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Old 07-02-2009, 10:08 PM   #153 (permalink)
nomaxim
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Join Date: May 2002
Location: Stow, Ohio, Sol III
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May I suggest reading the following threads,
Plug pulled on Internet scam artists (NY Camera shops)
New York takes action
Quote:
Under the agreements secured today by Cuomo, two of the companies, CAMERA WIZ and SONIC PHOTO, will dissolve completely. The following five companies will completely revamp their business practices and be subject to ongoing monitoring: BEST PRICE CAMERA, FOTO CONNECTION, 1 WAY PHOTO, 86TH STREET PHOTO and BROADWAY PHOTO, LLC. All of the companies will pay substantial monies to provide restitution for consumers who were subjected to the companies’ illegal business practices.

In addition to their bait-and-switch and illegal sales practices, all of these companies obtained fake “consumer testimonials” through websites that claim to be impartial consumer-based “rating” websites, but are in fact pay-per-click-based websites filled with content provided by the websites’ proprietors. Most of the companies changed names and websites so often that consumers looking for truthful reviews or testimonials for the companies would be unable to find them. After receiving hundreds of complaints against each of the companies, the Attorney General’s Office and the New York Better Business Bureau (“NY BBB”) worked cooperatively to investigate and establish all of the names under which the companies ever did business.

Under today’s agreements, two companies-Camera Wiz and Sonic Photo-will go out of business completely. To continue doing business, the other five companies will substantially change their business practices to comply with New York law and be subject to ongoing monitoring by the Attorney General’s Office and will be required to post a total of $160,000 in performance bonds for the ongoing protection of consumers. Although two of the companies-Best Price Camera and 1 Way Photo-are relocating to outside New York State, they have agreed in the settlements to be bound by New York Law and to be subject to on-going monitoring by the Attorney General’s Office.

The settlement funds will provide restitution to consumers who were the victims of the companies’ illegal business practices. Consumers who believe they qualify to receive restitution should submit claims to the NY BBB, which will then evaluate and issue the appropriate restitution from July 1, 2009 to December 31, 2009. All funds, if any, remaining in any of the restitution funds after December 31, 2009 will be forfeited to the State of New York as a penalty.

Attorney General Cuomo also announced that his office has created an innovative arrangement with the NY BBB and ResellerRatings.com to quickly and effectively detect, investigate, and prosecute instances of illegal business practices by Internet-based companies. In particular, the NY BBB and ResellerRatings.com will report companies to the Attorney General’s Office once there is evidence that suggests a company is engaging in fraud, based on either the volume of complaints received or the tenor of consumer reviews posted online. The Attorney General’s office will share in return the results of its investigations and, in the case of ResellerRatings.com, will alert the website whenever the office is able to determine that fake “consumer testimonials” have been posted.

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