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Washington State AG sues major tech support provider alleging deceptive scam
KOMO News ^ | December 16th 2015 | Connie Thompson

Posted on 12/24/2015 1:05:18 PM PST by KeyLargo

State AG sues major tech support provider alleging deceptive scam By Connie Thompson Wednesday, December 16th 2015

State investigators just sued one of the rising stars in the tech-support industry claiming part of the operation is based on a scam. The company, called iYogi, is accused of tricking people into paying for tech support services they don't need.

According to investigators iYogi engaged in a different twist on the notorious tech support scams where someone call you claiming your computer has problems. What's significant in this case is workers don't call you, you call them. And iYogi is one of the largest independent tech support providers in the world.

"Here's essentially how their scam works," said state Attorney General Bob Ferguson. "I'll lay it out. First, they have online ads."

In a news conference Wednesday afternoon Ferguson said iYogi uses online ads to associate itself with major computer companies like Microsoft, Apple and HP.

"When consumers call iYogi, the representative claims to provide tech support services on behalf of whatever company the customer inquires about," said Ferguson.

After gaining access to the consumers computer Ferguson said iYogi installs diagnostic software known as scare ware, which falsely suggests there are problems. The diagnostic results show up on the consumer's monitor.

"Once iYogi has alarmed the consumer, the representative proceeds to aggressively sell a tech support plan to fix these non-existent problems," Ferguson explained.

State investigators say people paid as much as $540 for anti-virus software and long-term protection plans which were not necessary. According to the lawsuit some were even charged $80 to upgrade to Windows 10, a service Microsoft provides for free.

(Excerpt) Read more at komonews.com ...


TOPICS: Business/Economy; Crime/Corruption; News/Current Events; Technical
KEYWORDS: antivirus; computers; computing; fraud; fraudulent; india; iyogi; jobs; maine; malware; microsoft; outsource; scams; software; techsupport; windowspinglist
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People will be getting computers for Christmas. Anti-virus software and tech support products are always being advertised.


1 posted on 12/24/2015 1:05:18 PM PST by KeyLargo
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To: KeyLargo

Trivia fact for the day. I am the last person to make Bob Ferguson cry. This is not a joke.


2 posted on 12/24/2015 1:08:20 PM PST by TheConservator ("I spent my life trying not to be careless. Women and children can be careless, but not men.")
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To: KeyLargo

are there scams that aren’t deceptive ?


3 posted on 12/24/2015 1:11:24 PM PST by stylin19a
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To: KeyLargo

I, Yogi.

4 posted on 12/24/2015 1:13:12 PM PST by o_1_2_3__ ( –)
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To: KeyLargo
...the operation is based on a scam. The company, called iYogi, is accused of tricking people into paying for tech support services they don't need.

I bet they got the idea from Obamacare.

Every male reading this is paying for birth control pills, a pap smear, mammogram and abortion whether we use them or not.


5 posted on 12/24/2015 1:18:47 PM PST by Iron Munro (The wise have stores of choice food and oil but a foolish man devours all he has. Proverbs 21:20)
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To: stylin19a

Overview of the scam

As part of its investigation, the AGO uncovered the following tactics used by iYogi to sell consumers unneeded tech support services:

1.In online ads, iYogi associates itself with major technology companies such as Microsoft, Apple and HP. When consumers call iYogi, the representative claims to provide tech support services on behalf of whatever company the consumer inquires about.

2.After gaining remote access to the consumers computer, iYogi identifies benign but complex-looking files and claims the “infected files” harm the computer. iYogi misleads the consumer into believing he or she must download iYogi diagnostic software to fully identify the computer problems.

3.iYogi then produces a diagnostic report on the consumers screen and claims there is malware or other serious defects. iYogi misrepresents the report by telling the consumer these infected files are harming the computer, when in fact the identified items are often routine programs that pose no threat.

4.Once iYogi has alarmed the consumer, the representative proceeds to aggressively sell a tech support plan to fix the non-existent problems — 1 year for $140 or 5 years for $379. iYogi claims the plans cover tech support needs for the length of the contract.

5.iYogi also informs the consumer the computer does not have antivirus software and tries to sell the consumer iYogi antivirus software for up to $80, even if an existing antivirus is already installed.

6.iYogi also states the consumer needs to update to the Windows 10 operating system, or the computer will be harmed, which it will not. iYogi uses this scare tactic to coerce the consumer into buying Windows 10 for $80, even though Microsoft offers the upgrade for free.

The AGO investigation confirmed that iYogi identified such “problems” even on a computer with a newly installed operating system.

The AGO alleges these tactics are violations of the Washington Consumer Protection Act and Computer Spyware Act.

- See more at: http://www.atg.wa.gov/news/news-releases/ag-sues-one-world-s-biggest-tech-support-providers-stop-deceptive-scam-0#sthash.eeD9P2sH.dpuf


6 posted on 12/24/2015 1:20:08 PM PST by KeyLargo
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To: KeyLargo

Thanks. Sorry I wasn’t clear. I am familiar with these types of scams.

I was questioning the redundancy in the headline and used again in the body of the article by KOMO news.

can a scam NOT be deceptive ?

Merry Christmas


7 posted on 12/24/2015 1:32:26 PM PST by stylin19a
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To: stylin19a

yeah, he’s leaving out those honest scams :)

Plus this isn’t a very nice thing to do to customers on Christmas Eve.


