BBC NEWS
Fighting the scourge of scareware
By Maggie Shiels
Technology reporter, BBC News, Silicon Valley
Microsoft and Washington State's Attorney General filed lawsuits against
scam artists
who frighten consumers into buying useless software.
"Scareware" merchants are accused of tricking computer users into clicking
on pop-up
alerts that claim their device is "damaged and corrupted".
They are then persuaded to buy software that corrects the non-existent issue
by offering
fake security fixes.
It is a "blatant rip-off of consumers," said Attorney General Rob McKenna.
Users are "duped into downloading a fake scan (of the computer) and then
duped into
paying for software they don't need".
The attorney general's lawsuit has been filed against a Texas firm called
Branch
Software and Alpha Red and its owner James Reed McCreary IV. The suit
alleged that
Mr McCreary's company "sent incessant pop-ups resembling system warnings to
consumers'
personal computers.
"The messages read "CRITICAL ERROR MESSAGE! - REGISTRY DAMAGED AND
CORRUPTED."
The complaint goes on to claim that the ads "instructed users to visit a web
site
to download Registry Cleaner XP" at a cost of $39.95 (£21.70)
"We won't tolerate the use of alarmist warnings or deceptive 'free scans' to
trick
consumers into buying software to fix a problem that doesn't even exist,"
said Mr
McKenna.
"We've repeatedly proven that internet companies that prey on consumers'
anxieties
are within our reach."
The problem is a growing one according to Eric Sites, the chief technology
officer
with security firm Sunbelt Software which tracks spyware and malware
threats.
"In the last six months we have seen an enormous uptick in the number of
people getting
infected by these scareware or spyware agents.
"They are becoming a lot more prevalent and the 'scare and scam' is all
about getting
money out of the user," he told BBC News.
"Online threats"
The organisers behind the scheme took advantage of a Windows operating
system feature
designed to let computer network administrators send notices to people using
the
machines.
Microsoft referred the case to the attorney general's high tech unit and
helped put
the case together.
"Cybercrime continues to evolve, but with public/private collaboration such
as this,
we can work to champion tougher laws, greater public awareness and,
ultimately, stronger
protections for online consumers," said Richard Boscovich, senior attorney
for Microsoft's
internet safety enforcement team.
Meanwhile the software giant has filed five new lawsuits and amended two
previous
complaints all relating to spyware attempts.
The programmes listed include Scan & Repair, Antivirus 2009, MalwareCore,
WinDefender,
XPDefender and WinSpywareProtect.
Most of the defendants are listed as "John Doe" because investigators do not
yet
know the identities of the people involved.
Catching those behind these spyware scams and bringing them to justice might
not
be so simple explained Mr Sites.
"These people could be in Russia or some other country or using fake names.
It is
sometimes impossible to find out who is behind these scams. But if there is
a money
trail, that usually helps."
Microsoft estimates that half of the computer crashes reported by callers to
its
customer support lines can be blamed on spyware messing up machines.
A recent report from North Carolina State University showed that most
internet users
are unable to tell the difference between genuine and fake pop-up messages.
"This study demonstrates how easy it is to fool people on the web," said
co-author
Dr Michael S Wogalter, professor of psychology.
Despite being told some of the messages were fake, people hit the OK button
63% of
the time.
Story from BBC NEWS:
http://news.bbc.co.uk/go/pr/fr/-/2/hi/technology/7645420.stm
Published: 2008/10/01 01:16:24 GMT
© BBC MMVIII


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