V. CONSUMER COMPLAINTS OF UNAUTHORIZED CHARGES FOR OSP COLLECT CALLS

OSP's conduct has generated a large number of complaints to various entities. From 2007 through 2009, OSP's billing agents, Integretel and TBR, reported to the Commission receiving 12,750 cramming complaints regarding OSP's billings.⁵¹ During that same period, the Commission received 107 complaints directly from consumers with all complainants universally denying receipt or acceptance of the collect calls for which OSP charged them.⁵² Staff further found that consumers complained about OSP to the Federal Trade Commission ("FTC") as well, and some posted complaints on the internet at various consumer complaint websites.⁵³ These complainants also consistently denied receiving or authorizing any OSP collect call.⁵⁴

A. Complaints to OSP's Billing Agents

Billing agents report to the Commission on a quarterly basis the number of cramming complaints they receive from California customers.⁵⁵ Just a month after OSP stated it began operating in July 2007, customers began complaining about unauthorized OSP charges on their phone bills to OSP's billing agent Integretel.⁵⁶ Every month thereafter customers lodged complaints with Integretel and then billing agent TBR, with a surge in cramming complaints from 901 in 2007, 1,158 in 2008, to 10,691 in 2009.⁵⁷
Table 2 below provides a breakdown of the complaints by month and year.⁵⁸

Table 2

OSP Communications Complaints

(Integretel and TBR Data: 2007-2009)

Sources: Integretel and TBR Quarterly Reports

B. Complaints to the Commission

From 2007 through 2009, 107 customers filed complaints directly with the Commission's Consumer Affair's Branch ("CAB") regarding OSP billings.⁵⁹ Staff reviewed every CAB complaint and found that each complainant complained he or she received a charge for a collect call that was neither received nor authorized.⁶⁰ In several instances the complainant was not home when the supposed OSP collect call occurred.⁶¹ In other instances, the complainant's line that OSP charged was connected to a fax or Digital Video Recorder ("DVR")⁶² machine.⁶³ The OSP collect call charges ranged from $7.38 to $20.20.⁶⁴

Staff attempted to interview all CAB complainants and succeeded in completing 11 interviews. These 11 complainants signed declarations attesting to their complaints.⁶⁵

C. Complaints to the Federal Trade Commission

Staff found 15 California complaints regarding unauthorized charges for collect calls billed by OSP filed at the Federal Trade Commission ("FTC").⁶⁶ The OSP collect call charges ranged from $7 to $1,554.⁶⁷

Staff attempted to interview all FTC complainants and succeeded in completing 2 interviews. These 2 complainants signed declarations attesting to their complaints.⁶⁸

D. Complaints on the Internet

Staff also found various internet websites where consumers posted complaints about OSP billing them for unauthorized collect calls.⁶⁹ These complaints were consistent with the complaints filed with OSP's billing agents, the Commission, and the FTC.⁷⁰ Table 3 below lists the different websites posting OSP complaints.⁷¹

Table 3

OSP Communications Internet Complaints

⁵¹ Ibid. at 12.

⁵² Id.

⁵³ Ibid. at 15.

⁵⁴ Id.

⁵⁵ See D.10-10-034.

⁵⁶ Staff Report at 12.

⁵⁷ Id.

⁵⁸ Id.

⁵⁹ Id.

⁶⁰ Id.

⁶¹ Ibid. at 12-14.

⁶² A Digital Video Recorder is basically a VCR that uses a hard drive instead of video tapes. It can be used to record, save and play back television programs. Unlike a VCR, however, a DVR can also pause live TV by recording the current show in real time. The user can choose to fast forward (often during commercials) to return to live television. See http://www.iwebtool.com/what_is_dvr.hmtl.

⁶³ Staff Report at 12-14.

⁶⁴ Ibid. at 12.

⁶⁵ Id.

⁶⁶ Ibid. at 15.

⁶⁷ Id.

⁶⁸ Ibid. at 16.

⁶⁹ Id.

⁷⁰ Id.

⁷¹ Id.