The Toyota case is heading towards hearings in DC and to courts all over the country. Both sides are putting heavy artillery in position. Both sides of the SUA wars commission heavy caliber studies – both with inconclusive results. Toyota funded a study into the electronics in its vehicles. Before that, a group of lawyers had “sponsored” Safety Research and Strategies, a company that makes money by investigating auto-safety for those suing auto makers. Ford, which had been at the receiving end of an SRS fusillade during the Explorer crisis, called the company “supposed safety advocates who are actually just shills for trial attorneys.”

Here are the latest dispatches from the front lines:

Don’t bogart that joint: Toyota will recall about 8,000 model-year 2010 Tacoma pickup trucks in the US. Not for unintended acceleration, or brake gremlins, but for good old cracks in the joint portion of the drive shaft, says Reuters. The front drive shafts are manufactured by Dana Holding Corp, and the affected vehicles were produced from mid-December 2009 to early February.

In that Wolfsburg car factory I had the honor to work for for more than 30 years, one of the many pearls of wisdom was: “Wenn man nicht mehr weiter weiss, gründet man nen Arbeitskreis.” If you are totally out of options, establish a committee.

Toyota seems to have taken that Teutonic haiku to heart. The Nikkei reports that Toyota Motor “has formed an expert panel, chaired by President Akio Toyoda, to analyze the potential risks throughout its global production and sales networks.”

As far as committees go, lean it won’t be. It will be a monster of a committee: “The president will be joined by executives ranked senior managing director and higher,” The Nikkei writes. ”The committee’s composition will change depending on the type and locality of a particular problem, and input from lawyers and consultants will be sought as warranted.”

For added redundancy, Toyota established a second committee.

In the let’s-do-something-anything dept., Toyota engineers are now re-jigging the keyless ignition button, reports Das Autohaus in Germany. According to a Toyota corporate spokesperson, the re-jigged button will cut the engine when the button is pressed three times in rapid succession.

Click to enrage … we mean, enlarge

According to the MSM and many on-line pundits, the NHTSA has been drowning in customer complaints about Toyotas for years. Supposedly, the warnings were thrown in the wind.

Edmunds went through the pain of sifting through NHTSA’s complaint database from 2001 through Feb. 3, 2010 . After the counting was done, Edmunds came to a startling conclusion: The deluge of complaints is a myth, to put it charitably. “Fabrication” would be a better word. Amongst 20 brands, “Toyota ranks 17th among automakers in the overall number of complaints per vehicle sold,” says Edmunds. NHTSA’s own data shows: Only drivers of Mercedes Benz, Porsches and Smarts have less to kvetch than Toyota owners.

Toyota’s president Akio Toyoda was already getting ready to “visit the United States over massive recalls of its vehicles,” reported the Nikkei [sub]. Japan’s transport minister Seiji Maehara told U.S. Ambassador to Japan John Roos that Toyoda would be dispatched to DC. There, he would be ready to “explain the recall problems to the U.S. Congress if asked.”

Every year, Japan’s Ministry of Economy, Trade and Industry hands out prizes for products it regards as the pinnacle of energy-efficiency and eco-friendliness. This year, Toyota’s Prius was chosen as the recipient of the grand prize.

Last Monday, Toyota said “enryo shimasu” (no thanks) to the Ministry, and refused to accept the governmental honors, an industry ministry official disclosed today to the Nikkei [sub].

Honda said it will recall another roughly 378,000 vehicles in the U.S. to fix potentially faulty airbag systems that are linked to at least one known fatality and 11 injuries in the U.S., says the Nikkei [sub].

That brings the number of airbag-related recalled Honda and Acura models to more than 826,000. Honda said some airbags in its older vehicles deploy with too much pressure, and send metal fragments flying into the car.

The Japanese government is getting increasingly worried that the Toyota debacle might turn into a worldwide backlash against Japanese cars, or even all Japanese products. As the world’s 4th largest export nation, Japan has a lot to worry about.

Today, large parts of the Japanese cabinet came down hard on Toyota, says the Nikkei [sub].

The legal angle to the Toyota recall story has been a source of constant amusement, from an early attempt to prevent Toyota from enacting its gas pedal fix, to news today [via Reuters] that at least 30 class-action suits have been filed since the recall began. “This is going to a little cottage industry all of its own,” says Matt Cairns of DRI, the Voice of the Defense Bar, the largest U.S. civil defense attorney association.

