[Linda]

The Federal Trade Commission on Thursday filed the first case in the country against software companies accused of infecting computers with intrusive "spyware" and then trying to sell people the solution.

The commission accused the companies of infecting computers with unsolicited software, showering computer screens with pop-up ads and then trying to get consumers to pay $30 to fix it. It is seeking an injunction to get the companies, owned by the same person, to stop, and to offer restitution to consumers.

Full article -
http://www.usatoday.com/tech/news/computersecurity/2004-10-07-ftc-spyware_x.htm

[ecomcity]

Sounds like a super affiliate taking it in the shorts ....

The FTC requested a temporary restraining order from the U.S. District Court for the District of New Hampshire against Seismic Entertainment Productions, Smartbot.Net, and Sanford Wallace.

The FTC said the companies secretly installed the software on computers, causing systems to be overwhelmed by pop-up advertisements, and then sending them alarming messages saying they needed to buy "Spy Wiper" or "Spy Deleter" for $30.

The FTC alleges the defendants have unfairly changed consumers' Web browsers, installed advertising and other software programs, and compelled purchase of anti-spyware software.

Seismic is based in Rochester, N.H.; SmartBot in Richboro, Pa., with its principal place of business in Barrington, N.H. Wallace is officer and director of both Seismic and SmartBot.

[Drewbert]

Sandford Wallace strikes again!

[chetf]

This is the case I spoke with to the ftc about 6 months ago or so. Not that I was the sole complaint, but that really does show there is value in contacting the FTC about these scumbags - just make sure to document everything very clearly. People in my forums helped me on that one and we had a ton of evidence.

This makes 3 cases I have reported that the FTC has acted on, one even got me a $50 check. So report these things!!!

Chet

[Kellie aka Ms. B]

For those folks who didn't catch what Drewbert's post is referring to, Wallace is the guy who was known as the "Spam King" and at one point was said to be responsible for the majority of spam being sent out. He was sued by major ISP's (Earthlink, AOL, Comupserv) for his spam back in the late 90's which effectively lead to his spam biz being shut down.

You can read the full story here (http://www.fosters.com/October_2004/10.10.04/news/su_1010f.asp) which gives a pretty interesting account for past history and what's currently going on.

I'm not quite getting why all the media is calling this the first action by the FTC though. They had filed a similar case in the past. Those 2 kids who were behind the MS Messenger exploit and were also peddling antispyware software. I think those kids may have recently settled their case with the FTC.