Telemarketing companies could pay up to $22,000 for a single illegal phone call under a plan New York Gov. George E. Pataki proposed as the state marks the third anniversary of its Do Not Call list, according to wire service reports.
Pataki wants to raise the penalty for telemarketers violating state Do Not Call laws from $5,000 to $11,000, matching the federal fine.
Since it was created in 2001, more than 4 million phone numbers have been added to the Do Not Call list. The state has collected more than $1 million from 67 settlements.
Until it gave oversight to the federal government, it cost New York $2.5 million a year to operate its registry. Pataki’s plan to raise the fine is included in his 2004-2005 budget proposal. In 2002, the state increased the fine from $2,000 to $3,000.
Louis Mastria, spokesman for the Direct Marketing Association, said he hasn’t seen Pataki’s proposal.
“Marketers should not be violating the law,” he said. “It’s the law of the land, and anyone who violates the law should be fined. We’ve had better than 90% compliance. We never want to be in a situation where we call people who say they don’t want to be called.”
He said it’s too early to judge how much the telemarketing industry has suffered.
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