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Two individuals associated with Wise Media agreed to...

Two individuals associated with Wise Media agreed to FTC settlements over allegations the company added unwarranted charges to users’ cellphone bills, totaling more than $10 million in consumer injury, according to a Thursday commission news release (http://1.usa.gov/1dkNXXq). “This case involved…

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a new delivery system for an old-fashioned scam,” said Bureau of Consumer Protection Director Jessica Rich. “Getting consumers’ consent before charging them is as basic a consumer protection as you'll find, whether you're dealing with a brick and mortar store or with a mobile payment provider.” The FTC complaint alleged Wise Media set up recurring monthly charges of $9.99 without consent on consumers’ cellphone bills for “premium services,” including text messages with horoscopes and love tips, according to the release. The settlement includes a $10 million-plus judgment (http://1.usa.gov/18rMn1V). Brian Buckley, the company’s CEO, must also surrender all of his assets. Cyberfraud lawyer Mark Campbell of Changus Campbell represented both defendants in the settlement and said Buckley was “unavailable for comment.” Winston DeLoney was the other individual who agreed to the settlement. Deloney “was simply an investor in Wise and had absolutely no knowledge of or control over its day-to-day operations,” said Campbell in a written statement. “Mr. DeLoney was not privy to the enrollment, billing, or provision of services by Wise. Mr. DeLoney voluntarily returned $175,817 from his investment for refunds to Wise’s subscribers.”