January 9, 2014 |
Four auto dealers in Southern California and five others around the country agreed to settle with the Federal Trade Commission over charges of deceptive advertising that misled consumers about low prices and financing when buying cars. The nationwide sweep, dubbed Operation Steer Clear, targeted dealers that ran misleading print, online and video ads that misrepresented costs for the sale, financing and leasing of automobiles. “For most consumers, buying a car is one of the most expensive transactions they will make in their life.
January 7, 2014 |
Federal regulators Tuesday ordered a California-based fad weight-loss company to return $26.5 million to consumers who bought its product - a sprinkle-on powder for food that promised users would lose weight without exercising. Sensa Products, based in Manhattan Beach, sold a sprinkle-on food additive to was supposed to enhance taste and smell and make users feel fuller faster, the Federal Trade Commission said Tuesday. Regulators, however, said the company used faulty science in its marketing to mislead consumers.
January 7, 2014 |
The Federal Trade Commission on Tuesday cracked down on Sensa Products, an El Segundo company that sells a weight-loss powder that users sprinkle on food to help curb their appetite. The powder, which is marketed as activating the part of the brain that helps control appetite, is said to make users feel fuller faster so they eat less. Federal regulators, however, weren't buying the pitch. Sensa Products now has to return $26.5 million to consumers who bought its product because the company used faulty science in its marketing to mislead consumers, the FTC said.
November 21, 2013 |
An Arizona company that offered to help fraud victims recover stolen money instead defrauded them again by selling worthless do-it-yourself kits that cost hundreds of dollars, the Federal Trade Commission said. Business Recovery Services of Mesa, Ariz., and its owner, Brian Hessler, preyed on victims of telemarketing fraud but then failed to help them recover any money, the FTC said. "In effect, this scheme rubbed salt in the wound of people who had already been victimized, targeting them and defrauding them all over again," said Jessica Rich, director of the FTC's consumer protection division.
October 24, 2013 |
Dozens of people have called on the Federal Trade Commission to investigate multilevel marketing, a controversial industry that includes companies such as Herbalife Ltd., Amway, Avon and others. In a letter delivered to the FTC's Washington offices Thursday, the group, led by Massachusetts attorney Douglas M. Brooks, urged the agency to crack down on an industry it says preys on low-income and unemployed workers with false hopes of easy wealth. "The MLM industry has proved incapable of regulating itself, is rife with fraudulent and deceptive earnings claims and has caused -- and will continue to cause -- untold financial harm and misery to the poorest and most vulnerable of the consumers whom the commission was formed to protect," the group's letter said.
September 17, 2013 |