Security-alarm giant settles Missouri claims

ST. LOUIS -- A Florida-based security-alarm giant and more than 20 of its dealers have agreed to pay $275,000 to settle Missouri claims that they violated the state's anti-telemarketing law, Attorney General Jay Nixon said Wednesday.

The settlement involving ADT Security Services Inc., a division of Tyco International Ltd., is the largest payout for alleged violations of the state's no-call list, which took effect in July 2001, Nixon said.

In a 37-page consent agreement filed Tuesday in St. Louis Circuit Court, the dealers agreed to make a $275,000 "contribution" to the state fund that pays for no-call enforcement. The parent company gave Missouri a check Tuesday for the full amount, Nixon's office said.

"I think the level of this fine sends an incredibly clear message that we will get to the bottom of these problems," Nixon told reporters Wednesday in announcing the settlement.

Nixon sued ADT in August 2001 in St. Louis Circuit Court, accusing the company of making illegal telemarking calls to Missourians on a no-call list. More than 1,100 people on the list complained to Nixon's office about the calls.

In a statement Tuesday, ADT, based in Boca Raton, Fla., denied any wrongdoing and blamed its independent dealers, saying that the company -- when it heard of the complaints -- told dealers in writing "that they need to comply with the law."

An ADT spokeswoman said she could not elaborate about the 1,100 complaints, saying Tyco had told her not to go beyond ADT's one-page prepared statement.

Before the ADT settlement, the largest penalty for violating Missouri's no-call list was the $75,000 ordered to be paid by the company that ran the Miss Cleo psychic hot line.

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ADT Security Services, http://www.adt.com

Attorney General Jay Nixon's office, http://www.ago.state.mo.us