FTC Acts to Block Payment Processor’s Credit Card Laundering for Tech Support Scammers

The Federal Trade Commission has acted to stop Nexway, a multinational payment processing company, along with its CEO and chief strategy officer, from serving as a facilitator for the tech support scammers through credit card laundering.

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Provider: 
FTCFTC
URL: 
https://www.ftc.gov/news-events/news/press-releases/2023/04/ftc-acts-block-payment-processors-credit-card-laundering-tech-support-scammershttps://www.ftc.gov/news-events/news/press-releases/2023/04/ftc-acts-block-payment-processors-credit-card-laundering-tech-support-scammers
Retrieved on: 
Monday, April 17, 2023
Information
Tags: 
Consumer protection, Justice, Office of Inspector General, U.S. Department of Health and Human Services, Commission, DOJ, U.S. Department of Justice Office of Legislative Affairs, Blog, CEO, Social media, District, Federal Trade Commission, Judgement, Complaint, District court, Risk, FTC, Massachusetts District Court, News, TSR, Cryptocurrency, Dietary supplement, Property management, Nexway
Summary
Key Points: 
  • The Federal Trade Commission has acted to stop Nexway, a multinational payment processing company, along with its CEO and chief strategy officer, from serving as a facilitator for the tech support scammers through credit card laundering.
  • The defendants in the case have agreed to court orders that prohibit them from any further payment laundering and require them to closely monitor other high-risk clients for illegal activity.
  • The complaint details Nexway’s relationships with tech support scammers, in which Nexway acquired credit card merchant accounts and then used those accounts to collect money from consumers on behalf of the scammers.
  • The complaint charges that Nexway, Iezuitov, and Potenzone were aware that their tech support clients were scammers and directly received numerous complaints about the companies.
  • If the defendants are found to have lied to the FTC about the financial status, the full judgment would be immediately payable.
  • The Commission vote to authorize the staff to refer the complaint to the DOJ and to approve the proposed consent decree was 4-0.
  • The vote on this matter closed on February 16, 2023, prior to former Commissioner Christine S. Wilson’s departure from the Commission.
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