Gov't shutters medical-alert scam aimed at seniors

10:51 AM, Jan 13, 2014   |    comments
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WASHINGTON (AP) - Federal and state regulators have shut down a multimillion-dollar scam that duped seniors into turning over their credit card information in exchange for purportedly free medical-alert devices.

The business blasted seniors in the U.S. and Canada with robocalls claiming they were eligible to receive a free alert system purchased by a friend or relative. Once the target agreed to receive the device, they were transferred to an operator who took their billing information and immediately began charging them for the service.

The Federal Trade Commission and Florida's attorney general said Monday that they have frozen the assets of the Orlando-based business, which used more than a dozen company names.

FTC officials said the business collected more than $13 million in commissions, though it's unclear how much consumers actually lost.

(Copyright 2014 The Associated Press. All rights reserved.)

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