It’s the software, stupid. At a press conference at 3:30 pm Japanese time, Toyota came clean and announced that it will recall 223,068 hybrid vehicles in Japan, including its latest Prius model and three other models–the Sai, the Lexus HS250h and the Prius Plug-In Hybrid, says the Nikkei [sub]. They will get a re-flash of the brake software. Worldwide recalls of affected models will follow. This ends – for now – weeks of waffling over the latest in a series of Toyota problems.

The recall will start Wednesday. A total of 199,666 Prius vehicles manufactured between April 20, 2009 and Jan. 27 of this year will receive new ABS software.

Readers of the Nikkei [sub] were greeted this morning with the purported news that by the end of this month, Toyota “is expected” to recall its Sai and Lexus HS250h hybrids, which use the same braking system as the Prius hybrid. Furthermore, “the company is believed to have decided” to recall the current Prius, “and is expected” to notify the Transport Ministry of the plan early this week.

After piles of books have been written about the „Toyota Way,“ this round of recalls will have a permanent place in the annals of how to completely NSFW-up crisis management. The epicenter of the disaster at Toyota is not in the pedal dept., it is not in the software development dept., it is in the Public Relations Department in Toyota City. Or possibly, right at the top.

Last Friday evening, Toyota trotted out their CEO and founder’s grandson Akio Toyoda to address the complaints about Prius brakes. Toyoda said nothing of substance. What irked the public, and what became instant fuel to the already raging fire, was that Akio Toyoda refused to address the fact that Toyota had changed the Prius software, and changed the braking hardware in January, for cars in production. People wanted to know what happens with the cars they had already bought. Akio Toyoda left his customers in a lurch. Answering in very bad English instead through an interpreter made matters worse.

A day later, Reuters wrote that Toyota will recall the Prius “in the next few days.” Who was the source? A Toyota spokesperson? Nah. A “person close to the matter?” Nope. The source was a Toyota car dealer. “Toyota officials were not immediately available to comment.”

Today, the Nikkei [sub] writes that Toyota “has decided to recall and repair free of charge the latest model of its Prius hybrid sold in the domestic market due to complaints over brake problems.” And who’s the source? A Toyota spokesperson? Nah.

Oy, will they get slaughtered for that: So Toyota Prez. Akio Toyoda met the press late in the Japanese evening in Nagoya. And what did he say? Basically nothing. He said he “ordered swift action” to get a grip on the reported brake problems of the (in Japan) wildly popular Prius hybrid. But he didn’t say anything else. Recall? Shirimasen. (I don’t know.) Free repair if customer requests it? Shirimasen. Computer reflash? Shirimasen. Does Toyota know what’s going on? Shirimasen. Apparently, LaHood’s threat of bodily harm was lost in translation.

Toyota’s President Akio Toyoda will do something highly unusual tonight: The usually reclusive CEO will meet the press in Nagoya on Friday night at 9 p.m. Japanese time to discuss product quality, says the Nikkei [sub]. Toyoda won’t face the Fourth Estate all alone. Executive Vice President Shinichi Sasaki will also attend, and hopefully deflect the worst.

The press conference is not for Japanese consumption. Friday night at 9, most papers are put to bed, and the evening news are over. The meeting is for U.S. consumption. Friday night at 9 in Nagoya is 7 a.m. in New York.

Sergio Marchionne’s misguided obsession with the alleged brand equity of his recently-acquired Chrysler Group marques has deepened, as Chrysler, Dodge and Jeep launched new branded merchandise today [hilarious press release here]. The funniest part of the whole cross-branding effort is the very idea that significant portions of the population want their day-to-day goods slathered with Chrysler Group brand names. The second funniest? The products themselves. The Chrysler Collection features such “luxury gifts” as an $11.95 leather calculator, a $199.95 mahogany humidor, and a $21.95 mini umbrella, all tagged with Chrysler’s new Aston-alike logo and doubtless finished in the same fine materials as the Sebring’s interior. If Davos had a Wal-Mart, this is what they’d sell.

Complaints about allegedly faulty Prius brakes are growing by the minute. This morning’s Nikkei reports that in addition to the 14 complaints received by Japan’s Transport Ministry, dealers in Japan are handling 77. Today, Toyota conceded that the brakes can get confused on icy roads.

