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RiseStar
July 31st, 2001, 03:25 AM
The following was sent to me, I have not been able to verify its authenticity yet.

July 31, 2001

DirecTV Will Sue Illicit Consumers In Bid to Stem Tide of Signal Piracy

By ANDY PASZTOR
Staff Reporter of THE WALL STREET JOURNAL

Hughes Electronics Corp.'s DirecTV unit has adopted a new tactic to
combat escalating problems with illicit viewers: For the first time, it is
preparing to sue and seek punitive damages from individuals whoillegally
receive satellite-broadcast programming.

Until now, DirecTV has concentrated almost exclusively on filing several
multimillion-dollar civil claims and cooperating with a handful of government
criminal cases against a relatively small number of alleged middlemen, or
members of underground rings, suspected of masterminding such signal
piracy. A few groups have been accused by DirecTV and the government of
peddling unauthorized access cards and other equipment capable of tapping
DirecTV's wide array of programs free of charge, but the effort overall has
shown only spotty success.

Now, the El Segundo, Calif., broadcaster is taking a more grass-roots
approach, aiming at what it estimates may be as many as one million
residences throughout the country receiving DirecTV without paying for it.
"We've gone after the developers and major distributors, and believe it's also
important to identify and target users" of illicit equipment, said Larry Rissler,
the DirecTV vice president in charge of the initiative. "It's necessary to do
that" to convince average viewers they face potentially stiff penalties, he
added in an interview Monday.

The new crackdown, which is already being implemented, is "a sea change
for us" in terms of enforcement, said another DirecTV official. The service
has about 10 million paying subscribers, but its growth has slowed down
sharply, and the turnover rate of subscribers has increased significantly in
recent quarters. Analysts believe rival satellite broadcasters also suffer from
piracy, though to a smaller extent. Cable-television operators face a
comparable theft problem.

DirecTV Spokesman Bob Marsocci confirmed that the company has
launched what it calls "an end-user campaign," including mailing strongly
worded letters to potentially thousands of individuals and familiessuspected
of pirating DirecTV signals. As many as 100,000 names and addresses were
collected by the company from earlier searches of alleged bootleg
access-card operations, according to industry and company officials,while
some of the illicit devices still can be obtained on the Web. A sample letter
from the company warns that "modifying devices to gain access to DirecTV"
subjects users to damages well in excess of $100,000, and it urges
recipients to avoid litigation by signing documents promising to avoid
"satellite signal theft" in the future.

After years of targeting middlemen, working with federal undercover
operations, devising sophisticated electronic countermeasures to turn off
bogus access cards and spending hundreds of millions of dollars to
distribute more piracy-resistantdevices, "we want to send out an unequivocal
message" that users also can't escape "vigorous pursuit, " Mr. Rissler has
said. Trafficking in the illicitequipment, which includes credit-card size
access devices, was supposed to decrease under a 1998 federal law giving
companies greater authority to carry out searches and crack down against
signal piracy.

But recently,DirecTV executives authorized the launch of a
customer-oriented initiative. The first complaints have been drafted, and Mr.
Rissler said as many as 1,000 letters may be sent out each month.
Hughes's largest satellite rival, EchoStar Communications Corp., has
complained that its own subscriber-retention efforts are being hurt by
DirecTV's failure to reduce signal piracy.

The latest moves are important elements of the No. 1satellite-to-home
broadcaster's drive to improve profitability, revamp its management and
reassess its marketing programs. Hughes's parent, General Motors Corp., is
in the latter stages of talks for Hughes to be acquired by Rupert Murdoch's
News Corp. GM could receive about $7 billion for its 30%stake in Hughes.

Piracy has long been a nagging problem for satellite broadcasters, here and
abroad. In the U.S., the number of illicit viewers could rise to 1.5 million by
2006, according to Carmel Group, a consulting firm in Carmel, Calif.

Jim Stroud, an analyst who worked on the study,said these figures might
even be too low, given that satellite companies have "pretty much kept the
issue quiet." The industry calculates that signal theft is already costing it
between $500 million and $1 billion annually inforgone revenue.

Some people think that DirecTV is fighting a losing battle, and that the
letters won't prove to be much of a deterrent. Along with satellite signals,
"people steal cable today, and they will steal satellite radio tomorrow," said
Robert Peck, an analyst at Bear Stearns in New York. "At the end of the
day, it's more important to get to the source of the problem" by doing more
thorough credit checks and requiring potential customers at retail stores to
sign up and prepay for a full year of DirecTV services before receiving
essentially free equipment and installation, he said.

