Chapman Auditorium
San Antonio, Texas 78212
FTC to Coordinate with and Provide Resources for Military Community at Financial Workshop
Chapman Auditorium
San Antonio, Texas 78212
Chapman Auditorium
San Antonio, Texas 78212
Acting FTC Chairman Ohlhausen Announces Departure of Economics Bureau Director Ginger Zhe Jin, Appointment of Michael G. Vita as Acting Bureau Director
Acting Federal Trade Commission Chairman Maureen K. Ohlhausen announced that FTC Bureau of Economics Director Ginger Zhe Jin is departing the agency to return to the University of Maryland and has named Michael G. Vita Acting Director of the Bureau.
“Ginger was an outstanding Bureau Director, bringing sound economic reasoning and advice on a host of consumer protection and competition matters,” Acting Chairman Ohlhausen said. “We thank her for her service and many contributions to the FTC.”
The Director of the Bureau supervises economic analysis at the Commission and advises the agency on economic policy matters. Jin came to the FTC in 2015 to work as a fellow while on sabbatical from the University of Maryland, where she serves as a Professor of Economics. She has been the Director of the Bureau of Economics since January 2016 and will be returning to her position at the University of Maryland. Jin also served as a Research Associate of the National Bureau of Economic Research, co-editor of the Journal of Economics & Management Strategy, and co-founder of Hazel Analytics, Inc.
Vita joined the FTC in 1984 as an economist and served as Deputy Assistant Director and Assistant Director of the Bureau of Economics before being named Deputy Director in 2014. He received his master’s and doctorate degrees in economics from the University of Wisconsin and his bachelor’s degree in economics from Pennsylvania State University.
The Federal Trade Commission works to promote competition, and protect and educate consumers. You can learn more about consumer topics and file a consumer complaint online or by calling 1-877-FTC-HELP (382-4357). Like the FTC on Facebook, follow us on Twitter, read our blogs and subscribe to press releases for the latest FTC news and resources.
FTC Approves Final Consent Order Stopping False Advertising, Phony Reviews by Online Trampoline Sellers
Acting FTC Chairman Ohlhausen Appoints Neil Chilson as Acting Chief Technologist
Acting Federal Trade Commission Chairman Maureen K. Ohlhausen has appointed Neil Alan Chilson as the agency’s acting Chief Technologist.
Chilson will be primarily responsible for advising Chairman Ohlhausen and the Commission on technology matters, including the FTC’s use of technology, technical aspects of law enforcement actions, and technology policy recommendations. His portfolio will also include managing the FTC’s effort to better understand informational harms.
“Much of the FTC’s work occurs at the intersection of rapidly changing technology and consumer experiences, implicating complex legal and policy issues,” Acting Chairman Ohlhausen said. “Neil has spent his career at this intersection and has been a valuable contributor to the FTC’s technology-related work. I am pleased to have his technical expertise and policy experience available to the Commission in this new role.”
Chilson was previously as an Attorney Advisor in the Acting Chairman’s office, serving as the Chairman’s principal advisor on technology, privacy, and data security matters. Previously, he was an attorney at the law firm of Wilkinson Barker Knauer, LLP, where he handled a wide variety of telecommunications and privacy matters. He received his law degree from the George Washington University Law School, a master’s degree in computer science from the University of Illinois, Urbana-Champaign, and a bachelor’s degree in computer science from Harding University.
The Federal Trade Commission works to promote competition, and protect and educate consumers. You can learn more about consumer topics and file a consumer complaint online or by calling 1-877-FTC-HELP (382-4357). Like the FTC on Facebook, follow us on Twitter, read our blogs and subscribe to press releases for the latest FTC news and resources.
