Results 1 to 7 of 7
  1. #1
    Network Rep & ABW Ambassador Carolyn - ShareASale's Avatar
    Join Date
    September 6th, 2005
    FTC action
    Pulled this from the WSJ online, but from AP:

    FTC Tries to Shut Company
    Accused of Spreading Spyware

    Associated Press
    October 5, 2005 2:43 p.m.

    WASHINGTON -- Government regulators are trying to shut down a company they say secretly downloaded spyware onto the computers of unwitting Internet users, rendering them helpless to a flood of pop-up ads, computer crashes and other annoyances.

    The Federal Trade Commission accused Walter Rines of Stratham, N.H., and his company, Odysseus Marketing, of luring computer users with the promise of free software that would make peer-to-peer file sharing anonymous. The claim was bogus, the agency said, and the software was bundled with spyware that was secretly downloaded onto computers.

    Spyware has been a growing problem, with calls in Congress for legislation and an increase in enforcement by federal regulators. Spyware describes a broad category of software that can be installed through unsafe emails or Web pages, or can be bundled with software that consumers download to their computers.

    Mr. Rines said he has done nothing wrong and that users were fully aware of what they were downloading. "There was nothing secretly installed anywhere," he said. "In fact, the users had to click a box that said they read the end-user license agreement."

    The FTC said the disclosure about spyware was buried on Mr. Rines's Web site.

    Odysseus allegedly used a spyware program called Clientman that spawned downloads of dozens of other programs -- slowing computers down, bombarding them with pop-up ads and redirecting them to fake search engines that were rigged to show Mr. Rines's clients first, according to the FTC complaint.

    The agency also said the spyware was impossible to remove. Mr. Rines, the FTC said, offered his own "uninstall" tool, but it didn't work and actually installed additional software.

    The commission accused Mr. Rines and his company of unfair and deceptive practices that violate federal law. It asked a federal judge in New Hampshire for a temporary restraining order, but planned to seek a permanent halt to Mr. Rines's operation.

    The lawsuit is an encouraging step because it can be difficult to track down the distributors of spyware, said Ari Schwartz, associate director at the Center for Democracy and Technology, a privacy-advocacy group that researches and investigates spyware.

    "It's a big deal," he said. "It shows the FTC can work its way backward down the chain."

    The FTC filed its first federal anti-spyware case last fall against Sanford Wallace, a New Hampshire man known as the "Spam King." It accused him of using spyware programs to infect computers and then selling $30 remedies that the agency said didn't work.

    Messrs. Wallace and Rines were partners at one time, the commission said.

    Copyright © 2005 Associated Press
    ShareASale Client Services
    Y!: SAS_CTang
    e: ctang(at)

  2. #2
    Lite On The Do, Heavy On The Nuts Donuts's Avatar
    Join Date
    January 18th, 2005
    Winter Park, FL
    Greed over morals - far too common on the Net. GLAD to hear the FTC is doing something... I mean anything...

  3. #3
    Domain Addict / Formerly known as elbowcreek Thomas A. Rice's Avatar
    Join Date
    January 18th, 2005
    Hopefully, this will come down to INTENT. Burying an agreement to accept spyware in some large innocuous license agreement the user has to click on should not constitute an adequate defense. If it can be determined that your intent was to trick the consumer into clicking the button and loading spyware, then that should be enough to convict you of a crime.
    Following everyone else is a GREAT way to become average.

  4. #4
    Defender of Truth, Justice and the Affiliate Way
    Join Date
    January 18th, 2005
    The Swamp
    Messrs. Wallace and Rines were partners at one time, the commission said.
    That would be Spamford Wallace. Imagine that.....

  5. #5
    ABW Ambassador Andy's Avatar
    Join Date
    January 18th, 2005
    Another one bites the dust...

    Let's roll! Get more of the scumbags!!


  6. #6
    ABW Ambassador Greg Rice's Avatar
    Join Date
    January 18th, 2005
    If they really want to make a dent in this, they need to impose some stiff penalties like jail time and penalties equal to 10 times the money earned illegally. A 1 million dollar fine to company who makes 10 million a year doing this can just be the cost of doing business. Make the fine 10 times all money earned illegally makes this type of business no longer profitable.
    Greg Rice Affiliate Program Management info(AT) | 330-259-1223

    Join us! - | DiscountCandleShop/CheeseSupply | Feng Shui Plaza

  7. #7
    Full Member bwc's Avatar
    Join Date
    January 18th, 2005
    Rock Town USA
    Hang'em all by the gonads~!

  8. Newsletter Signup

+ Reply to Thread

Similar Threads

  1. FTC announce legal action against ‘global pyramid scheme’ Fortune Hi-Tech Marketing
    By Chuck Hamrick in forum Newbie Affiliate FAQs & Helpful Articles
    Replies: 0
    Last Post: February 1st, 2013, 05:30 PM
  2. FTC Resolves first Action against "Affiliate Network" of Internet Advertisers
    By Chuck Hamrick in forum Newbie Affiliate FAQs & Helpful Articles
    Replies: 0
    Last Post: May 27th, 2012, 04:34 PM
  3. Class Action lawsuits/civil action
    By Lurker Jones in forum Midnight Cafe'
    Replies: 4
    Last Post: October 1st, 2005, 07:43 PM
  4. Where is the FTC?
    By yintercept in forum Midnight Cafe'
    Replies: 0
    Last Post: January 20th, 2003, 02:04 PM
  5. The FTC and spam
    By bigchuck in forum Midnight Cafe'
    Replies: 2
    Last Post: February 14th, 2002, 10:45 PM

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts