November 16, 2003

How the Infotel Scam Works

infolie.jpg

"If you're not in the Infotel Business Directories, how will they find you?"
Infotel;"Making the world just a little smaller"

-- Slogans on Infotel Web Site

Over the last few days a lot of attention has been given to a shabby con run out of Canada by the Frank family called "Infotel." Essentially, this is one of those "get the company to pay" bits of sleaze that run as low-level infections throughout the corporate world. It only usually falls apart when the scamsters try to shakedown a small company that knows what it orders and what it doesn't.

Canada, long a haunt for fly-by-night telemarketing con-artists and shabby porn peddlars, gives companies like this shelter from US laws. I guess because Canada needs every sort of business it can bet these days.

At any rate, there hasn't been a lot of detail on how the scam or scams of Infotel are done until now when a 'former employee' has detailed them. The details are fascinating reading [Brackets = Added Information]:

Posted by a "former employee" in the comments section of "damnum absque injuria"

AMERI CORP aka INFOTEL PUBLICATIONS aka CBSI

Hey I worked there in Sales; this is [how the scams work]……

Categorized as a Legal Counterfeit Company because the products are real it is still a Telemarketing Scam because of the way the products are sold and there is no way of knowing how many are distributed.

Infotel/CBSI Products: (as seen at www.mediacorp.com )

DIRECTORY OF AMERICAN BUSINESS [Price: $379.95]
INFOTEL TOLL FREE DIRECTORY [Price: $379.95]
BRITISH BUSINESS DIRECTORY [Price: £189.95]
ANNUAIRE NATIONAL DES ENTERPRISE FRANCAIS Or FRENCH BUSINESS DIRECTORY (FRANCE) [Price: €304.14]
CANADIAN BUSINESS DIRECTORY [Price: $379.95]
AT & T NATIONAL BUSINESS BUYER’S GUIDE [Price: $12.95]
PAPER ROLLS*

These are National Business to Business Directories. Because they are National (ex. all the U.S. in one book) they are ... worthless. Nevertheless, they are what

they are and are sold as that and no more.

The only illegal premise is the falsifying of the fact that the company was previously listed. This is fraud and the BBB knows it.

The *Paper Rolls are for Credit Card machines etc. This nickel & dime Scam starts with the sales pitch “You are running out of paper etc.” The paper is sold by weight. Again the products do exist. This time around the small fry is caught thinking it’s his supplier calling. Nothing illegal here, just gullible employees.

Part 1 (Directories)

The Scam starts with the Sales Pitch directed at the unknowing small fry at a company: "Would you like to continue your listing in the 2xxx Directory of American Business, it's the National Business to Business Directory, Yellow and White pages."

The Yellow and White pages draw them in. It's a Phone Book to the small fry. They were previously listed? (This is the Scam, they were not)

The Scam continues with a Shipping Department call: "This is so and so from the Shipping Department of Infotel Publications", I am calling to confirm the details..." The Scam here is to get the small fry to admit he/she is authorized to make the purchase. This call is taped.

If yes, the Scam is set in motion. If no, then it is returned to the sales where it may be pitched again to the same company.

With the Scam set in motion, the company is listed in the directory and on the website www.mediacorp.com. The directory is sent by UPS to the company.

Part 2 (Directories)

The collection department (known in telemarketing as The BOILER room) handles the non paid invoices which make up a large % of the take. The monitored call, the proof of purchase, the authorized small fry, all contributes to the success of the Scam.

The BOILER room rotates the unpaid invoices trying to keep the calls to companies at the US legal debt collecting limit avoiding BBB & Attorney General Complaints. The goal is to get to the Owner, President, or V.P. etc. This is the turn point of the Scam. The Owner, President, V.P. etc. will pay the Full Invoice price, Partial or a Lower Fee or Nothing.

REMEMBER: YOUR INVOICE SAYS 2 YR LISTING, IF YOU PAY, THAT WILL BE FOR THE FIRST YEAR, AND ANOTHER INVOICE WILL FOLLOW NEXT YEAR!

