Pai Urges FCC To Address Slamming Rules After Fine of GPSPS
FCC Commissioner Ajit Pai backed opening a proceeding to revise rules against "slamming," which is when telecom carriers make unauthorized changes to consumer service. Pai made the comment in a statement attached to an FCC order Thursday imposing a $9…
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million fine on GPSPS, Inc. "for changing the carriers of 65 consumers without their authorization" and "placing unauthorized or 'crammed' charges" for its long distance service on 41 consumers' telephone bills. Pai's statement, which his office flagged Monday, said the FCC's slamming rules "weren't enough to protect GPSPS's victims," and said "this isn't the first time our rules have failed." He said the FCC had "seen a raft of consumer complaints about slamming in recent years, ranging from the egregious ... to the outrageous ... to the fraudulent." Pai said "fly-by-night operators have figured out how to profit from skirting our rules rather than complying with them." Enforcement actions such as the one against GPSPS were a "good step, but more is needed," he said. "Our rules already offer one avenue for relief: the preferred carrier freeze, which lets consumers opt out of these deceptive marketing practices," he said. "But consumers shouldn’t have to opt out of a market for fraud. My proposal: Let’s open a proceeding and change this rule to make consumer protection not an option, but the default."