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FTC shuts down adware ring

ERG Ventures agrees to pay $330,000 over covert Media Motor installations

Shaun Nichols in California, vnunet.com 02 Oct 2007
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A company accused of running an adware scam which infected 15 million PCs has settled its case with the US Federal Trade Commission (FTC).

The owner of ERG Ventures has agreed to pay a $330,000 penalty and follow stricter distribution guidelines in the future.

The FTC alleged that ERG used seemingly harmless software downloads, such as screen savers and video files, to mask covert installations of the Media Motor adware program.

The covertly installed software proceeded to disable any antivirus or adware-blocking software installed on the user's computer and initiate a series of malicious installations.

These included tracking software, pop-up generators and other pieces of malware that slowed performance and changed system settings.

The FTC said that the software hid itself in installations performed with user consent, and was loaded even when users declined to have the original piece of software installed.

Once installed, Media Motor was "extremely difficult or impossible" for users to remove, according to the FTC.

The use of deceptive installation methods has led to several high-profile cases recently.

Adware vendor Zango was hit with a $3m fine in November 2006 for unauthorised installations performed by some of its affiliate vendors.

Video download network Movieland agreed in September 2006 to pay consumers more than $500,000 after the FTC charged that it had used unnecessarily invasive and disruptive billing software.

See also:

Lots of bark but no bite  29 Aug 2007
Software continues to be installed without user consent  01 Aug 2007
Computer crime authorities need to tread very carefully  19 Jul 2007
Apple iPhone'One of the most sophisticated' scams in recent times  16 Jul 2007
IT securityMcAfee highlights top 10 threats for 2007  20 Jun 2007
War may not be over  08 Jun 2007

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