Advertisement

OTHER NEWS - Nov. 17, 1995

Share
<i> Times Staff and Wire Reports</i>

Toner Scam Settlement Reached: Small businesses that allegedly overpaid for photocopier toner and other office supplies in a fraudulent phone scheme that operated out of North Hills could recover part of their losses under a $1.8-million, legal settlement reached earlier this month. Federal officials announced that North American Supply Inc., its predecessor American Computer Industries Inc., and three individuals agreed Nov. 14 to make payments and set-asides totaling $1.8 million after charges were filed against them in U.S. District Court in Los Angeles. Attorneys for the Federal Trade Commission alleged that the companies phoned small businesses, misrepresented themselves as the companies’ regular suppliers and urged them to order more supplies before a price increase went into effect. The defendants also allegedly billed customers for unordered merchandise and failed to disclose shipping charges. For information, call (202) 326-2222.

Advertisement