A Fridley man has been hit with federal fraud charges after allegedly carrying out a telemarketing scam that netted him more than $10 million.
Wayne Dahl Jr., 50, has been charged with four counts of mail fraud and four counts of wire fraud, according to Minnesota U.S. Attorney Erica MacDonald.
He ran a telemarketing company called "Your Magazine Service, Inc.," a telemarketing company that operated a call center in Chaska.
Through this company, Dahl allegedly ran a scheme to "trick mostly elderly customers into signing up for costly magazine subscriptions using false representations and fraudulent sales tactics."
Over a 7-year period between 2009 and 2016, he's accused of fraudulently obtained more than $10 million from 13,000 victims across the country.
Dahl carried out this fraud by buying lists of people who had active magazine subscriptions with other companies, and then directed his employees to call these consumers to offer them a $150 reduction on their existing account balance.
The staff would then obtain their credit card information, telling them they were conducting a survey on credit card and banking use, before Dahl told his employees to use this information to trick them into signing up for magazine subscriptions they didn't want or realize they were buying.
These subscriptions consisted of a $49.90 monthly payments that cost $998 in total.