The Federal Trade Commission has shut down a tech support company for allegedly scamming consumers into paying hundreds of dollars for computer services not provided.
The company, called Pairsys, allegedly also charged customers for software that they could find for free.
"The scammers would lead the consumer to believe that benign portions of the computer's operating system were in fact signs of viruses and malware infecting the consumer's computer. In many cases, they implied that the computer was severely compromised and had to be "repaired" immediately," said a FTC statement.
Not only did the company charge people for free software, but it also posed as customer support team from Microsoft and Facebook. When this happened customers were typically asked to give specific account information so support techs could reportedly access necessary user data to rectify the supposed technical issue.
Once access was granted to the computer a Pairsys representatives would tell customers that computer scans revealed signs of viruses and malware. In some cases representatives emphasized that customers' computers had to be repaired immediately.
"At that point, consumers were pressured into paying for bogus warranty programs and software that was freely available, usually at a cost of $149 to $249, though in some cases, the defendants charged as much as $600 for the supposed products," continued the FTC. "The FTC's filings in the case allege that the company made nearly $2.5 million since early 2012."
The FTC's complaint filed in court states the company should be shut down immediately and all the money should be returned to customers who were scammed.
The FTC's preliminary injunction states the company is prohibited from misrepresenting itself to customers about whether there are viruses present on their computers or not.
"Pairsys targeted seniors and other vulnerable populations, preying on their lack of computer knowledge to sell 'security' software and programs that had no value at all," said Jessica Rich, director of the Bureau of Consumer Protection at the FTC. "We look forward to getting consumers' money back in their pockets."
