Tuesday, August 25

Sham telecoms created to scam AT&T must pay back ill-gotten gains

AT&T has won a $252,000 judgment from the remnants of sham telecoms that were created in order to bill legitimate phone companies for services they didn't provide.

The companies billed AT&T $13 million, but AT&T figured out the scam after paying only a fraction of that. The defendants, All American Telephone Co., e-Pinnacle Communications, Inc., and ChaseCom, operated out of Utah and Nevada and had all shut down by 2010. The Federal Communications Commission granted AT&T’s complaint against the companies in March 2013 and last week ordered the defendants to pay back the $252,496.37 they got from AT&T.

The FCC dismissed AT&T's request for interest and "consequential damages," saying the company can pursue those in court.

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