California Telemarketer Loses Court Appeal

A California telemarketer who has raised millions of dollars in the name of charity has lost an attempt to lift a court ruling that prohibits the telemarketer and his associates from doing business in the state.

The Fourth District Court of Appeal in Santa Ana, Cal., upheld a 1995 Superior Court decision that found that Mitchell Gold; his father, Herbert; and other family members and associates created “shell” charities mainly to accept money raised by their companies — and lied to donors about how the money would be spent.

The telemarketing companies of Mr. Gold and associates operated under various names, including Orange County Charitable Services, North American Charitable Services, and U.S. Marketing.

Government officials in Kansas, Oregon, Missouri, and other states have won judgments against the solicitors. And in November, the Federal Trade Commission filed a lawsuit, which is still pending, against the telemarketing business.

Mr. Gold and his father could not be reached for comment.