Some of Minnesota's top Republicans, including Gov. Tim Pawlenty and Auditor Patricia Awada, have had business ties to a Minneapolis-based telephone company accused of cheating consumers in seven states, a Pioneer Press investigation has found.
Last year, New Access Communications paid $222,000 to settle charges it violated consumer protection laws in three of those states — Washington, Oregon and Indiana — by overcharging some customers and tricking others into changing their telephone services.
Each case involved complaints filed while Pawlenty was one of three directors and an investor in New Access' parent company, NewTel Holdings. Directors are legally responsible for overseeing the management of a company and its subsidiaries, experts say.
Awada owned Capitol Verification, a company that checked New Access orders to make sure consumers truly wanted to change their telephone service. But regulators found her firm sometimes failed in that role. Awada in January sold the company to one of the founders of New Access and was paid, in part, with stock in the parent company.
http://www.twincities.com/mld/pioneerpress/business/6291921.htm