Syndication Feed From Technology News Daily - Spam

SPAM Act, Four New Rule Provisions

Technology News Staff — Tue, 13 May 2008 17:38:54 +0000

The Federal Trade Commission has approved four new rule provisions under the Controlling the Assault of Non-Solicited Pornography and Marketing Act of 2003 (CAN-SPAM or the Act). The provisions are intended to clarify the Act’s requirements. The provisions and the Commission’s Statement of Basis and Purpose (SBP) will be published in the Federal Register shortly.

The new rule provisions address four topics: (1) an e-mail recipient cannot be required to pay a fee, provide information other than his or her e-mail address and opt-out preferences, or take any steps other than sending a reply e-mail message or visiting a single Internet Web page to opt out of receiving future e-mail from a sender; (2) the definition of “sender” was modified to make it easier to determine which of multiple parties advertising in a single e-mail message is responsible for complying with the Act’s opt-out requirements; (3) a “sender” of commercial e-mail can include an accurately-registered post office box or private mailbox established under United States Postal Service regulations to satisfy the Act’s requirement that a commercial e-mail display a “valid physical postal address”; and (4) a definition of the term “person” was added to clarify that CAN-SPAM’s obligations are not limited to natural persons.

Srizbi Botnet, Half Of All Spam

Technology News Staff — Thu, 08 May 2008 14:23:48 +0000

A single botnet has grown so dramatically in the last two months that it now accounts for half of all the spam, according to new research from Marshal’s TRACE team. The Srizbi botnet has steadily increased its network since the beginning of 2008 and is now the world’s largest spam botnet.

“Srizbi is estimated to comprise at least 300,000 compromised computers and sends more than 60 billion spam messages per day. Recently, the botnet has been used to promote a range of products including watches, pens and male enlargement pills. Srizbi also actively distributes copies of its own malware in malicious spam campaigns using social engineering ploys to trick recipients into infecting their computers.

Adult Site Violated CAN-SPAM Act

Technology News Staff — Wed, 07 May 2008 12:27:18 +0000

The Federal Trade Commission and Department of Justice have halted the illegal conduct of an adult Web site that sent spam with false or misleading header information, that failed to include an opt-out mechanism, and that failed to include a valid postal address, all in violation of federal law. A final court order will bar violations of the CAN-SPAM Act in the future, require the defendants to establish an effective monitoring program for their affiliates, and impose a $75,000 civil penalty.

SEC Suspends Three Companies, Spam E-Mail Campaigns

Technology News Staff — Fri, 21 Mar 2008 18:39:17 +0000

The SEC suspended trading in the securities of three companies that haven’t adequately disclosed information to investors and have been the subject of spam e-mail campaigns and promotional videos on the Internet site YouTube. The videos often repeat information in the companies’ press releases and are posted to coincide with traditional spam e-mail campaigns.

The Commission issued an Order finding that each of the companies subject to today's trading suspension — NeoTactix Corporation (NTCX), Graystone Park Enterprises, Inc. (GPKE), and Younger America, Inc. (YNGR) — has inadequately disclosed its assets, business operations, and current financial condition.

Spam and Phishing Guilty Plea

Technology News Staff — Fri, 21 Mar 2008 18:05:03 +0000

DANIEL MASCIA, 24, of West Haven, pleaded guilty March 17, before United States Magistrate Judge Donna F. Martinez in Hartford to one count of conspiracy to commit fraud in connection with access devices and one count of fraud in connection with electronic mail. The charges relate to a “phishing” and “spamming” scheme that targeted AOL subscribers.

According to documents filed with the Court and statements made in court, MASCIA and his co-defendants conspired to “harvest” email addresses of AOL subscribers from the Internet. The defendants then spammed thousands of AOL subscribers with counterfeit emails purporting, for example, to convey an electronic greeting card. If an AOL subscriber attempted to view the greeting card, the subscriber’s computer would be infected with a software trojan preventing the subscriber from accessing AOL without entering information including the subscriber’s name, address, Social Security account number, credit card number, bank account number, and personal identification number. The defendants used the information to produce counterfeit debit cards, which they used at ATM machines, online, and at retail outlets to obtain money, goods, and services.

