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FTC Issues Sweeping Demands to Media Rating Firms Over Industry Ties
FTC Issues Sweeping Demands to Media Rating Firms Over Industry Ties

Yahoo

time6 days ago

  • Business
  • Yahoo

FTC Issues Sweeping Demands to Media Rating Firms Over Industry Ties

The U.S. Federal Trade Commission is investigating media credibility firms about their industry relationships, requiring organizations to hand over information about operations, finances, and communications, The New York Times first reported, and ADWEEK has independently verified. The FTC has issued Civil Investigative Demand letters-which, like subpoenas, require recipients to produce documents and respond to inquiries-to organizations including Media Matters for America, as first reported by The New York Times last week, and the news rating company Ad Fontes Media, ADWEEK has independently confirmed. The development highlights a broader pattern of heightened scrutiny by the U.S. government in recent years toward the advertising industry. Last year, a congressional investigation determined that the Global Alliance for Responsible Media, a leading advertising coalition, colluded in a politically motivated effort to suppress right-wing media by steering ad dollars away from outlets like Fox News, Breitbart, and The Daily Wire. The House Judiciary Committee said at the time that GARM "likely violated federal antitrust laws." In one letter issued on May 20, obtained by ADWEEK, the FTC demands the organization produce information about its operations and methodologies, finances, internal and external communications, and complaints or allegations about its work from January 1, 2019 to the present. In the 21-page letter, the government also demands details about the organization's relationships with 13 other "entities that purport to track, categorize, evaluate, or rate news sources, outlets, websites, content, or other entities for 'misinformation,' 'hate speech,' 'false' or 'deceptive' content, or similar categories." According to the letter, these organizations include media rating firm NewsGuard, trade associations the World Federation of Advertisers and the Interactive Advertising Bureau, adtech vendors DoubleVerify and Integral Ad Science, as well as watchdog organizations Check My Ads Institute and the Center for Countering Digital Hate. To ensure compliance with the CID, the FTC "requires a search of all documents in the possession, custody, or control" of the organization. The government demands that the requested information and answers be submitted by June 19. "They're requesting pretty much anything pertinent to our business since we started," Ad Fontes Media CEO Vanessa Otero, who received a letter from the FTC, told ADWEEK, adding that the demands are "excessive" and "overzealous." "Typically, for a subpoena or a discovery request in a civil trial, parties have to be actually charged with something or actually be sued in order to have to submit to these heavy demands that are very intrusive on your business,' she said. 'And that's not the case with a Civil Investigative Demand, because the DOJ, FTC, FCC, and some other agencies have very broad power to do pre-litigation investigation. It can be very onerous on companies…and it can be very discouraging to people's activities or their speech." Ad Fontes Media said it will comply with the FTC's demands, Otero said. Media Matters also received a CID, it confirmed, and is under active investigation by the FTC. An FTC spokesperson declined to comment, noting that the agency's "communications with external parties are nonpublic." The letter reviewed by ADWEEK was issued by the FTC's mergers division, prompting speculation that the CID letters may be part of a larger investigation concerning Omnicom's planned acquisition of IPG. In March, the FTC issued a second request for information concerning the proposed transaction. Following the government's scrutiny into GARM last year, X-under the leadership of polarizing billionaire owner Elon Musk-sued the organization over similar allegations, accusing the group and its backer, the World Federation of Advertisers, of operating as gatekeepers that pressure brands into boycotts of sites like X under the guise of brand safety. GARM shuttered days after the lawsuit was launched. Musk has also sued Media Matters. In his lawsuit, Musk alleges the group knowingly manipulated data to push a damaging narrative about X after it published research highlighting racist and antisemitic content on X. The organization snapped back with a lawsuit of its own in March. "Businesses have rights to not advertise next to stuff they find crappy,' Otero told ADWEEK. 'And no one is colluding with anybody about this."

Texas Takes on General Mills Over Artificial Dyes in Children's Cereal
Texas Takes on General Mills Over Artificial Dyes in Children's Cereal

