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Microsoft Shakes Richter For $7 Million
By David Utter
Expert Author
Article Date: 2005-08-09
A joint effort between Microsoft and the New York Attorney General's office has ended in a settlement won from notorious spammer Scott Richter.
The "Spam King" will have to pay over $7 million in damages, according to a statement from Microsoft's General Counsel, Brad Smith. Microsoft assisted the New York AG's office in its legal action against Mr. Richter.
Spam sent from Richter's firms and businesses he assisted in spamming generated more than 38 billion emails annually. As part of the settlement, Richter has agreed to only send email to those who opt-in to receive it, and to comply with federal and state anti-spam laws.
Mr. Smith notes in the statement that $1 million of the settlement will find its way to New York and community center computer training programs via the Microsoft Unlimited Potential program. About $5 million would be reinvested by Microsoft into further working with law enforcement against computer-related crimes.
"As this case demonstrates, a strong partnership between the public and private sectors is vital to taking effective action against spam and other Internet problems. By reinvesting these settlement proceeds, we'll help to make that partnership even stronger," Mr. Smith said in the statement.
Microsoft sued Richter and his OptInRealBig.com business in December 2003. He and his business filed for bankruptcy in March, and will have to petition a Denver court to dismiss those filings in order for the settlement to take effect.
About the Author:
David Utter is a staff writer for WebProNews covering technology and business. Email him here.
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