Feeds

Spam King Ralsky indicted over stock spam scam

Pump and dump gang raked in millions

Secure remote control for conventional and virtual desktops

Notorious spammer Alan Ralsky and ten others have been indicted in the US over the alleged use of junk mail to promote stock fraud scams.

Ralsky (a long term fixture in Spamhaus's list of known spammers) his son-in-law Scott K Bradley and others, including a dual national of Canada and Hong Kong and individuals from Russia, California, Michigan, and Arizona have been charged over the alleged fraud.

The charges stem from a three-year investigation - led by agents from the FBI, with assistance from the US Postal Inspection Service and the Internal Revenue Service - into a "sophisticated and extensive" spamming operation promoting a "pump and dump" scheme. The defendants sent spam touting thinly-traded Chinese penny stocks in a bid to drive up their stock price over the short term and sell at a profit before the inevitable crash and burn.

Investigators reckon the defendants earned around $3m during the summer of 2005 alone as a result of their illegal spamming activities. The types of products and services that the defendants pitched evolved over time, as did the types of illegal spamming techniques they employed.

According to the indictment, the defendants used various illegal methods to distribute the spam, including the use of proxy computers (ie botnet clients) to relay junk mail and the use of falsified headers in email messages. The content of the email messages was also filled with porkies.

The indictment alleges that the defendants earned profits when recipients responded to the spam and purchased the touted products and services. How Wai John Hui, 49, of Vancouver, Canada and Hong Kong, allegedly acted as a link between the spammers and their Chinese contacts. How was arrested in New York on Wednesday. Two other defendants - Scott K Bradley, 46, of West Bloomfield, Michigan, and Judy M Devenow, 55, of Lansing, Michigan - appeared in court on Thursday. The remaining defendants are being sought for questioning.

The defendants are variously charged with several federal criminal offenses, including conspiracy, offences against US anti-spam legislation (the CAN SPAM Act), computer fraud, mail fraud, wire fraud, and money laundering.

A full list of defendants can be found in a DoJ statement of the case here. ®

New hybrid storage solutions

More from The Register

next story
Google recommends pronounceable passwords
Super Chrome goes into battle with Mr Mxyzptlk
Infosec geniuses hack a Canon PRINTER and install DOOM
Internet of Stuff securo-cockups strike yet again
Snowden, Dotcom, throw bombs into NZ election campaign
Claim of tapped undersea cable refuted by Kiwi PM as Kim claims extradition plot
Reddit wipes clean leaked celeb nudie pics, tells users to zip it
Now we've had all THAT TRAFFIC, we 'deplore' this theft
Apple Pay is a tidy payday for Apple with 0.15% cut, sources say
Cupertino slurps 15 cents from every $100 purchase
YouTube, Amazon and Yahoo! caught in malvertising mess
Cisco says 'Kyle and Stan' attack is spreading through compromised ad networks
TorrentLocker unpicked: Crypto coding shocker defeats extortionists
Lousy XOR opens door into which victims can shove a foot
prev story

Whitepapers

Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.
Saudi Petroleum chooses Tegile storage solution
A storage solution that addresses company growth and performance for business-critical applications of caseware archive and search along with other key operational systems.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Providing a secure and efficient Helpdesk
A single remote control platform for user support is be key to providing an efficient helpdesk. Retain full control over the way in which screen and keystroke data is transmitted.