http://business.bostonherald.com/technologyNews/view.bg?articleid=34098

Mass. AG suit is first using anti-spam law

By Jerry
Kronenberg

Friday, July 2, 2004

Bay
State officials are downloading a new federal law in the fight against spam.

Yesterday,
Attorney General Tom Reilly announced the first usage by any state of the federal
anti-spam law that took effect Jan. 1.

Reilly used
the federal statute and state laws to sue a Florida man who allegedly sent
repeated e-mails to Internet users, offering cut-rate mortgages.

``We expect
e-mail marketers to live up to both Massachusetts law and the new federal spam
law,'' Reilly said in announcing the lawsuit. ``If they don't, we will take
action.''

The attorney
general sued William Carson, of Weston, Fla., charging that he violated
anti-spam laws, brokering mortgages in Massachusetts without a license and
advertising loans improperly.

``Do you
know that you can get a pre-approved 1.57 percent mortgage rate even with bad
credit?'' some of the cited e-mails read. ``We will approve your application in
several hours. No need to worry!''

A link in
the e-mail led to an electronic form where consumers would provide annual
income, their home's value and other personal information.

Authorities
say Carson, who could not be reached for comment, would sell the responses to
mortgage brokers looking for leads.

The e-mails
listed a real Newton office building as Carson's business address, even though
he doesn't have space there.

Judi Smith,
office manager of the building's real tenant, Newton Executive Office Center
Inc., said her company has received hundreds of letters and calls from irate
e-mail recipients.

``I can't
begin to tell you the threatening voice mails we've gotten,'' Smith said.
``These people are annoying half the world, and half the world is blaming us
for it.''

Officials
allege that recipients had no way to get off of Carson's e-mail list - a
violation of the federal anti-spam law.

Reilly wants
a judge to order Carson to stop sending improper e-mails, offering mortgages
without a license or advertising loans with terms such as ``bad credit, no
problem.''

The state
also seeks civil monetary penalties. Reilly's office said laws call for fines
of up to $5,000 per improper e-mail.