The Federal Trade Commission (FTC) has filed an amended complaint against Walmart, alleging that the retailer allowed its money transfer services to be used by scammers, resulting in consumer fraud.
Facts
- The FTC sued Walmart in June, accusing the company of neglecting fraudsters who used its money transfer service to defraud consumers.
- Walmart’s stated policy was to issue payouts even in cases of suspicious money transfers.
- The FTC has filed an amended complaint, providing further details on Walmart’s alleged violations of the Telemarketing Sales Rule, including the ban on using cash-to-cash money transfers in telemarketing transactions.
- The FTC claims that Walmart knew about the role of money transfer services in fraud and telemarketing schemes.
- A Walmart spokesperson argues that the FTC is attempting to salvage flawed legal claims and looks forward to responding in court.
