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FTC Receives Complaint to Investigate Online Sale of Personal Information Including Cell Phone Records
On July 7, 2005, the Electronic Privacy Information Center (EPIC) launched a complaint with the Federal Trade Commission (FTC) concerning the sale of consumer information by Intelligent e-Commerce Inc. (IEI). IEI is an online so called "investigative services" company that operates BestPeopleSearch.com. IEI advertises that its customers are able to obtain a variety of information about individuals both in the U.S. and Canada, including detailed phone records along with addresses of post office box and private mailbox holders.
EPIC claims that the information that is offered up for sale is protected by regulation or statute, and cannot be obtained without legal justification. Moreover, EPIC is of the view that BestPeopleSearch.com and other similar sites use language that suggests the information is obtained by illegitimate means or questionable tactics since these sites emphasize that "investigators rely upon 'confidential sources' and information provided is 'confidential' and not 'admissible in court'".
The basis for EPIC's complaint focuses on the following:
1. that several categories of the information offered for sale are not available except by misrepresentation or fraud, which is viewed as unfair or deceptive acts or practices and unlawful under the Federal Trade Commission Act; and,
2. the U.S. Telecommunications Act of 1996 provides that telecommunication carriers must protect consumer information, and prohibits carriers from using, disclosing or permitting access without the approval of the customer, or as required by law, which suggests that IEI has misrepresented its right to legally obtain, or caused others to obtain, this protected information.
In addition to asking the FTC to investigate the information collection practices of IEI, EPIC requests that the FTC order IEI and similar sites to: (i) halt advertisement for the sale of protected personal information, (ii) comply with the Telecommunications Act of 1996, and (iii) destroy all records about third parties illegally obtained. Furthermore, EPIC would like the FTC to adopt legislation providing more consumer protection.
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