The owners of Roomster John Shriber and Roman Zaks have agreed to a settlement with the U.S. Federal Trade Commission (FTC) that cost them 1.6 million dollars since they posted fraudulent posts on their website and defrauded renters by providing fake reviews and unverified apartment listings.
Roomster was charged with failing to check the apartments listed on its website, publishing listings for nonexistent residences, and defrauding customers by purchasing and posting phony good internet reviews.
To drive more attention to their platform, Shriber, and Zaks are also accused of purchasing more than 20,000 fraudulent evaluations from Jonathan Martinez, better known as AppWinn. California, Colorado, Florida, Illinois, Maryland, and New York are the six states that joined the FTC in the lawsuit.
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News Source: https://shorturl.at/knwyK
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