The company that operates 120 Verizon Wireless stores in the metro area is turning up the heat on the cell phone provider, The Post has learned.
Zcom, which is involved in a bitter dispute with Verizon, sent a letter Dec. 29 to Manhattan US Attorney Preet Bharara and two federal regulators asking them to probe Verizon’s alleged actions in manipulating phone activation numbers.
Along with the letter, Zcom also included a CD on which a Verizon employee is heard allegedly pressing a Zcom sub-lessor into inflating activations, calling the matter a “do or die” situation, a source close to the matter told The Post.
Zcom, also known as In Touch Concepts, which is Verizon’s largest retail partner in the area, filed a $1 billion lawsuit last week against company and its parent, Verizon Communications, alleging the phone giants damaged its reputation by blaming Zcom for forcing the retailer’s sub-lessors to artificially inflate activations.
According to Zcom’s suit, Verizon inflated activation numbers by turning on pre-paid phones under fake names. The phones were never given to customers.
Of Zcom’s 120 stores, 90 are sub-leased.
In the letter, Zcom says it was “coerced into participation [in the scam] by threats of future loss of commissions, advertising monies, and even their business.”
Meanwhile, Verizon has sued Zcom so it can terminate its license as planned on Jan. 31.
Verizon Wireless has terminated the three Verizon Wireless execs who allegedly took part in the scam.
A Verizon Wireless spokesman said the egal case is without merit.