Close
  • Latest News
  • Big Data and Analytics
  • Cloud
  • Networking
  • Cybersecurity
  • Applications
  • IT Management
  • Storage
  • Sponsored
  • Mobile
  • Small Business
  • Development
  • Database
  • Servers
  • Android
  • Apple
  • Innovation
  • Blogs
  • PC Hardware
  • Reviews
  • Search Engines
  • Virtualization
Read Down
Sign in
Close
Welcome!Log into your account
Forgot your password?
Read Down
Password recovery
Recover your password
Close
Search
Logo
Logo
  • Latest News
  • Big Data and Analytics
  • Cloud
  • Networking
  • Cybersecurity
  • Applications
  • IT Management
  • Storage
  • Sponsored
  • Mobile
  • Small Business
  • Development
  • Database
  • Servers
  • Android
  • Apple
  • Innovation
  • Blogs
  • PC Hardware
  • Reviews
  • Search Engines
  • Virtualization
More
    Home Cybersecurity
    • Cybersecurity
    • IT Management

    ‘Godfather of Spam’ Sentenced to 4 Years

    By
    Brian Prince
    -
    November 24, 2009
    Share
    Facebook
    Twitter
    Linkedin

      The so-called “Godfather of Spam” was among four people sentenced today in federal court in Detroit for involvement in a stock fraud scheme that leveraged on a virulent spam campaign.

      Alan M. Ralsky, 64, of West Bloomfield, Mich., was sentenced to 51 months in prison for conspiring to commit wire fraud, mail fraud and violate the CAN-SPAM Act, as well as engaging in money laundering, wire fraud and violating CAN-SPAM. Also convicted was Scott Bradley, 48, of West Bloomfield; How Wai John Hui, 51, of Hong Kong and Canada; and John S. Bown, 45, of Fresno, Calif.Those three were sentenced to 40 months, 51 months and 32 months, respectively.

      “With today’s (Nov. 23) sentence of the self-proclaimed -Godfather of Spam,’ Alan Ralsky, and three others who played central roles in a complicated stock spam pump and dump scheme, the Court has made it clear that advancing fraud through abuse of the Internet will lead to several years in prison,” said U.S. Attorney Terrence Berg for the Eastern District of Michigan, in a statement. “I commend the FBI, the Postal Inspection Service, and the IRSCriminal Investigative Division for their determined and careful investigation in this case which lead to today’s result.”

      The charges arose from a three-year investigation involving the FBI, IRS, U.S.Postal Service and the U.S. Securities and Exchange Commission. According to authorities, from January 2004 through September 2005, Ralsky, Bradley, Bow, Hui and others engaged in a related set of conspiracies designed to use spam e-mails to manipulate thinly traded stocks and profit by trading in those stocks once their share prices increased after recipients of the spam e-mails traded in the stocks being promoted.

      Ralsky was accused of heading the spam e-mail operation, while Bradley, Ralsky’s son-in-law, served as the spam ring’s chief financial officer and director of operations. Bown, who was chief executive officer of Internet services company GDC Layer One, served as the ring’s chief technology officer, and Hui, CEOof China World Trade, was the lead dealmaker representing the companies whose stocks were being promoted via spam e-mail, authorities said.

      Many of the spam e-mails promoted thinly traded “pink sheet” stocks for U.S.companies owned and controlled by individuals in Hong Kongand China, according to the feds. The e-mails contained false and misleading information or omissions and were created and sent using software programs that made it difficult to trace them back to the conspirators. According to the indictment, the group falsified “headers” in the e-mail messages, used bots to relay the spam, and also made misrepresentations in the advertising content of some of the underlying e-mail messages. They also used falsely registered domain names to send the spam.

      “Through this conspiracy Ralsky and the others were able to manipulate the stock market and maximize their profit,” said FBI Special Agent in Charge Andrew G. Arena, in a statement. “They flooded our e-mail boxes with unwanted spam e-mail and attempted to use a botnet to hijack our computers assist them in the scheme. Cyber crime investigations are a top priority of the FBI and we will continue to aggressively investigate those individuals who use and hide behind computers to commit various crimes.”

      Brian Prince

      MOST POPULAR ARTICLES

      Big Data and Analytics

      Alteryx’s Suresh Vittal on the Democratization of...

      James Maguire - May 31, 2022 0
      I spoke with Suresh Vittal, Chief Product Officer at Alteryx, about the industry mega-shift toward making data analytics tools accessible to a company’s complete...
      Read more
      Cybersecurity

      Visa’s Michael Jabbara on Cybersecurity and Digital...

      James Maguire - May 17, 2022 0
      I spoke with Michael Jabbara, VP and Global Head of Fraud Services at Visa, about the cybersecurity technology used to ensure the safe transfer...
      Read more
      Applications

      Cisco’s Thimaya Subaiya on Customer Experience in...

      James Maguire - May 10, 2022 0
      I spoke with Thimaya Subaiya, SVP and GM of Global Customer Experience at Cisco, about the factors that create good customer experience – and...
      Read more
      Big Data and Analytics

      GoodData CEO Roman Stanek on Business Intelligence...

      James Maguire - May 4, 2022 0
      I spoke with Roman Stanek, CEO of GoodData, about business intelligence, data as a service, and the frustration that many executives have with data...
      Read more
      Cloud

      Yotascale CEO Asim Razzaq on Controlling Multicloud...

      James Maguire - May 5, 2022 0
      Asim Razzaq, CEO of Yotascale, provides guidance on understanding—and containing—the complex cost structure of multicloud computing. Among the topics we covered:  As you survey the...
      Read more
      Logo

      eWeek has the latest technology news and analysis, buying guides, and product reviews for IT professionals and technology buyers. The site’s focus is on innovative solutions and covering in-depth technical content. eWeek stays on the cutting edge of technology news and IT trends through interviews and expert analysis. Gain insight from top innovators and thought leaders in the fields of IT, business, enterprise software, startups, and more.

      Facebook
      Linkedin
      RSS
      Twitter
      Youtube

      Advertisers

      Advertise with TechnologyAdvice on eWeek and our other IT-focused platforms.

      Advertise with Us

      Menu

      • About eWeek
      • Subscribe to our Newsletter
      • Latest News

      Our Brands

      • Privacy Policy
      • Terms
      • About
      • Contact
      • Advertise
      • Sitemap
      • California – Do Not Sell My Information

      Property of TechnologyAdvice.
      © 2021 TechnologyAdvice. All Rights Reserved

      Advertiser Disclosure: Some of the products that appear on this site are from companies from which TechnologyAdvice receives compensation. This compensation may impact how and where products appear on this site including, for example, the order in which they appear. TechnologyAdvice does not include all companies or all types of products available in the marketplace.

      ×