TECHNOLOGY - Aug. 15, 1996

Computer Company to Pay Record Fine: Computer Business Services Inc., which claimed that home-based businesses using its computer equipment would earn $4,000 a month, agreed to pay $5 million to settle Federal Trade Commission charges that the assertions were deceptive. The FTC said use of the Sheridan, Ind.-based company’s software and hardware, which cost between $3,000 and $16,000, led few to earn $4,000 over the duration of their business. The closely held company also failed to tell consumers that federal law prohibits using the automatic telephone dialing systems it sells to make prerecorded sales pitches without approval from those being called. The company admitted no wrongdoing and said it agreed to the fine to avoid a long battle with the government.