FTC Staff Provides Additional Comment and Testimony in Tennessee Opposing Mountain States’ and Wellmont’s Certificate of Public Advantage Application
Federal Trade Commission staff submitted an additional public comment to the Tennessee Department of Health that opposes issuing a certificate of public advantage (COPA) to Mountain States Health Alliance and Wellmont Health System that would allow the two companies to merge. This comment responds to consultant reports commissioned by Mountain States and Wellmont and submitted in connection with their Tennessee COPA application, and supplements previous comments submitted in November 2016 and January 2017.
As in prior comments to Tennessee, staff of the FTC’s Bureau of Competition, Bureau of Economics, and Office of Policy Planning express concern that the lost competition from the proposed merger of Mountain States and Wellmont would significantly harm residents of northeast Tennessee and southwest Virginia. The staff emphasizes that the two hospital systems have failed to show that the consumer harm from the proposed merger would be outweighed by its purported benefits, or offset by the applicants’ proposed commitments. FTC staff conclude that the applicants’ consultants’ reports “fail to provide sufficient additional information or analysis to demonstrate by clear and convincing evidence that the purported benefits of this merger would outweigh the serious competitive harm that would likely result from creating a near-monopoly.”
FTC staff also delivered oral remarks at a public hearing before the Tennessee Department of Health in Blountville, Tennessee, highlighting some of the shortcomings with the applicants’ consultants’ reports and recommending that Tennessee deny the COPA.
The Commission vote to issue the staff comment and to authorize public oral testimony was 2-0. The comment was sent to the Tennessee Department of Health on July 18, 2017. (FTC File No. 1510115; the staff contacts are Goldie Walker, Bureau of Competition, 202-326-2919, and Stephanie Wilkinson, Office of Policy Planning, 202-326-2084).
The Federal Trade Commission works to promote competition, and protect and educate consumers. You can learn more about how competition benefits consumers or file an antitrust complaint. Like the FTC on Facebook, follow us on Twitter, read our blogs and subscribe to press releases for the latest FTC news and resources.
FTC Charges Debt Collection Scheme with Posing as Attorneys to Take Consumers’ Money for Phantom Debts
The Federal Trade Commission has charged a debt collection operation with taking people’s money for fake debts they did not owe by posing as lawyers and falsely threatening to sue or have them arrested if they did not pay.
A federal court temporarily halted the operation and froze its assets at the request of the FTC, which seeks to end the practices.
According to the FTC, the defendants’ collectors called people without identifying themselves as debt collectors, said a lawsuit or criminal action had been filed or soon would be filed against them, and gave a phony “case number” and a phone number to call. Those who responded were told the callers were attorneys or were calling from a law firm. The FTC also alleges that to coerce some people into paying the phantom debts, the defendants threatened them with prison time or claimed police would come to their house to arrest them.
The defendants allegedly also pretended to be unrelated, legitimate small businesses, which may have harmed those businesses’ reputation and caused angry consumers to call the businesses to complain about their debt collection activities.
The FTC also alleges that the defendants illegally disclosed purported debts to third parties, failed to send consumers required written notices with the debt amount and the creditor’s name, and failed to give them an opportunity to dispute the debt.
Hardco Holding Group LLC, S&H Financial Group Inc., Daryl M. Hall and Dequan M. Sicard are charged with violating the FTC Act and the Fair Debt Collection Practices Act.
The FTC appreciates the assistance provided in this case by the Florida Department of Agriculture and Consumer Services.
The Commission vote approving the complaint was 2-0. The U.S. District Court for the Middle District of Florida, Orlando Division entered a temporary restraining order against the defendants on July 10, 2017.
NOTE: The Commission files a complaint when it has “reason to believe” that the law has been or is being violated and it appears to the Commission that a proceeding is in the public interest. The case will be decided by the court.
The Federal Trade Commission works to promote competition, and protect and educate consumers. You can learn more about consumer topics and file a consumer complaint online or by calling 1-877-FTC-HELP (382-4357). Like the FTC on Facebook, follow us on Twitter, read our blogs and subscribe to press releases for the latest FTC news and resources.
