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Federal Contractor Misconduct Database (FCMD)

The federal government routinely awards contracts to companies with histories of misconduct, including contract fraud and other violations. POGO believes that providing this website will help to improve contracting decisions and increase public knowledge of how the government spends billions of taxpayer dollars each year. Read more…

Unlimited Data Plan “Throttling”

The Federal Trade Commission (FTC) filed a complaint against AT&T Mobility, claiming the company misled millions of smartphone customers by charging them for “unlimited” data plans while reducing their data speeds, in some cases by nearly 90 percent. The FTC alleged that the company failed to adequately inform unlimited data plan customers that, if they reach a certain amount of data use in a given billing cycle, AT&T reduces – or “throttles” – their data speeds to the point that many common mobile phone applications become difficult or nearly impossible to use. The FTC alleged that, in 2011, AT&T began throttling data speeds for its unlimited data plan customers after they used as little as 2 gigabytes of data in a billing period. The FTC claimed AT&T throttled at least 3.5 million unique customers a total of more than 25 million times. In 2019, AT&T settled the case for $60 million. See related AT&T instance, “Misleading Consumers About Unlimited Data Plans”.

Misconduct Type
Consumer Affairs
Enforcement Agency
FTC
Contracting Party
None
Court Type
Civil
Disposition
Settlement
Date of Complaint
10/28/2014
Contractors Involved Penalty
Total
AT&T Inc. Undisclosed
Further Information Released
FTC Press Release 11/5/2019
Settlement Agreement 11/5/2019
Complaint 10/28/2014
FTC Press Release 10/28/2014

See also:

Federal Contractor Misconduct Database