^Falcon_65^
July 31st, 2001, 03:42 AM
Rise,

I can confirm that. I have a source at The Wall Street Journal who said that they will break the story this morning.

Bloomberg Financial Channel has also just mentioned it at 5:35AM this morning. Apparently DirecTV will be filing suit today in California District court, and cite as defendants the nearly 100,000 names that were taken from records seized during the raids last month.

If anyone subscribes to the Wall Street Journal Online, please see if you can get a copy of this morning's story.

GhostDog
July 31st, 2001, 04:33 AM
Originally posted by ^Falcon_65^
cite as defendants the nearly 100,000 names that were taken from records seized during the raids last month.


I thought that there were no customer records seized in the recent California raids....

Dime

RiseStar
July 31st, 2001, 04:57 AM
hehe

This will put all the I am stealing DTV and I am in the USA people on high alert.

^Falcon_65^
July 31st, 2001, 04:59 AM
Originally posted by Dimedealer
Originally posted by ^Falcon_65^
cite as defendants the nearly 100,000 names that were taken from records seized during the raids last month.


I thought that there were no customer records seized in the recent California raids....

Dime

Dime,

I was under the same impression. In fact that seems to be the major issue here. I saw this over at TTRK's site (Legal-rights.org) and it implies that the names they do have and are using are names found (supposedly) in one of Vcipher's databases. Sounds fishy to me... see for yourself:
------------------------------------------------------
From a letter on Legal-Rights.org

Here is a letter sent to people who are supposedly the ex-customers of Vcipher division of Avantec, Wizpoppits Inc. (I imagine this as they say Scullion but I NEVER did any business with anyone on my own behalf) and Norsat (Dean Love’s ex company). Please NOTE that this is NOT stated but that they do NOT say who but have the notation on page 2 which says [Scullion/NorthSat Customer] . Please understand that I NEVER did any business on my own behalf as Scullion and worked ONLY on behalf of Avantec wizpoppits, Inc and its trade name Vcipher Technologies. The “EVIDENCE” claimed on my behalf is total BULL and I do not know anything about Northsat at all. Please read the above to know that they do NOT have what they say and as Vcipher never send any invoices to its customers this is total BULL and please do NOT be intimidated by these outrageous lies.

These supposed invoices (they are NOT genuine invoices) are an innacurate copy of some data from Avantecs Computer which may come from the RCMP or from Mr. Scott Donniger of Jamsys of Chicago who came here and was paid to install a Novell Network for the company some years ago. As the court currently holds this server it will be inspected to find any back door if there is one. Mr. Scott Donniger once boasted on a website that he had stolen this information which I have proof of. BUT this INFO is NOT accurate and is manufactured and FABRICATED by DirecTV® , Yarmuth Wilson or a third party and consists of BOGUS STOLEN INFORMATION that we have not authorized anyone to have. Please therfore do act accordingly.

To The REAL King!!

Below is a letter they are sending to various people.
--------------------------------------------------------------------------------


YARMUTH WILSDON CALFO PLLC
ATTORNEYS AT LAW

July XX, 2001

VIA CERTIFIED MAIL

This law firm represents DIRECTV, Inc. in the investigation of and litigation regarding the illegal reception and use of its satellite television programming. This illegal reception and use of DIRECTV's programming is accomplished through the use of modified, DIRECTV Access Cards and other devices sometimes referred to as "test cards."

DIRECTV recently obtained evidence demonstrating that you purchased illegal signal theft equipment to gain unauthorized access to DIRECTV's programming. At DIRECTV's request, I am contacting you because your purchase and use of illegal signal theft equipment to access DIRECTV's programming violates federal and state laws.


It goes on to cite codes and such stuff... scare tactics really, they basically want to scare people into an admission of guilt. Who knows, some folks may actually cave in and call this guy (which is what the letter says to do).

GhostDog
July 31st, 2001, 05:12 AM
Is it possible that you are confusing the vcipher customer list lawsuits with the recent raids at fulfillment plus?

Both lawsuits are ongoing in California, here is a link regarding the vcipher lawsuits:

http://news.muzi.com/ll/english/1070990.shtml

Dime

RJT
July 31st, 2001, 05:46 AM
I can confirm also, there was a short news clip on ABC news at 5am this morning on this.

^Falcon_65^
July 31st, 2001, 06:59 AM
Originally posted by Dimedealer
Is it possible that you are confusing the vcipher customer list lawsuits with the recent raids at fulfillment plus?

