Regulators Investigating Talk America Practices

California regulators launched an investigation this week into alleged deceptive marketing practices at phone company Talk America Inc., which sells local and long-distance service in the state. The California Public Utilities Commission said it has received more than 600 complaints about the company from consumers who said Talk America changed their long-distance service without permission or charged them for services they never ordered.

Regulators said Talk America mailed more than 7.5 million promotional checks that automatically switched a person’s long-distance service when they were cashed. The company allegedly violated rules that require such checks to include prominent disclosure of the phone service switch and the terms of service. Other alleged violations date to 1997, the PUC said.

Talk America, based in Reston, Va., has sold service in California under the names Talk America and Tel-Sav. The company also allegedly sold Talk America phone service to America Online subscribers using the nonexistent company names AOL Long Distance and AOL Long Distance Plan.

Talk America spokeswoman Ruth Abeshaus declined to comment on the allegations. However, she said the company “looks forward to working with the PUC in supplying them with any and all information that they request.”