Fifth appearance in Small Claims Court:

Ted Rothstein, DDS, PhD
Specialist in Orthodontics for Adults and Children
Member American Association of Orthodontics; Founder DPOJW
35 Remsen Street, Brooklyn, NY 11201
718 852 1551 Fx 718 852 1894 drted35@aol.com  www.drted.com

 Complaint also filed with the NY State Attorney General’s office

Complaint Form filed 6/20/05 with the NY State Attorney General’s Office Nine pages faxed to 212 416 8787 and mailed registered return-receipt to Attorney General, Elliot Spitzer State of NY Office of the Attorney General, Bureau of consumer Frauds and Protection, 120 Broadway, 3^rd Fl. NY, NY 10271-0332.

 Brief:

   Rothstein Vs. Citibank

Kings County Small Claims Court: 9207/2004

 Plaintiff's case:

Your Honor,

 I am requesting that the court award me the $3382.52 that Citibank debited monthly for 15 months until October 14^th 2004, when I discovered and terminated the so called Citibank Credit Protector Program.

I never received such documents and certainly never used the gas coupon and Citibank can produce no records to show that I did. (See subpoena for records.)

Citibank also includes in its package of welcome documents an “Acknowledgement and election to purchase” form (Exhibit), which requires the “Credit Protector” purchaser to complete, sign and date.  They have no record of such a document signed by me because I never received the documents they were supposed to send me.

  I will show how unsuspecting victims are snared when they use the use the 15$ gift coupon and introduce two witnesses who were like me victimized.

By giving me insufficient and misleading information and then further failing to send me any of the promised documentation, which would explain the product, consequently, I put the offer completely out of mind. Only recently did I discover that the solicitor simply "turned on the so-called credit protector" and never sent the solicitation materials promised.

 Lacking the promised documentation in effect I was denied the opportunity to review the program and cancel the service.

This letter from Chase bank is proof that Citibank was paid in full during the first week of February 2005 (exhibit).  See also Citibank credit card statement attached (Exhibit):

Citibank had failed to provide each and every item requested in the two subpoenas for records I filed with the court more than four month ago not even a written transcript of the 6 minute solicitation.

Citibank failed to send me any post-solicitation information describing the Credit Protector Program (see subpoenas for records). At the hearing April 14 the Citibank expert witness said, "Unless I am willing to pay for a transcript they would not supply one". They have no intention of supplying the transcript because it shows the deception underlying the scheme of the solicitation.  (See transcript of solicitation and note my voice covered over with static 8 times.)

     I was dumbfounded when 7 months ago the bookkeeper brought  to my attention the debits on my credit card statement labeled "Citibank Credit Protector Program."   Citibank has failed to answer my subpoena for records in every way.  Those records would show that they never sent any follow up information regarding the product they misrepresented to me.  This inaudible oral transcript is the only proof I have been given by the Citibank expert witness (Exhibit).  I wrote to the Citibank attorney, Mr. Sean Smith, 4 months ago requesting a written transcript of the solicitation (Exhibit).  Citibank as of 6/14 has not provided that transcript. I am now willing to settle the case for $3338.82 plus interest for the following reasons:

1.    This solicitation alluded to credit protection however, my credit report fell to its worst point while this program was in effect (Exhibits). Here are my Experian credit reports going back to December 2004 as well as the latest report of May 17. There were at least 35 errors present. My credit rating was so low that my application for home equity loan was rejected on the basis of my credit report  (Exhibit). 

2.    Furthermore by November of 2004  the CB credit card stopped being accepted because the credit line had been overextended by multiple thousands of dollars without my ever receiving a single notice  or warning from the so called credit protector program.  This shameful program was designed to glean as much premium payment as possible without warning the consumer. I have since learned others have been victimized by this solicitation.

3.    The information promised to be sent was never sent.

4.     No evidence has been offered that such info was ever sent.

5.     Finally, not once during the 15 months of this protection program did I ever receive a notice that a single credit card entry was remiss regarding my Citibank monthly statement or that my credit maximum was on there verge of being exceeded.

6.   I submit that had I received the package and read the benefits listed here on the list of benefits included in the package (Exhibit) I would never have take the program simply because its benefits have no relationship to the financial needs in my life.

