
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: WEDNESDAY, October 27, 1993                   TAG: 9310270024
SECTION: BUSINESS                    PAGE: B-6   EDITION: METRO 
SOURCE: Associated Press
DATELINE: WASHINGTON                                LENGTH: Short

STATES TARGET FRAUDULENT TELEMARKETING

The top prosecutors in 10 states filed lawsuits or took other legal action against more than 70 telemarketers Tuesday in an attempt to crack down on fraud that costs consumers more than $100 billion a year.

"In the hands of a con artist, a phone is an assault weapon," said Minnesota Attorney General Hubert H. Humphrey III, president of the National Association of Attorneys General.

Senior citizens often are targeted because they are home when telemarketers call, Humphrey said.

In one case, Nevada authorities arrested a Las Vegas telemarketer on a charge of attempted theft. The telemarketer was accused of trying to persuade a 92-year-old Kansas man who had been declared the winner of $100,000 to send in $1,900 to collect his prize.

If it's really a free prize, it shouldn't cost a dime, Humphrey said. "If it sounds like a steal, it probably is - right out of your own pocket."

Patricia Faley, acting director of the U.S. Office of Consumer Affairs, said the estimate of at least $100 billion in fraud per year is low. But it means "the average American consumer is losing $400 a year to fraud, and maybe a lot more."

The states whose attorneys general reported actions Tuesday were Arizona, Florida, Iowa, Minnesota, Nevada, Ohio, Oklahoma, Oregon, Washington and Wisconsin. The targeted companies and individuals were from all over, including California, Colorado, Connecticut, Maine, New Jersey, New York, Pennsylvania and Texas.

by CNB