Dutch Regulator Impose €1 Million Fine on Spyware Distributors

In an incident involving malicious Trojans, OPTA has for the first time slapped fines for perpetuating such malware. The regulator has called it one of the worst incidents of illegal crime involving software.

OPTA, the Dutch telecommunications regulator, has charged three Dutch companies, a combined fine of €1 Million for unauthorized installation of adware and spyware on over 22 Million computer systems in the Netherlands and some other countries.

The organizations fined by OPTA operate together as DollarRevenue, a name recognized as one of the ten biggest global distributors of spyware.

In 2005, these businessmen distributed adware called DollarRevenue on millions of computers. The adware would surreptitiously download software for advertising to install it onto the user's PC without taking his/her permission. The software also linked to botnet attacks involving more than 7,700 hacked systems in 24 hours.

The spread of the DollarRevenue malware was accompanied with promises to consumers for free access to pictures of Anna Kournikova, the tennis star or some pirated software. But when users opened the files, the spyware program infected the systems instead.

The move to impose fines gained immediate support of Viviane Reding, the EU Telecoms and Media Commissioner, reported Siliconrepublic on December 20, 2007.

Reding said that spam, spyware and other malware are troublesome for users on the Internet. The recent OPTA decision that made vigorous compliance with EU legislation would aid considerably in making the European information community a more trustworthy and safer place for businesses and consumers, according to Reding. She also called on other countries' regulators to take similar action as that of the Dutch regulator.

The spyware distributor, DollarRevenue had gained popularity since it made large payouts to its partners on the basis of pay per install. The company paid 20 cents per install in Canada, 30 cents per install in the US, one cent in China, 10 cents in the UK, and 0.02 cents in rest of the countries. According to OPTA estimates, DollarRevenue netted a gross of €1 Million.

Although DollarRevenue directors refuse to admit doing anything wrong, OPTA feels the companies purposely contacted cyber criminals and hackers for partnership over the Internet.

Related article: DDoS Attacks In China Leave The Websites Wounded

» SPAMfighter News - 1/8/2008