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T-Mobile to Explore Settlement with FTC Over Cramming

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Oct 22, 2014, 10:06 AM   by Eric M. Zeman

T-Mobile has signaled to the Federal Trade Commission it is interested in reaching a settlement regarding accusations it unfairly profited from bogus charges foisted onto customers' bills. The FTC sued T-Mobile over its cramming practices, despite T-Mobile's attempts to preempt such legal action by banning premium content and offering refunds to customers. The company vehemently denied the FTC's accusations at first, but has since altered its stance. T-Mobile and the FTC have asked the lawsuit to be put on hold for a 90-day period while they discuss possible settlement terms. "Our top priority is doing what's right for our customers," said a T-Mobile spokesperson in a statement. "T-Mobile and the FTC jointly filed for a continuance as a matter of ordinary course. We are actively processing refunds through our proactive refund program." AT&T recently settled with the FTC over similar charges for a total of $105 million.

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