NY AG Reaches $2.76 Million Settlement With Ticket Brokers Since Announcing Investigation in January
Apr 27, 2016 10:20 AM EDT
New York Attorney General's (AG) office has announced on Tuesday reaching settlements worth $2.76 million with six ticket brokers. The settlement appears to be a part of its on going investigation over the online ticket scalping market.
The NY AG office has announced the investigation during January with a 41 page report detailing many legal and illegal means for online ticket selling. Ordinary fans of concerts, Broadway shows and sporting events are prevented from purchasing tickets online.
Brokers allegedly apply automated software or 'bots' to hurriedly book the best seats. The seats are then resold to consumers at inflated prices, reports The New York Times, citing the investigation report by AG office as the source.
Eric Schneiderman, Attorney General for New York, believes the city dwellers deserve a fairer ticket marketplace. He, however, pledges for continuing efforts to enforce ticket laws through identifying ticket brokers upon investigation. NY AG has also committed to bring the brokers acting in violation of prevailing laws under book while forcing them to pay for their illegal acts through legal procedures, reports ABC News, quoting an AG statement.
Six brokers have been selling tickets in New York without proper licensing, while five other brokers use software to book tickets for reselling, an illegal operation in New York. Investigations by NY AG office has unearthed the evil nexus and published in its report. Settlement announced on Tuesday requires to stop using bots while obtaining proper licenses as ticket resellers, according to a report published in San Francisco Chronicle.
The investigation report also reveals that TicketToad, a broker, has illegally bought 520 tickets to a Beyoncé concert at Barclays Center in August 2013 within three minutes. In another disclosed event, 'Avery Tickets' has bought 522 tickets to a One Direction show at Jones Beach in June 2013 within five minutes.
Among the six brokers reached under settlement, Flying Falco Entertainment has paid the largest settlement at $1,125,000. Another broker, Charm City, has paid the least at $100,000. The NY AG office has collected just over $2.9 million in settlements linked to the investigation so far including two other settlements announced in January.
The investigation disclosed in January has also revealed a plan adopted by AG office for pressuring the bigger powers of the music industry to be more transparent in ticket selling. However, Tuesday's announcement hasn't revealed any further development in this regard.
New York Attorney General has announced investigation against ticket brokers for the online market in January through publishing a 41 page report. The report has unearthed an evil nexus comprising of the brokers operating in violation of concerned laws. On Tuesday, the NY AG office has announced collecting $2.76 million from settlements with the brokers since initiating the investigation.