Canadian law enforcement officials have charged seven people with allegedly running a multi-million-dollar telemarketing operation that targeted senior citizens in the United States, news reports said.
The telemarketers allegedly used high-pressure sales tactics to get people to buy a medical-discount plan. Using the names MedPlan, Global and STF Group, the group induced seniors to purchase the plans at $349 or $359 U.S. dollars and to release their bank account information.
Clients then received a discount card that could be used at drugstores and pharmacies listed on the card, according to Canadian officials. When they tried to use the card to pay for prescriptions at those pharmacies, however, they were told the card was not valid.
The group is charged with withdrawing money from bank accounts without authorization. They allegedly brought in $8 million before being stopped by law enforcement officials. More than 500 complaints were received by the Federal Trade Commission, Better Business Bureaus and the offices of several Attorneys General across the U.S.