“Fake Out Products” To Be Banned

December 13, 2008

US (ChattahBox) – The FTC (Federal Trade Commission) has taken out a restraining order against Innovative Marketing, Inc. and ByteHosting Internet Services, LLC., two companies involved in the creation and distrubution of “scareware”, programs designed to create false alerts of viruses, illegal pornography, and spyware.

Court documents state that the two companies tricked websites into hosting their advertisements, and then took advantage of the site’s viewers to tell them they had harmful things on their computer, advising them to click a link to install a software that would get rid of it.

“The popularity of the rogue anti-virus and spyware products has rocketed,” Yuval Ben-Itzhak, chief technology officer of Finjan, told reporters. “People are paying 40-60 dollars for bogus software which does nothing.”

The FTC hopes to achieve further action by banning the distribution of this software all together.


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