Government Careers, Inc.
The FTC and Arizona alleged that Government Careers charged $119 for study materials to pass federal job exams that in many cases did not exist, for jobs that in many cases did not exist, plus $965 for career counseling demanded in advance.
Resolved. Refunded, settled, ceased operating, or the claim did not hold up. Kept for the record.
Identity
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- Registrations
- FTC and State of Arizona v. Government Careers Inc., et al. (FTC File No. X1000013, case 092-3186, D. Ariz.)
- Jurisdictions
- United States (federal) · Arizona
Study materials for an exam that did not exist
Government Careers, Inc. and its operators Richard and Rimona Friedberg told people they could get federal government jobs if they paid $119 for study materials to help them pass an exam.
According to the complaint, in many cases there were no exams for the jobs, and in many cases there were no jobs.
The company also charged $965 for career counseling services such as resume editing and exam preparation, and demanded that fee in advance even after telling people they would not have to pay until they had a government job.
How buyers were found
The company advertised on job search sites including Careerbuilder.com and Yahoo! Hot Jobs, and in local newspapers. Its advertisements were styled as postings for “Postal Jobs,” “Wildlife Jobs,” “Border Patrol” agents and “Administrative Support and Clerical” work, so they appeared among genuine listings to people already searching for a job.
The order
A court halted the operation, and the settlement permanently bans the defendants from selling employment-related products or services. The ban took effect six months after signing, to allow the possible sale of a separate business the Friedbergs owned, Career Systems LLC, also known as Job Search Network LLC.
The order also bars misrepresenting any goods or services, failing to disclose material facts, violating the Arizona Consumer Fraud Act, and selling or benefiting from customers’ personal information. It imposes a $363,761 judgment, suspended, becoming due in full if the defendants misrepresented their finances.
In August 2012 the FTC mailed 1,897 refund checks returning more than $50,000, at 22.73 percent of each person’s loss.
What is not established
The order is for settlement purposes only and is not an admission that the law was violated.
Sources
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- Enforcement action March 8, 2012
- Enforcement action August 27, 2012
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First recorded March 8, 2012 · Last updated August 27, 2012