Released: July 02, 2009
‘Operation Short Change’ charges fraud
Source: Jim Puzzanghera, L.A.Times ( Free Registration )
The recession has killed jobs by the millions, but it’s been a boon to one sector of the population: con artists.
They’ve been offering consumers help in repairing bad credit, landing new jobs, starting lucrative work-at-home businesses and obtaining government money to pay off bills. These scams—which are surging along with the jobless rate—are touted on websites and infomercials, and have bilked consumers out of hundreds of millions of dollars, said David C. Vladeck, director of the Federal Trade Commission’s Bureau of Consumer Protection.
Federal officials, working with authorities in California and other states, struck back Wednesday. They announced a series of civil and criminal charges against alleged con artists who have preyed on economic anxiety to lure consumers into making upfront payments for services that either fall far short of the promises or never materialize.
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