FTC Just Sent Over $1 Million To People Scammed By 'Patent Marketing' Company The Former AG Matt Whitaker Was Involved With

from the bunch-of-crooks dept

Not many people noticed this, but last week, the FTC announced that it was sending more than $1 million in "refunds" to people duped by the scam company "World Patent Marketing" that would try to sucker people who thought they had big ideas to pay WPM to either help them patent their "invention" or to "promote" their patented invention. In reality, it turned out (as with many of these companies) it was just a scam to get the company's CEO quite rich:

As millions poured in, the firm's tough-talking CEO, Scott J. Cooper, boasted about trips to remote islands on his yacht and lashed out in expletive-laden tirades at inventors who complained. In screeds posted online and emailed to customers, the company bragged about its security team composed of ex-Israeli special forces trained in Krav Maga and threatened critics with lawsuits — or worse.

The FTC seems happy that it was at least able to get some money back for victims of the company.

According to the FTC, consumers paid Scott Cooper and his companies, World Patent Marketing Inc. and Desa Industries Inc., thousands of dollars to patent and market their inventions based on bogus “success stories” and testimonials promoted by the defendants. But after they strung consumers along for months or even years, the defendants did not deliver what they promised.

The FTC is providing 5,503 refunds averaging about $185 each to victims of the scheme. Most recipients will get their refunds via PayPal, but those who receive checks should deposit or cash their checks within 60 days, as indicated on the check.

Conveniently, the FTC leaves out the fact that our previous US (Acting) Attorney General, Matt Whitaker (who was AG between Jeff Sessions and current AG William Barr) was on the "advisory board" of WPM and appeared to use his former government prosecutor credentials to scare off victims of WPM trying to find out what happened to their money. In 2015, Whitaker sent this email to a complaining victim:

Mr. Rudsky:

Scott forwarded me your emails and I am concerned about what you are trying to communicate to Scott Cooper and WPM.

I am a former United States Attorney for the Southern District of Iowa and I also serve on World Patent Marketing's Advisory Board.

Your emails and messages from today seem to be an apparent attempt at possible blackmail or extortion. You also mentioned filing a complaint with the Better Business Bureau and to smear World Patent Marketing's reputation online. I am assuming you understand that there could be serious civil and criminal consequences for you if that is in fact what you and your "group" are doing.

I am familiar with your background and your history with Scott. Understand that we take threats like this seriously. Perhaps you can email me and specifically explain to me exactly what your intentions are with regards to World Patent Marketing so I can respond accordingly. I can be reached at this email address.

Please conduct yourself accordingly.

"Mr. Rudsky" responded, appropriately, to Whitaker: "stop with your bullshit emails. You are party to a scam that is driving allot [sic] of traffic to WPM site... You will be exposed..." And while WPM was exposed, and now that its victims are at least getting some of the money back, it appears that Whitaker got off free, despite his role in the whole scam. At the very least, it still should raise questions as to how the hell he became our Attorney General, even if only in an acting capacity.

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Filed Under: ftc, invention marketing, matt whitaker, patents, scams, scott cooper
Companies: desa industries, world patent marketing