Acting FTC Chairman Ohlhausen Announces Internal Process Reforms: Reducing Burdens and Improving Transparency in Agency Investigations
Federal Trade Commission Acting Chairman Maureen K. Ohlhausen announced several internal process reforms in the agency’s Bureau of Consumer Protection that will streamline information requests and improve transparency in Commission investigations. The reforms are part of Acting Chairman Ohlhausen’s efforts to further the agency’s mission to protect consumers and promote competition without unduly burdening legitimate business activity.
“It is our duty to carry out our vital mission in the most effective and efficient way possible,” said Acting Chairman Ohlhausen. “The changes announced today will reduce unnecessary and undue burdens of FTC investigations without compromising our ability to protect American consumers.”
This past April, Ohlhausen announced new internal Working Groups on Agency Reform and Efficiency to improve processes and focus resources where they will do the most good for the public. As part of this initiative, Ohlhausen directed the Bureau of Consumer Protection to identify best practices to streamline information requests and improve transparency in investigations. The process reforms announced today address CIDs (Civil Investigative Demands) in consumer protection cases, and include:
- Providing plain language descriptions of the CID process and developing business education materials to help small businesses understand how to comply;
- Adding more detailed descriptions of the scope and purpose of investigations to give companies a better understanding of the information the agency seeks;
- Where appropriate, limiting the relevant time periods to minimize undue burden on companies;
- Where appropriate, significantly reducing the length and complexity of CID instructions for providing electronically stored data; and
- Where appropriate, increasing response times for CIDs (for example, often 21 days to 30 days for targets, and 14 days to 21 days for third parties) to improve the quality and timeliness of compliance by recipients.
In addition, to ensure companies are aware of the status of investigations, the Bureau will adhere to its current practice of communicating with investigation targets concerning the status of investigations at least every six months after they comply with the CID.
The Acting Chairman initiated this project in part to address concerns raised by Members of Congress and the American Bar Association Antitrust Section’s Presidential Transition Report about the investigational burdens on legitimate companies. The agency continues to consider other reforms.
The Federal Trade Commission works to promote competition, and protect and educate consumers. You can learn more about consumer topics and file a consumer complaint online or by calling 1-877-FTC-HELP (382-4357). Like the FTC on Facebook, follow us on Twitter, read our blogs and subscribe to press releases for the latest FTC news and resources.
FTC Staff Offers Comment on FCC’s Network Neutrality Proceeding
The staff of the Federal Trade Commission has submitted comments to the Federal Communications Commission (FCC) supporting that agency’s proposal to restore FTC jurisdiction related to broadband Internet access services.
The FTC’s Bureau of Consumer Protection, Bureau of Competition, and Bureau of Economics submitted joint comments on the FCC’s Notice of Proposed Rulemaking on Restoring Internet Freedom. That Notice proposes reversing the FCC’s 2015 decision to change the classification of broadband Internet access service from an information service to a common carrier service. The FCC’s 2015 decision effectively stripped the FTC of its authority over broadband Internet access services. Under current law, the FTC is prohibited from regulating common carrier activities.
In its comments, FTC staff emphasized the agency’s strong track record of protecting consumer privacy and data security in various sectors. To date, the FTC has brought more than 500 privacy and security-related cases involving a wide range of sectors including social media, ad-tech, search, mobile, and Internet of Things applications and devices. The staff comment also described the FTC’s expertise in protecting consumers from other kinds of harm, such as fraudulent business practices, deceptive advertising claims, and other types of deceptive or unfair practices.
In its comments, staff noted that the FTC uses its enforcement authority under the FTC Act, policy initiatives, and consumer and business education to protect consumers, including their privacy and security. Having one agency with jurisdiction over the entire Internet ecosystem will help ensure consistent standards and consistent application of those standards. The staff added that the current gap in online consumer protection makes little sense given that FTC jurisdiction currently covers virtually all other entities in the Internet space except broadband providers.
