ValueClick (VCLK) Settles FTC Investigation For 2.9 Million

Commission Junction’s parent company, ValueClick, who has been under investigation by the FTC for quite a while announced today they are settling the suit for 2.9 Million Dollars.

This is the 4th Affiliate company I have heard of to settle for a nice chunk of cash in the last 4 months. All of these have been to government agencies for deceptive marketing practices and their are many open investigations that will be settling in the months to follow.

AzoogleAds Settled for 1m last November – I asked the CEO of AzoogleAds about the incident on my radio show a couple weeks ago.

Aderactive settled for $650,000 last November also. They were being investigated for there “free gift” websites. It seems this low settlement number is only because the company was broke.

$650,000 civil settlement is a very light slap on the wrist given the volume of past complaints, we believe the company’s current financial condition influenced the size of that settlement with the FTC.

World Avenue aka “The Useful” settled with the FAG (Florida attorney general office) for 1M less then 1 month ago for very similar deceptive marketing practices.

Now that there is money blood in the water I expect 2008 to be a big year for government agencies.

Is this actually getting anything accomplished or are government agencies just cashing in on the affiliate industry?

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