The Federal Trade Commission is seek to shut down what it calls a “ sham ” health fear marketing military operation that allegedly collected more than $ 100 million , much of which the proprietor reportedly spent to fund his lavish life-style .
According to a late unsealedFTC complaintreported on bythe Miami Herald , Stephen J. Dorfman is the owner or trough of Simple Health Plans and various other connected healthcare marketer troupe that line citizenry in through telecommerce calls and various scammy , misguide web site liketrumpcarequotes.com . The Trump Care Quotes internet site , which is still approachable online , take to connect client with insurance agent , and proffer “ wellness insurance policy for bright people . ”
The complaint alleges the operation has pull in “ tens of thousand ” of customers over the last three years , with fictive claims that they could obtain a policy that hatch preexisting conditions and prescription drug medications . Instead , they were given a medical discount broadcast that allegedly supply no reporting of preexist condition or prescription medicine medications .
“ Many consumers were misdirect into thinking they had purchased comprehensive wellness insurance , but when they ask to rely on that insurance policy , they learned they had none of the promised welfare , ” Andrew Smith , director of the FTC ’s Bureau of Consumer Protection , saidin a insistence statement . “ The plans defendants were selling are not health indemnity and they are n’t a substitute for health policy . ”
Because of the alleged fictive claims and deceitful practices , Dorfman and others involved have been point with violating the FTC ’s Telemarketing Sales Rule and the FTC Act .
A federal judgeordered the operation to temporarily shut down , concede the FTC ’s requested restraining order . The FTC say in apress releaseit plans to permanently check the scheme and return money to customers .
A Gizmodo petition for comment sent to an email address listed on Simple Health Plan ’s situation failed to deliver . Dorfman ’s attorney Ryan D. O’Quinn did not immediately respond to a Gizmodo petition for comment . In an electronic mail to the Sun Sentinel andNew York Times , O’Quinn reportedly said : “ Mr. Dorfman vigorously denies the allegement of misconduct made by the Federal Trade Commission , and he look forward to having an chance to defend himself in the appropriate forum . ”
In the FTC’srequest for a temporary restraining orderagainst Simple Health programme , shared by Sun Sentinel , the agency aver “ the designer of this scam , ” Dorfman , “ siphoned gazillion of clam of proceeds from defrauded consumer to make up for secret jet travel , gaming fling in Las Vegas , the rent for his oceanfront condo , sumptuosity automobile , over $ 1 million in jewelry , and even the near $ 300,000 cost of his late wedding at the St. Regis Hotel in Miami . ”
Dorfman reportedly used the money to buy a Lamborghini and Rolls Royce , and spend $ 57,000 on one night baseball club tab .
[ Miami Herald ]
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