7.    It is my claim that subterfuge, and incomplete information were used to induce acceptance of the 30 day trial period. Failure to send follow up document as promised resulted in my being unable to detect the presence of this debit on my statement or notify the bookkeeper that such an entry was not entitled to be there.  And lastly none of   the promised services were provided.

8.    Finally I would have the court note the outcome of a court case against  Citibank  (among other  large credit card companies) which agreed to pay a substantial  sum of money  on February 27, 2002 after being accused of deceptive telemarketing practices including billing consumers for products not ordered.

1. Citigroup
$118.8 billion receivables Settlement between Citibank and 27 states and Puerto Rico over deceptive telemarketing practices of its marketing partners, including billing credit card holders for products not ordered: 27 February 2002 From National Association of Attorneys General Settlement between Citibank and 27 states and Puerto Rico over deceptive telemarketing practices of its marketing partners, including billing consumers for products not ordered: 27 February 2002

"The agreement with Citibank bans deceptive marketing and requires: bank review and approval of all marketing materials; compliance with all consumer protection laws by telemarketers; clear approval by cardholders prior to any charges; and clear and conspicuous disclosure of the identity of the telemarketing company if the script makes reference to the bank. Citibank also agreed to pay the states $1.6 million to cover their legal costs."

   I am requesting that Citibank refund all charges debited from my account, that amount being $3382.52., interest and reimbursement of $150 (See attached proof of payment to Benchmarks of America for transcription services needed due to  Citibank’s failure, neglect and refusal  to provide a transcript of the Credit Protector telephone solicitation.)

Respectfully,

Ted Rothstein, DDS, PhD

Dr. Ted Rothstein

Cc.  Attorney (s) for Citibank Mr. S. S.mith / Mr. Russel Shanks and presiding judge SCC, July 14, 2005

July 14, 2005
    At the hearing the attorney had "some issues"  with the transcript that was certified as "accurate" by Benchmarks of America.  The judge then ordered Citibank to provide their own transcript. My transcript and their transcript were made from the same CD. It will be interesting to see the if their is a difference.   The hearing was rescheduled for August 17.

     The text which follows is a transcript of the telephone solicitation made by the Citibank customer service representative in October 2003 while promoting the Citibank “Credit Protector” program. The solicitation begins when the representative finishes giving Dr. Rothstein instructions regarding how to activate his new credit card.

     The CD from which the transcript was done was a copy of the original recording of the solicitation provided by Citibank’s “expert” witness.   It will be noted that Dr. Rothstein’s voice is covered over by static in eight lines of the dialogue.

Total time of call: 6 minutes

Begin transcription 11:45 am end 3:45pm

Total time to complete transcription  is 4 hours.

Transcription by Dr. Ted Rothstein

Dr. Ted Rothstein states under oath that the below transcription is an accurate and true version of the CD  provided by Citibank.

Ted Rothstein, DDS, PhD

Dr. Ted calls  Citibank customer service to activate a new credit card..

OPERATOR ends activation transaction upon saying: “…remove the sticker and sign the back of your card (pause and operator continued):

“If you are the primary card member I just want to let you know your are eligible for thirty days free trail period of an optional benefit for your account This will cover the primary card member and all authorized users of this account and the highest wage earner in your household in the event you suffered from a job loss or from a long or short term disability, hospitalization or family leave as well as other life events. This also covers things like marriage, divorce, adoption of a new baby, relocation and accidental death.  Now if you decide to continue after the 30 days the cost is only 85 cents per 100$ of the new balance as shown on your statement for the previous billing period.

Ted:  Is it term life insurance is that what is it?

OPER: No it is not an insurance, exactly what it is is a deferment program, it’s going to freeze your account payments and finance charges if one of those situations comes about.  It freezes and/so you don’t have to worry about making a payment or paying interest during that deferment period. It’s a program that gives you a chance to get back on your feet if one of those situations occurs and also keeps your credit rating in good standing.

Now, like I said, you can cancel at any time. You have 30 days free trail period to look it over and make a final decision and just for looking it over we are also going to send you a thank you gift which is a 15$ mail-in gas rebate. That’s yours to keep whether you stay with the credit protector program or not.

