An important message from Snapnames

[ydnaemsti]

When they file a bankruptcy we will get rid of suckers in the business. More money for us long term. Let them hang themselves.
One more thing: Every auction he was in was illegal and should be repaid. Not to mention he used illegal money (same money) to compete with your real money.

This is a dream land for an attorney.

 

[EffectiveNames.com]

There was also, a not-so-subtle bidding mentality that many who bid at auctions engaged in, which is "hey, I'm only a grand or two over the next bidder in line, which means I'm only out a few grand if I had second thoughts and wanted to unload the name." It drives a lot of bidding.

Now that I think about it, yes, that's very true, and it also encouraged the retention of domains - I remember watching auctions result in insane prices for names that were palpably worse than the similar ones in my own portfolio and thinking, wow, I wonder how much all mine would fetch?

Of course, it was more than a little suspicious that very few offers ever materialized in the real world, but the general inflation that auctions displayed acted as a sort of yardstick and a comforting form of validation, easing the doubts we had about continuing to build our portfolios and strengthening our willingness to pay a "mere $59" to grab names that must, surely, be worth at least that if similar names can go for thousands.

I wonder: were Snapnames allowing Brady to get a partial refund on the domains he won because it was understood that part of his function was to create the illusion of regular, notably expensive sales, that would make what other people were spending seem more reasonable? Was Snapnames refunding him their share of the profits on those particular domains, while the dropping registry had to be paid their full 50% or whatever? So, Halvarez could safely bid twice what any given domain was actually worth, and Snapnames were happy to forgo their commission on those high profile sales because they were oxygen for their market as a whole. If, on the other hand, the competing bidder took the bait and was willing to go above Brady's artificially high limit, well, hey, that was even better - publicity and money in the bank for Snapnames!

Even the losing bidders, though disappointed, would have been somewhat pleased that the domain they spotted had, indeed, been valuable. They would have picked themselves and resolved to have the balls to put more money on the line next time. It also would have made them even more confident that the time and money they had already put into domaining was well-invested, even if their current sales or parking revenues failed to support that.

 

[EffectiveNames.com]

I know what you mean but if they file bankruptcy you get nada.

This is not a logical reason to not pursue them for fair compensation, instead of the derisory pittance they are currently offering you.

Firstly, we are talking incredibly small amounts in relative terms - they are far more likely to go bankrupt due to major moves by the firms that invested the hundreds of millions of dollars that funded their buying spree. Those guys love any excuse to go in an crucify the companies they invest in.

We are such a small consideration in this that Oversee voluntarily went public with this so that they could have a shot at getting their $25m back.

Before they even bothered to make the low-ball offer, they already knew roughly what the ultimate cost would be, including the people who will be smart enough to insist upon proper compensation.

They have been planning this for months, despite their claims that they only realized what Brady was doing a few days ago. So, everything has been costed, if they thought they were going to go bankrupt they wouldn't be offering any money at all, they would be doing their best to siphon money and domains into shell companies. They wouldn't have hired a PR firm that specializes in low-balling clueless suckers, they would have hired bankruptcy experts.

 

[HomerJ]

i dont have much to add to the convo here since i had no direct involvement with these auctions, but having come from the poker world, i couldnt help but find a lot of similarities between what's happened here with Snap and what happened two years ago with the insider scandal that went down at Absolute Poker. for anyone interested here is a link to an editorial i wrote today

http://www.domainimal.com/blog/snapnames-editorial---recalling-the-absolute-poker-scandal-of-07.html

cheers

 

[FormerDnForumer]

Oversee can't shutter SnapNames into bankruptcy. It would destroy the goodwill of the mothership, which is much more costly. They MUST pay people back. The question of what threshold they would push back and say "we can't pay any more" is well, well beyond what individual domainers will be able to test going it alone.

Don is right that the heavyweights must be satisfied first, which will no doubt enrage smaller fry. Certainly I'd be outraged. But the idea that the company will just go bankrupt is very unlikely given Oversee's current motions. Look at the settlement PDF posted earlier--it presages the likelihood of a class action suit.

 

[demaxxus]

i dont have much to add to the convo here since i had no direct involvement with these auctions, but having come from the poker world, i couldnt help but find a lot of similarities between what's happened here with Snap and what happened two years ago with the insider scandal that went down at Absolute Poker.

HomerJ, it's scary to think that the scandal wouldn't have been uncovered if it weren't for a customer service rep sending the wrong excel file to a customer. Could've gone on for year and years, kind of like this Snapnames crap.

 

[FormerDnForumer]

There's another angle as well. Nelson is now the source of very wide public humiliation. (I mean, my brother-in-law who's a Vencap emailed me asking what's going on, that's how wide the story is.) Given that his professional career is over and he's the subject of considerable anger, scorn and ridicule, you have to wonder if he will talk at some point, or was paid to hush up and act like he was alone. I mean, he's off to jail, so you wonder what the quid pro quo was on him being exposed.

