Competition Bureau
ToolsRelated topicsResourcesCompetition Bureau Investigation Leads to Criminal Charges Against Individuals engaged in Cross-Border Deceptive Telemarketing and FraudOTTAWA, February 20, 2003 - The Competition Bureau announced today that criminal charges have been laid against seven individuals engaged in an Ontario-based telemarketing operation targeting U.S. residents, primarily seniors. The boiler-rooms located in the metro Toronto area had recently been shut down but had been operating for more than a year, conducting promotions under the names MedPlan, Global and STF Group. The telemarketers allegedly used high pressure sales techniques to induce potential clients, residents of the United States, to purchase a medical discount plan and to induce them through false or misleading representations to release bank account information. Funds were then withdrawn without authorization from the client. Promises of a free trial period and refund conditions were not respected. It is estimated that this telemarketing operation grossed approximately $8 million (U.S.) in the last year. Since August 2002, the Bureau has received more than 500 complaints from other law enforcement and government agencies including the Phonebusters National Call Centre, the U.S.'s Federal Trade Commission, various Better Business Bureaus and Attorney General's offices across the U.S. "Cooperation among law enforcement agencies both domestically and internationally means that deceptive telemarketers will be vigorously pursued no matter where they locate," said Raymond Pierce, Deputy Commissioner of Competition. "This concerted effort of law enforcement agencies working in partnership has resulted in over 900 criminal charges against individual telemarketers and their companies in the past three years as a result of investigations led by the Bureau." Charges under the Competition Act and the Criminal Code have been laid against: Alex Aaron Korn, Christian R. Quilliam, Allan Michael Shiell, Sean Zaichick, Julian David Shiell, Nicholas Ian Bridges and Cory Darren Besser. The Bureau received assistance from the Toronto Strategic Partnership, a law enforcement partnership established to combat deceptive marketing practices across North America. Members of the partnership include the Competition Bureau, the Toronto Police Services, Project Phonebusters, the Ontario Provincial Police, the Ontario Ministry of Consumer and Business Services, the U.S. Federal Trade Commission and the U.S. Postal Inspection Service. Consumers who suspect they have been a victim of deceptive telemarketing are encouraged to contact the Bureau's Information Centre at 1-800-348-5358, or Phonebusters' National Call Centre at 1-888-495-8501. The Competition Bureau is an independent law enforcement agency that promotes and maintains fair competition so that all Canadians can benefit from competitive prices, product choice and quality service. It oversees the application of the Competition Act, the Consumer Packaging and Labelling Act, the Textile Labelling Act and the Precious Metals Marking Act. For media enquiries, please contact: For general enquiries, please contact: 
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Created: 2003-02-20 Updated: 2005-04-20 |
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