DIRECTV Telemarketers To Pay $75,000 Penalty

August 16, 2006

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The Federal Trade Commission has entered into a court settlement with Nomrah Records, Inc. and its president, Mark Harmon, defendants in the recent DIRECTV telemarketing case.

Under the settlement, Harmon will pay a $75,000 civil penalty and both he and the company will be barred from violating the Do Not Call (DNC) Rule and Telemarketing Sales Rule (TSR) in the future.

In December 2005, the Commission charged DIRECTV and other defendants that telemarketed on DIRECTV�s behalf with violating the DNC Rule and the TSR by calling consumers, despite the fact that their numbers were on the National DNC Registry.

In settling the charges, DIRECTV paid $5.3 million, representing at the time the largest-ever DNC penalty obtained by the Commission.

The stipulated final judgment and order against Nomrah and Harmon contains strong injunctive relief, barring them from calling consumers on the DNC Registry, as well as from violating any other provisions of the TSR in the future.

The judgment and order also requires Harmon to pay a $75,000 civil penalty, with the stipulation that $400,575 will become due if he is found to have misrepresented his financial condition to the Commission. Finally, the order contains standard record keeping and reporting terms to ensure the defendants comply with the order.

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