FAQ

Who do they target?
Any and all Businesses including Non-Profit Organizations even Churches (But no Synagogues)

Do I have to pay?
No

How do I stop the Calls?
Call the Better Business Bureau

But Better…..
Alert the Attorney General

Who are these guys?
Canadian Telemarketers aimed at the US and Europe

The Owners
Gordon Frank, Ted Frank, Sean Frank

Even the ... mother (Rosalyn Cobrin) of these CROOKS works there, it’s a FAMILY BUSINESS!

Locations:
Montreal, Toronto


More info......

http://www.ripoffreport.com/report42956.htm

http://archive.mail-list.com/ukpmln/msg04014.html

http://www.state.vt.us/atg/press03212002.htm

http://www.atg.state.vt.us/display.php?pubsec=4&curdoc=171

http://www.ftc.gov/opa/2003/07/ambus.htm

http://www.ftc.gov/opa/2002/11/handson.htm

http://news.spamcop.net/pipermail/spamcop-list/2002-September/017322.html

http://www.consumersgroup.com/crimewatch/yellowpages.htm

http://www.nclnet.org/top10telemarketingscams.html

http://www.oag.state.ny.us/telecommunications/scams.html

http://www.ftc.gov/bcp/menu-tmark.htm

http://www.ftc.gov/bcp/conline/edcams/telemarketing/

http://www.courttv.com/archive/legalcafe/lifestyle/telemarket/telemarket_links.html

http://www.newstepsolutions.com/telemarketing.htm

http://www.fraud.org/tips/telemarketing/general.htm

Posted by: FORMER EMPLOYEE at October 31, 2003 04:46 PM

Posted by Vanderleun at November 16, 2003 10:16 AM | TrackBack
Comments

Canada, long a haunt for fly-by-night telemarketing con-artists and shabby porn peddlars, gives companies like this shelter from US laws. I guess because Canada needs every sort of business it can bet these days.

Way to improve Canada/U.S. relations, buddy..
In Canada most of the spam I get in my email, porn,scams,etc links me to U.S. locations. I did not realize that these emails were being bounced from Canadian locations.

Posted by: Dumb Canadian at November 16, 2003 06:00 PM

While the Dumb Canadian may not realize it, many companies do in fact slide across the northern border in order to avoid the effect of American law, most especially in the "better business" arena. For example, there are a number of illegitimate "bankruptcy petition preparer" services who operate online (from Canada) in order to avoid U.S. regulations regarding the unauthorized practice of law and the obligations regarding the preparation of bankruptcy petitions. However, Canada isn't alone in this, and the lack of physical jurisdiction over online businesses is a problem for many governments.

Posted by: Bill Wallo at November 17, 2003 08:57 AM

I'm the Original "Former Employee" that posted the info that started the posts on Calblog. Thanks for posting that here.

Infotel Publications could never follow through on a suit because it would call attention to the Telemarketing Scam that they run and they are loosing business after 12+ years.

With two sales offices in Montreal, Canada and one in Toronto, Canada. Collections are in Montreal only. They call United States, Britain, France & Germany around the clock from Metropolitan Media on the 2nd floor of the Positron Building on Bucan Street.

The Sales force calls from a database including your local Seven Eleven, Holiday Inn, Service Stations, etc. etc., you name it to be listed in a worthless "NATIONAL" yellow & white page directory about the same size of a phonebook. A “NATIONAL” Toll Free Directory is also peddled.

The premise that you "WERE PREVIOUSLY LISTED" and "YELLOW/WHITE PAGES" gets the sales. A day or two later the "so called" shipping department which is actually known as the "VER" (Verification) in this scam takes place. This is recorded. The VER is only for one reason…. to get the person to answer "YES" to "You are authorized to purchase". If the VER is passed the sales rep gets the sale, if not it is Re-pitched to the company.

No employee in sales or collections knows the number of directories distributed but “NO ONE” except the purchaser get one.

Infotel Publications uses US Addresses were checks are collected, locations have changed throughout the years.

