Spitzer Files Suit Against Spyware Firm

ALBANY, N.Y. — Attorney General Eliot Spitzer is battling spyware once again, this time by filing suit in state Supreme Court against Direct Revenue, alleging that the company installed pop-up programs on millions of computers that monitor the activities of users.

According to Spitzer, the New York-based company passed the spyware along to users without their knowledge via browsers, games and other software.

Spitzer said that his investigators documented 21 websites with Direct Revenue downloads called VX2, Aurora and OfferOptimizer. Once the downloads were in place, Spitzer said the company could track users’ online activities and direct pop-ups. Spitzer went on to say that users who attempted to remove the spyware often found the task impossible because the program could reinstall itself.

Spitzer brought the civil suit under a state law that forbids deceptive business practices and false advertising.

"These applications are deceptive and unfair to consumers, bad for businesses that rely on efficient networks to do their jobs, and bad for online retailers that need consumers to trust and enjoy their online experience," Spitzer said. "We will continue to side with consumers in their fight for control of their desktops."

The lawsuit against Direct Revenue also names former CEO Josh Abram. According to Spitzer, Abram told a distributor in an email that "we have a very stealthy version of our adware product which we 're happy to give u . . . Don't worry. If we do a deal a build together these will not be caught. [sic]"

In October, Spitzer settled a similar suit against Intermix Media. In that case, Intermix agreed to pay $7.5 million in penalties, while its former CEO, Brad Greenspan, agreed to personally pay $750,000 in penalties.

Copyright © 2026 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

Tennessee Bill Would Require Warnings on Adult Stores

The Tennessee Senate has passed a bill requiring adult stores, theaters and other establishments in the state to post warning signs cautioning patrons that they “may be contributing” to sexual assault and human trafficking.

Report: Irish Regulator Seeks 'Industry Input' on AV Compliance

Irish media regulator Coimisiún na Meán (CnaM) will draw on “industry input” to help establish a framework for assessing platforms’ compliance with Ireland’s Online Safety Code and the EU’s Digital Services Act, news organization MLex reports.

'iDealgasmPlus' Launches Through PAYSITE

iDealgasmPlus.com has officially launched through PAYSITE.

Canadian Senate Approves National Age Verification Bill

Canada’s Senate on Wednesday passed bill S-209, the “Protecting Young Persons from Exposure to Pornography Act,” which would require commercial adult websites to verify that Canadian users are at least 18 years old.

Sara Jay Relaunches Site Through PAYSITE

Sara Jay has relaunched her membership site, WydeSyde, through PAYSITE.

European Commission: Age Verification App Ready For Use

The European Commission’s age verification app is now technically ready and will soon be available for EU citizens to use in order to prove their age when accessing online platforms, European Commission President Ursula von der Leyen announced Tuesday.

UK House of Commons Moves to Tone Down Porn Amendments

The House of Commons has modified amendments to the U.K.’s pending Crime and Policing Bill, including provisions regulating “step” content, content featuring adults role-playing as minors, and performers’ ability to withdraw consent.

AEBN Reveals Ariel Demure as Top Trans Star for Q1 of 2026

AEBN has named its top trans stars for the first quarter of 2026, with Ariel Demure landing atop the leaderboard.

Final IRS 'No Tax on Tips' Rule Excludes Pornography

The Internal Revenue Service on Monday published final regulations on the “No Tax on Tips” provision included in the “One Big Beautiful Bill Act,” offering new tax deductions for tip workers but excluding revenue received for “pornographic activity.”

Pennsylvania Legislature Weighs 'Porn Tax' Bill

The Pennsylvania State Senate is considering a bill that would impose a 10% tax on the revenue of adult websites doing business in that state.

Show More