The Connecticut Attorney General and FCC warn consumers about increased student loan debt scam robocalls and robotexts following the Supreme Court decision on student loan forgiveness. They provide tips on how to spot scams and advise consumers not to share personal information and to report suspicious calls.
In-house legal teams should review vendor agreements with telemarketing or call center services, customer agreements for student loan servicing, and any data processing agreements involving personal information. Specific clauses to scrutinize include telemarketing and robocall compliance provisions, consent mechanisms for automated calls and texts, data privacy and security terms, fraud detection and reporting obligations, and breach notification clauses. Changes may be needed to enhance consent requirements (e.g., prior express written consent for autodialed calls/texts), implement stricter robocall controls and monitoring, update fraud prevention protocols with real-time detection, ensure alignment with laws like the TCPA and telemarketing sales rules, and include penalties for non-compliance along with regular audit requirements.
Entity
Scammers
Industry
TelemarketingOfficial Press Release
https://portal.ct.gov/ag/press-releases/2023-press-releases/increased-risk-of-student-loan-debt-scam-robocalls-and-robotexts
consumercomplaints.fcc.gov
https://consumercomplaints.fcc.gov
https://www.dir.ct.gov/ag/complaint/
Connecticut Attorney General Enforcement Page
https://portal.ct.gov/AG/Privacy/Privacy-Resources
$500K
Connecticut Attorney General William Tong announced settlements with SunRun, Inc., Elevate Solar Solutions, and two salespeople over allegations of deceptive solar sales, including impersonating consumers and locking homeowners into long-term contracts without consent. SunRun must pay $300,000 and provide consumer relief; Elevate and the salespeople face a stated $200,000 penalty, with $100,000 suspended subject to ongoing compliance.
$8.0M
Connecticut announced an $8 million settlement with Mylan over allegations that it used agreements to delay generic EpiPen competitors and took other actions that inflated prices. Mylan also agreed to provide 10,000 free EpiPens; the release states that Mylan denies wrongdoing.
Connecticut Attorney General William Tong joined a coalition of 22 attorneys general in filing an amicus brief challenging DHS’s policy and practice of conducting warrantless civil immigration arrests. The press release describes a court challenge, not a privacy enforcement action or monetary penalty.
$625K
Connecticut reached a $625,000 settlement with Frontier Communications Parent Inc. over an April 2024 breach in which compromised employee and vendor credentials were used to access internal systems and exfiltrate unencrypted personal information of 58,841 Connecticut residents. The settlement requires Frontier to strengthen its security program, implement specific safeguards and training, and obtain an independent third-party assessment.
$2.6M
Connecticut and New York found that Boston Children’s Health Physicians and its security vendor, XTIUM, failed to use reasonable safeguards, resulting in hackers accessing sensitive personal, medical, and employee information. The companies agreed to pay penalties totaling $2.64 million and implement enhanced cybersecurity measures.
Connecticut joined a coalition of state attorneys general filing a notice in Character Technologies, Inc.’s bankruptcy proceedings, raising concerns about the company’s safety and privacy practices and the sensitive information it holds. The states seek protections for children and consumers if the company’s business or assets are sold or transferred; the filing does not impose a fine or other remedy.