A firm that provides names of senior citizens for insurance offers agreed last week to settle a two year-old legal case against it.
As part of a settlement with Texas Attorney General Greg Abbott, America’s Recommended Mailers Inc. (ARM) will refrain from sending misleading pieces, or any that refer to state or federal programs without a clear notice that the mailing is not from a governmental agency, according to Abbott’s office.
In addition, the Lewisville, TX-based company must identify in its pieces the companies to which it sells names.
ARM sent mailings to seniors, urging them to provide personal information on postage-paid cards, then supplied the cards to insurance companies and other financial services marketers seeking prospects, according to Abbott’s office.
The mailings were designed to alarm seniors, the AG’s office continued. One referred to itself as an “Elder Law Update,” and appeared to be from the federal government.
Seniors responded to some pieces, thinking that they might lose their government benefits, Abbott’s staff continued.
The solicitations used the “assumed” name of National Processing Center, according to Abbott.
ARM will pay attorney’s fees and costs totaling $38,000. In addition, the company is enjoined from using the name National Processing Center or any assumed name, Abbott’s office continued.
ARM was one of four companies sued by Abbott in 2006 for allegedly running “lead-card generation schemes.” American Senior Alliance Inc. and its owner George Katosic settled, Prospect Pros and its president Dave Thompson are awaiting trial, a case against Lead Concepts Inc and its owner Christopher Weir is pending, Abbott’s office stated.
Named as defendants in the ARM case are the firm and its owner Tina Hennessy.
In a separate development, Abbott said Friday that he had halted a Colorado “data broker” who marketed consumers’ private telephone records.
The defendants—USA Skiptrace, AMS research Services Inc. and World Investigations Inc.—are prohibited from obtaining and selling telephone records, he said.
>USA Skiptrace would for $125 provide a consumer’s phone history, including the number of calls made and received, and their dates and durations. Abbott’s office alleged.
