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Screwed by Sprint to the tune of $38,000.00
Press Release 3/15/08
After reading this, please forward it, share it, etc. The more folks that become aware of Sprint's shady and unethical business practices the better. There is a share this link at the bottom of this post, please use it. Also listen the audio (link at bottom) of Ron Schober the Sprint Representative, he is full of you know what....
WHAT I WANT - I want Sprint to give me the true and correct monthly 3mbit price (i know what it is and so does Sprint) on my connection and correct my account 12 months (a credit, no refund necessary) on the overcharges. That's all I WANT.
The Smoking Gun - Sprint's own Wholesale tariff calculator shows that they have been gouging. I pay $2411.00 a month to them for 3.0mbit service yet their own pricing too shows that actual price wholesale is 10,389.00 per year or $865.75 per month (plus taxes).
Download the Excel file (XLS) or PDF file
on my pricing I used 404-688 as originating and 912-489 for the termination (NPA-xxx numbers)
AT&T Quote
Pricing from AT&T for the same 3.0mbit that I pay Sprint $2411.00 for. Highest $748/1yr to lowest $612.00/3 yr
Quote from bandwidth wholesaler for several companies Qwest, UCN, Network Innovations, ACC Business
Lowest $1,033.82 to $1,661,00 which is marked up by wholesaler still about 1/2 of what Sprint is gouging me for.
If I am being gouged like this, you can bet YOU ARE TOO if you use Sprint for dedicated access.
--- Sprint meets my 3/20/2008 deadline however it wasn't quite what was expected ---
I gave Sprint until noon today to tell me how they were addressing my issue. Below is their response.
-----Original Message----- From: Micali, Diane M [CK] [mailtDiane.M.Micali@sprint.com] Sent: Thursday, March 20, 2008 12:02 PM To allen@gmpservicesinc.com Subject: Your Account Inquiry
Dear Mr. Harkleroad,
Sprint Nextel has completed its research and review and will be providing a written response to your account inquiry.
Sprint Nextel Executive & Regulatory Services Department
(Typical response of an arrogant corporation. I will have to say they responded, i wonder what's in store when i get their "letter").
--- SPRINT IS SO BUSTED - THIS JUST IN 5:52pm March 19, 2008 ---
Hi Sprint Executives,
A reader turned me on to your traffic calculator on sprintbiz.com (with tariff on both ends).
Your own calculator http://www.sprintbiz.com/tariffcalc/index.jsp
I used 404-688 as the originating Sprint NPA-xxx (Atlanta) and 912-489 as the terminating MPA-xxx in Statesboro, and do you know I found out something very interesting (see attached PDF and xls file).
According to your own too the annual loop cost on your end (originating) is 1992.00 (a year) and on my end (termination) is 8,397.00 a year. Which is a total of 10,389 or 865.75 a month plus taxes. Now is sprint trying to claim that I must pay $1,545.25 (my last bill was 2411.00) in taxes?
Care to explain why Mr. Schober was quoting what he did to me on the phone?
You just got caught folks, Unless you contact me with exactly how you are going to address this by noon tomorrow eastern standard time. I will turn all of this over to the Georgia Public Services Commission and the FCC. Whatever you bring to the table at that time must include *everything* beginning in 2002 when I signed an agreement with Sprint. In addition if I am not contacted by noon tomorrow everything I have in my possession will be turned over to not only my attorney but the State prosecutors office for consideration of criminal charges that might be filed.
And let's not forget the press, I promise that if Sprint doesn't initiate contact by noon tomorrow and tell me what they are going to be doing to settle this matter I will overnight everything to every single member of the press that I know or have contact with. That is GUARANTEED.
The funniest thing is that the comment left that gave me the link to the Sprint pricing tool was a Sprint corporate IP address. Maybe there is a disgruntled Sprint employee in their midst. Gotta love (and God bless) the power of the Internet and Social Media!
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I added a bit of satire (cartoon) this morning (3/19/2008) be sure to scroll down a bit and enjoy it Update 3/19/08 #2 - Seems I am right back where I started on Saturday, see update below.