The staff comment noted that the FCC’s proceeding also would restore the FTC’s antitrust enforcement authority related to broadband providers. The FTC has worked to prevent unfair methods of competition since its inception more than a century ago, and the agency’s activities in Internet-related markets demonstrate its ability to preserve competition and promote innovation for the benefit of consumers.
Acting FTC Chairman Maureen K. Ohlhausen filed a separate comment with the FCC, endorsing the staff comment and describing the FTC’s past work on the network neutrality issue, including staff’s 2007 Broadband Connectivity Competition Policy report. Commissioner Terrell McSweeny also filed a separate comment with the FCC opposing the staff comment.
The Federal Trade Commission works to promote competition, and protect and educate consumers. You can learn more about consumer topics and file a consumer complaint online or by calling 1-877-FTC-HELP (382-4357). Like the FTC on Facebook, follow us on Twitter, read our blogs and subscribe to press releases for the latest FTC news and resources.
Phony OSHA Scam Banned from Conning Small Businesses
An operation that allegedly conned small businesses into paying for government-required regulatory posters will be banned from selling such materials, which government agencies provide for free.
The settlement resolves FTC charges brought in 2016, that the defendants pretended to be a federal agency and threatened to shut down or fine newly-opened businesses unless they bought occupational safety and other government-required posters for their premises. The court halted the operation pending litigation.
In addition to the ban on selling such posters, the order prohibits the defendants from misrepresenting that they are affiliated with the Occupational Safety and Health Administration or any other agency, that consumers are required by law to buy goods or services, and any material facts about any good or service.
The order imposes a judgment of more than $3.8 million, which will be partially suspended upon the surrender of the defendants’ assets. The full judgment will become due immediately if the defendants are found to have misrepresented their financial condition.
The defendants are Sean K. Juhl; D&S Marketing Solutions LLC, also doing business as US Corporate Compliance Office, Office of Compliance and Safety Standards, and Occupational Safety and Compliance Administration; and Grand Marketing Solutions LLC, also d/b/a Employer Compliance and Safety Standards and Occupational Safety and Compliance Administration.
The FTC thanks the Florida Department of Agriculture and Consumer Services, the Better Business Bureau of West Florida, and the Occupational Safety and Health Administration for their assistance in this case.
The Commission vote approving the proposed stipulated order was 2-0. The U.S. District Court for the Middle District of Florida, Tampa Division, entered the order on July 10, 2017.
NOTE: Stipulated final orders have the force of law when approved and signed by the District Court judge.
The Federal Trade Commission works to promote competition, and protect and educate consumers. You can learn more about consumer topics and file a consumer complaint online or by calling 1-877-FTC-HELP (382-4357). Like the FTC on Facebook, follow us on Twitter, read our blogs and subscribe to press releases for the latest FTC news and resources.
FTC Approves Amendments to Divestiture Order in LafargeHolcim Ltd. Merger
Following a public comment period, the Federal Trade Commission has approved an application from LaFargeHolcim, Ltd to amend several agreements that were part of a 2015 FTC order settling charges that the $25 billion merger of Holcim Ltd. and Lafarge S.A. would likely harm competition in the United States.
Under the order, the Commission required the parties to divest cement plants, quarries, terminals and other assets in 12 U.S. states and several locations in Canada.
In the application, LaFargeHolcim, Ltd. stated that the amendments to a barging agreement and a throughput agreement were necessary to resolve a dispute between LafargeHolcim and divestiture buyer Essroc Cement Corp.
The Commission vote to approve the application was 2-0. (FTC File No. 141 0129, Docket No. C-4519; the staff contact is Dan Ducore, Bureau of Competition, 202-326-2526.)
The Federal Trade Commission works to promote competition, and protect and educate consumers. You can learn more about how competition benefits consumers or file an antitrust complaint. Like the FTC on Facebook, follow us on Twitter, read our blogs and subscribe to press releases for the latest FTC news and resources.