The federal government has sued a courier company in Los Angeles County, officials said, by making false promises of domestic work opportunities to female viewers of Spanish-language television stations, taking advantage of their economic insecurities – and later their Fined $ 7 million over concerns. Coronovirus epidemic.
A lawsuit by the Federal Trade Commission stated that the company, Moda Latina BZ, made false representations in television advertisements that consumers could sell perfumes, makeup and other items for up to $ 500 a week. Court in Los Angeles.
According to the lawsuit, advertisements during programs including Telenovelas usually ran on the Spanish-language networks Telemundo and Univision, with the names of two officials of Moda Latina Beazed as defense. Women were shown wards of cash in screen shots of television advertisements.
The Commission said that the scheme started in March 2017 and ended in August of this year, which was five months into the epidemic. Indirectly affected Hispanic people. Hispanic residents were in Los Angeles County, where Moda Latina BZ is based Are more than twice as likely to be infected with coronovirus than white residents According to the latest public health statistics, were.
The lawsuit argues that Moda Latina BZ engaged in abusive and deceptive telemarketing practices that violated the Telemarketing and Consumer Fraud and Abuse Prevention Act.
“Emphasizing economic insecurity in the community,” the lawsuit said, “defendants lured consumers into buying work-at-home business opportunities with false promises, allowing consumers to buy brand-name perfumes, makeup, per week , Will get hundreds of dollars in the form of jewelry. Designer clothes, fashion accessories and other luxury products.
The company did not respond to multiple requests for comment Tuesday night, leaving with a Los Angeles-area accountant who has worked for Moda Latina, based in La Puente, California.
Attempts to reach the company’s chief executive, Esther Virginia Fernandez Aguirre, and its general manager, Marco Cesar Zarate Quiroz, the two officers named in the lawsuit, were unsuccessful Tuesday night.
There was no lawyer for the company in the court filings or for the two officers named in the lawsuit.
To enter the work-from-home arrangement, the commission said, the per-vendor would have to pay an enrollment fee of up to $ 299 which included a start-up kit with perfume or other items. Officials said the company’s consumers reported that they would make a profit of several hundred dollars, but the kit included items that were either counterfeit or priced at department stores.
The company regularly emphasized that consumers provide it with a money order for nomination fees when the kits were delivered and threatened to take legal action or call the credit bureau if a lawsuit was not filed, which was 30 Was filed on November.
A spokesman for the Federal Trade Commission declined to comment further on the situation.
In the lawsuit, the commission stated that Moda Latina BZ had earned $ 2.6 million from consumers paying from money orders from July 2018 to August 2020.
Seamus Hughes contributed reporting.