SP & NetIBA Fraud
Tennessee AG
California AG
The StormPay & NetIBA Fraud
According to StormPay's website, the fee to receive money via StormPay is a usurious 6.9% plus 69 cents. However, if you would like to have the fee to receive money lowered to 2.9% plus 39 cents, you need only register with NetIBA. The StormPay website states, "NetIBA is a third party validation service who validates the identities behind the e-mail address.
First of all, NetIBA is hardly a third party. I am unsure if the definition of third party is any different in the state of Tennessee, but according to The New Heritage Dictionary a third party is "one other than the principals involved in a transaction." A quick search of the Tennessee Secretary of State's website shows us that StormPay Inc. is registered to one John R McConnell Jr, and is located at 1690 Country Club Lane. NetIBA Inc. is interestingly also registered to John R McConnell Jr, and located at 2115 Old Ashland Road. [Map provided by Google Earth.]
Now that we have established that StormPay and NetIBA are in fact tenaciously related, and are not third parties to each other, let us take a look from the sky at the office locations of StormPay and NetIBA.
Surprised? You shouldn't be. Becoming "certified" with NetIBA does not provide users with any benefits beyond reduced StormPay fees. No other websites in the world recognize "certification" with NetIBA as verifying anything whatsoever.
Furthermore, becoming "certified" with NetIBA does not verify anyone's identity! The only thing NetIBA does is verify that someone has access to a specific email address, and has access to a physical mailing address. NetIBA does not cross-reference user-supplied data to verify personal information, and they do not ask for any identifying information beyond your phone number and address. You can even register to a PO Box, which further shows the lack of credibility that "certification" by NetIBA provides.
So, NetIBA "registration" only provides benefits in conjunction with the use of StormPay, and does not even live up to its claim of verifying users' identities. People have be defrauded into believing that NetIBA "certification" actually verifies identities, when clearly it does not.
Furthermore, on their website, StormPay encourages its customers to register with NetIBA. StormPay also provides a financial incentive for its customers to become NetIBA "certified": Lowering of fees to receive money from 6.9%+$0.69 to 2.9%+$0.39. StormPay provides multiple links from their own website to the NetIBA website.
After StormPay became NetIBA "certified", they told their customers the following in a statement on their website:
"[StormPay] recommends that if you are a vendor selling online that you register with NetIBA to let potential customers know that they are inf act dealing with a legitimate, verified, website."
Yet NetIBA does nothing to verify the legitimacy of web vendors. It is unfortunate that StormPay & NetIBA have misled people into thinking that having NetIBA certification offered some sort of safety net or provided any protection benefit whatsoever to StormPay customers.
The money collected by NetIBA most assuredly went right into the same pockets as the fees collected processing payments for illegal ponzi schemes.
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