The UK's Office of Fair Trading (OFT) is warning small businesses to look out for dodgy domain name registration services, after receiving several complaints from companies.

The dotcom cowboys contact a business saying that a third party is just about to buy a domain name that would suit them, but that if they get in quickly, they can buy it for themselves. Trouble is, the OFT says, that the third party is often a figment of the salesman's imagination, conjured up to pressure the target company into making a quick purchase.

The scam falls under the 'misleading advertising' banner, which should be dealt with by local trading standard officers. The OFT only gets involved as a last resort and beyond telling the companies not to do it again, there is not much it can do.

John Vickers, OFT chairman, said: "Businesses should be wary of cold callers putting pressure on them to buy domain names in haste. We have warned a number of domain name registration agents about their selling practices and will continue to crack down on any misleading claims." ®

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