FCC Proposes $300 Million Fine for Car Warranties Robocall Scam

On December 21, the Federal Communications Commission released a Notice of Apparent Liability (NAL) for $299,997,000 against a scam robocall operation involving more than ten corporate defendants initially prosecuted by the Ohio Attorney General’s Office. In the first three months of 2021 alone, the scam operation called more than half a billion American phones about car warranties–in excess of five billion times total. This is the largest fine proposed in the FCC history, however it is important to note that an NAL is only a proposed fine. The FCC must take additional steps to ensure the fine is paid–the Commission must issue a Forfeiture Order, and if the wrongdoer does not pay, the FCC must refer the matter to the Department of Justice for enforcement. The previous record-breaking fine has not yet been collected, $225 million also for a scam robocall operation. EPIC routinely participates in regulatory and legislative processes concerning robocalls and files amicus briefs in robocall cases.