FTC fines psychic scammers

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We predict a dramatic drop in TV ads for Miss Cleo's psychic hotlines. That's
because it will be discontinuing its pay-per-call operation, forgiving $500
million in outstanding charges and bills and paying a $5 million fine to settle
a suit against it by the Federal Trade Commission.

Access Resource Services and Psychic Readers Network have agreed to the terms
to settle the FTC's claims of deceptive advertising,
billing and collection in connection with their 900-number psychic-hotline
services.

"I'm no psychic, but I can foresee this: If you make deceptive claims, there
is an FTC action in your future," FTC chairman J. Howard Beales said.

The ruling requires the companies to "cease all pay-per-call activities,"
resolve any outstanding consumer complaints and return any uncashed checks.

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