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Court Shuts Down Alleged $120M Tech Support Scam
wiredmikey writes A federal court has temporarily shut down and frozen the assets of two telemarketing operations accused by the FTC of scamming customers out of more than $120 million by deceptively marketing computer software and tech support services. According to complaints filed by the FTC, since at least 2012, the defendants used software designed to trick consumers into believing there were problems with their computers and then hit them with sales pitches for tech support products and services to fix their machines.
According to the FTC, the scams began with computer software that claimed to improve the security or performance of the customer's computer. Typically, consumers downloaded a free, trial version of the software that would run a computer system scan. The scan always identified numerous errors, whether they existed or not. Consumers were then told that in order to fix the problems they had to purchase the paid version of the software for between $29 and $49. In order to activate the software after the purchase, consumers were then directed to call a toll-free number and connected to telemarketers who tried to sell them unneeded computer repair services and software, according to the FTC complaint. The services could cost as much as $500, the FTC stated.
According to the FTC, the scams began with computer software that claimed to improve the security or performance of the customer's computer. Typically, consumers downloaded a free, trial version of the software that would run a computer system scan. The scan always identified numerous errors, whether they existed or not. Consumers were then told that in order to fix the problems they had to purchase the paid version of the software for between $29 and $49. In order to activate the software after the purchase, consumers were then directed to call a toll-free number and connected to telemarketers who tried to sell them unneeded computer repair services and software, according to the FTC complaint. The services could cost as much as $500, the FTC stated.
did this take so long to occur. It amazes me both that people fall for this, and that the credit card companies allow these services to operate under merchant accounts.
been here too. Someone walks in with a computer and a subscription to some nanny software (big name, can't remember it. Net Nanny? No, one of the other ones). Says it's riddled with pop ups. Five minutes in and I've isolated the problem to a redirect to a proxy (clearly in an attempt to get around the softwall), I tell her, "This should have been blocked by the software you've got installed." Asked ME for her money back, I'm like, "You didn't buy it off me, I'm not a software vendor for a start and for two, I don't have a support contract with these guys."
At which point, she takes her computer and leaves, comes back three hours later with a trading standards officer in tow. I tell him what I told her. Not my problem, she's trying to get her computer fixed for free after the software she paid for elsewhere failed to do what she expected.
TSO leaves.
Political debates have me rolling my eyes so much I think I got optical whiplash. I should sue. - Foamy The Squirrel