FTC goes undercover to probe suspected antivirus scam, scores $26M settlement

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FTC goes undercover to probe suspected antivirus scam, scores $26M settlement
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Imagine trying to trick folks into buying $500 of unnecessary repairs – and they turn out to be federal agents

Specifically, it's claimed the outfits would wait for people to install the pair's supposedly anti-malware tools and then strong-arm those folks into paying hundreds of dollars each for cleanup services and other stuff that weren't actually needed.

In this particular case, the FTC did more than just collect records, interview victims, and file charges: The watchdog got right into the midst of the suspected fraud by subjecting its own agents to the companies. Once the Restoro and Reimage"system repair" tools were purchased and installed by FTC agents, a telephone number was displayed to call to activate the products. Upon calling they were told the machine had too many problems for Restoro or Reimage's software to fix, and were urged to buy additional repair services for as much as $500.

Not only did the FTC catch Restoro and Reimage in the act, but the firms had long been on the radar of credit card networks and payment processors for fraud as well, it is claimed.

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