Dr. T asks a question: .  You mean that information words covered over by static

OPER:  Right  the information does come with the enrollment

Dr T. asks a question covered over by static….

OPER: Yes

Dr. Ted Says Ok sign me up   

Dr.  Ted says something but his words are covered over by static

OPER RESPONDS:  The good thing is …that’s a good question, every time you receive your monthly billing statement. There is a reminder right. There on top of the billing statement so you don’t forget.  You will receive the material after one–two weeks, and have thirty days to cancel from the time you receive the materials in the mail.  Okay I’m just going to read you some legal material information thank you for your patience. Now this reads enrollment in credit protector is optional. It does not affect the existing credit terms of your enrollment with the bank. If you enroll the primary card member will receive the membership material in one–two weeks. Please read the material carefully for exclusion and limitations as well as eligibility requirements that may prevent you from receiving benefits. You have 30 days from the time the membership material arrives to review the program free of charges.  If you decide to cancel during the free period just have the primary card member call…do you have a pen in your hand Dr. Rothstein? 

Dr. Ted:  Static 5 seconds

OPER: Ok call 1888 253 3363.

Dr. Ted: and this is the number to call?

OPER.  If you feel that the program is not right for you once you receive it in the mail and read it over you just call that number and cancel it over the phone before the thirty days are over and you will not be charged.

Dr. Ted. Cool

OPER: static 5 seconds  “…credit protector”  otherwise when the free thirty day trail period  end Citibank will bill your card every month 85cents /$100

Dr.  Ted I have to make and election...I have to choose an amount

OPER:  No, no particular amount or anything  if you  feel ..you have 30 days… you have one whole month free,   just to look it over and the material will explain it to you…

Dr. Ted: You said 85 cents /per 100$ of protection?

OPER:  After the 30 days trial period.

Dr. Ted:  Question: Words covered over by static for 10 seconds..?

OPER: No because what happens is..

Dr. Ted speaks 6 seconds words covered over by static

OPER.  No because it’s directly related to the balance shown on your statement for the previous billing period.

Dr. Ted: so it’s related and if I have a previous balance of let’s say $5000 dollars. Then it would 85cent times fifty. we would be…

OPER: Yeah approximately 42$/month on $5000 dollars. And keep in mind when you are making your payments your balance does change.  If you have no balance of the last day of your previous billing period then it’s no charge to you.

Dr. Ted:  Thank you mam.

OPER: ok I’m just going to finish reading this to you here…once gain the number is 1888 253 3363 otherwise when the 30 day free trail period ends Citibank card will bill this card each month 85cents per $100.

Dr. Ted: So is it necessary that I cancel otherwise if I don’t than I’m going to get a bill right…Is it a must-cancel by thirty days?

OPER: Before the thirty days are up and like I said before the thirty days does not start until after you received the membership materials in the mail  and you’re not going to receive the materials  until 1-2 weeks.

Dr. Ted:  And there will be a notice that I must cancel?

OPER: Right on your statement each month there is a note reminding you that you are enrolled so that you don’t forget.

Dr. Ted: Thank you mam.

OPER: And once again otherwise when the thirty day free trail period ends Citibank card will bill this card 85cents per $100 of the new balance shown on the statement of the previous billing period….your enrollment will be processed and protection will begin

Within the next four days, with that in mind may I enroll you in credit protector and have the monthly fee billed to this credit card after the thirty days free trail period?

Dr. Ted: Yeah sure.

OPER:  Thank you and just to confirm  Dr. Rothstein  will you repeat the last four digits of you Citibank account number which is the account that will be billed  after….words covered over by static

Dr. Ted:   5 seconds words covered over by static.

OPER: Ok well you card is activated once again I have enrolled you in credit protector

Is there anything else I can help you with?

Dr. Ted responds: words covered over by static

OPER: alright you’re welcome if you have any other questions feel free to call the customer service  number on the back of your credit card.

Dr. Ted: Thank you.

OPER: Thank you for your time.

Dr. Ted Rothstein states under oath that the above transcription is an accurate and true version of the CD provided by Citibank.

Ted Rothstein, DDS, PhD