Microsoft Files 'Click Fraud' Lawsuit

Kara Reeder

Reuters reports that Microsoft has filed a lawsuit against three individuals accusing them of "click fraud."

 

The software giant alleges that Eric Lam, Gordon Lam and Melanie Suen improperly used Microsoft's online advertising service for profit by having large groups of people or automated computer scripts click on online ads in order to displace their competitors' ads. The three are believed to have accumulated $250,000 in profit, notes The New York Times.

 

Microsoft is seeking at least $750,000 in damages, according to The Wall Street Journal.



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Jun 16, 2009 6:02 AM Marco Marco  says:

This will become a major problem for interactive marketers. It's great that Microsoft is taking action. More: http://domusinc.blogspot.com/2009/06/click-fraud-and-ppc-marketing.html

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Mar 30, 2010 10:30 AM Lu Lu Lu Lu  says:

WoWMine and the Super Continental companies were beneficially owned by David Guo (Guo Yao Qi) ??? the whole operation has now stopped trading. Eric Lam was just the front man or proxy. He is a Canadian citizen with a Western MBA so was the only employee of the gold farmers able to set up the credit card accounts necessary for WoWMine to operate in the west. He left the business in April 2009. David Guo's company in China was called Guangzhou UE Digital Technology Co. Ltd. David Guo realised that the gold farming business existed at the whim of Blizzard, so created his own game with the sale of in-game items built into it. This game is Evony. Just as with the gold farming he set up a USA front company, Evony LLC. To handle the money he set up Super Continental LLC. The director of both is Lu Lu, a friend of David Guo's and another proxy. The money from the game goes to another Super Continental company, this time in Hong Kong, which is owned by yet another Super Continental company, this time in the Marshall Islands, which is tax free and has near zero corporate disclosure. The business earns over $150,00 per day. It is Google's fifth biggest advertiser. More here: http://arstechnica.com/gaming/news/2010/03/evony-investigating-the-game-everyone-loves-to-hate.ars

David Guo is hiding from this whole Microsoft case so has moved to a new Guangzhou company with as misleading a name as possible: Qingdao Dragon Import & Export Co., Ltd,.

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