If you were redirected from one of our other 750+ websites/domains, please accept my apologies. Things will return to normal once Sprint does what they should do about the issue below.
It it gouging or is it a huge Sprint accounting and billing scandal that is about to unfold? You be the judge
Think I am the only one being gouged? Guess again and read this comment from the Consumerist post
"I threw Sprint out of our company back in 1998 over the same issues. Interesting to see they are still up to their old games. Only after they lost our business did they 'review' the account and adjust about $25,000 in overcharges, in an effort to retain the business. Too little, too late. This is not an error, this is their SOP until they get caught. Qwest and One Communications do the same thing, so watch out." cioonthego The Consumerist
(from Allen Harkleroad) Hey Sprint, it sucks when you get caught doesn't it. I hope the FCC and many state public services commissions audit every customer account you have. I bet you would have to refund millions, perhaps billions. You can thank Ron W. Schober and Lysa Schloesser for all of this, you know your own employees, maybe you should take this out of their paycheck. Oh and don't forget tomorrow is Wednesday (Sprint) you might not like what happens Thursday morning, I have a super-duper surprise for you.
You know this page has only been getting an average of 5,000 readers a day since I posted it, however that's 150,000 readers a month, that's 1.8 million readers in a 12 month period. Since your sales representatives math is so bad I figured I may need to break it down into simple terms for you. Remember: it isn't so much how many readers as much as is it is who is reading it.
Karma is a (you know what)..... 
3/19/2008 - I wouldn't advise Sprint to do anything stupid when providing what the Georgia Public Services Commission asks for. I have something (actually about a dozen easily verified items) for Mr. Bowles (the Director of Telecom) that will put hole in anything you give them that is less than accurate and truthful. If anything doesn't smell right to me after the Georgia PSC investigation I will overnight what I have to the FCC as well. I suggest that Sprint be above board and honest with the commissions or this matter could take a turn that you may not recover from for years and that doesn't include the HUGE amount of bad press that I promise WILL happen.
I contacted about 150 of our corporate clients here in Georgia. Did you know that 55 of them have Sprint circuits? And as you can guess I am collecting affidavits from them on what level of service they have and how much they are paying Sprint. I found some *very* interesting correlations and some very unusual pricing. Hmm, whom else should I send these affidavits to? I bet Sprint can easily guess.
Sprint Contacts for the Press
Linda Moreno (she said she would call me on 3/18/2008, so far she hasn't) Associate Analyst| Executive & Regulatory Services Phone: (817) 215-3471 | Fax (817) 215-3118 Linda.Moreno@sprint.com
Ron W. Schober (the guy in the MP3 audio file) Business Account Manager 816-854-1147 or 888-298-9228 fax 913-523-7781 email ron.w.schober@sprint.com
3/19/2008 UPDATE 2 - Seems that someone took the case from Linda Moreno and handed it to Diane Micali. So I am back where I started on Saturday it seems. Diane's email address is: Diane.M.Micali@sprint.com.
and i quote
"Dear Mr. Harkleroad, Sprint Nextel would like to acknowledge receipt of your recent inquiry to the Executive & Regulatory Services Department regarding your current account charges. We regret any frustration or inconvenience this matter may be causing you, but be assured your concerns have been forwarded to the appropriate account team for further review. As a loyal customer, Sprint Nextel values your opinion and appreciates the opportunity to respond to your concerns.
Sprint Nextel Executive & Regulatory Services Department"
Sounds like a dratted form letter doesn't it. I guess it may be time to double up my efforts.
Here is a bit of Sprint satire/humor for you
WAZZUP!
feel free to share this with everyone.
Feel free to republish this cartoon, I am releasing it under the creative commons share alike license.
3/18/08 A note to the Sprint folks - Don't be surprised when this issue gets national television coverage (maybe even right beside your new TV commercial). That is my next step toward ensuring that this issue is rectified properly. I just love those producers, journalists and reporters at The New York Times (Hi Maria!), The Register (Hi Cade!), AJC, LA Times, The Washington Post, CNN, Fox News, ABC News (Hi Sarah!), 48 hours, 60 minutes, etc. Heck I might even contact a friend that works on the Howard Stern radio show. I will continue unabated until I receive 100% satisfaction.