“We’re not finished with Toyota,” said Transportation Secretary Ray LaHood in an e-mailed statement to Reuters. Bad choice of words? Doesn’t that sound a tad vengeful? If a 900 lbs gorilla barks “I’m not through with you” at me, then I’m very afraid. Toyota should be too.

And the hits, they keep on coming. Now, brakes of the Prius flake out.

Japan’s transport ministry has received 14 complaints about problems with brakes on Toyota’s latest. The ministry has asked Toyota to investigate the complaints, says the Nikkei [sub.] “Those are purely reported cases, so we still need to investigate to find out where problems really exist,” said a ministry spokesman, who said that the number of complaint over such a short time-span “more than usual.” There is more in the U.S.A.

One of the lingering concerns over the Toyota recall is whether Toyota’s “precision steel” shim fix to the recalled CTS gas pedal assembly will be a reliable long-term solution. Our analysis indicates that these questions might be well-founded, and we’re not the only ones concerned about the viability of Toyota’s proposed fix. In an interview with Toyota’s Jim Lentz yesterday evening, NPR asked why Toyota was using a redesigned pedal for new production, but only offering the shim fix to existing customers. Lentz insisted that the repaired pedals would be as good as the redesigned pedal, that the costs of repair and replacement were about the same, and that the main reason Toyota was repairing rather than replacing recalled pedals was the desire to “get customers back on the road… as quickly as we possibly can.” That’s when NPR went for the jugular.

Today, Toyota gave a press conference in Nagoya, the first at Toyota’s home base to address the recall. Akio Toyoda was AWOL as usual. Instead, Toyota’s Vice President Shinichi Sasaki, who is also in charge of quality assurance, did the dubious honors. He did what he had to do: He apologized profusely.

“I’d like to offer an apology for causing anxiety among our customers around the world,” Sasaki said, according to the Nikkei [sub]

Sasaki said Toyota aggravated the situation by disclosing the problem before firming up countermeasures. By doing so, “we ended up creating mistrust in the market,” he said. “We prioritized customer safety, focusing on releasing solid information first.”

In a rather un-Japanese move, he passed a tiny bit of the blame:

Visit msnbc.com for breaking news, world news, and news about the economy

Matt Lauer turns the screws on Toyota’s Jim Lentz, who responds to conspiracy claims by saying that his family, friends and neighbors drive Toyotas. “I would not have them in products that I knew were not safe,” he says, although he does acknowledge that rapid growth could have played a role in a general decline in quality.

Say what? GM has no problem kicking Toyota when its down, offering conquest cash to craven Toyota owners who might be tempted to flee the brand in the midst of recall mania, but its own handling of the situation deserves some analysis. After all, GM confirms that its Pontiac Vibe is assembled at the GM-Toyota NUMMI joint venture using the CTS-sourced pedal assembly that allegedly causes unintended acceleration. And yet The General went on the record last Friday [via Automotive News [sub]] essentially claiming that its Toyota Matrix rebadge was magically safe from the dread terrors afflicting its Toyota-badged cousin. Now GM has revised its statement on the Vibe, admitting that since the Toyota recall, it has received several complaints about sticking accelerators on Vibes (although no related wrecks have been reported). Better late than never… unless you’re making the pitch that consumers should choose you over Toyota because you will take better care of them. [UPDATE: GM reports that the Vibe’s brakes can stop the vehicle. Go figure]

In case you are reading TTAC before watching the “Today Show,” turn it on. According to the Wall Street Journal, “Jim Lentz, the executive in charge of Toyota’s U.S. sales arm, is scheduled to appear on NBC’s “Today Show” Monday morning, a Toyota spokesman confirmed. Mr. Lentz is expected to lay out a timetable for shipping repair parts to dealers, as well as for resuming sales of the eight models whose sales were suspended last week and for restarting production and shipment of new vehicles that are free of the gas-pedal problems, according to people briefed on the plans.”

And here is today’s media schedule according to the Nikkei [sub]:

Yesterday, the Wall Street Journal wrote: “Hell, in modern imagination, is not a place of fiery lakes and acrid fumes. It’s a maze of deposition rooms you can’t escape, where nothing is what it seems. That’s where Toyota has landed.“

Welcome to hell.

