Attorney General's News Release

October 23, 2007

Nixon lawsuit results in Texas blast faxer being permanently barred from faxing ads to Missourians

Bowling Green, Mo. — A Houston, Texas-based corporation that inundated Missouri small businesses with unwanted junk faxes in violation of state consumer protection laws has been permanently prohibited from continuing the practice due to a judgment obtained by Attorney General Jay Nixon. VIP Comm, which does business as Gold Healthcare, and its owner, Mike Ballas, are also required to pay civil penalties and costs as part of the judgment that was filed in Pike County Circuit Court.

Nixon says VIP Comm had been in the business of providing fax advertising services in the state of Missouri since at least June 2005. The company made a practice of sending unsolicited advertisements via fax machines to consumers without the permission of the recipients, many of whom did not have an established business relationship with the defendants. One of the recipients of the faxes was Stro-World Farm in Pike County, which received at least 15 unsolicited faxes from the defendants.

Sending unsolicited fax advertisements is a violation of state consumer protection laws.

In addition to stopping their violation of state laws, the defendants are also required by the default judgment to pay a civil penalty of $15,000 to the state and an additional $3,600 to cover the costs of the investigation and prosecution of the case. The judgment also states that any future violation of the terms and conditions of the defendants' permanent injunction would result in additional civil penalties of up to $5,000 per violation.

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Inquiries from consumers should be directed to consumer@ago.mo.gov or 1-800-392-8222 (from within Missouri) or 573-751-3321 (outside Missouri).

All media inquiries should be directed to Press Secretary John Fougere.

E-mail      Phone: 573-751-8844         Fax: 573-751-5818