Friendswood man ordered to pay back $2.4M in pay phone scam

[TexasTowelie]

Just as coin-operated pay phones began nearing the brink of extinction in the early days of the 21st century, David Grudzinski landed on what seemed like an easy way to keep himself solvent. The Friendswood man owned at least 450 pay phones in the Houston area and figured he absolutely would turn a profit if it worked.

From his home office, he set up a system for his multitude of phones to place periodic automated calls to toll-free numbers for state and federal agencies and private businesses. He then signed up for an online service that would collect the 49.4 cents in federally mandated payment for each of roughly 4.8 million calls made from phones in Houston, Tomball, Lake Jackson, League City, Dayton, Freeport and Friendswood over a 10-year period. The scheme raked in $2.4 million.

A federal judge on Friday sentenced the 61-year-old entrepreneur to 18 months in prison, plus three years of supervised release. U.S. District Judge Sim Lake also ordered Grudzinski to start paying back the $2.4 million immediately, beginning with half his prison income and then $500 monthly installments after he is released.

The judge allowed him to remain free on bail and surrender to prison authorities.

Read more: https://www.chron.com/news/houston-texas/houston/article/Pay-phone-scam-rings-up-18-month-prison-sentence-13073747.php

[TlalocW]

1. I thought maybe they had gone after the guy

Who set up phone companies with names like, "I Don't Care," and "It Doesn't Matter," etc. so that when you were asked what long distance carrier you wanted to us and gave an answer like that, you would use his and be charged out the wazoo.

TlalocW