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The U.S. communications regulator on Tuesday proposed a 5 million fine, its largest ever, against two health insurance telemarketers for spamming people with 1 billion robocalls using fake phone numbers.The Federal Communications Commission said John Spiller and Jakob Mears made the calls through two businesses. State attorneys general of Arkansas, Indiana, Michigan, Missouri, North Carolina, Ohio and Texas also sued the two men and their companies, Rising Eagle and JSquared Telecom, in federal court in Texas, where both men live, for violating the federal law governing telemarketing, the Telephone Consumer Protection Act.The FCC said the robocalls offered plans from major insurers like Aetna and UnitedHealth with an automated message. If consumers pressed a button for more information, however, they were transferred to a call center that sold plans not connected to those companies. The FCC said the Missouri attorney general sued Rising Eagle’s largest client, Health Advisors of America, for telemarketing violations last year.Over more than four months in early 2019, the FCC said, these telemarketers faked the number their calls displayed in caller ID with intent to deceive consumers; purposefully called people who are on the Do Not Call list; and called people’s mobile phones without getting permission first.Consumers weren’t the only ones bothered. The telemarketers faked their calls to make them appear they came from other companies, which then received angry calls and were named in lawsuits from consumers. The FCC didn’t name these companies, but said one got so many calls that its phone network “became unusable.”The fine is not a final decision. Spiller and Mears will have a chance to respond.As robocalls became a pressing issue for consumers, both as an annoyance and as a vehicle for fraud, the FCC has pushed carriers to do more to stop them. A new law beefs up enforcement and mandates that the phone industry not charge for call-blocking tools and put in place a system designed to weed out “spoofed” calls made using fake numbers.Reached by phone at the number listed for JSquared, Spiller declined to comment. He declined to provide contact information for Mears and said neither would speak before talking to an attorney. 2275

The United States has set another record for new coronavirus cases. More than 50,000 new cases were reported Wednesday, a single day record.For comparison, it took over two months to record that number of cases nationwide when the pandemic started.New cases have increased in at least 37 states over the past week. But Dr. Anthony Fauci says it's not too late to turn the surge around."It does not have to be 100,000 cases a day,” said Dr. Anthony Fauci, Director of the National Institute of Allergy and Infectious Diseases. “I used that number because I wanted to jolt people. If you leave the virus to its own devices, it will take off on you."The stark numbers have prompted state officials to issue warnings about gatherings for the Fourth of July weekend. Doctors say it could be a “perfect storm” for another spike.The mayor of Houston fears hospitals could reach capacity by mid-July if people don't help change the trajectory."Unless the behavior changes and people will engage in social distancing and wearing their masks and proper hygiene, there could reach a point where they are really at their limit," said Mayor Sylvester Turner. 1153

The Trump administration's executive order threatening to withhold funding from sanctuary cities is unconstitutional, a US appeals court said Wednesday.This story is developing. 190

The Trump administration has formally asked the Federal Communications Commission (FCC) to develop regulations that could apply to Facebook, Twitter and other such platforms.It's a key step toward President Donald Trump fulfilling his executive order to regulate social media.The order asks the FCC to clarify a section of law that has shielded tech companies from much litigation over internet content since 1996.The FCC — which is reviewing the Administration's petition — now has to decide whether to agree with the president's call for oversight or not.Legal experts say the agency has traditionally avoided regulating internet companies in the past. 662

The US stock market sank deeper into the red following sluggish economic reports on Monday and bad news from a couple of blue-chip giants.The Dow fell 600 points by late afternoon, or 2.6%. The S&P 500 lost 2.6% and retreated to its lowest level of the year. And the Nasdaq joined the Dow & S&P 500 in negative territory for 2018. All three indexes have plunged about 7% so far this December.The Dow closed down 507 points for the day.And the Russell 2000 index of small-cap stocks tumbled into a bear market, marking a 20% decline from the record highs notched in late August.A weaker reading from the New York Federal Reserve about manufacturing in the Empire State and a drop in confidence from the nation's homebuilders weighed on the markets."Investors are zeroing in on this idea of slower growth for 2019," said Michael Arone, chief investment strategist at State Street Global Advisors. "More people are worried about a recession in late 2019 or 2020."The political noise in Washington isn't helping either. President Trump, in a tweet Monday morning, repeated his criticism of the Federal Reserve for its recent rate hikes. The Fed meets Wednesday and is widely expected to raise rates again.But Trump tweeted that "it is incredible that with a very strong dollar and virtually no inflation, the outside world blowing up around us, Paris is burning and China way down, the Fed is even considering yet another interest rate hike. Take the Victory!"The Fed is supposed to be politically independent. Any evidence that it might be swayed by attacks from Trump could unnerve the markets."If the Fed doesn't raise rates it will look like it's succumbing to the bullying of Trump's tweets," Arone said.But Nancy Perez, managing director at Boston Private, said the Fed is likely to slow down its pace of rate hikes in 2019 simply because the economy is slowing, not because of pressure from Trump.Perez added that the recent market turmoil is justified because investors are readjusting to this fact."We have been getting a bump in profit margins due to lower taxes but the earnings growth itself is not sustainable," Perez said. "Projections will come down and volatility will continue." 2247