Court Halts Illegal Operations of Online Check Processing Firm

Share this content:

Qchex, an Internet-based check creation and delivery service, has agreed to a temporary restraining order to halt its unfair business practices, according to the Federal Trade Commission.

In a complaint filed by the U.S. District Court for the Southern District of California on Oct. 2, the FTC charged that San Diego-based Qchex creates and sends checks drawn on any bank account identified by a Qchex customer without verifying that the customer has authority to write checks drawn on that account.

As a result, scammers have used the Qchex service to draw checks on bank accounts that belong to others, the FTC said.

In the filing, the FTC alleged the practices violate the FTC Act and asked the court to order a permanent halt to the illegal operation. It also ordered the company to give up their ill-gotten gains.

Defendants named in this case are Neovi, Inc., doing business as Neovi Data Corp. and; G7 Productivity Systems Inc., doing business as; and their principals, James M. Danforth and Thomas Villwock.


Next Article in Marketing Strategy

Sign up to our newsletters

Company of the Week

Brightcove is the world's leading video platform. The most innovative and respected brands confidently rely on Brightcove to solve their most demanding communication challenges because of the unmatched performance and flexibility of our platform, our global scale and reliability, and our award-winning service. With thousands of customers and an industry-leading suite of cloud video products, Brightcove enables customers to drive compelling business results.

Find out more here »

Career Center

Check out hundreds of exciting professional opportunities available on DMN's Career Center.  
Explore careers in digital marketing, sales, eCommerce, marketing communications, IT, data strategies, and much more. And don't forget to update your resume so employers can contact you privately about job opportunities.

>>Click Here

Relive the 2017 Marketing Hall of Femme

Click the image above