Personally I don't think he was alone, and certainly the tacit complicity of colleagues and "satellites" was widespread and shameful.

 

[HomerJ]

HomerJ, it's scary to think that the scandal wouldn't have been uncovered if it weren't for a customer service rep sending the wrong excel file to a customer. Could've gone on for year and years, kind of like this Snapnames crap.

some think that that 'wrong' excel file was possibly from someone who leaked it purposefully (talking about Absolute Poker here)

 

[demaxxus]

some think that that 'wrong' excel file was possibly from someone who leaked it purposefully (talking about Absolute Poker here)

I had that thought too. Someone inside that knew what was going on and decided to help it get uncovered. And if that's what happened, kudos to them!

 

[stewie]

Are the police looking into this at all or are they just taking this matter like its a small internal problem???

Firing or just dismissing an employee for theft of this size screams out cover up...

they need to charge him. the damage that has been done to the company I can't image them not pressing charges.... something is strange

JMO

 

[Focus]

I think individuals affected could press fraud charges themselves...correct?

 

[Bill Roy]

It may be of interest to certain members to know that suspected tax fraud can be reported to the IRS by using IRS 'Form 3949-A' a copy of which is available as a PDF file online - this form can be used to report both individuals and companies.

 

[dvdrip]

I want to see all auctions that I was with him and he did not bid. (lost PPC revenue)
I want to see all auctions I lost as second bidder and he won. (He sold the domains I researched for to IREIT.)

I especially remember a domain that it was me and him in the auction. He send an email saying that a TM holder had threatened a lawsuit. I ignored this as the domain was keyword/generic. He ended up winning for $2500. He then sold this to IREIT. I guess the domain had a lot of traffic. And it should.

 

[FormerDnForumer]

I'm sure Rust will forbid it, but I think it is a tremendous mistake for Oversee's Jeff Kupietzky not to make a statement and perhaps make himself available to the press/domain community. The silence is deafening.

And the impending lawsuits don't mean he can't say a few words to let people know they are on top of things and open to complete transparency. Without some sort of public expression (sorry an email to users doesn't cut it) people are going to draw very dark conclusions about all this.

 

[Bill Roy]

Now Moniker bring out an 'End-of-Year' promotion!

Hell, we are in the first week of November, I think Moniker are now trying damage control seeing that so many domainers are saying they do not see themselves using Moniker again because it is tainted as being in the same Oversee stable as SnapNames!

 

[DN BROKER]

Just received this- all i know Im not going to trust their decision! I'm jumping on the wagon for law suit.

Good Afternoon,

Thank you for your email.

If you were affected by the inappropriate bidding, you will receive an email communication with detailed records, auction by auction, from Rust Consulting, the third party hired by the company to administer the rebates. The communication will be sent out later this week to all affected customers to their email address on file with SnapNames. If you do not receive a communication from Rust Consulting, none of your domain purchases or bidding was impacted by these events. If you do not receive the communication from Rust Consulting but believe you were affected please contact them at 888-413-5338 after November 5th.

Thank you,

Jonathan

 

[JMJ]

As it turns out. One of the 45 names I mentioned was a trademarked name. Once again it appears halvarez was the lone opponent. So here's another case of a trademarked name being bid up by him costing $xxx more.

 

[Shaggy]

I want to see all auctions that I was with him and he did not bid. (lost PPC revenue)
I want to see all auctions I lost as second bidder and he won. (He sold the domains I researched for to IREIT.)

I especially remember a domain that it was me and him in the auction. He send an email saying that a TM holder had threatened a lawsuit. I ignored this as the domain was keyword/generic. He ended up winning for $2500. He then sold this to IREIT. I guess the domain had a lot of traffic. And it should.

I want to see that too. My order history is only now going back to 2007 and I know I was in more auctions with Hal. Are they not allowing to see back more then 2 years on the order history?

Just received this- all i know Im not going to trust their decision! I'm jumping on the wagon for law suit.

Good Afternoon,

Thank you for your email.

If you were affected by the inappropriate bidding, you will receive an email communication with detailed records, auction by auction, from Rust Consulting, the third party hired by the company to administer the rebates. The communication will be sent out later this week to all affected customers to their email address on file with SnapNames. If you do not receive a communication from Rust Consulting, none of your domain purchases or bidding was impacted by these events. If you do not receive the communication from Rust Consulting but believe you were affected please contact them at 888-413-5338 after November 5th.

Thank you,

Jonathan

Who did you email?

 

[FormerDnForumer]

Interesting reading:

Rust gives some insight into how many people claim and the factors that are at play

http://www.rustconsulting.com/Knowl...Filing_Rates_in_Class_Action_Settlements.aspx

 

[Fearless]

I especially remember a domain that it was me and him in the auction. He send an email saying that a TM holder had threatened a lawsuit. I ignored this as the domain was keyword/generic. He ended up winning for $2500. He then sold this to IREIT. I guess the domain had a lot of traffic. And it should.

Halvarez got the TM email and ignored it.