Both lawsuits are ongoing in California, here is a link regarding the vcipher lawsuits:

http://news.muzi.com/ll/english/1070990.shtml

Dime

If I'm not mistaken, the Vcipher lawsuit also named Vector Technologies as a defendant. Vector is in Kentucky and is/was a MAJOR supplier. Like I said, the Wall Street Journal didn't go into alot of details except to say that the end user defendants in the suit DirecTV is filing were names that were gotten from customer lists during a recent raid of card and programming equipment dealers.

So I guess we'll have to see exaclty who is named in the lawsuit before we can figure out where they got the lists. It doesn't really matter though. This is a seperate lawsuit against alleged "End Users", and the basis of the suit is that since records apparently show that these people either bought programmed cards or programming equipment, then they must have been guilty of signal theft.

Personally I think it is going to be impossible to prove that anyone stole DirecTV signals based on a retailer's database records. Best that this could get them is probable cause for a search warrant, and even then I think they are on shaky ground.

Spelled~Wrong
July 31st, 2001, 07:08 AM
So much for the land of the FREE...... :)

Anyway, I thought it was illegal to use information from a third party (ie credit card statements, etc) to build evidence against someone?

gregt17
July 31st, 2001, 08:12 AM
Just as soon as I get my letter I will post on this thread. As many companies as I have bought from, I should get a letter.

#1 Leafs Fan
July 31st, 2001, 08:43 AM
Originally posted by RiseStar
DirecTV Spokesman Bob Marsocci confirmed that the company has aunched what it calls "an end-user campaign," including mailing strongly worded letters to potentially thousands of individuals and families suspected of pirating DirecTV signals. As many as 100,000 names and addresses were collected by the company from earlier searches of alleged bootleg access-card operations, according to industry and company officials,while some of the illicit devices still can be obtained on the Web. A sample letter
from the company warns that "modifying devices to gain access to DirecTV" subjects users to damages well in excess of $100,000, and it urges recipients to avoid litigation by signing documents promising to avoid "satellite signal theft" in the future.

Personally, I wouldn't sign anything that would incriminate me, but if you feel inclined to do so, I wouldn't worry about it. You sign the documents and continue testing, how will DTV know. Does signing the letter allow DTV to search your house whenever they please. I don't think so...Does having a DTV dish on your house mean that you are stealing their signal. I don't think so...Just my $0.02, I could be totally wrong though.

Also, If you feel that your dealer/supplier is keeping a customer list with your name on it, whether Canadian or American, now is probably the time to call them and try and get it removed.

RiseStar, I have a question for you...What happens if you ge raided and your servers are taken. Isn't all of our personal info in your database...just wondering...

zcubed
July 31st, 2001, 10:33 AM
Well, my ignorance of the law may be showing here, but wouldn't they have to file 100,000 individual court cases? I mean what they're doing seems like a class action suit in reverse. Usually, it's the 100,000 people who get together and file a class action suit against the big corporation. They gather their evidence and go to court and present it. In this case, it would seem to me that dtv would have to gather individual evidence on 100,000 different people. A customer list might be a start, but I think they would have to provide concrete evidence that EACH individual named in the suit is/was actually stealing signal, or has the necessary equipment in possession. How expensive would that be to gather individual evidence on 100,000 people and then try them? Also, I'm of the belief that a lot of testers also carry at least a minimal subscritpion. How willing are these people gonna be to continue that sub if they get sued? Looks like more lost revenue to me.

RiseStar
July 31st, 2001, 05:29 PM
#1 leafs fan,

Thats a possibility, however its far, far more remote as I reside, own and operate this site from Canada. DTV has no right to sell their signal here and as such they would have a difficult time convincing a justice of the peace to issue a search warrant to them.

Besides, simply accessing and even joining this site are well within your constitutional rights...

^Falcon_65^
July 31st, 2001, 11:49 PM
Originally posted by zcubed
...wouldn't they have to file 100,000 individual court cases? I mean what they're doing seems like a class action suit in reverse.

My thought exactly...

If you look at what they are doing it is because it is logistically impossible to file suit against that many people.

They know who they [yellow]think[/color] is guilty, yet proving all of them guilty will be impossible... so they are going to try to scare them into admissions of guilt, effectively bypassing the legal system and get people to sign some sort of admission of guilt which holds the signing party liable for monetary damages (probably) then send them a bill.

I'm sure they will say, "Well Mr. Falcon, you had all channels plus all pay per view for 6 months... that comes to about $3,000.00 you owe us... but since we are nice guys, we will drop all charges if you consent to pay us $500.00 and sign a statement to that effect.