8 posted on 12/24/2015 1:52:19 PM PST by dp0622
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To: KeyLargo

I’m very familiar with iYogi I’ve had a lot of customers fall victim to their scams in the last few years.

What I didn’t know is that they operate in the US such that an AG can go after them.

If they can be gotten a hold of by a state AG, how in the heck have they made it this long without getting shut down?!?!


9 posted on 12/24/2015 1:53:19 PM PST by Advil000
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To: TheConservator

Why would you want to make a nice guy (snicker) like Bob cry?

And what could possibly shame him to induce tears?


10 posted on 12/24/2015 1:55:39 PM PST by texas booster (Join FreeRepublic's Folding@Home team (Team # 36120) Cure Alzheimer's!)
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To: KeyLargo

I can’t believe someone is finally going after one of these scumbags. I get clients calling me a panic all the time after they get tricked into calling these SOBs.

It’s actually amazing to see ANY AG to actually do their jobs these days.


11 posted on 12/24/2015 1:58:25 PM PST by catnipman (Cat Nipman: Vote Republican in 2012 and only be called racist one more time!)
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To: Advil000

Business
Posted December 17

Lewiston call center deal with Indian company iYogi falls apart

The tech support company claimed it would create over 300 jobs but Argo Marketing terminated its contract after only 30 people were hired.

By David SharpThe Associated Press

In a reversal of the outsourcing trend, an Indian-based tech support company looked to the U.S. to create up to 300 jobs in partnership with a call center operator in Maine. The July announcement was big enough news that Gov. Paul LePage attended the event in Lewiston.

But it didn’t take long for the deal to unravel.

Argo Marketing terminated the contract with iYogi in October and filed a lawsuit for nonpayment this month. Only 30 people were hired in Lewiston.

Argo CEO Jason Levesque said Thursday he felt “deceived” by iYogi.

“In business sometimes it’s better to stop doing a certain contract relatively quickly before you keep going down a road that could lead to disaster,” he said.

The news in Maine coincides with a lawsuit filed in Washington state that accuses iYogi of scamming customers into buying software and services they don’t need. The attorney general said Wednesday that hundreds if not thousands of people had fallen for the scams.

Read: http://www.pressherald.com/2015/12/17/lewiston-call-center-deal-with-indian-company-iyogi-falls-apart/


12 posted on 12/24/2015 2:11:20 PM PST by KeyLargo
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To: Advil000

By Associated Press

December 17, 2015

This tech support site gives your computer viruses and charges you for free updates: lawsuit
iYogi claims to provide tech support, but it might be a massive scam.

http://nypost.com/2015/12/17/this-tech-support-site-gives-your-computer-viruses-and-charges-you-for-free-updates-lawsuit/


13 posted on 12/24/2015 2:17:10 PM PST by KeyLargo
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To: Iron Munro

Indian call center deal comes apart in Maine
BY DAVID SHARP
The Associated Press

PORTLAND

In a reversal of the outsourcing trend, an Indian-based tech support company looked to the U.S. to create up to 300 jobs in partnership with a call center operator in Maine. The July announcement was big enough news that Gov. Paul LePage attended the event in Lewiston.

But it didn’t take long for the deal to unravel.

Argo Marketing terminated the contract with iYogi in October and filed a lawsuit for nonpayment this month. Only 30 people were hired in Lewiston.

Argo CEO Jason Levesque said Thursday he felt “deceived” by iYogi.

“In business, sometimes it’s better to stop doing a certain contract relatively quickly before you keep going down a road that could lead to disaster,” he said.

http://www.timesrecord.com/news/2015-12-18/Front_Page/Indian_call_center_deal_comes_apart_in_Maine.html


14 posted on 12/24/2015 2:19:32 PM PST by KeyLargo
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To: texas booster

15 posted on 12/24/2015 2:22:34 PM PST by KeyLargo
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To: KeyLargo

Instead of doing something innovative, they go for something negative.


16 posted on 12/24/2015 2:43:20 PM PST by Incorrigible (If I lead, follow me; If I pause, push me; If I retreat, kill me.)
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To: dp0622
yeah, he’s leaving out those honest scams

"Honest scam" is not an oxymoron.

An "honest scam" is a scam perpetrated by government.

17 posted on 12/24/2015 3:21:52 PM PST by seowulf (Cogito cogito, ergo cogito sum. Cogito.---Ambrose Bierce)
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To: seowulf

yep. they go after the mafia and cartels. they are the biggest mafia family and cartel member.


18 posted on 12/24/2015 3:23:35 PM PST by dp0622
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To: stylin19a; MeshugeMikey
are there scams that aren't deceptive ?

The AGs of America should go after Hussein's UNaffordable Health Care act (HUAC).

19 posted on 12/24/2015 5:54:17 PM PST by a fool in paradise (The goal of Socialism is Communism. Marx and Lenin were in agreement on this.)
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To: Beowulf; dp0622
An "honest scam" is a scam perpetrated by government.

80 years old and counting!


20 posted on 12/24/2015 6:19:26 PM PST by WVKayaker (On Scale of 1 to 5 Palins, How Likely Is Media Assault on Each GOP Candidate?)
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