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U.S. Accuses T-Mobile of Overbilling

WASHINGTON — T-Mobile, which sees itself as a new kind of carrier, now stands accused of an old-fashioned practice — overbilling its customers.

The Federal Trade Commission on Tuesday brought a legal action accusing T-Mobile of illegally earning hundreds of millions of dollars by placing bogus charges on customers’ cellphone bills for premium texting services that the consumers never ordered. Regulators said that T-Mobile had been allowing the third-party charges, and taking a hefty cut of the revenue, since 2009.

The case is one of the largest yet brought by regulators against a major telecommunications company for unauthorized billing, known as “cramming.” The practice has been relatively common for landlines, but recently began to appear on mobile bills.  … Open Article

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