Massachusetts Businessman Fights AT&T Over $1M Phone Bill

A U.S. businessman is engaged in a legal battle with AT&T Inc. over what he calls a fraudulent million-dollar phone bill.

Michael Smith, of Ipswich, Massachusetts, says in 2009 someone hacked into his small manufacturing company’s phone system and made nearly $900,000 in calls to Somalia. AT&T sued Smith for $1.15 million to recover the cost of the calls plus interest.

Smith tells The Salem News he has repeatedly asked AT&T to write off the bill but the company has not budged. He says if he is forced to pay it, his company will close and his 14 employees will lose their jobs.

Smith has countersued, alleging abuse of the legal process and violation of state consumer-protection laws.

An AT&T spokeswoman says the company does not comment on pending litigation.

Latest Comments

• July 16, 2012 at 3:04 pm

  M Pierce says:

  I too had a billing problem with AT&T. I spoke to their representative several times and I noted their names, and comments indicating that the bills I received were not ac... read more
• July 12, 2012 at 2:57 pm

  Bob says:

  And based on AT&T's stellar customer service record if they have no duty they will certainly not go above and beyond.
• July 11, 2012 at 10:21 am

  Chris says:

  I agree with Wudchuck. After the first billing cycle, someone at the company should have seen the calls and contacted ATT. Believe it or not, ATT has no duty to contact a cust... read more