Get 40% Off
👀 👁 🧿 All eyes on Biogen, up +4,56% after posting earnings. Our AI picked it in March 2024.
Which stocks will surge next?
Unlock AI-picked Stocks

Ex-mobile phone industry executive gets five years for text message scam

Published 01/12/2018, 07:33 PM
Updated 01/12/2018, 07:40 PM
Ex-mobile phone industry executive gets five years for text message scam

By Brendan Pierson

NEW YORK (Reuters) - A former mobile phone industry executive was sentenced to five years in prison on Friday after he was found guilty of defrauding cellphone customers by charging them millions of dollars for unwanted text messages.

Fraser Thompson, 36, was sentenced by U.S. District Judge Katherine Forrest in Manhattan, prosecutors announced. A lawyer for Thompson, a former senior vice president at text message marketing company Mobile Messenger, did not immediately respond to a request for comment.

Thompson was convicted of conspiracy, wire fraud, identity theft and money laundering in September, according to court filings.

Prosecutors said Thompson engaged in a scheme to sign up hundreds of thousands of cellphone customers for paid text messaging services without their consent. The customers were subsequently forced to pay more than $100 million for unsolicited text messages that included trivia, horoscopes and celebrity gossip, according to the prosecutors.

They said the scheme was headed by Darcy Wedd, Mobile Messenger's former chief executive, who was found guilty by a jury in December but has not yet been sentenced. [L1N1OF2AH]

"They ripped off everyday cellphone users, $10 a month, netting over $100 million in illegal profits, of which Thompson personally received over $1.5 million," Manhattan U.S. Attorney Geoffrey S. Berman said in a statement.

In addition to his prison term, Thompson was ordered to forfeit $1.5 million in fraud proceeds.

Seven other people charged in the scheme have pleaded guilty, according to prosecutors. One of them, Mobile Messenger employee Francis Assifuah, was sentenced to 33 months in prison in September.

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.