Wednesday, September 06, 2006

FTC Closes Door on Spyware Operation

Via FTC.gov.

An operation that placed spyware on consumers’ computers in violation of federal laws will give up more than $2 million to settle Federal Trade Commission charges.

Under a stipulated final judgment and order, the defendants are permanently prohibited from interfering with a consumer’s computer use, including but not limited to distributing software code that tracks consumers’ Internet activity or collects other personal information, changes their preferred homepage or other browser settings, inserts new advertising toolbars or other frames onto their browsers, installs dialer programs, inserts advertising hyperlinks into third-party Web pages, or installs other advertising software code, file, or content on consumers’ computers.

The defendants also are permanently prohibited from making misleading representations regarding the performance, benefits, features, cost, or nature or effect of any type of software code, file, or content, including misrepresenting that the code is an Internet browser upgrade or other computer security software, music, song, lyric, or cell phone ring tone.

The order names Enternet Media Inc., Conspy & Co. Inc., Lida Rohbani, Nima Hakimi, and Baback (Babak) Hakimi, all based in California, whose software codes were “Search Miracle,” “Miracle Search,” “EM Toolbar,” “EliteBar,” and “Elite Toolbar.”

More here.

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