FTC Settles "Wal-Mart Shopping Spree" for $28 Million

Brian K. MacGregor was the architect of the "Wal-Mart Shopping Spree" scam and he is now paying the price. Several of his companies were involved in a scam where consumers were tricked into disclosing bank account information. The consumers were promised shopping sprees at Wal-Mart, Macy's, movie tickets or vouchers for free gas. Items were promised for free, but with a shipping and handling fee to be paid by the consumer. Some thought they were paying monthly fees for a program membership.

Macgregor violated the FTC Act and Telemarketing Sales Rules. As a consequence, a fine representing the money paid in the scheme, $28.2 Million is to be paid. The participants are also barred from participating in this type of activity in the future.

Consumers who had money taken by any of the corporate defendants without their express informed consent may send a letter to: Federal Trade Commission, attn.: Faye Chen Barnouw or Jennifer M. Brennan, 10877 Wilshire Blvd., Suite 700, Los Angeles, CA 90024. The letter should identify which company took money from them, include the dates and amounts of the withdrawals, and contain any supporting documentation. Consumers who have already sent this information to the FTC do not need to resubmit it. Consumers seeking more information about this case may call the case hotline number: 202-326-2090.

More information is available on the FTC web site.