number Business Opportunities include Injunctions, $25,000 in Redress
The Federal Trade Commission today announced that it has reached settlements in three of the seven cases it filed in March 1996 against firms selling business opportunities consisting of various 900-number lines with entertainment programs purportedly popular with consumers.
- FOR RELEASE: OCTOBER 1, 1996
Another "Project Telesweep" Defendant To Pay Civil Penalty in FTC Business Opportunity Case
National Marketing, Inc., and its officer, Paul Woodward, have agreed to pay a $15,000 civil penalty to settle federal charges that they failed to give potential investors pre-sale disclosures about the business opportunity they sold and documentation to support claimed earnings, as required by the Federal Trade Commission's Franchise Rule.
Rev. Thutdday, October 31, 1996