Awww Shoot, Here it is
International Standards Group's telecommunications subsidiary, under investigation for slamming about 32,000 California phone customers, has reached a settlement with the state's Public Utilities Commission.
Total National Telecom, doing business as Total World Telecom, agreed to pay restitution of $20 to each of the residents as well as a $35,000 fine for violating a rule against misleading investigators, said Mark Clairmont, the case investigator.
Clairmont estimated the company would pay about $700,000 if the settlement is approved by the commission. TNT also agreed not to do business in California for 40 months, Clairmont said.
He said that customers also could request additional restitution from the company.
International Standards Group spokesman Andrew Lederman said company officials "feel like this is something that happened in the past. The impact of the penalty was minimal compared to the earnings they would have."
After TNT and the commission's director of safety and enforcement signed the agreement earlier this month, it was forwarded to an administrative law judge. The judge will recommend whether to accept or reject the agreement, and the commission should act by October, Clairmont said.
ISG, based in Boca Raton, purchased Total National Telecommunications of Texas for about $46.4 million in stock in June.
Clairmont said in June that Total National Telecommunications and affiliate Heartline were under a temporary restraining order not to switch telephone services until an administrative judge issues recommendations to the commission.
According to Clairmont's investigation, customers filled out sweepstakes forms that were later used to switch the long-distance company, although customers didn't know it at the time.
Rob |