Website Spam Settlement

Technology News Staff — Thu, 06 Mar 2008 19:04:04 +0000

An X-rated Web operation that paid affiliates who used illegal e-mail to drive customers to its Web sites will pay a $413,000 civil penalty under a settlement reached with the FTC and the Department of Justice. The settlement also bars the illegal marketing practices in the future and requires the operator to monitor its affiliates to ensure that they are complying with the law.

In 2005, the FTC cracked down on seven companies that illegally exposed unwitting consumers, including children, to graphic sexual content, in violation of federal laws. Five of those cases were previously settled. The settlement announced today with Cyberheat, Inc., ends the litigation in that case, and brings the total combined civil penalty amount in these cases to over $1.6 million.

Felony SPAM Conviction Upheld

Technology News Staff — Sat, 01 Mar 2008 16:32:51 +0000

The Virginia Supreme Court has upheld the nation’s first felony SPAM conviction. “SPAM” refers to unsolicited bulk email sent by fraudulent means.

In November of 2004, Jeremy Jaynes was convicted by a jury in Loudoun County Circuit Court on three counts of violating Virginia’s groundbreaking Anti-Spam Act, which was passed into law in 2003. This marked the first ever felony conviction in a SPAM case, and the case received international attention. After convicting the defendant, the same jury sentenced him to serve nine years in jail. The defendant appealed his conviction. In September of 2006 the Virginia Court of Appeals affirmed the constitutionality of Virginia’s Anti-SPAM Statute and upheld the conviction. The Virginia Supreme Court today upheld this decision.

Spam Increases, Botnets Surpass Storm

Technology News Staff — Thu, 21 Feb 2008 17:33:39 +0000

Secure email and Internet gateway security provider Marshal has released the findings of its second Marshal TRACE (Threat Research and Content Engineering) Biannual Report for 2007.

The report found that total spam volume increased by over 50 per cent in the latter half of 2007. Health spam, promoting pharmaceuticals such as weight loss pills, was the dominant spam category in 2007, comprising nearly 70 per cent of all spam in the year. While interestingly, Stock spam declined in the second half of 2007 to 1 per cent of all spam, compared to 50 per cent in February 2007.

Spammers to Pay More Than $2.5 Million

Technology News Staff — Tue, 05 Feb 2008 15:37:26 +0000

At the request of the Federal Trade Commission, a federal judge has ordered Sili Neutraceuticals, LLC and Brian McDaid to pay more than $2.5 million for making false advertising claims and sending illegal e-mail messages in violation of the FTC Act and the CAN-SPAM Act (Controlling the Assault of Non-Solicited Pornography and Marketing Act).

On January 23, U.S. District Court Judge David H. Coar ordered the company and McDaid, individually and doing business as Kaycon, Ltd., to stop misrepresenting any products or services, including hoodia - or human growth hormone-related (HGH) products, and stop sending illegal spam. The court also entered a judgment against the defendants in the amount of $2,569,851.77. In August 2007, the FTC charged the defendants with CAN-SPAM violations and making false and unsubstantiated claims about hoodia weight-loss products and HGH anti-aging products, and a district court judge ordered a freeze of their assets and a halt to the e-mails and product claims.

Deceptive Spam Advertiser, $200,000 Civil Penalty

Technology News Staff — Thu, 31 Jan 2008 14:03:26 +0000

An online advertiser that drove traffic to its Web sites using spam e-mails with misleading subject lines has agreed to settle Federal Trade Commission charges that it failed to disclose that consumers have to spend money to receive the so-called "free" items it touts. The settlement, filed by the Department of Justice on behalf of the FTC, requires the defendants to disclose the costs and obligations to qualify for the advertised products or services, and bars them from sending e-mail that violates the CAN-SPAM Act. The settlement also requires that the company pay $200,000 in civil penalties.