LANSING, Minn., May 28 (UPI) -- Michigan Attorney General Mike Cox announced a 10-state settlement with New Access LLC, a national phone service accused of deceptive telemarketing.
Under the agreement the firm, which resells local and long-distance telephone services, will credit more than $1 million to former customers and set up a $250,000 trust fund to pay additional claims.
New Access also will repay the $750,000 cost of the investigation to Michigan, Minnesota, Colorado, Ohio, Montana, Nebraska, North Dakota, Iowa, Texas and Wisconsin.
"This settlement is a significant victory in the fight to ensure companies adhere to fair and honest business practices," said Cox.
New Access was accused of slamming, switching customers' telephone service without their permission, and lying about the actual charges for its services. The company agreed to set up a live, toll-fee customer service number and to record all telemarketing pitches made to solicit business for the next year.
