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Chips & Hardware

Payment Processor Nuvei Must Implement Robust Merchant Screening Practices and Pay $4.85 Million to Settle FTC Charges that the Firm Facilitated Merchant Fraud

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Illustrative photo.Photo by Nic Wood on Pexels

What happened

The FTC took action against the operators of Reimage in 2024 and last year also sued a Europe-based payment processor, Paddle, which allegedly used its “merchant of record” platform to facilitate Reimage’s deceptive tech support scheme. The defendants are also prohibited from engaging in unfair or deceptive payment processing practices like those alleged in the complaint.

The Commission vote authorizing the staff to file the complaint and stipulated order was 2-0. NOTE: The Commission files a complaint when it has “reason to believe” that the named defendants are violating or are about to violate the law and it appears to the Commission that a proceeding is in the public interest.

The lead attorneys in this matter are Russell Deitch and Sung W. Learn more about consumer topics at consumer.ftc.gov , or report fraud, scams, and bad business practices at ReportFraud.ftc.gov .

Sources & evidence