ATTENTION GEORGIA SPRINT CUSTOMERS - If you get service from Sprint in the state of Georgia I would love to know how much you pay for your dedicated Internet service (1.5mbit, 3.0mbit, T1, T3, fractional T1, etc.). I need some comparisons (for my attorney). You can use the contact form here, tell me what city or town, your speed (T1, DS3, etc.) and how much you pay sprint each month. Feel free to add your contact information as well. If it appears you are being gouged as well I will give you some contact information that will get the issue fixed. I will keep all information confidential.
I also wonder how many State and Federal agencies that have Sprint as a dedicated access provider that may not be getting what they are paying for. I would hate to think (my opinion) that Sprint would gouge the government, but you never know.
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If your business has Sprint dedicated access to the Internet I encourage you to get quotes from other companies and compare it to what you are paying Sprint. You may find that you are being charged anywhere from twice as much to six or more times as much than you should be. Call your Sprint rep and ask some hard questions. I found out that I pay about 4 times more than I should be. Shop for T1 (get a baseline for what you actually being charged by Sprint) is a good place to check T1 (DS1) or higher dedicated access rates. It will give you 20 or more quotes, show the loop charges, the monthly charges, etc of high-speed access providers that service your area. Be smarter than me and don’t get gouged. |
UPDATED 3/17/2008 - Sprint Corporate is aware of *some* of the articles I posted earlier in the weekend (see end of this for image goodness).
UPDATE 3/16/08 see bottom of this item for details
To make this quicker and easier I am publishing the email I sent to several FCC commissioners and the Sprint Next Board of Directors.
A warning to all Sprint corporate customers that have dedicated access (T1’s, etc.) if you are out of contract Sprint may be gouging you and claiming outrageously high local loop charges as the cause.
Read my the email/story, also there is a MP3 audio file at the end of this item. It's a conversation between me and Ron Shcober of Sprint. He tries so hard to make me believe the local loop cost is over $1900.00, yet the folks that supply it say the cost is tariffed and is only $500.00 for a 3mbit connection.
That equates to being ripped off for over $38,000.00 in the last two years. Would that make *you* mad?
-----Original Message-----
From: Allen Harkleroad GMP [mailtallen@xxxxxxxxx.xxx] Sent: Friday, March 14, 2008 1:47 PM T 'KJMWEB@fcc.gov' Cc: 'Michael.Copps@fcc.gov'; 'Jonathan.Adelstein@fcc.gov'; 'dtaylortateweb@fcc.gov'; 'Robert.McDowell@fcc.gov'
Subject: Sprint defrauding business customers with outrageous tariff (local loop) costs
Importance: High
Hi Guys,
I went out of contract with Sprint on a 3 megabit connection (two T1 lines) about a year or so ago. At that time I contacted my Sprint representative (at that time Lysa Schloesser) and was advised due to the extremely high local loop charge that my connection cost ($2460.00) would actually go up to over $2500.00 if I signed a new contract with them. She told me this on two occasions. Recently I was contacted by Ron W. Schober of Sprint and he advised me that my rate would actually go up over $2500.00 if I signed a contract and that I was better of paying $2460.00 a month out of contract.
I was just recently made aware that local loop charges are tariff items and not set by Frontier Communications (owned by Citizens Communications) and that the cost for the local loop access would be around $500.00 for a 3mbit connection, regardless of who was providing it. I made another inquiry to Bell South and was advised the same loop charge (about $500.00 for 3mbit).
I have been told by Sprint (Lysa Schloessor and Ron W. Schober) on more than 3 occasions (make that four time as we talked today) in the last year that the local loop costs for my 2 T1's was over 1900.00 ($950.00 per T1). I spoke with Frontier Communications today and was advised that the portion that sprint pays to frontier is only $250.00 per T1 or thereabouts ($500.00). Sprint is gouging unsuspecting customers and blaming the high costs on the high local loop charges.
Sprint does not publish, at least where I can find it publicly the access costs, which puts customers at a severe disadvantage as they have no way of verifying the actually costs and can only go by what Sprint representatives tell them.
