February 14, 2007

Greenzap claims it’s not a scam

by Brian Turner

Computers & Internet

Greenzap has unleashed a $57 million lawsuit against webhosting company LiquidWeb, claiming that it is hosting defamatory content.

Greenzap is a company that claimed itself to be a Paypal killer – offering incentives of $25 per sign-up – apparently for payment processing.

However, according to a Yahoo! News report, users would not be able to withdraw this incentive as cash.

Additionally, the report also highlighted some suspicious business practices – although the company address is in California, no company registration in the state could be traced. Plus the company appeared very keen to hide it’s identity.

It turns out that Daniel Westmoreland is a principle partner in Greenzap – and his record online is less than glowing, with his being responsible for previous pyramid schemes, such as Payline.com, which were eventually closed down.

Despite this, a flood of affiliates began spamming the web in order to earn their $25 per sign up – including in the Platinax forums.

However, warnings soon went out that Greenzap was little more than a scam, with multiple reports of potentially fraudulent activity.

The San Diego Better Business Bureau also records the company’s consumer relationship as unsatisfactory, pointing out a string of complaints ranging from false advertising to unauthorised withdrawals on customer accounts.

In the meantime, we wish every success to Liquidweb, who also previously hosted Platinax when it first opened.

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Story link: Greenzap claims it’s not a scam


3 Responses to “Greenzap claims it’s not a scam”

  1. Natalie Coleman on February 14th, 2007 5:37 pm

    The people posting on forums about GreenZap LIED. They are evil, disgusting people who have made up bad things about Greenzap. I am glad they are getting sued.

    Affiliates were not “spamming” — they were networking and advertising. What is wrong with advertising your business?


  2. nate on February 14th, 2007 11:10 pm

    This is a joke, greenzap will be counter sued i bet after LW gets the case dropped. Sounds like greenzap is nothing but a bunch of scammers.

  3. Liquidweb sued by Greenzap - Web Hosting World forums on February 15th, 2007 9:34 am

    [...] Liquidweb sued by Greenzap Interesting to see Greenzap laying out a $57 million lawsuit on Liquidweb: Platinax Small Business News » Greenzap claims it’s not a scam I remember when Greenzap affiliates started spamming the Platinax forums – soon followed by complaints they were a scam. Somehow I don’t think Liquidweb are going to have too much to worry about here. [...]

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