Spectrum Workers are still on strike

By Kenneth Lovett, Daily News. 12.18.18. After being accused of defrauding its internet subscribers, Charter Communications Monday agreed to a whopping $174.2 million settlement with state Attorney General Barbara Underwood, the Daily News has learned.

In February 2017, the AG charged in a civil lawsuit that Charter Communication, and its predecessor Time Warner Cable, knowingly delivered since 2012 slower internet speed to customers than promised.

Under a deal reached Monday, Charter Communications/Spectrum Management Holding Company, agreed to repay $62.5 million directly to more than 700,000 active customers, who will each receive between $75 and $150 from the company.

It is believed to be the largest ever refund by an internet provider in U.S. history, according to the Underwood's office.

The company also agreed to provide 2.2 million of its active subscribers in New York more than $110 million worth of streaming services and premium channels at no charge, the AG's office said.

"This settlement should serve as a wakeup call to any company serving New York consumers: fulfill your promises, or pay the price," said Underwood said.

The attorney general said not only will it cost the company tens of millions of dollars, but "it also sets a new standard for how internet providers should fairly market their services."

Charter, which purchased Time Warner Cable and renamed it Spectrum Cable in 2016, has agreed to implement various reforms, including "substantial network investments," modem replacements, and upgraded WiFi routers, and will also be subjected to new advertising obligations and prohibitions.

It is the first settlement resulting from a broader investigation into broadband internet service providers in New York.

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