The goal of collectors is to intimidate the purchaser who OKed the purchase. The full price, a one year listing or setup fees ($125.00 with the returned book) is collected.
Many cases the employee pays or is even fired because of the purchase.

I see no reason how the FRANKS can win over the Freedom of Speech on the Internet.

IF YOU PAY ZERO, THEY CAN DO NOTHING AND THE FILE IS DEADED.

ALSO REMEMBER: IF YOU PAY, YOU’LL END UP A “LOAD” (NEXT YEAR YOU WILL RECEIVE A SECOND DIRECTORY AND AN INVOICE FOR THE 2ND YEAR OF THE TWO YEAR LISTING. (THIS IS ILLEGAL IN CANADIAN TELEMARKETING) ALSO CALLED RE-INVOICING BY THE RCMP

Protect your rights: Contact the “BBB” and your “STATE ATTORNY GENERAL”!

Posted by: Former Employee at November 18, 2003 07:55 PM

HEY, I'M THE SECOND FORMER EMPLOYEE THAT POSTED ON CABLOG.

SALES DON’T KNOW WHAT THE COMPANY IS BECAUSE OF THE TURNOVER, THEY READ FROM LISTS AND BELEIVE COMPANIES WERE PREVIOUSLY LISTED! COLLECTIONS PEOPLE LEARN THE SCAM TOTALLY IN APPROX 5 MONTHS. THEY EITHER STAY OR LEAVE.

IT IS INTERESTING TO NOTE TO ANY SKEPTICS THAT SEARCHES AT WWW.MEDIACORP.COM FOR BUSINESSES WILL BRING UP:

CHURCHES, NON PROFIT ORGANIZATIONS, FUNERAL HOMES, GROCERY STORES, RESTURANTS, GAS STATIONS, TRUCK STOPS, PARKING LOTS, DOCTORS, DENTISTS, LAWYERS, HOSPITALS, CONSTRUCTION COMPANYS AND OF COURSE WELL KNOWN AMERICAN CORPORATION OUTLETS (THAT PAY WITHOUT KNOWING). MOST BUSINESSES TARGETED HAVE LESS THAN 5 EMPLOYEES!

ONE INTERESTING NOTE IS THAT UPS - UNITED PARCEL SERVICE IS ALSO TARGETED, THE PEOPLE WHO DELIVER THE DIRECTORY.

DO THESE BUSINESSES NEED TO BE LISTED NATIONALLY?

IF SO SHOULDN'T IT BE ON LIKE 10 DVDs BECAUSE THEN IT WOULD BE BENIFICIAL BUT ALL IN ONE LOUSY TELEPHONE BOOK WITH A 1/2 INCH BY 2 1/4 INCH AD?

GO AHEAD, MAKE A SEARCH AT WWW.MEDIACORP.COM, MAKE UP A FEW NAMES, AND FIND THE LITTLE GUY WHO LOST $800.00 OF HARD EARNED CASH TO:

GORDON FRANK
TED FRANK
SEAN FRANK
ROSALYN COBRIN

INFOTEL PUBLICATIONS (METROPOLOLITAN MEDIA)

DON'T PAY; CALL THE BBB AND THE ATTORNY GENERAL.

Posted by: a former employee at November 19, 2003 04:17 AM

I am so glad I found you guys. I am about to lose my job because INFOTEL sent a business directory book, and a invoice of 397 dollars to my boss' house in my name.
What should I do and tell my boss?

ps. I never agreed to buy anything from them, but they say they have a recorded conversation.

