FTC Shuts Down Tech Service Using Deceptive Pop-Up Ads

(October 12, 2016) A multi-national tech support group of companies, which used deceptive pop-up ads to scare consumers into believing their computers were infected, has been temporarily shut down by the Federal Trade Commission (FTC).

The companies, which generally operate under the name Global Access Technical Support, use pop-up ads sometimes with a loud alarm “that warn consumers that their computers have been hacked, infected, or otherwise compromised, and are in immediate need of computer security or technical support service,” the FTC alleges in its complaint. The ads then direct the consumers to an 800 number to have the problems resolved. However, the number connects the consumers to a “boiler room” in India where salespeople purporting to be computer technicians sell the consumers bogus repair services.

The fake technicians take control of the consumer’s computer and “run a series of purported diagnostic tests, which, in reality, are nothing more than a high-pressure sales pitch designed to scare consumers into believing that their computers are corrupted, hacked, or otherwise compromised, or generally performing badly,” the FTC said. If the consumer succumbs to the pressure, the “technician” charges $200 for a one-time fix or $400 for a one-year support plan.

“After charging consumers for technical support services, Defendants then spend one to two hours logged on to consumers’ computers to perform the purported ‘repairs.’ In numerous instances, these ‘repairs’ are unnecessary or even harmful. At best, Defendants leave consumes’ computers in no worse condition than when the consumers first called Defendants. At worst, Defendants’ services may cause consumers’ computers to be more vulnerable to security intrusions and other technical problems,” the FTC complaint said.

A federal court in Missouri granted the FTC’s request for an order temporarily shutting down the companies and their practices and freezing their assets. The case originally was filed under seal. The companies include Global Access Technical Support, LLC, Global sMind LLC, Source Pundit LLC, and Helios Digital Media LLC—all of which are Missouri companies, as well s VGlobal ITES Pvt. Ltd., an Indian corporation.

FTC v. Global Access Technology Support LLC et al., E.D. Missouri No. 16CV1556, filed October 3, 2016 under seal and made public on October 12, 2016.