BBB warns businesses to be on lookout for fax scam

The Better Business Bureau is warning businesses in Missouri, Illinois and beyond to be on the lookout for what appear to be bills for computer support faxed from an Oklahoma firm using the name CPU Service Inc.

The fax appears to be an invoice, but is actually an advertising solicitation, offering 12 months of online computer support and consulting. Under Federal Communications Commission rules and the Telephone Consumer Protection Act, it is illegal to fax unsolicited advertisements under certain circumstances.

The faxes refer to "preorder" payments of between $390 and $590, according to a news release from the BBB. CPU Service Inc. asks in the fax that checks or credit card payments be sent to the company via mail or fax. A disclaimer at the bottom of the fax notes: "This is a proposal for the order of goods or services, or both, and this is not a bill, invoice, or statement of account due. You are under no obligation to make any payments on account of this offer unless you accept this offer."

Businesses in Cape Girardeau have reported receiving such faxes. Joey Keys, regional director at the Better Business Bureau's regional office in Cape Girardeau, said the bureau was alerted of the faxes a couple of weeks ago and began investigating. It was creating particular confusion for local businesses that work with CPU Inc. in Cape Girardeau. The business consists of two divisions: a professional payroll service division and an information systems and technical services division.

CPU Inc. in Cape Girardeau is not associated with CPU Service Inc. of Oklahoma. The BBB has issued an alert for the out-of-state company and given it an F rating, the lowest grade on the bureau's scale.

Carolyn Sandgren-Kempf is president of Elite Travel Inc. in Cape Girardeau and said she's relied on CPU Inc. for several years for payroll services. When she received a fax from CPU Service Inc., she initially believed it was an invoice from the local company, but Sandgren-Kempf said it raised some flags.

"I thought there was some kind of invoicing error because they don't usually bill me like that in a paper fax," she said.

She reached out to the company and sent them a copy of the fax, which showed a charge of more than $390. CPU Inc. reviewed it and quickly informed Sandgren-Kempf that the document was from another company. She said without that communication, her business might have been a victim of the company issuing the misleading facts.

"Had I not done business with [CPU Inc.] for so long ... it probably would have gone differently," she said.

At least one Cape Girardeau business did submit a payment because of the fax, but Keys said fortunately, it was sent to CPU Inc. in Cape Girardeau. Mike Unverferth, director of marketing for CPU, said when they received the check and couldn't connect it to any invoice issued by the company, they reached out to the local business to inform them of the error. Other customers also have received the faxes, he said.

CPU Inc. in Cape Girardeau has cooperated with the BBB as it has worked to address the issue. The BBB has attempted to reach out to the Oklahoma City-based company with no success. CPU Service Inc. uses a postal box in Oklahoma City and the faxes show an email and a fax number, but no phone number.

Unverferth said he also has been in contact with the Missouri attorney general's office about the faxes. Anyone else who receives a fax from CPU Service Inc. is welcome to contact him and send a copy of the fax, he said, and it will be forwarded to the state attorney general's office.

srinehart@semissourian.com

388-3641

Pertinent address:

Cape Girardeau, Mo.

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Avoiding schemes

Better Business Bureau tips and suggestions to avoid potential business-to-business schemes:

• Deal only with reputable companies
• If you receive a sales call, make sure you get in writing exactly what you are ordering and what it will cost. Insist on signing an agreement before items are shipped.
• Do not take a salesperson*'s word that a company official has authorized you to do business with the sales company. Check with the official before finalizing an order.
• Check your purchase carefully to make sure the invoice total is correct and that you have received exactly what you ordered. If you receive items you have not ordered, contact the supplier immediately.
• If you receive what appears to be a bill or invoice in the mail, email or via fax, read all information carefully to determine whether it is an actual request for payment. Solicitations can sometimes appear to be bills.
• If you have received an unsolicited fax, contact your local attorney general or the Federal Communications Commission.

Source: Better Business Bureau