Posted by: Alex sousa at June 29, 2004 12:33 PM

i just started working at infotel about two weeks ago and im already figuring out the scam...i feel bad when i make a sale...the job is so dishonest....after reading all the stories and comments i think its time for me to start looking for another job...i turned down other jobs for this one..not knowing the scam behind...thanks to infotel ill be unemployed until i get another job....they are screwing the employees and costumers over...i think its time for them to be busted

Posted by: emma at July 8, 2004 03:48 PM

i just started working at infotel about two weeks ago and im already figuring out the scam...i feel bad when i make a sale...the job is so dishonest....after reading all the stories and comments i think its time for me to start looking for another job...i turned down other jobs for this one..not knowing the scam behind...thanks to infotel ill be unemployed until i get another job....they are screwing the employees and costumers over...i think its time for them to be busted

Posted by: emma at July 8, 2004 03:48 PM

All i can say is fair play - good scam, their is one born every minute and if people are able to take control of the situation and make money - why not?

Posted by: Lee(UK) at July 16, 2004 03:16 AM

I too am a previous employee of Infotel Publications, the first thing I have to make clear is that when I began working at Infotel I had no idea that it was a scam .... and how would I ? I decided to go on-line and research Infotel Publications because being the observant employee that I am I began to notice that things just were not making sense. I would call up to about 200 business' a day and I estimated that about 95% or more of the companies that I called had no idea what this directory was or that they were "previously" listed. Some people would hang up on me as soon as I said I was calling from Infotel, it made me suspicious. I was very disappointed when I found the great abundance of complaints about this new company I was employeed with. I feel horrible about misleading the companies about the directory , but also I am very upset and MAD because my previous employer was misleading me as well. I pride myself on being an honest person and am not impressed that I was put into this situation. I guess it goes to show that you really need to fully research a company before you agree to accept a job offer... no matter how bad your job prospects look becoming involved with a scam is never worth it. I want to take this opportunity to emcourage other past or current employees to do what you know is right and expose Infotel for the scam artists that they are.

Posted by: Bitter PAST employee at August 4, 2004 11:26 AM

infotel sucks

Posted by: Harry Winsor at August 7, 2004 07:05 PM

Same scam as Terrance Croteau of Pinacle/mdsc publishing business address 45 division st.
Home address 78 Jackson crt west
Welland ont, Canada

Posted by: joe sampson at September 2, 2004 07:58 AM

Thank you so much for having this online. I just received a call from them today and was trying to search to see if we had a listing online and that's when I found you. They are supposed to call me back on Monday. Rotten Scam Artist!!

Posted by: Lynda at September 10, 2004 10:12 AM

I talked with several people at "InfoTel" including Hope Klein, and a director called "Jeffrey Drake".

The Infotel phone number is 800-363-0161.

They are very abrasive with threats and intimidation. We would not let them get through to the CEO, and instead redirected them to the Legal Department, where they continued the threats and initimidation.

After stating that we would not be paying any invoices, the conversation ended. We called them and stated that the CEO would talk to their sales person. They called back, and we stated the real known facts about Info tel, and requested to speak to Frank Gordon.

The inital sales person was shocked and said... "uh, yes, he is here one moment"... after a while then another person came on "Jeffrey Drake", and was extremely worried about the fact that they called us back "12 minutes after the initial conversation".

We will have our legal team see what can be done. A really stupid idea for them to pull such a scam on a club of bored lawyers! But, we'll see if anyone wants to bounce them around.

C

Posted by: Chris at September 14, 2004 11:31 AM

I have received the scam phone call today and like many have fallen for it what should i do now just wait for the directory to arrive then not pay or is there a way to stop this?

Posted by: Donna Welch at September 28, 2004 04:25 AM

I to was scammed by these people. I didn't say yes to this yet I have a bill for 402.54. It is for a 2 year listing I think. I did write to them explaining that I don't remember ever talking to them and have no idea what this is even about. I do own a small busines, i am the only employee, so I do not see myself needing there offer anyway. How do I get them to leave me alone now. They did tell me that I could pay them in payments. Well I am not paying for anything that I did not order or sign for. Please help me if you can. Thank you, Richard Wampler, Jr. caesarsdog@yahoo.com

Posted by: Richard Wampler, Jr. at November 4, 2004 07:08 PM

Is anyone still getting scammed by these people lately? I noticed all the posts were from last year.

Posted by: Bob at November 23, 2004 07:50 AM
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