Yahoo

time15-05-2025

  • Health
  • Yahoo

Texas Takes on General Mills Over Artificial Dyes in Children's Cereal

Texas Attorney General Ken Paxton has launched an investigation into General Mills, accusing the food giant of misleading consumers by marketing cereals as 'healthy: despite containing synthetic dyes linked to health issues in children. Paxton announced Tuesday that his office has launched an investigation into General Mills over concerns that the company deceptively markets its cereals as healthy while using ingredients linked to serious health risks. The inquiry, issued through a Civil Investigative Demand, targets the company's labeling practices, particularly for well-known products like Trix and Lucky Charms. According to Paxton's office, General Mills advertises its cereals as a 'good source' of essential vitamins and minerals and promotes them as 'healthy.' However, the cereals also contain petroleum-based artificial food dyes—additives that research has associated with a range of health issues in children, including hyperactivity, endocrine disruption, autoimmune conditions, cancer, and obesity. 'Under my watch, big food companies should be on high alert that they will be held accountable if they include toxic ingredients in our food and engage in false marketing,' Paxton said. 'I'm proud to stand with the Trump Administration and Secretary Kennedy in addressing petroleum-based synthetic dyes and will always fight to protect the health of the American people. This includes ensuring that food products are not illegally and deceptively marketed by corporations, which is why I've launched this investigation into General Mills.' General Mills has a notable, and perhaps inconsistent, history regarding the use of artificial dyes in its cereals. In 2015, the company publicly committed to removing artificial colorings from six of its cereal brands, a move that garnered considerable positive media attention and, reportedly, boosted profits. However, this commitment proved short-lived. Just two years later, according to the Attorney General's office, General Mills resumed selling cereals containing artificial dyes in the United States. This reversal comes despite a growing body of scientific evidence suggesting potential negative health effects associated with these synthetic ingredients. Disturbingly, General Mills currently does not provide warnings to American consumers about these potential risks. Interestingly, the company continues to market and sell versions of its cereals without artificial dyes in other countries, raising questions as to why the same healthier formulations are not offered to consumers in Texas and across the United States. The investigation into General Mills is not Paxton's only foray into cereal manufacturers. His office also has an active, ongoing investigation into Kellogg's for alleged violations of Texas consumer protection laws, indicating a broader scrutiny of the industry's marketing and ingredient practices. In April, Paxton launched a formal investigation into Kellogg's, alleging that the company may have violated state consumer protection laws by promoting certain cereals as 'healthy' despite their inclusion of synthetic additives linked to serious health risks. The probe targets cereals like Apple Jacks and Frosted Flakes, which contain petroleum-based dyes such as Red 40, Yellow 5, Blue 1, and Yellow 6. 'There will be accountability for any company, including Kellogg, that unlawfully makes misrepresentations about its food and contributes to a broken health system that has made Americans less healthy,' he stated. Kellogg previously pledged in 2015 to remove artificial colors and flavors from its cereals by 2018. However, many of its products—including Froot Loops and Apple Jacks—still contain the very additives the company once promised to eliminate. Texas' investigation into General Mills and Kellogg's is part of a broader initiative to clean up the food supply under the Trump administration's 'Make America Healthy Again' campaign. Health and Human Services Secretary Robert F. Kennedy Jr. has made food additives a priority, with cereal products among those under active review. Source: Read the original article on GEEKSPIN. Affiliate links on GEEKSPIN may earn us and our partners a commission.

Lexington roofer, under investigation by Kentucky Attorney General, shuts down
Lexington roofer, under investigation by Kentucky Attorney General, shuts down

