The Real Hustles: What People Were Actually Doing Through These 185 FTC Shut-Down Telecom Providers

Share This Post

NOTE: Had AI look into why THIS HAPPENED.    It’s eye opening how smart & creative people get that tell you they run “inbounds on Facebook Ads”  😂😂😂😂   Takeaway,  take everything you hear with a grain of salt,  chances are the bros with the lambos aren’t doing what you are being told to do.

The 185 telecom providers shut down by the FCC weren’t just failing to file paperwork—they were the backbone infrastructure for massive illegal operations that bilked consumers out of hundreds of millions of dollars. Here are the actual hustles and scams that were running through these providers.

Major Documented Scams

1. Insurance Lead Generation Racket – $145 Million in Fines

The Players: Assurance IQ ($100M fine) and MediaAlpha ($45M fine)
The Hustle:
Fake Government Websites: Created sites like “ObamacarePlans.com” and “GovernmentHealthInsurance.com” to appear official
Actor Impersonation: Hired actors and doctors to promote fake “Health Insurance Give Back Program”
Data Harvesting Operation: Collected 119 million consumer leads in 2024 alone
Robocall Bombardment: Used telecom providers to blast millions of calls selling fake insurance
ACA Fraud: Falsely claimed junk insurance plans were ACA-compliant
Billing Without Consent: Charged consumers’ credit cards without permission
How They Used Telecom Providers:
Massive robocall campaigns reaching millions daily
Used multiple telecom gateways to avoid detection
Violated Do Not Call Registry through various routing methods
Made calls appear to come from legitimate insurance companies
Real Victim Impact: Consumers paid for worthless insurance thinking they had comprehensive coverage, only to discover they had no real protection when they needed medical care.

2. Auto Warranty Scam Empire – $300 Million FCC Fine

The Scale: Nearly 1 billion robocalls in June 2022 alone
The Hustle:
Fake Urgency: “Your auto warranty is about to expire” calls
Data Mining: Had specific information about victims’ cars and existing warranties
Impersonation: Posed as car dealers, manufacturers, and insurers
Worthless Products: Sold extended warranties that covered almost nothing
Rebate Lies: Promised “$1,000 instant rebates” that never materialized
Real Example Script: “Hi there, this is Jessica calling in regards to your Volkswagen warranty. The warranty is up for renewal. I’d like to congratulate you on your $1,000 instant rebate and free maintenance and oil change package for being a loyal customer.”
How They Exploited Telecom Providers:
Used automated dialing systems making thousands of calls per second
Caller ID spoofing to appear as local or legitimate numbers
Rotated through multiple telecom providers when one got shut down
International call routing to avoid U.S. regulations

3. Debt Relief Destruction Scheme – $100 Million Operation

The Target: Seniors and veterans specifically
The Hustle:
Government Impersonation: Posed as federal agencies, banks, and credit bureaus
False Promises: Claimed they could reduce debt by 75% or more
Advance Fee Scam: Collected up to $10,000 upfront before providing any service
Credit Sabotage: Told victims to stop paying credit cards, destroying their credit
Veteran Targeting: Specifically went after military veterans with security clearances
Real Victim Stories:
Army Veteran: Credit score dropped from 700s to 500s, nearly lost security clearance, ended up $13,000 deeper in debt
Disabled Veteran: Forced to drain savings and retirement funds, lost nearly $10,000 in fees
Telecom Provider Exploitation:
Massive telemarketing campaigns targeting elderly demographics
Used multiple providers to call people on Do Not Call Registry
Spoofed caller IDs to appear as government agencies
International call routing to hide true origins

Additional Common Hustles Using These Providers

4. Medicare Advantage Scams

The Hustle:
Called seniors claiming to be from Medicare
Offered “free” medical equipment or “enhanced benefits”
Collected Medicare numbers and personal information
Signed victims up for plans they didn’t want
Billed Medicare for services never provided
Telecom Tactics:
Targeted calling during Medicare open enrollment periods
Used local area codes to appear trustworthy
High-volume automated dialing systems

5. Solar Panel Sales Scams

The Hustle:
Claimed government rebates were “ending soon”
Promised “free” solar installations
Used high-pressure sales tactics
Installed substandard or overpriced systems
Left homeowners with liens and debt
Provider Exploitation:
Robocalled homeowners in specific ZIP codes
Used property records to target high-value homes
Spoofed utility company numbers

