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Sprint Allowed to Settle Cramming Charges for $50M

Jul 1, 2015, 7:44 AM by Eric M. Zeman

Sprint has settled accusations with the Consumer Financial Protection Bureau that it over-billed customers for unwanted services. In May, the FCC fined Sprint $68 million for adding third-party services to customer bills without customer permission — a practice known as cramming. A U.S. judge is allowing Sprint to escape with a $50 million settlement, rather than the full amount. The FCC fined Verizon for $90 million in May also, and this week's settlement marks the end of the ordeal for both companies. Last year, the FCC tagged AT&T for $105 million and T-Mobile for $90 million to settle cramming complaints.

Reuters »

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Comments

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This forum is closed.

Zpike

Jul 8, 2015, 1:50 PM

Come on

I'm waiting for someone to pipe up about how Sprint didn't really cram their customers and the FCC has no authority to fine them for illegal practices and how they're not even gonna reimburse any of the defrauded customers. Have our crony capitalist friends really lost their taste for this topic? I though corporatism was always tasty no matter how many times its served.

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