I have been in email contact with Jae from Starwood. Jae told me that I should receive 5000 Starwood point from AT&T after 90 days. It is not the 7500 points that were promised but its better than nothing.
I remember when I originally signed up with AT&T my phone call was recorded to ensure quality service. I guess those recordings are only used when statements from the customer are questioned, not statements from AT&T. AT&T was no help at all.

Thanks again Jae.

Jay