Audit Bureau of Circulations hit with fraud lawsuit

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New York—An advertiser has filed a lawsuit alleging that the Audit Bureau of Circulations was part of a circulation-inflation scheme. The lawsuit claims that ABC helped publishers cover their tracks as they inflated paid circulation figures at Laptop magazine. The suit, filed by software developer Teletype Co., was reported in the April 18 edition of Newsday .

In a statement released Tuesday, ABC President Michael J. Lavery said his group's inclusion as a defendant had no merit. “ABC concluded its last audit of Laptop magazine in 2002 and has since terminated the publication's membership in ABC,” he said. “Moreover, ABC has no relationship with InFlight Newspapers and Magazines, Bedford Communications or any of their principals."

In addition to the bureau, the suit seeks damages from Bedford Communications, which publishes Laptop, two Bedford executives and the now-defunct circulation sponsor InFlight Newspapers and Magazines.

—Matthew Schwartz

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