The apartment-finder site paid for bogus positive reviews and used fake listings to lure in desperate renters with little money, authorities say
Roomster, an online-apartment finding service, has reached a multi-million dollar settlement over claims it used a fake-listing and review scam to lure in desperate, low-income renters searching for a place to live.
As part of the agreement, the company has been hit with a $36.2 million fine as well as civil penalties of $10.9 million. But the FTC and the states involved agreed to suspend those penalties if the firm pays $1.6 million to the states, given that the company and its owners are unable to pay the full amount.
When the suit was announced in late 2022, authorities said they believed the company had defrauded its customers – mostly low-income apartment seekers — out of $27 million. Messages left with an attorney for Roomster, Schriber and Zaks, didn’t immediately respond to a message seeking comment.Authorities said Schriber and Zaks paid for at least 20,000, fake 5-star reviews from a bogus review mill to make their service more appealing to apartment hunters and to suppress a slough of negative reviews accusing the site of being a scam.
Singapore Latest News, Singapore Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Multi-vehicle crash temporarily shuts down both lanes on Route 222 in Lancaster CountyA crash involving two vehicles Saturday afternoon caused temporary shut downs on Route 222.Officials say one person was taken to the hospital.The road has since
Read more »
NASCAR driver Ryan Preece is released from the hospital after violent multi-flip crashPreece went to the hospital on Saturday after his Mustang flipped at least 10 times during the final laps of the NASCAR Cup Series race in Daytona Beach, Fla.
Read more »
Massive brawl draws multi-agency response from law enforcement at Del Amo Fashion CenterPolice with Torrance, Gardena, El Segundo, Manhattan Beach and Los Angeles Police Departments were called to the scene to assist with the investigation after a massive brawl broke out at the Del Amo Fashion Center in Torrance.
Read more »
Silver Price Analysis: XAG/USD retreats from multi-week top, holds above $24.00 markSilver attracts some intraday selling on the first day of a new week and moves away from over a three-week high, around the $24.35-$24.40 region touch
Read more »