I also have recorded the telephone conversations between myself and Sprint representatives as both Georgia and Missouri( the Sprint facility and rep I called is in Missouri) have one party consent laws to record conversations. I wanted to make sure I had evidence that Sprint is gouging corporate customers that are out of contract. My attorney advised that I should record today's conversation with Mr. Schober (Sprint), and I did as recommended.
Sprint representatives are using claims of high local loop charges as a basis to gouge customers.
In addition to wishing to file a complaint against Sprint with the FCC, my legal counsel may file against Sprint. In addition one of my staff writers will be putting together a investigative report and it will be on the Associated Press wire on Monday or Tuesday.
Best Regards,
Allen Harkleroad GMP Services Inc. Statesboro Georgia
---- end of email ----
Sprint Nextel Board of Directors email addresses
Daniel.R.Hesse@sprint.com William.G.Arendt@sprint.com Keith.Cowan@sprint.com Paget.L.Alves@sprint.com John.A.Garcia@sprint.com Chris.A.Hill@sprint.com Len.Kennedy@sprint.com Richard.T.C.LeFave@sprint.com Sandra.J.Price@sprint.com Kathryn.Walker@sprint.com barry.west@sprint.com bill.white@sprint.com
The titles and other info can be found here http://www2.sprint.com/mr/exList.do
In addition to filing a formal complaint against Sprint Nextel with the FCC, I will be contacting the Georgia Public Services Utilities Commission and Congressman John Barrow. Until Sprint rectifies the issue properly and ethically, I will generate as much bad press as is humanly possible. Sprint you shouldn't have screwed me out of $19,900.00 a year for the last two years. When you do bad things they come back to haunt you, and I am very angry about this. Not good at all.
Update March 16, 2008 12:42pm. I got a call yesterday (Saturday 3/15) from Linda Moreno of Sprint's Executive and Regulatory Services. We had a pleasant and informative chat and was advised that she/they would get to the bottom of the issue. I agreed to give her and Sprint till Wednesday (March 19th) to resolve the issue to my satisfaction. Should an equitable resolution not be reached at that time, I will move forward with plans of getting this issue as much press coverage as possible as well as continue forward with formal complaints with the FCC and other regulatory commissions among other things. Things like a couple of phone calls to some folks at the Securities and Exchange Commission (SEC) and a friend in Atlanta Georgia who also happens to be a staff attorney for the Federal Trade Commission.
Listen to the MP3 audio telephone conversation between me and Ron Schober of Sprint, her really tries to BS me into believing that the local loop cost is over $1998.00, a month yet the folks that supply the local loop says a 3mbit connection is only $500.00 because it is tariffed.
Update 3/17/2008 - Sprint Corporate aware of "some" of the articles. I bet it takes them a week to discover the other all over the Internet. Next comes getting the main stream press involved. I imagine my company isn't the only one being taken advantage of by Sprint.
I wonder if they will try any stupid lawyer tricks on me, if they do I have something for them that they definitely will not enjoy. (Hey Sprint, I've been down this road before and know exactly how to deal with arrogant executives and attorneys, bet on that. If you don't believe me then give it your best shot and see what happens). You know what they say about karma...
I want to say thank you to Ben, Owen and everyone at the Consumerist (The best consumer news site on the Net) for running an item about this issue.
I also want to say thanks to all the press (you know who you are!) and other folks that have called and emailed today. The next couple of days should be quite interesting.
 A picture is worth a thousand words
More news on Sprint and Nextel
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Rumor: Sprint to spin off NextelCNET News.com, CA - Mar 7, 2008 Rumors are swirling today over the future of Sprint. First off, Seeking Alpha is reporting that Sprint has hired Morgan Stanley for a possible spin-off of ...
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So who is reading this article?
Bear Sterns (15 times so far), house.gov, treas.gov, senate.gov, uscourts.gov, doe.gov, gsa.gov, fcc.gov, sec.gov, ftc.gov, a bunch of state government (state.gov.us referrers – I wonder how many are Sprint customers?), tons of financial brokerages and advisors, etc., tons of large banks, major TV networks, US newspapers, more telecom companies than you can shake a stick at.
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