Henry Nolan Kelly, an “internet marketer” sent over 20 million text messages to U.S. consumers, telling them how they could receive a free iPhone and iPad. Several complaints were filed against him with the Federal Trade Commission, which has now fined him $60,950 for running a large text message based scam. Kelly included links in his texts that would require personal information or journey through an “elaborate process” that would sometimes require other purchases when clicked, he netted some $60,000 through this scam.
However because he’s unable to pay this amount, he will now be cooperating with the FTC in future investigations against people or groups that use the same tactics. He has also been prohibited from sending of unsolicited or unwanted text messages to consumers. Kelly is also prohibited from misleading people through text messages that they have won prizes or gift, and whether the product he is marketing is “free.” Come to think of it, these aren’t exactly actions that one needs to be explicitly prohibited from, scamming can’t be justified in any way. It doesn’t come as a surprise that no free iPhones and iPads were given out by him.