Reps. Anthony Weiner (D-NY) and Henry Waxman (D-CA) have announced a hearing next Thursday on Goldline International, a company that encourages consumers to convert their assets into gold to prepare for the supposedly inevitable market collapse. Goldline has been accused, by Weiner and others, of using “aggressive sales tactics and conservative spokespeople such as Fox News’ Glenn Beck to sell overpriced gold coins.”
The House Subcommittee on Commerce, Trade, and Consumer Protection will meet at 10 a.m. ET on Thursday, September 23 ” to discuss legislation that would regulate gold-selling companies, an industry who’s relentless advertising is now staple of cable television,” according to a statement.
In May, Weiner released a report on an investigation into Goldline, in which he criticized the “unholy alliance” between Goldline and conservative pundits, who “promote the purchase of gold as the only safe investment alternative for consumers who want to safeguard their livelihoods,” and then cut to a Goldline commercial.
Beck in described it at the time as “another arm of this administration coming out to try to shut me down. This is absolutely incredible.” Watch his reaction here:
In a statement, Weiner said: “The frenzied marketplace has become rife with scam artists ready and willing to take advantage of consumers. The sole purpose of this proposed legislation is to protect consumers from being ripped off.”
Goldine’s problems don’t end with Weiner’s legislation. The Santa Monica City Attorney’s office launched a joint investigation into Goldline with the Los Angeles County District Attorney’s office in July, following more than 100 complaints from customers. A group of consumers in South Carolina also filed a class-action lawsuit in July, claiming they’d been “ripped off.”
In response to its troubles, Goldline hired top D.C. lobbying and PR firms to represent them.