Two companies, principles behind 'Miss Cleo' indicted

ST. CHARLES, Mo. -- Two Florida men and a pair of companies behind the hot lines for television psychic "Miss Cleo" have been indicted on fraud-related charges.

St. Charles County grand jurors returned the criminal indictments Sept. 13 against Steven L. Feder, 52, and Peter Stolz, 54, both of Fort Lauderdale, Fla., the St. Louis Post-Dispatch reported in a copyright story Tuesday.

Court papers identified their companies as Access Resources Services Inc. -- a Delaware company also doing business as Miss Cleo, Mind and Spirit, Psychic Readers Network and Real Communications Services Inc. -- and Florida-based Psychic Reader Network Inc.

Feder, Stolz, Access Resource Services and Psychic Reader Network are each charged with two felony counts of unlawful merchandising practices.

Miss Cleo, whose real name is Youree Dell Harris and who has claimed to be a Jamaican shaman, was not charged.

Feder and Stolz are to appear in court today, the Post-Dispatch reported. One of their attorneys, Ed Dowd, told the newspaper he could not discuss the charges.

Dowd did not immediately return telephone messages Tuesday from The Associated Press.

Missouri Attorney General Jay Nixon likely would discuss the matter publicly on Wednesday, spokesman Scott Holste said.

The Federal Trade Commission, Missouri and several other states have investigated the companies, often accusing the psychic service of misdeeds that include false promises of free psychic readings and tricky advertising, billing and collection practices. Missouri filed two lawsuits last year, accusing the psychic hot line of false advertising, civil fraud and violating Missouri's no-call law.

The psychic hot line drew millions of phone calls generated from the Miss Cleo late night TV infomercial campaign, which has been halted as part of a deal with the FTC. The commission has said there are 6 million victims in the case.

The indictment lists two victims, both from St. Charles, from among more than 300 complaints filed by Missourians. Prosecutors told the newspaper that one of the local victims got $200 in bills for calls he never made.

, and that the company continued demanding payment even after he told it he never had the number where the calls originated.

The other victim said she called the hot line for a free consultation she never got; instead, she was kept on the line for an hour, then got a recorded message saying her time had expired. Her call was abruptly terminated, and the next month she got a $300 bill.

When she called to complain, she was billed for another $14, the Post-Dispatch said.