6. Student Loan Forgiveness Scams

The Hustle:
Claimed to be from Department of Education
Promised immediate loan forgiveness
Collected Social Security numbers and loan information
Charged upfront fees for “processing”
Never provided any actual loan relief
Telecom Methods:
Targeted recent graduates and current students
Used .gov-sounding caller IDs
Mass robocalling campaigns

7. Charity Scams

The Hustle:
Impersonated legitimate charities
Created fake charities with similar names to real ones
Targeted disaster victims and veterans
Kept 90%+ of donations for “administrative costs”
Used emotional manipulation tactics
Provider Usage:
Timed calls around natural disasters and holidays
Used local numbers to appear community-based
High-volume calling during giving seasons

8. Tech Support Scams

The Hustle:
Called claiming to be from Microsoft, Apple, or other tech companies
Said victim’s computer was “infected” or “compromised”
Demanded remote access to “fix” the problem
Installed malware or held files for ransom
Charged hundreds for fake “repairs”
Telecom Exploitation:
Spoofed legitimate tech company numbers
Used automated systems to detect when people answered
International call routing to avoid prosecution

9. Timeshare Exit Scams

The Hustle:
Targeted timeshare owners wanting to get out of contracts
Promised guaranteed exits for upfront fees
Collected thousands in advance payments
Never actually canceled any timeshares
Left victims stuck with both timeshare and scam debts
Provider Methods:
Purchased lists of timeshare owners
Used high-pressure sales tactics
Multiple callback campaigns

10. Cryptocurrency Investment Scams

The Hustle:
Promised guaranteed returns on crypto investments
Used fake celebrity endorsements
Created fake trading platforms
Stole investors’ money and personal information
Disappeared when victims tried to withdraw funds
Telecom Tactics:
Targeted older adults unfamiliar with crypto
Used sophisticated-sounding financial jargon
Follow-up calls to pressure larger investments

How These Providers Enabled the Scams

Technical Infrastructure

High-Volume Capacity: Could handle thousands of calls per second
Caller ID Spoofing: Made calls appear to come from legitimate sources
International Routing: Hid the true origin of calls
Automated Systems: Enabled mass robocalling operations

Regulatory Evasion

Provider Shopping: Scammers moved between providers when one got shut down
Shell Companies: Used multiple business entities to hide operations
Compliance Failures: Providers didn’t properly vet their customers
Documentation Gaps: Failed to maintain proper records of call traffic

Financial Facilitation

Payment Processing: Some providers helped process payments from victims
Revenue Sharing: Took percentages of scam proceeds
Billing Services: Provided merchant accounts for fraudulent charges
Money Laundering: Helped move illegal proceeds through legitimate channels

The Real Impact

Financial Damage

Insurance Scams: $145 million in documented losses
Auto Warranty Scams: $300 million in fines (actual losses much higher)
Debt Relief Scams: $100 million stolen from vulnerable seniors and veterans
Total Estimated Losses: Billions of dollars annually across all scam types

Personal Destruction

Credit Scores Destroyed: Victims’ credit ratings ruined for years
Security Clearances Lost: Military personnel lost jobs due to financial problems
Retirement Funds Drained: Seniors forced to use life savings to recover
Medical Coverage Lost: People thought they had insurance when they didn’t

Societal Impact

Trust Erosion: People stopped answering legitimate calls
Healthcare Delays: Victims avoided medical care thinking they weren’t covered
Economic Productivity Loss: Time and resources wasted dealing with scam aftermath
Mental Health Impact: Stress, anxiety, and depression from being victimized

Why the FCC Finally Acted

The 185 telecom providers weren’t just passively enabling these scams—many were active participants in the criminal enterprises. They:
1.Knew their traffic was suspicious (10,000 calls per second with short durations)
2.Failed to implement required safeguards (STIR/SHAKEN, robocall mitigation)
3.Ignored compliance requirements (filing deadlines, fee payments)
4.Facilitated criminal activity (provided infrastructure for illegal operations)
5.Profited from illegal traffic (took percentages of scam revenues)
The FCC’s unprecedented action wasn’t just about paperwork violations—it was about shutting down the infrastructure that enabled billions of dollars in consumer fraud. These providers were the digital highways that scammers used to reach their victims, and the FCC finally decided to close those highways permanently.

Share This Post

Leave a Comment

Search

#1 Affiliate Marketing Book

From Zero to Super Affiliate - The newbie affiliate marketer bible