Sprint settles $21 million wiretap fraud allegations for $15.5 million
After allegedly defrauding federal law enforcement agencies of $21 million by overcharging for wiretaps, Sprint will be settling for $15.5 million. The Department of Justice, which released the news yesterday, said that this settlement would “resolve the allegations” in the complaint. In turn, Sprint will not admit any wrongdoing in the case.
In its original complaint, the Department of Justice alleged that Sprint had falsely inflated the cost of fulfilling government surveillance orders. Phone companies are legally required to comply with court orders for specific wiretap requests. In return, they can claim reimbursement for “reasonable expenses.” In 2006, the FCC clarified that this only meant the costs of performing a wiretap, and…
Source:: The Verge
