Brit IT firms wound up by court order after fooling folk into paying for 'support' over fake computer errors
- Reference: 1623760210
- News link: https://www.theregister.co.uk/2021/06/15/high_court_winds_up_it_scam_companies/
- Source link:
The court heard that Msinfosys Support Ltd and MS Global Support Ltd, both operated by the same director, generated unsolicited pop-up error messages that appeared on people's computers.
When those folk called to check what was wrong, they were led to believe there was a fault with their tech. Some even paid money to fix the bogus issues.
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The court heard how the victims of the scam were led to believe they were dealing with "well-known software companies."
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Investigators found that the director, Vikram Singh, had no real control of either company and work was outsourced to a company in India called Underpin Services Private Limited.
Vikram Singh admitted both companies were Underpin's businesses and allowed Underpin to trade in the UK, the High Court was told.
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Neither Msinfosys Support nor MS Global Support was authorised to act on behalf of the larger software suppliers and both were wound up "in the public interest" in the High Court on 9 March.
[6]Data protection scofflaws failed to pay £2m in fines from UK watchdog – and 68% of penalties are still outstanding
[7]Director of nuisance-calls company ordered to cough up £114k after ignoring £40k fine from UK data watchdog
[8]Ex-director cops community service after 5,000-file deletion spree on company Dropbox
[9]Telecoms kit supplier shut down for carrying on work of two firms that had been... shut down
Although the case was heard in March, the Insolvency Service has only just issued a formal statement on the case, explaining there was a pause on government communications due to the purdah period before local and national elections in May.
[10]In a statement , Edna Okhiria, chief investigator at the Insolvency Service, said: "Msinfosys Support Ltd and MS Global Support Ltd deliberately used false pretences to deceive consumers, with many paying the companies on the belief they were dealing with well-known software companies or their authorised representatives.
"In reality, both companies were controlled by an overseas company with the director recognising he had no knowledge of what the company informed consumers.
"The court recognised the severity of this misconduct and both have been removed from the business environment to protect the public from further harm."
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The Insolvency Service started confidential investigations into both companies following complaints from customers. ®
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[1] https://www.thegazette.co.uk/notice/3735444
[2] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_offbeat/legal&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=2&c=2YMjOnkQNtORAtxRBaCzPPQAAAFQ&t=ct%3Dns%26unitnum%3D2%26raptor%3Dcondor%26pos%3Dtop%26test%3D0
[3] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_offbeat/legal&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44YMjOnkQNtORAtxRBaCzPPQAAAFQ&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0
[4] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_offbeat/legal&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=3&c=33YMjOnkQNtORAtxRBaCzPPQAAAFQ&t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0
[5] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_offbeat/legal&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44YMjOnkQNtORAtxRBaCzPPQAAAFQ&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0
[6] https://www.theregister.com/2020/11/05/ico_fines_unpaid_research/
[7] https://www.theregister.com/2020/09/29/ico_it_protect_fine_enforcement/
[8] https://www.theregister.com/2020/06/19/dropbox_deletion_spree_community_service/
[9] https://www.theregister.com/2019/02/26/insolvency_service_bradwell_communications/
[10] https://www.gov.uk/government/news/it-companies-wound-up-in-pop-up-software-scams
[11] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_offbeat/legal&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=3&c=33YMjOnkQNtORAtxRBaCzPPQAAAFQ&t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0
[12] https://whitepapers.theregister.com/
Re: Whack-a-mole.
I presume the money wasn't handed over in notes on the doorstep. It must have gone through a BANK. So let's make the BANKS liable for recompensing the victims, then THEY can recover the money from the scammers. That'll encourage them to do the due diligence on their business account holders and make them a bit more wary about taking on the resurrections.
Re: Whack-a-mole.
> I presume the money wasn't handed over in notes on the doorstep. It must have gone through a BANK. So let's make the BANKS liable for recompensing the victims,
Great idea. The scam also worked used the telephone network - we should ban international calls as well.
Re: Ban international calls
AFAIK BT are required to complete connections even when they know the originating network hosts scammers. We could make BT financially responsible for phone scams and let them pass the bill on to the originating network. That network then has choices: do not pay up and get disconnected from the UK, pass the bill onto their customers or terminate accounts with scammers.
On the other hand there is a better solution: present a ridiculous straw man as the only possible solution and declare the problem unsolvable. Have you considered a career in politics?
Re: Whack-a-mole.
Vogon poetry is a bit harsh
.
.
.
no, you're right, full vogon, it's the only way to be sure.
Re: Whack-a-mole.
The Vogons .. Pah, I say they should have Grunthos the Flatulents full works read to them or to be really cruel that of Paula Nancy Millstone Jennngs of Greenbridge , Essex, England (and you wouldn't have to go so far).
Re: Whack-a-mole.
"Vogon poetry is a bit harsh"
If it's only a *bit* harsh, then it's not real Vogon poetry you've been listening to. Probably just a random sampling of the endless mindnumbing chatter from the good folk of Kakrafoon Kappa...
Just this afternoon
Jacob, from BT Openreach, called from an unavailable number.
Apparently my router is generating errors.
I asked him to hang on a sec. and went off to watch the news.
He hung up.
Hmm...
Re: Just this afternoon
Jacob, from BT Openreach, called from an unavailable number.
Apparently my router is generating errors.
I asked him to hang on a sec. and went off to watch the news.
He hung up.
Hmm...