The Obama administration either decided that Toyota has been sufficiently maimed and weakened to give its wards of the state some breathing room (a theory rising in popularity amongst some conspiracy buffs), or Toyota has definitely found the definitive cure for UAS (unintended acceleration syndrome). Be it as it may, the NHTSA has approved the shim fix, says Reuters. If the Wall Street Journal got it right, recalled Toyotas may also get a re-flash, and a feature amiss in most American cars.

Toyota hopes to re-open its shut NA plants by the end of February. Then, sales of eight recalled models will be re-started, said “three sources briefed on plans” to Reuters:

Also, if the shim solution is approved, Toyota dealers can begin fixing flawed accelerator pedals as early as next week, said the anonymous sources.

When a Japanese company NFSWs up in a big way, it is customary that the CEO says “honto ni moshiwake arimasen” (“I am deeply, seriously sorry”) in front of running cameras, takes a very deep bow and exits stage left, not to be seen or heard of anymore while someone else takes his job . That’s just the way Nipponese crisis management works.

Not so at Toyota.

Staff from the House Energy and Commerce Committee met with representatives from Toyota yesterday, reports Automotive News [sub], as Congress wades into the Toyota recall debacle. According to a letter from the Energy and Commerce Committee to NHTSA administrator David Strickland and Toyota North America Boss Yoshimi Inaba [letters available in PDF format here], the discussions with Toyota were characterized as “helpful,” but that “it left important questions unanswered, including when Toyota learned about this serious safety defect and what actions the company took to investigate and resolve the hazard.” Hearings have been scheduled for February 25, and the Committee’s letter to Inaba requests disclosure of all internal communication related to to the production shutdown, among other company documents.

Toyota knows how to fix the sticking gas pedals, says today’s Nikkei [sub]. Nobody will go publicly on record, and nothing will be announced before the NHTSA has approved the fix.

Supplier CTS, who produced the gas pedals now under recall from Toyota, tells Automotive News [sub] that it “built parts to the automaker’s specifications and says it has no knowledge that its parts were responsible for any accidents or injuries.” Sources at CTS tell AN that although they are working on a fix with Toyota and that new pedals have been tested and are shipping to Toyota plants, “this is their recall.” That would seem to contradict the facts of the case, as Denso, Toyota’s gas pedal supplier for Japanese-built models, has not been involved in the recall. According to Inside Line, the issue with pedal return damping that has plagued CTS-supplied, US-built Toyotas has not turned up in Denso-produced gas pedals.

Here is a round-up of the Toyota news that is flowing furiously out of all news outlets. Everybody, from the Wall Street Journal to Al Jazeera weighs in on the issue. Grab a cup of coffee. Or something stronger.

More recalls: Toyota announced late Wednesday that it must recall another 1.1 million vehicles “to address the risk that floor mats could trap accelerator pedals and cause bursts of sudden acceleration,” says Reuters. According to Reuters, “Toyota now has recalled nearly 6m vehicles for problems with the accelerators used across its lineup.” This is not counting the 2m vehicles in Europe that will be recalled.

EU recall official: Toyota Motor said today that it definitely will be expanding the recall to Europe, says AFP via Google. “Toyota will implement a recall in Europe,” said company spokesman Paul Nolasco. “We are still not sure about the models and the number of vehicles.” Initial estimates, published by The Nikkei [sub], spoke about another 2m cars in Europe. Plants will not be closed in Europe, because different parts already are being used in new production.

Recall spreads to China: China’s quality watchdog agency said “bu hao” to Toyota and ordered the recall of “at least 75,000 vehicles in China,” says London’s Times.

Back when GM was going through its recent bankruptcy bailout-related unpleasantness, Toyota’s Yasuhiko Ichihashi told the AP that “Toyota was only hoping for an overall recovery for the U.S. auto industry, including GM.” Months later, then-Toyota President Katsuaki Watanabe even suggested that “it’s not something we would bring up on our own, and we don’t know enough about the restructuring plan, [but] if some talk about supporting GM comes up, we would like to consider it earnestly.” Now that Toyota is in a spot of PR trouble over its unintended acceleration woes, you might expect that GM would show the same class and tact that Toyota did just months ago… but you’d be wrong.

Toyota’s decision to suspend production and sales in North America of eight recalled models is sending shock waves through seismically sensitized Japan . Tokyo’s Nikkei [sub], usually not prone to sensationalist reporting and strong language, says today that “the fiasco is likely to have unfortunate consequences for the automaker’s image and earnings.”

