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Posts tagged with Web Loyalty Programs

Congress subpoenas web loyalty firm

How much disclosure is enough online? Congress has issued a subpoena to online marketer Vertrue for making unauthorized credit card charges online, and regardless of how it turns out, the increased exposure should prove bad for the business of blind credit card transactions.

The request by the Senate marks the Commerce Committee's first major subpeona to get documents from a private company since the 2002 Enron scandal.

Committee Chairman John Rockefeller wrote in a July 28 letter to Vertrue Chief Executive Gary Johnson that consumers are struggling to get by during the recession, and "allegations that your company is making this situation worse by charging consumers for services they do not want or use are extremely troubling."

Vertrue maintains that it has not done anything unlawful. And said that it requested the subpoena because the Senate was asking for information that could "include personally identifiable information about the consumer." Meanwhile, Vertrue has failed to disclose email, financial documents and other internal communications and has been accused of "slow walking" the investigation.