FTC Settles Four Spamming Cases

The Federal Trade Commission Thursday announced settlements with four operations it accused of sending illegal spam e-mail.

In the first settlement, Cleverlink Trading Ltd. and its partners will pay $400,000 to settle FTC charges that their e-mail or that of their affiliates violated the Can Spam act. The e-mail used misleading headers and deceptive subject lines, and did not provide a valid physical mailing address for the sender and a link to allow people to opt out of future mailings, all Can Spam violations, the FTC said.

Cleverlink and its affiliates also violated the FTC’s Adult Labeling Rule by failing to disclose their e-mail was sexually explicit, the FTC said.

Also named as part of the Cleverlink settlement were Real World Media, Brian D. Muir, Jesse Goldberg and Caleb Wolf Wickman.

In the second settlement, the FTC announced it obtained a judgment of $151,000 against Zachary Kinion who it alleges sent spam hawking adult sites, mortgages and privacy software. The FTC also alleged that Kinion paid affiliates to spam for him, and hijacked other people’s computers. The settlement has been suspended because Kinion can’t pay, the FTC said.

In the third settlement, the FTC said it obtained a judgment of $8,000 against William Dugger, Angelina Johnson and John Vitale. The FTC alleged that they hijacked other people’s computers to send sexually explicit e-mail that violated the Adult Labeling Rule.

In the fourth settlement, the FTC said it obtained a judgment of $24,193 — suspended based on his inability to pay — against Brian McMullen, doing business as BM Entertainment and B Pimp. The FTC alleged that McMullen routed pharmaceutical and pornographic spam through other people’s computers in an attempt to conceal the source of his e-mail.

McMullen has pleaded guilty to spamming-related charges and awaits sentencing, the FTC said.