Merchant Account Underwriting Tools

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PEOPLE WE LOVE TO HATE

This case involves billions of robocalls dialed using software and servers provided by Defendant James “Jamie” Christiano and his companies: Defendants NetDot Solutions, Inc. and TeraMESH Networks, Inc. At least one billon of those robocalls were programmed to transfer to a call center run by the other set of defendants in this case, Defendant Andrew “Andy” Salisbury and his call center businesses all named World Connection.

Salisbury’s WConnection Enterprise and Jones’s other businesses and clients are responsible for bombarding American consumers in all fifty states and the District of Columbia with billions of illegal robocalls, all dialed through Christiano’s TelWeb platform.

These robocalls pitched numerous different consumer goods and services, including reverse mortgages, tax debt relief, “pain cream,” timeshares, vacation services, credit card debt relief, student loan debt relief, home security systems, solar energy and solar panels, extended auto warranties, medical pendants, and others.

The statistics in the following table demonstrate the magnitude of the illegal telemarketing that Salisbury, Jones, and their businesses and customers, including the WConnection Enterprise, conducted through TelWeb. The figures in this table represent only calls that were actually connected to a consumer or voicemail system; many more illegal calls were initiated through TelWeb but not connected.

Time Period Outbound Calls Connected (mostly unlawful robocalls) Calls Connected to Numbers on the Nat’l DNC Registry
Annual averages for 2014 through May 2016 883 million calls per year average 157 million calls per year average
January 2014 to March 2014 More than 329 million calls More than 32 million calls
January 2015 to March 2015 More than 222 million calls More than 40 million calls
June 1, 2015 to May 5, 2016 More than 700 million calls More than 150 million calls

 

On top of these violations, 64 million of the connected calls dialed through TelWeb between January 2016 and May 2016 were placed using spoofed caller ID numbers, using a specific type of spoofing called “Neighbor Spoofing.”

Neighbor spoofing is when a caller spoofs the area code and exchange of a consumer’s phone number so that the consumer thinks the call is coming from someone near them. For 54 million of these calls, Jones’s Red Hill Robocall enterprise generated an outbound caller ID for the outbound calls by adding 128 to the number being called.

 

UNITED STATES DISTRICT COURT CENTRAL DISTRICT OF CALIFORNIA No. SA CV 18-0936

Has ANY ISO ever made ANY money processing time share resales????

I mean after chargebacks. …And without being collusive in their enterprise.  Which is another whole story, or course. The defendants are Jess Kinmont, John P. Wenz, Jr., Pro Timeshare Resales of Flagler Beach LLC, Pro Timeshare Resales LLC, and J. William Enterprises LLC, doing business as Pro Timeshare Resales. They are charged with violating theRead More

Business Coaching for Dummies

“As alleged in the FTC’s complaint, the defendants charge up to $13,995 – usually on consumers’ credit cards – for a purported business coaching program that provides information that is largely available for free on the Internet, and thousands of dollars more for other purported business development services. Rodabaugh and Larsen opened merchant accounts usedRead More

Some Scamster Should Have Patented this Thirty Years Ago

Arrrggg! How did I not think of this back when it was sort of unique. Actually I did. Here’s wording from the federal complaint, translated into plain (er) English: “There were various entities involved in the processing of credit card payments, including credit card issuers, credit card acquirers or processors, companies that operated credit cardRead More

BOYS WE GOTTA TALK MERCHANT ACCOUNTS!

                          We’re missing out on some big paydays! It’s as easy as One, Two, Three.         BASE 1        Key Principal(s): Allegedly Jimmie the Beak says, if not in so many words, to Richie da Witch, Jimmy Two Tone, PeteyRead More

CFPB Takes A Hit. Case Against Payment Processors Dismissed

As an expert witness on the side of these payment processors I was glad to see this two year old case dismissed by an irate judge. “The Court finds that the CFPB willfully violated the Court’s repeated instructions to identify for Defendants the factual bases for its claims.” Case 1:15-cv-00859-RWS  Document 436     Filed 08/25/17     PageRead More

FRAUDULENT ISO: AN UNDERWRITER’S NIGHTMARE

Especially when the ISO risk manager is collusive. According to the FTC, Electronic Payment Solutions of America,(EPS) a Phoenix based ISO for Merrick Bank, knowingly processed $6,000,000 in fraudulent transactions generated by a business opportunity telemarketing scam called Money Now Funding (MNF). MNF had itself been sued by the FTC in 2013 for a $7,000,000 businessRead More

ON THE HOOK

For $280 Million! Merchant processors should know what their vendors are doing on their behalf. “Sellers may be held responsible for illegal calls placed by third-parties that market goods and services on their behalf, especially where the seller has the right to control the third parties and the benefit of the calls flows primarily toRead More

Time for Some Answers

For Immediate Release Contact: Nancy Savage, nancy.savage@socxfbi.org May 11, 2017 Dismissal of FBI Director James Comey Washington, D.C. – The precipitous dismissal of FBI Director James Comey raises many questions and concerns for the FBI and for our country. The opinions of the membership of the Society of Former Special Agents of the FBI regardingRead More

BETTER CALL MOSHE

If you want the best deal on a merchant account. But you might want to read the fine print and scrutinize your monthly fees a bit closer than thousands of his merchants did. According to a Department of Justice press release yesterday Michael “Moshe” Mendlowitz and business partner Richard Hart were arrested after their indictment on chargesRead More