FTC Levies $350,000 Fine On Spammers In Affordable Care Act Spam - FOX 54 WZDX – Huntsville News, Weather and Sports

FTC Levies $350,000 Fine On Spammers In Affordable Care Act Spam

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A settlement has been reached between the Federal Trade Commission (FTC) and Kobeni, Inc., reputed to be the second highest offender of spam on the Internet. What happened was that during the roll out of the Affordable Care Act, Kobeni sent emails to unsuspecting consumers which told them that they would face fines if they did not click on a link and purchase health insurance right away. By visiting Auto Blog Blueprint X site one can access more info on the course.

What the consumer got when they clicked the link was advertisements to various insurance companies, who were unaware of the scam. Kobeni had been hired to drive traffic to these sites by an third party Auto Blog Blueprint X, so Kobeni got paid and the consumers got a bad deal, which still left them confused without insurance for the most part.

The link in the email went to several insurance companies who had hired Kobeni to drive traffic to their banner ads, websites, and other medial portals for their products. The companies were unaware of this situation, but Kobini had negotiated a fee for each time a consumer made an inquiry to their these websites, so to them it didn’t matter if the consumer did anything beyond visiting the websites.

Most of the consumers received no value for their efforts because, first of all, there was no deadline yet at that time, that was of any consequence, and the companies were not set up to market The Affordable Care Act at that time, so there was no benefit at all to the consumer.

In January of 2014, Kobeni, Inc. was charged with the violation of the FTC act which prohibits the spread of information that is deceptive, and in this case wrong information about the Affordable Care Act deadlines. They were also charged with violating the CAN-SPAM act because they failed to allow the consumers to opt out of the emails. By visiting Auto Blog Blueprint X one can gain more info on the program.

Kobeni, Inc. is apparently well-known as a notorious abuser of spam, which is the mass mailing of unsolicited emails that don’t follow the legislation that has been enacted to protect consumers from this kind of activity.

Even though there are many protective measure in place from a legal standpoint that are designed to protect consumers in cases like this, the offender was still able to get their deceptive information out there and make money on a fraudulent campaign.

Companies like this purposely flout the law and make enough money in many instances to exceed what any fines may be, and just go on down the road to the next caper.


Video Link: http://www.youtube.com/embed/pn_Yx2VY6JY

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