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A new shareholder complaint against AT&T claims the company encouraged employees to create fake accounts for its DirecTV Now streaming service to juice its subscriber numbers and mislead investors ahead of its acquisition of Time Warner, shareholders allege in an amended complaint filed last week as part of a lawsuit against the company.According to the lawsuit, employees — who faced aggressive sales quotas — were "taught and actively encouraged" to convert activation fees that customers paid to upgrade their phones into the price for multiple DirecTV Now subscriptions. This was allegedly executed by "waiving the fee, but charging the customer anyway, and applying the payment to up to three DirecTV Now accounts using fake email addresses."The complaint claims customers were not told they had been signed up for a subscription, and that the company is said to have fielded regular complaints from customers who said that they were billed for accounts they did not sign up for. The complaint also details other alleged methods for increasing subscriptions without clients' consent.The purpose of these efforts, the lawsuit alleges, was to create the false impression that the service was compensating for declines in the legacy DirecTV satellite business, and to help justify the company's acquisition of Time Warner, now called WarnerMedia. WarnerMedia is CNN's parent company.CNN Business asked AT&T to respond to the merits of the lawsuit as well as for comment on specific allegations within it, such as claims the company pressured employees by setting aggressive sales targets and that employees were encouraged to use unrelated fees to create DirecTV Now accounts."We plan to fight these baseless claims in court," AT&T said in a statement in response.Plaintiffs include Local 449, a union pension fund based in Pittsburgh, and Melvin Gross, an investor who exchanged Time Warner stock for AT&T stock as part of the acquisition.DirecTV Now, which AT&T launched in late 2016, was billed as a key part of the company's pivot to entertainment. The lawsuit alleges that executives, including CEO Randall Stephenson, were deceitful in claiming that DirecTV Now's growth was stable, and that it was driven by "organic" demand and only limited promotions.But beyond the alleged inflation of subscriber numbers at unwitting consumers' expense, the service also suffered from significant turnover as customers jumped from one discounted streaming service to another, according to the complaint.The complaint says the plaintiffs and their attorneys spoke with a number of current or former AT&T employees who gave information about the alleged scheme. It refers to one former employee in Michigan who allegedly estimated that around 40% to 50% of the customers he dealt with starting in early 2017 complained of being billed for DirecTV Now subscriptions that they said they had not signed up for.The allegations come at what is for several reasons a delicate time for the company.Stephenson just 3043
A team of doctors, lawyers and advocates are warning of what they say are major health and hygiene problems at several US 134
A serviceman who served in Iraq with a Navy SEAL accused of premeditated murder testified Wednesday that the defendant twice stabbed an injured alleged ISIS fighter in the neck.Navy Special Operations Chief Craig Miller, a star witness in the military trial of 273
Alabama Public Television says it won't air an episode of the children's show "Arthur" that featured a same-sex marriage."Mr. Ratburn and the Special Someone" aired as the premiere for the show's 22nd season on May 13. But not in Alabama.Programming director Mike McKenzie says Alabama Public Television has no plans to broadcast the episode.The storyline about Mr. Ratburn's marriage conveys a positive message, he said. But while many parents will find it appropriate, many others will disagree, he said -- "either because their children are too young, or because of their beliefs.""Our broadcast would take away the choice of parents who feel it is inappropriate," McKenzie told CNN in a statement.The response to the decisionCNN has reached out to WGBH, which produces the series, and is waiting to hear back. PBS told CNN that its local channels decide what to put on the air in their markets."PBS Kids programs are designed to reflect the diversity of communities across the nation," PBS Kids' Maria Vera Whelan told CNN. "We believe it is important to represent the wide array of adults in the lives of children who look to PBS Kids every day."The show's creator told CNN he felt like the episode was a responsibility they had with Arthur.Mark Brown cited his friend Fred Rogers, better known as Mr. Rogers, who taught him how television could be used to help children in families."So many of us have have family or friends who are gay who are not represented in the media," Brown says. "We have people in our family that are gay and raising children and looking for things to validate their families."The ceremony is a literal wink and nodThe episode doesn't specifically address Ratburn's sexuality or show a marriage ceremony."Who is Mr. Ratburn marrying?" Muffie, one of the character, asks.The scene then cuts to Mr. Ratburn, their third-grade teacher walking down the aisle with Patrick, a chocolate maker. Patrick simply answers the children with a wink.To see the episode for yourself, view the episode by clicking 2046
A police department in Texas has apologized to a man after two mounted police officers leashed him to their horses during an arrest.The photos, taken by bystanders in Galveston, Texas, prompted outrage and accusations of racism against the police department.According to the Galveston Police, 43-year-old Donald Neely was arrested for criminal trespassing on Saturday. During his arrested, two officers — identified only as P. Brosch and A. Smith — clipped a rope to his handcuffs, which was being held by one of the officers.The officers' body cameras were activated at the time. The department did not say whether the two officers had been disciplined. 666