According to the Nikkei, the eight models recalled for sticking accelerator pedals accounted for about 60 percent of Toyota’s North American sales last year. The production freeze will affect five North American plants. “A prolonged halt would inevitably influence Toyota’s bottom line,” warned an analyst at one major securities firm.

According to the Nikkei, “it is rare for an automaker to suspend production and sales because of a recall.” A Toyota spokesperson pointed out that this is not the first time for the company to make such a move. However, they acknowledged that the scale this time is unusually large.

The nightmare continues for Toyota. Full press release after the jump.

GM has a tough row to hoe in 2010, with the launches of key products like the Cruze and Volt going on sale, an IPO to worry about, and a sales slide (down 30 percent for 2009) to reverse. Still, according to GM’s new North American boss Mark Reuss, navigating the congressionally-mandated dealer arbitration is the top challenge of the coming year. At a speech last night, Reuss told reporters from Automotive News [sub] that:

I welcome this as an opportunity for GM and the dealership network to go through a change in our network with integrity,

As opposed to the arbitrary bankruptcy-era dealer cull?

Ford’s pointy-headed crew of sales forecasters have been compared to the original “Whiz Kids” and credited with a major role in Ford’s (relative) success in the last year. But you can’t calculate everything through statistical analysis, and it seems the models coming out of Ford’s Global Lifecycle Analytics Department failed to take irrational enthusiasm into account. Which is frankly, fairly understandable. The $37,000+ Taurus SHO starts at a full $12k more than a base model, making it a 365 hp halo more than a legitimate sales threat, and yet Ford’s forecasters seem to have underestimated demand for the turbocharged model, with at least one dealer reporting an 80 day wait on a sold order. “It’s a problem for our dealers,” Ford’s Jim Farley admits to Automotive News [sub], “we’re definitely catching up on the demand.” Mid-range SEL trim levels have also been underproduced, says Farley, along with F-150 double cabs. “If you don’t call it, you miss that opportunity and customers don’t see what they want to buy.”

Automotive News [sub] is reporting that Toyota will replace or reshape some 3.8m accelerator pedals to reduce the risk of them becoming lodged against floormats. Toyota will also be replacing some floormats as it battles a recent unintended acceleration scare. But far more interesting than the prosaic alterations to pedals and mats is Toyota’s decision to take modifications a step further on certain affected models. AN [sub] explains:

Toyota will install a brake override system on the involved Camry, Avalon, and Lexus ES 350, IS 350 and IS 250 models “as an extra measure of confidence.” The system will shut off engine power if drivers press the accelerator pedal and brake pedal simultaneously.

Oy. More proof that it only takes a few idiots thinking their car is possessed to ruin burnouts for everyone. Well, everyone who owns a slushbox Toyota or Lexus, anyway.

When buying a car, what do people really want to know about its reliability? Often: what are the odds it will turn out to be a lemon? And does it have a good shot at requiring no repairs at all?

Consumer Reports and J.D. Power have never answered these questions. They’ve only provided vague dot ratings that indicate how a car compares to the average for all cars. Even TrueDelta, which has been providing car models’ average repair frequencies, and not just dots, has not been directly answering these questions. Instead, car buyers have had to infer their odds of getting a lemon from the average repair frequency.

With the latest update to TrueDelta’s Car Reliability Survey results, released today, this will no longer be necessary. This update includes two new statistics: “Nada-odds” and “Lemon-odds.” From a car model’s Nada-odds, car buyers can learn how many cars out of a hundred required no repairs at all—nada—in the past year. And from its Lemon-odds they can learn how many out of a hundred had to go to the repair shop three or more times in the past year.

One of TTAC’s tipsters reports that GM has erroneously recalled 8k vehicles. D’oh!

Date: 10/08/2009 Ref. number: XXXXXX Subject: 09041A / 09077A – Noncompliance Recalls – Retraction Letter

GM SERVICE AND PARTS OPERATIONS
URGENT – DISTRIBUTE IMMEDIATELY
Date: October 9, 2009

Subject: 09041A / 09077A – Noncompliance Recalls

Shift Lever Indicator May Not Display Correct Gear

Retraction Letter Mailed to Certain Customers

Models:
2009 Buick Enclave
2009 Chevrolet Cobalt, HHR, Malibu, Traverse
2009 GMC Acadia
2009 Pontiac G5, G6
2009 Saturn AURA, OUTLOOK

Date:09/21/2009Ref. number:Service / Warranty /Subject:

GM Service Operations

**Urgent Message**

DCS 412

DATE: September 21, 2009

TO: All US GM Dealers, Service Directors, Warranty Administrators and Parts Managers

SUBJECT: Changes to the General Motors 100,000 Mile/5 Year Powertrain Warranty for 2010 Model Year Vehicles

This message is to provide information regarding the a few changes to the GM Powertrain Warranty for 2010 model year vehicles. Previous model year vehicles are NOT affected by these changes.

