Telemarketing Fraud One-In-Four Scheme Fronters and Reloaders

Continental Distributing Company (“CDC”) was a telemarketing company based in Chattanooga, Tennessee. The company targeted its telemarketing schemes at elderly people because the elderly tend to be most vulnerable to the various telemarketing tricks and ploys used by Continental Distributing Company. Ninety-nine percent of the calls CDC made were to people over the age of 60, and ninety percent of the calls were made to people over the age of 70. The company operated a one-in-four scheme whereby a telemarketer would call a victim and tell the victim that she had won one of four fabulous awards. The awards were usually stated in order of the least expensive to the most expensive. For example, the telemarketer, when speaking to a potential victim, would list the awards in the following order: a 1994 car, a speed boat, the open award, and cash. The telemarketers purposely listed the awards in this manner to disguise the fact that the “open award” (also known as the “gimmie”) was worth substantially less than the other awards. Typically, the open award was a very inexpensive piece of merchandise such as a lithograph, JFK coin set, or cheap sculpture.

The object of the scheme was to Continue reading “Telemarketing Fraud One-In-Four Scheme Fronters and Reloaders”