The rise of illegal spam calls, robocalls, and unwanted telemarketing has led to a concerted effort by governments and regulators worldwide to curb these invasive practices. With billions of robocalls made each year, consumers and businesses alike are bombarded with fraudulent schemes, deceptive marketing, and even identity theft threats. But thanks to powerful legislation, hefty fines, and new technologies like STIR/SHAKEN, the tide is turning against illegal spam calls.
In this blog, we’ll look at how fines levied by regulatory agencies have played a key role in deterring violators, and how the STIR/SHAKEN system is transforming the telecommunications industry. Lastly, we’ll outline Link Business Communications’ commitment to security, privacy, and consumer protection as we fully implement this critical system.
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Major Regulatory Fines: A Strong Deterrent Against Spam Callers
Federal Enforcement through the FTC and FCC
In the U.S., two agencies lead the charge against illegal spam calls: the Federal Trade Commission (FTC) and the Federal Communications Commission (FCC). These agencies enforce the Telephone Consumer Protection Act (TCPA) of 1991, which governs telemarketing, robocalls, and unsolicited texts. The TCPA protects consumers by requiring prior consent for automated calls and restricting the use of prerecorded messages.
For violators, penalties are severe. A single violation of the TCPA can result in fines between $500 to $1,500 per call, especially if the violation is willful. Over the years, the FCC has issued record-breaking fines, deterring companies from engaging in illegal robocalling.
Notable Fines in Recent Years
Adrian Abramovich (2018): A Florida-based telemarketer, Adrian Abramovich, was fined $120 million for making nearly 100 million illegal robocalls using “neighbor spoofing,” a technique where calls mimic local phone numbers to trick recipients into answering.
Sumco Panama (2020): The largest fine to date came in 2020 when the FCC fined Sumco Panama a staggering $225 million for making over a billion robocalls, primarily selling fraudulent short-term health insurance. They employed spoofed numbers to appear more credible, violating both the TCPA and the Truth in Caller ID Act.
Rising Eagle and JSquared Telecom (2021): These companies faced a $225 million fine for falsely claiming to represent major insurance companies in a scheme involving millions of robocalls. This case highlighted the increasing sophistication of scammers who use spoofing techniques to mislead consumers.
These fines send a strong message to telemarketers and scam operators that such illegal practices come with a steep price tag. However, regulations alone are not enough to stop these schemes. To tackle the core issue of call spoofing and ensure the authenticity of phone calls, a new technological approach is required.
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Introducing STIR/SHAKEN: A Technological Game-Changer in the Fight Against Spam Calls
One of the most significant developments in the fight against illegal spam calls is the adoption of STIR/SHAKEN, a technology framework designed to authenticate caller ID information across telecommunications networks.
What Is STIR/SHAKEN?
STIR/SHAKEN stands for Secure Telephone Identity Revisited (STIR) and Signature-based Handling of Asserted Information Using toKENs (SHAKEN). In simple terms, it’s a system that ensures the phone number displayed on your caller ID is legitimate and has not been spoofed.
Before STIR/SHAKEN, phone numbers could easily be faked, making it difficult for consumers to differentiate between legitimate and fraudulent calls. Fraudsters would often use spoofed numbers to impersonate local businesses or even government agencies, increasing the likelihood of recipients answering the call.
With STIR/SHAKEN, each call is assigned a digital certificate that verifies its origin. Telecom providers authenticate this certificate, making it nearly impossible for fraudsters to falsify their caller ID. Calls that pass through the STIR/SHAKEN framework will show as "verified" on consumers' devices, allowing people to make informed decisions about whether to answer.
How Does STIR/SHAKEN Work?
1. Caller Verification: When a call is made, the originating service provider attaches a digital signature to the call’s identity information. This signature verifies that the phone number has not been altered.
2. Certificate Authentication: The signature is checked by the receiving service provider through a shared certificate repository. If the signature is valid, the call is verified as authentic.
3. Consumer Notification: On the consumer’s end, verified calls appear with a visual indication—often a checkmark or label that shows the call has passed STIR/SHAKEN verification. If the call does not pass, it may be flagged as suspicious or blocked entirely.
This system, mandated by the FCC for all major telecom providers, drastically reduces the success of call spoofing. While it may not eliminate spam calls entirely, it gives consumers and businesses more control and clarity over the legitimacy of incoming calls.
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Link Business Communications: Our Commitment to Security and Consumer Safety
At Link Business Communications, we are dedicated to safeguarding the privacy and security of our customers. As part of our long-standing commitment to combatting illegal spam calls and protecting our users from fraudulent schemes, we have fully implemented the STIR/SHAKEN framework and technology across our network.
We believe that consumers deserve the highest level of protection from robocalls, spoofing, and fraudulent telemarketing. By leveraging the power of STIR/SHAKEN, we ensure that every call made through our system is verified, giving you peace of mind and greater control over your communication experience.
Our mission has always been to provide secure, reliable communication solutions, and our adoption of STIR/SHAKEN reinforces this commitment. Whether you are a business or an individual, we stand by your side in the fight against illegal spam calls, empowering you to communicate safely and securely.
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In today’s world, where telecommunication fraud continues to evolve, it’s more important than ever to stay ahead with advanced technology and robust regulations. With the ongoing efforts of agencies like the FCC and the implementation of STIR/SHAKEN, we are turning the tide against illegal robocalls, one verified call at a time.
At Link Business Communications, your security is our priority.
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