ICFE eNEWS #17-03 - January 19th 2017
Penn News for January 2017
News from the Federal Trade Commission
DeVry to Pay $100 Million to Settle FTC Charges
University agreed to settle charges that it exaggerated
the job prospects of its graduates. The FTC says DeVry misled prospective
students by claiming 90 percent of its graduates landed jobs within
six months of graduation, and that 15 percent had higher incomes,
compared to graduates of other schools. Nearly half of the $100
million settlement will go to qualifying students misled by the
ads. The remainder will go to forgiving or cancelling debts that
students would have incurred, and to students to pay off debt already
incurred to attend DeVry between 2008 and 2015.
people are making important decisions about their education and
their future, they should not be misled by deceptive employment
and earnings claims. The FTC has secured compensation for the many
students who were harmed, and I am pleased that DeVry is changing
- FTC Chairwoman Edith Ramirez
on DeVry University case
FTC Charges Turn for Deceptively Tracking Consumers
To settle FTC charges, Turn, a digital advertising company,
agreed to stop misrepresenting its online tracking capabilities
and provide an effective way for people to opt out of tracking.
The FTC says Turn kept tracking people's online and mobile activities
even after people opted out of tracking. The FTC also said Turn's
opt-out mechanism only applied to mobile browsers, and did not block
tailored ads on mobile applications, as the company had claimed.
FTC Says CarMax and Others Failed to Disclose Safety Recalls
Three auto retailers, including CarMax,
to settle FTC charges that they failed to sufficiently
disclose that some of their cars were actually subject to unaddressed
safety recalls - even after the companies touted how thoroughly
they inspect their vehicles. The FTC's proposed consent orders will
prohibit these retailers from making unqualified inspection or safety-related
claims about their used vehicles subject to safety recalls.
Pharma Company Will Divest Products per FTC Order
FTC required divestitures to maintain
competition for a variety of vaccines for dogs and cats,
as well as parasite control products for cattle and sheep. Pharmaceutical
company Boehringer Ingelheim agreed to divest five types of animal
health products in the United States in order to settle FTC charges
that its proposed asset swap with Sanofi could lead to higher prices
for these products. The proposed consent order preserves competition
by requiring Boehringer Ingelconsuheim to divest the companion animal
vaccines to Eli Lilly and the company's Elanco Animal Health division,
and the parasite control products to Bayer AG.
FTC Hosts "Internet of Things" Contest
How can you know whether your internet-connected devices are updated
to protect your privacy and security? The FTC is hosting a prize
The Internet of Things (IoT) Home Inspector
Challenge, to see who has the answer. The winning tool
would help protect people from security vulnerabilities caused by
out-of-date software - and there's a $25,000 prize for the winning
team or person. The challenge opens for submission on March 1, 2017.
Dating Site Exposed Millions of Users' Data, FTC Says
Operators of Toronto-based AshleyMadison.com have agreed to settle
Trade Commission and state charges that they deceived
users and did not protect 36 million users' account and profile
information in relation to a massive July 2015 data breach of their
network. In addition to other provisions, a federal court imposed
an $8.75 million judgment against the company.
FTC Says California Naturel Made False "All Natural" Claims
The FTC has granted a
summary decision against California
Naturel, Inc. for falsely advertising its sunscreen product
as "all natural." Per the company's admission, eight percent
of its sunscreen formula is a synthetic ingredient. The final order
says the company may not make those claims going forward.
Blood-Pressure App Marketers Allegedly Made False Claims
FTC alleges Aura falsely claimed its Instant Blood Pressure
paid app could replace traditional blood pressure cuffs and that
its readings are just as accurate. Aura's app reported blood pressure
based on data calculated by Aura using age, gender, height, and
weight. The FTC says the blood pressure readings from the app were
inaccurate compared to those of a traditional blood pressure cuff.
Alleged Tech Support Schemers to Pay Back $10 Million
Operators of a Florida-based tech support scheme
pay $10 million in consumer redress to settle charges
they used aggressive tactics to sell tech support products and services.
The FTC says they falsely claimed to find viruses and malware on
FTC Requests Comment on Proposal to Amend Contact Lens Rule
The FTC is seeking comments on an amendment of the
Lens Rule that would require prescribers to obtain a "signed
patient acknowledgment form" after releasing a contact lens
prescription to a patient. The proposed change is designed to make
sure that prescribers are providing copies of prescriptions to patients
once the contact lens fitting is complete. The FTC requests comments
on this proposed change by January 30, 2017.
Your Money Back
on Herbalife Refunds
Roughly 350,000 checks totaling
have been sent to people
who lost money trying to run an Herbalife business. The company
allegedly deceived consumers into believing they could earn substantial
money selling weight loss, nutritional supplement, and personal
Tax Club Refunds
Over 20,000 checks totaling
more than $18 million are going out to people who
money to The Tax Club and applied for a refund from the
FTC. The company allegedly deceived people by saying their services
would help home-based businesses succeed, and by promising services
that people never received.
The FTC sent refund checks
ranging from $90 to $150 to
people who lost money on websites
including FreeScore360.com, FreeScoreOnline.com and ScoreSense.com.
According to the FTC, people went to the sites to access their credit
scores but were enrolled in credit monitoring programs and charged
monthly fees without their consent.
you get a refund check from the FTC, deposit or cash it within 60
days of the mailing date. The FTC never requires consumers to pay
money or to provide account information before refund checks can
be cashed. Want information about the FTC's refund program? Visit
Broker Operation Allegedly Scammed More Than $7 Million
Action Halts Timeshare Resale Scheme
Grants Partial Exemption to Fuel Rating Rule Labeling Requirements
Agrees to Ban on Pyramid Scheme Practices to Settle FTC Charges
Wonder why some online ads seem to target
your interests? Learn more about #onlinetracking.
Get schooled on how to choose a college or university. #forprofitschool
Take steps to save time and money by reading up before shopping
for a used car. #buyingausedcar