Sued by state, New Braunfels Internet company agrees to $8M settlement

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Nomad Internet News

State officials accused Nomad Internet and its owners of selling fraudulent internet access.

A New Braunfels Internet service company and its owners have agreed to pay up to $8 million to settle a Texas attorney general’s lawsuit that accused them of operating an illegal scheme targeting customers in rural areas. The Consumer Protection Division of the Texas Attorney General’s Office sued Nomad Internet in April 2023, accusing the company being involved in a multi-million-dollar scheme targeting Internet users in rural areas.

New Braunfels trio sued by Texas AG's office, accused of selling bogus Internet service “Nomad Internet would acquire large quantities of SIM cards from legitimate wireless Internet providers, reprogram those SIM cards to avoid detection, and then repackage the telecommunication equipment for resale to unsuspecting consumers,” according to the attorney general’s office.

New Braunfels moves ahead with $20 million land deal The settlement requires Nomad Internet to pay $2 million in refunds to roughly 20,000 customers, $1 million in legal fees and $2 million in other civil penalties. If the company or its agents violate any terms of the agreement, they will have to pay an additional $3 million in civil penalties, according to the settlement agreement.

 

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