Yahoo

time28-04-2025

  • Business
  • Yahoo

Lexington roofer, under investigation by Kentucky Attorney General, shuts down

A multistate roofing company with headquarters in Lexington that's under investigation by the Kentucky Attorney General's office, abruptly went out of business over the weekend, leaving customers high but not necessarily dry. Lexington Blue, with offices in Lexington, Louisville and Cincinnati, sent customers an email saying it was closing its doors as of April 26 and has handed over all existing contracts to another company, Skyline GC. 'We have formally transferred our backlog of outstanding projects and warranties to Skyline GC LLC, a local roofing company that shares Lexington Blue's values of excellence, integrity, and community care,' according to the email to customers. 'If you have a pending project or warranty, you can expect direct communication from Skyline GC within the next 30 days.' Lexington Blue said it has defaulted 'on all credit lines and loans.' The news is not settling well with some homeowners. Tim Buckingham, contacted the Herald-Leader to say he had filed an insurance claim in February 2024 with Lexington Blue and paid 'a significant amount of money ... and still no roof,' the Lexington homeowner emailed. He hadn't heard from the company since September until the going-out-of-business email arrived. An office manager in Louisville told WDRB-TV, which has reported on issues involving Lexington Blue in Jefferson County, she estimates more than 80 customers in Louisville are waiting on roofing work there. No phone number or contact information was immediately available for Skyline GC. The Kentucky Secretary of State's office lists the organizer as Cesar Gutierrez Arreaga and says the office is on Chantilly Street in Lexington. Lexington Blue was founded in 2015 by Bradly Pagel Jr. of Lexington. A Herald-Leader call on April 28 to Lexington Blue's office ended in a voicemail box that is full. Lexington Blue is under investigation by the Kentucky Attorney General's office and is facing multiple lawsuits in Fayette Circuit Court. Kentucky Attorney General Russell Coleman's office served Lexington Blue with a subpoena and Civil Investigative Demand in March. He demanded business records for Lexington Blue Lexington, Lexington Blue Cincinnati and Lexington Blue University from Jan. 1, 2023, to March 1, 2025. The Attorney General's office asked for all contracts, payments, communications, work documents, building permits, licenses and list of sub-contractors as well as bank account information, refund information and marketing. Coleman's office requested the documents be turned over within 20 days, by March 25. The business attempted to fend off this request by asking Franklin Circuit Court Judge Philip Shepherd to dismiss the demand, which it called overly broad in the court filing. Or, failing that, to ask Coleman's office to establish reasonable justification for the demand, modify it and/or extend the return date. No ruling has been made in that case. Coleman's office did not immediately respond to a request for comment Monday. But Coleman's demand letter requests names of customers Lexington Blue or affiliated entities entered into an agreement with for home construction, repair or reconstruction services over the past two years. Coleman's office asked the company to identified any contracts where Lexington Blue 'failed to perform its obligations within the initial time period called for the Agreement; and/or Lexington Blue ... failed to completely perform its obligations' and why. The letter also asks if Lexington Blue 'obtained building permits and/or licenses from local municipalities and counties before commencing work.' According to the Better Business Bureau in Lexington, the company had a pattern of complaints involving communication issues, services delays and refund issues. Lexington Blue was not accredited by the BBB and various review websites offer harsh critiques. There are several cases pending in Fayette Circuit Court, including two that appear to involve roofing repairs that were not made or completed and three involving suppliers. One homeowner, James Greathouse on Gulfstream Drive, sued in February 2024, alleging that Lexington Blue agreed to fix the roof of his home and shed, damaged in a March 2023 wind and hailstorm. Despite paying more than half of the nearly $7,500 cost up front, Lexington Blue never started the work, according to the lawsuit. Another couple, Stuart and Brenda Goldsborough on Old Richmond Road, hired Lexington Blue in October 2024 to replace their roof, which had a leak and was under temporary tarps at the time, and paid a deposit of more than $5,500. After Lexington Blue failed to do any work, the homeowners had to cancel and find another contractor before winter, according to a lawsuit filed in March 2025. Meanwhile, Lexington Blue had contacted their insurance company and not only asked for the full cost of the new roof up front but had told the insurer the work had been completed by Lexington Blue, when it had not, according to the complaint. One supplier from Florida, Gulfside Supply, claims Lexington Blue owes more than $70,000 on a line of credit for roofing and lumber provided. Another supplier, Corken Steel Products of Florence, alleges Lexington Blue and Pagel owe more than $49,000 as of January 2025 for goods. Another Fayette Circuit Court lawsuit filed against Lexington Blue in October 2024 alleges they had not paid their computer and IT services provided and owed almost $7,000. Another case involves a van that Lexington Blue sold that apparently did not have a clear title because there was a lien on it.

Cherokee Co. Sheriff's Office warning residents about toll bill payment scam
Cherokee Co. Sheriff's Office warning residents about toll bill payment scam

Yahoo

time05-03-2025

  • Yahoo

Cherokee Co. Sheriff's Office warning residents about toll bill payment scam

The Cherokee County Sheriff's Office is warning residents to be aware of, and wary, a new type of text message scam. It's a scam Channel 2 Consumer Investigative Reporter Justin Gray warned about in February. This time around, deputies are warning residents about messages saying they owe unpaid bills for driving on toll roads in Georgia. 'A new scam is making its rounds through text messages demanding payment of unpaid tolls. It may look legit and include a link to pay and an amount owed but DO NOT fall for it,' the sheriff's office said. In an example shared by the sheriff's office, the messages related to scam read 'Your vehicle has an unpaid toll bill. To avoid excessive late fees on your bill, please settle it promptly. Thank you for your cooperation! Total amount: $6.99 Payment:' One type of message includes a link to click as well as directions on how to use it. Another version mentions Georgia's Peach Pass specifically, reading 'Peach Pass Final Reminder: You have an outstanding toll. Your toll account balance is outstanding. If you fail to pay by March 7, 2025. you will face penalties or legal action,' before showing a link that includes 'peachpass' in it and directions to open the link. Neither message is legitimate. 'This is a SCAM! Toll authorities do not request payment this way. Do not click on the links. Please be careful,' the sheriff's office urged residents. [DOWNLOAD: Free WSB-TV News app for alerts as news breaks] TRENDING STORIES: Mom accused of stabbing son to death before being shot, killed by police Boy abducted in Atlanta 7 years ago found safe in Colorado Disabled man missing since last month found dead in metro Atlanta construction site [SIGN UP: WSB-TV Daily Headlines Newsletter]

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