LV man pleads Fifth in probe
Wednesday, July 21, 1999 | 12:41 p.m.
WASHINGTON -- Some small sweepstakes companies that are running their businesses within the letter of the law nevertheless are taking in millions of dollars by misleading consumers into buying questionable products, senators say.
"It's more apparent than ever that something must be done," Sen. Susan Collins, R-Maine, told operators of two sweepstakes companies who appeared before a Senate subcommittee Tuesday.
"Changes are going to be made here," Sen. Richard Durbin, D-Ill., said, referring to legislation that would toughen laws regulating sweepstakes. The Senate Governmental Affairs Committee approved the bill, sponsored by Collins, in May and it now awaits a vote by the full Senate.
During a hearing before the committee's permanent subcommittee on investigations, the company officials explained how they operated and denied that their mail solicitations are misleading.
David Dobin, president of Lone Star Promotions Inc. of Merrick, N.Y., said he takes care to stay within the law.
"I don't know how anyone can complain that Lone Star unfairly enticed them to purchase something they didn't want," Dobin said. "We clearly explain what it is we are selling."
Dobin has pleaded guilty to a charge of conspiracy to commit mail fraud involving another company.
Anthony Kasday, president of Neopolitan Consultants Inc. of Las Vegas, cited his Fifth Amendment right against self-incrimination and declined twice to answer questions sharply delivered by Collins.
Kasday would not explain why an artists' rendering of a seal on a sweepstakes promotion, followed by the words "J. Remington Astor, Prize Registrar, My appt. exp. Aug. 29, 2000" appears to closely resemble the seal of a notary public stamp on another page.
No one named "J. Remington Astor" actually exists, he said. He also declined to explain why he was not troubled by the possibility that the artists' seal would mislead people to believe it conferred legal status on the promotion.
Under Collins' bill, sweepstakes that use deception to lure people into buying magazine subscriptions or other products by mail could be fined up to $2 million. It is designed to curb sweepstakes that may be in compliance with the letter of law but dupe people into thinking they can improve their chances of winning by buying the company's products.
Sweepstakes offers also would be required to state accurately the value of prizes offered, the odds of winning and the name of the sponsor.
Collins said most people are familiar with the giant sweepstakes promotions offered by Publishers Clearing House and American Family Publishers. But little is known about smaller companies, which sent out an estimated 100 million sweepstakes offers last year.
archive
- Most Read
- Discussed
- Most E-mailed
- The pull of a drug, a push to the brink
- Was there an ulterior motive in parking the stripper-mobile?
- CityCenter hotel welcomes new employees with gala
- Forrest Griffin writes his own ending at UFC 106
- Notebook: The Shark and LJ circle
- Harry Reid’s hopes hitched to health care reform bill
- Police arrest 2 more in fatal shooting of Metro officer
- Politicians waste no time spinning latest jobless numbers
- What might result from a national airing of Ensign’s dirty laundry
- Willis makes big difference in UNLV’s 78-69 victory
Blogs
Politics: Ralston's Flash
GOP consultants Rogich, Ernaut back Democratic AG's re-election
Audio: Ex-Gov. Bob List accuses Harry Reid of "abuse of power" on health care
Now and Then
Michael Schumacher takes 7th in go-kart race at Rio
The Kats Report
Monday List: 20 at 20, a quick look at The Mirage on a landmark birthday
Robin Leach's Las Vegas Celebrity Watch
Photo Gallery: Donny’s correct prediction of Osmond vs. Osbourne
Politics: The Early Line
Sen. John Ensign affair to resurface on 'Nightline' (1 Comment)
The Greene Room
MWC Winners and Losers: Week 12 (1 Comment)
- Live chat
- Tuesday, noon PST
- Chat with Krista Creelman
- Problem Gambling Center executive director Krista Creelman will answer questions about gambling addiction from Las Vegas Sun readers from noon to 1 p.m. Tuesday, Nov. ... Submit question
Calendar »
- 23 Mon
- 24 Tue
- 25 Wed
- 26 Thu
- 27 Fri
-
DJ Scooter at Prive
Prive | 10 p.m. to 11:59 p.m.
-
Fabolous's birthday at Jet
Jet | 10 p.m. to 11:59 p.m.
-
Mixology Monday at Downtown Cocktail Room
Downtown Cocktail Room | 8 p.m. to 11 p.m.
-
DJ Red at Tabu
Tabú Ultralounge | 10 p.m. to 11:59 p.m.
-
The Automatic Tour at The Square Apple
The Square Apple
The Sun
Locally owned and independent for more than 50 years.
Technorati