For model year 2010, General Motors is announcing a slight change in the components that are covered under the 100,000 mile/5 year limited warranty on all light duty cars and trucks. The Warranty and Owner Assistance Information booklets have already been updated with these changes in all New 2010 model GM vehicles.

The following items have been eliminated from the Powertrain portion of the coverage for 2010, however, they will continue to be covered for the entire length of the Bumper to Bumper Limited Warranty for all GM vehicles. Select components may also be covered by Federal or State Emission coverage. Please refer to the Labor Time Guide and Policies and Procedures (P&P) manual for further details.

Jalopnik reports that, rather than crying “perception gap” to negative tweets about Buick’s quick-n-dirty Saturn Vue rebadge, GM has killed plans for the plugin crossover. GM spokesfolk say “the overwhelmingly negative response to this vehicle coming out of this event” caused GM to pull the plug. Which is funny because a good hard look at their bloated 2012 CUV lineup would have told them that killing the “Vuick” was a good idea, too. So now GM has a plug-in CUV developed with nowhere to put it. And the Twitterati have another reason to believe they are somehow relevant. In other words, all’s right with the world. Hit the jump for GM’s official word via spokesman Tom Stephens.

While Automotive News [sub] trumpets the fact that “Cadillac Joins Lexus atop Study of Customer Satisfaction,” our experience with all manner of stat house slickery behooves us to dig a little deeper into the subject. [ “league table” here.] While we eagerly await Mr. Karesh’s analytical evisceration, I’d like to share some relevant facts. First, although the “see there IS a perception gap” study is called the American Customer Satisfaction Index™, it hails from the University of Michigan. Second, it’s a racket. The academics behind the index charge companies a $35K “corporate subscription price.” If you don’t work in automotive, no problem! The ACSI covers 44 industries! Oh, and the US government. Third, methodology (as above) . . .

TTAC commentator Mark writes:

Mr. Farago, I’m an avid fan of your web site / blog. General Motors is a frequent subject, often in a negative light (typically, a well deserved negative light). I have owned and currently own GM vehicles. Why? My father worked for GM for 35 years, was paid well paid and has a good pension. GM helped put bread on our table, a car in our driveway and helped pay for my education. With all the issues and bailouts that GM has recently had, I would find it difficult to purchase another GM vehicle. What would sway me to purchase another GM vehicle? The company would have to change it’s philosophy and be accountable for the products they produce. Promote this via a marketing program centered on a specific model with the following four points:

GM’s North American VP for quality, Rick Spina, latches on to the latest JD Power IQS with a blog post at Fastlane titled “What Quality Gap?” and a webchat inviting every pissed-off GM owner to bitch about their quality problems.

For all the naysayers out there … get this … in the J.D. Power & Associates 2009 Initial Quality Study, Cadillac, our flagship brand, improved by 19 percent since last year’s study and comes in third, just behind Lexus and Porsche. That’s pretty darn good considering brands typically improve around 5 percent a year. And Chevy, our volume leader, eliminates the quality gap to join company with very competitive import brands like Honda and Toyota. Simply put, the quality gap is history.

Oh really?

Anecdotally, it seems like almost everyone has had one of the “your vehicle warranty is about to expire” robo-calls sometime in the last year or so. Hopefully a civil suit by the FTC will cut back on some of the annoyance. Fox News reports that the scheme, allegedly perpetrated by Christopher Cowart, James and Maureen Dunne, and Kamian Kohlfeld, netted $10 million in fraudulent income. The scheme reportedly violated the Federal Trade Commission Act by misrepresenting or omitting material facts in their sales pitches, and that they violated the Telemarketing Sales Rule by “flatly ignoring” rules that prerecorded calls disclose the identity of the seller “promptly, and in a clear and conspicuous manner.” Read the whole sordid story at Fox to hear how these charming characters are trying to pass blame off on each other. And remember, there’s a special place in hell for people like this.