Text Message Scammer Gets Five Years in Prison (reuters.com)

36-year-old Fraser Thompson is going to prison, according to Reuters, after receiving a five-year sentence for "defrauding" cellphone customers out of millions of dollars. An anonymous reader quotes Reuters: Prosecutors said Thompson engaged in a scheme to sign up hundreds of thousands of cellphone customers for paid text messaging services without their consent. The customers were subsequently forced to pay more than $100 million for unsolicited text messages that included trivia, horoscopes and celebrity gossip, according to the prosecutors. They said the scheme was headed by Darcy Wedd, Mobile Messenger's former chief executive, who was found guilty by a jury in December but has not yet been sentenced. "They ripped off everyday cellphone users, $10 a month, netting over $100 million in illegal profits, of which Thompson personally received over $1.5 million," Manhattan U.S. Attorney Geoffrey S. Berman said in a statement.
Thompson was ordered to forfeit $1.5 million in "fraud proceeds," according to the article, and was convicted of conspiracy, wire fraud, identity theft and money laundering.

Seven other people also pleaded guilty to participating in the scam -- and one has already been sentenced to 33 months in prison.

Comments

Very interesting.

[Gravis Zero]

What I find so very interesting is that the judicial system doesn't seem to equate the overall amount of economic damage as being the same as if done to a single individual. Basically, you give everyone on the planet a paper cut and get a slap on the wrist but if you give one person 7 million paper cuts then it's somehow worse despite being far less damaging by three orders of magnitude.

Same thing for spam

[Solandri]

If it takes you 5 seconds to determine a single email is spam and delete it, then a spammer who sends out 500 million emails has basically cost a cumulative 1 lifetime (79 years) in wasted time.

We also do the same thing for financial (white collar) crime. The lifetime earnings for an average American is about $1.5 million. So by that metric, any white collar criminal who causes more than $1.5 million in damage should automatically get a life sentence. But we have this tendency to spread that cost over everyone, so $1.5 million becomes half a cent per American, and we sweep it under the rug. (To be fair, the same standard is used for non-white collar financial crimes like bank robbery. The harsher sentence is for threatening people working at or customers of the bank, not for stealing the money.)