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Dethroned Spam King pays $7 million to Microsoft

OUT-LAW News, 10/08/2005

Self-proclaimed "Spam King" Scott Richter and his company OptInRealBig will pay $7 million to Microsoft to settle a lawsuit brought against them for sending millions of spam emails with forged sender names and misleading subject lines.

At the time of filing the lawsuit, in December 2003, Richter was known to be one of the world's biggest spammers. The New York Attorney General joined Microsoft in taking the action.

Richter said yesterday he had changed his emailing practices in part because Microsoft and the New York Attorney General sued him in December 2003. He said: “I am committed to sending e-mail only to those who have requested it and to complying fully with all federal and state anti-spam laws.”

In July 2005, Richter was removed from the Register of Known Spam Operators maintained by the Spamhaus Project, a leading anti-spam and consumer advocacy organisation.

In its lawsuit, Microsoft contended that Mr. Richter and his companies violated Washington and federal law by sending email, and helping others send email that contained internet domain names and IP addresses registered using pseudonyms and aliases from around the world; that contained subject lines such as “fwd: we have to talk”, “make sure you do this”, “re: your home loan” and “Your Federal Stafford Loan”; and that contained forged sender names, false subject lines, fake server names, inaccurate and misrepresented sender addresses and obscured transmission paths, some of which was sent through compromised Internet Protocol addresses in 35 countries spanning six continents.

Richter and his company have denied all of these allegations. But to ensure future compliance with all federal and state anti-spam laws, and to ensure that emails only go to those who confirm they are willing to receive them, they have agreed to submit to three years of oversight.

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