I kept them hanging on for as long as possible by having to answer the door, turn the cooker off, deal with the decorator choosing paint colours, make a cup of tea etc. Then start the computer which took time as I had to remember my password "much easier once it's logged in as I keep all my passwords in a text file." That kept them very interested before finally I got into Windows. Then when I was asked to download teamviewer or whatever I'd say I obviously have to hang up to connect to the internet. Yes I'd say I had dialup but only used it to connect the computer to my bank for online banking. I'd hang up at this point to 'connect' and 'download' whatever it was then do something else.
Occasionally they'd call back and I'd pretend to be a business, foreign, or both. So calling back to speak to me might get you through to:
Freddy's Massage Parlor "Every customer has a Happy Ending" ,
Tony's Garage "A fender bender does not mean crash damaged ,
RAF Strike Command, High Wycombe ,
or even
Detective Inspector Hammond , if I was in a bad mood.
Re: Just this afternoon
I have been answering calls for entertainment value, so far
BT
BT Internet
BT openreach
Amazon (iphone/ipad has been purchased)
VISA (we've stopped a payment)
I've been very helpful, and it I manage to have them on the phone for more than 5-10 minutes and get bored, I go from civil to turning the dial to 11 on extreme swearing and abuse
On the see-saw of happiness, mine goes up, theirs go down.
I do know they are real people on the other end, but they are despicable scum preying on the unwary, unknowing and trusting and deserve what they get.
Oddly, the number of calls I've got seem to have radically reduced since I started on this experiment
Re: Just this afternoon
Last call like that was years ago....
"Hello I'm from Microsoft, your computer has a virus"
Oh - ok - what do I do?
"Turn on your computer please"
Ok - just a minuite.....
So I turned the radio on loud, put the phone down in front of it and went to the shops.
Shortly after that I got CLI working. I now dont answer unless I recognise the number and they start to leave a message.
Lots of calls from Private Numbers, international or fake VOIP. Bit of a pain because some profesionals dont understand that no number plus no message equals I dont answer.
Companies wound up huh?
Companies wound up? No sign of any penalties against the director? That'll learn 'em. I'll bet this will act as a huge lesson to any other would-be scammers, who will immediately mend their evil ways.
Re: Companies wound up huh?
Don't forget Internet Rule #37 - whenever thou useth the style of prose known as sarcasm, thou shalt always embellish thy works with a /s so as to educate readers of all persuasion that they shall take thee not seriously, for fear of misinterpreting thy words...
...you know, just in case someone's having a comprehension fail and doesn't pick up on the subtle hints you may have left for them :-)
+91 Support Scum
“Brit IT firms” in the loosest sense only.
Unfortunately there are 1000’s more “Vikrams” out there preying on vulnerable people. The profits are offshored long before they end up in court.
the director, Vikram Singh, had no real control of either company and work was outsourced
How the hell is this a valid excuse? I was under the impression that directors have a legal responsibility for the activities of their company. So, if there is fraud they can be charged and prosecuted. He could have gone and got a job somewhere else if he wasn't pleased with the arrangement, but didn't choose to do so.
Since when did "sorry guv, it's nothing to do with me, it's just my name and signature on all the documents" get you off the hook?
Re: the director, Vikram Singh, had no real control of either company and work was outsourced
Subtleties of the law, what laws were actually broken and by who, and more importantly, can that be proven in a court of law in England (where they were registered)
Sucks, yes, but I'm guessing the CPS has limited chances of securing an actual conviction, which would suggest the laws around Company Directors need to be tightened. Clearer messages when you sign on that dotted line to form a company that YOU are legally responsible even if someone else is running the business (Go To Jail, Do Not Pass Go, Do Not Collect £200).
Jail for the directors
Three months for every victim, no suspension of sentences.
What bothers me the most about this sort of case is the clear indications that no one has the inclination to finally solve this issue. Yes, there will always be scammers and victims. However, it seems that (for the most part) these people get away with a slap on the wrist, and (as has already been commented) just chuckle and immediately do it again.
There should be (at the least) a multi-phase approach -
1) If you're convicted at that level, you can't work in an IT related company. Period. If you try, you get fined, and then jail.
2) Phone companies need to provide ACTUAL numbers when calling. If it is coming from overseas, don't just pass along a domestic phone number - block it.
3) Get banks to resist these scams too - my credit union already blocks transactions over 100$ online (unless it's Amazon, unfortunately) until I can verify that it is real. Expand this to say "you're sending 50$ to an overseas company that is a suspected scammer - do you really want to do that?"
I've not seen any of these happen. I know it's not easy, but something has to happen. I'm getting really tired of all the calls I get, especially the broken ones that start as one scam, then after it doesn't get a response, switches to another one to go to my voicemail. Separately, I'm sure the amount of money these scammers get is ridiculous. If that can be cut in any way, it's worth doing.
Ok, proceed to tell me why I'm completely wrong.
Whack-a-mole.
The guy will file insolvency & walk away from his debts. Then he'll reopen a new business under the name of his wife/child/cat/etc & be right back in business within 24 hours. He may even "sell" all the old company resources to the new one & not even have to do anything but change the name on the letterhead/payroll/etc.
I wish it were legal to lock them in public stocks & force them to listen to Vogon poetry for the rest of their lives. Let their screams for mercy be a warning to others not to do the same shit.
Oh who am I kidding? Society is toonice for that. They'd get a group therapy session in some posh mental hospital & "forced" to join in the happy sing-a-longs to work through their "issues". Fuck that. Bring back the Spanish Inquisition! Release the comfy chairs!