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FCC's Record Penalty Against Auto Warranty Robocall Scammers: Protecting Consumers from Deceptive Calls

Posted by Howard Gutman | Aug 04, 2023 | 0 Comments

If you've ever been bombarded with robocalls offering fake car warranties and extended coverage, you're not alone. The Federal Communications Commission (FCC) recently imposed a historic $300 million fine on an international network of companies responsible for a vast auto warranty scam.

Making over five billion illegal robocalls to more than 500 million phone numbers in just three months, these scammers violated federal statutes, FCC regulations, and spoofing laws. They employed deceptive tactics, using fake caller IDs to mislead consumers and trick them into answering. This article dives into the details of the violation and offers actionable advice to protect yourself from such deceptive calls.

The Unprecedented FCC Penalty for Auto Warranty Scammers

The FCC's enforcement action against the auto warranty robocall scheme resulted in a record-breaking $300 million fine. This international network of companies executed a complex scheme to make over five billion illegal robocalls within a three-month period in 2021. Their violations included making pre-recorded voice calls without consent, calling numbers on the National Do Not Call Registry, and failing to provide an opt-out call-back number.

Moreover, they employed deceptive spoofing tactics using more than a million different caller IDs to hide their true identities and deceive victims.

The Deceptive Car Warranty Scam and Violations

Operating under various company names like Sumco Panama, Virtual Telecom, and more, this network of scammers peddled vehicle service contracts under the guise of selling auto warranties. Despite bans against making telemarketing calls, central players Roy M. Cox and Aaron Michael Jones continued their deceptive practices.

Their illegal robocalls promised car owners extended warranties and interest rate reduction programs, among other false claims. The FCC's investigation found these calls to be part of a larger scheme to gain access to personal and financial information.

FCC's Efforts to Stop the Robocall Menace

To combat the flood of illegal car warranty robocalls, the FCC took decisive action. They directed U.S.-based voice service providers to stop carrying traffic associated with specific members of the network, leading to a 99% reduction in these scam calls.

The FCC collaborated with the Ohio Attorney General's Office, which filed a lawsuit against individuals involved in the operation under the Telephone Consumer Protection Act. The FCC's successful partnership with state authorities aims to protect American consumers from fraudulent robocall campaigns.

Taking a Stand: Confronting Car Warranty Scammers

Amidst the barrage of car warranty robocalls, one person decided to take action. They recorded their interactions with the scammers and posted a video titled “Messing with the Car Warranty Scammers – 2021Compilation” on YouTube. The video garnered 3.7K views, exposing the extent of the issue.

The individual challenged the scammers' deceptive tactics, highlighting that the calls were selling fake warranty coverage. Despite not qualifying for the scam, they confronted the callers, turning the tables on the relentless robocalls and inspiring others to stand up against such scams.

Protecting Yourself from Deceptive Robocalls

While the FCC's enforcement actions are crucial, it's essential to take steps to protect yourself from deceptive robocalls.

  1. Be cautious when receiving unsolicited calls, especially if they promise deals that seem too good to be true.
  2. Hang up if you suspect a robocall, and never share personal or financial information over the phone unless you're sure about the caller's identity.
  3. Register your phone numbers on the National Do Not Call Registry to reduce unwanted telemarketing calls.
  4. Report any suspicious robocalls to the FCC and your state's Attorney General's Office.

Seeking Justice and Putting an End to Robocall Scams

The FCC's record-breaking fine sends a strong message to scammers involved in illegal robocall operations. However, stopping these deceptive calls entirely requires collective action from consumers, law enforcement agencies, and legal professionals.

If you've been affected by auto warranty robocall scams or any other deceptive telemarketing practices, our law firm is here to help.

Contact us today at (973) 598-1980 for a free consultation, and together, we can seek justice, put an end to robocall scams, and protect consumers from falling victim to these pernicious schemes. Let's take a stand against fraudulent robocalls and safeguard the integrity of U.S. communications networks.


  • FCC Slams Record Penalty on Transnational Auto Warranty Robocalling Operation | TheDoNotCallList
  • FCC Imposes Record Fine on Transnational Illegal Robocalling Operation | FCC
  • FCC Fines Illegal Robocalling Company Record $300 MILLION After Making More Than Five Billion Calls To More Than 500 Million Phone Numbers In Three Months | NYbreaking

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About the Author

Howard Gutman

Hiring an attorney can be a stressful and confusing situation.  You want an expert, honest, personal approach to your case.  The Law Office of Howard Gutman has been fighting for consumer rights and representing commercial interests for over 20 years.  We have a deep knowledge of fraud, consumer,...


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