If it happens to any of you, do what I am going to do... call their bluff. File a countersuit for harrassment and defamation. They don't have the time or money to sue all the names that they [red]illegaly[/color] obtained so I say [yellow]Bring It On DirecTV![/color]

Justin
August 1st, 2001, 12:30 AM
...that comes to about $3,000.00 you owe us... but since we are nice guys, we will drop all charges if you consent to pay us $500.00 and sign a statement to that effect...

Cable company did that exact same thing here 4 1/2 years ago. BTW the only people that got caught were the ones stupid enough to call in and complain after the ECM. :)

bqd25
August 1st, 2001, 12:55 AM
Hey Risestar,

Do you have all of the members personal information in an encrypted harddrive or do you not keep personal information at all.

Thanks for the notice!!!

To The Real King!!
August 1st, 2001, 02:16 AM
Hi Everyone,

People I am surprised at the level of people who seem to believe in fiction as per the movies. Anyone running a legitimate business, including RiseStar have to have a customer list and report their sales. If they keep that list encrypted and the court grants a search and seizure, the court can also compel you to give the password to decrypt the list. Failure to do so will result in Contempt of court charges and you could be put in jail until you decrypt the list.

So being REALISTIC who would NOT decrypt the list.

If however you made admissions of illegal acts and that you lived in an illegal venue on this web site (the USA) that would be quite another deal and that information could be seen in you posts WITHOUT the need for a warrant. THAT is probably happening every day and people should ASSUME that it is. Doing the above is a VERY UNWISE action.

Having said that there is no reason EVER that this server would have to give in their list NOR would any such list mean more than that you visit this site, a perfectly LEGAL action everywhere.

In the case of VCIPHER the police DID seize all of my paper invoices but as I was found NOT GUILTY by the courts these remain my property until the appeal process is finished and then must be returned to me. The RCMP have answered that they DID NOT give these to anyone as that would be a theft.

Apparently it was a hacker who installed a NOVELL network for us who left a back door and downloaded a boobytrapped version of this in the USA and apparently gave it to DirecTV®. That was a person who we won't mention here as distributing personal information on this site is a no no. What he gave them is totally invalid and was boobytrapped

Now as to the supposed evidence that they have and these customer lists. They have claimed to have a valid list of Vcipher customers and copies of the invoices. This they do NOT have. What they instead have is an inaccurate and improper list that does NOT serve as evidence of anything.

I have seen invoices from this list in MY LAWSUIT with them and I can tell you that they are FABRICATED (they made them) and COUNTERFEIT and anyone who makes ANY admission based on this list is making an admission for NOTHING.

Vcipher NEVER sent invoices to customers and what they have (improperly and stolen) is an inaccurate list that has many names on it of people who ONLY inquired and NEVER Purchased. In addition there are names that are PHONY and were given by others pretending to be the person named.

So anyone who admits ANYTHING based on this list is being HOODWINKED.

If you have an inclination to CONFESS or a "syndrome of confession" don't bother waiting for any letter, just call them up and confess to some "murder" or whatever right now. But anyone who has a bit of intelligence should NEVER confess to anything as concerns Vcipher as what they have is stolen property and is NOT REAL EVIDENCE at all.

Vciphers ONLY valid invoices are PRINTED INVOICES on PAPER and they do NOT have a single ONE of these. I hope that is clear.

As to invoices of NorthSat (eddie) I do not know what thy have there or in any other raids they may have been involved with but they do NOT have anything VALID re VCIPHER CUSTOMERS.

Please govern yourselves with that in mindhttp://www.legal-rights.org/images/ttrk.gif

http://www.legal-rights.org/images/niceday.gif

Thanks & Good Luck,
[ttrkmailname]


[red]Freedom has nothing to fear from the truth![/color][/size]
http://www.legal-rights.org/images/bllrbanner.gif
Now open with lots of useful resources at your disposal AT:
http://www.legal-rights.org

Please DONATE for the SUPREME COURT BATTLE (http://www.legal-rights.org/donation.html)
[Edited by RiseStar on August 1st, 2001 at 09:48 PM]

GhostDog
August 1st, 2001, 02:28 AM
Originally posted by ^Falcon_65^
[QUOTE]Originally posted by Dimedealer
[B]

If I'm not mistaken, the Vcipher lawsuit also named Vector Technologies as a defendant. Vector is in Kentucky and is/was a MAJOR supplier.

The Vector is a defendent in California but in the White Viper case along with a few others. All were shipping from fulfillment plus in Santa Ana, CA. So since the alledged infractions were occuring in California, that is the state where the trial is. Also note that fulfillment plus itself is a defendent.

Dime

Steve747
August 1st, 2001, 07:17 AM
Let's do some simple math. Directly from the WSJ article:

"As many as 100,000 names and addresses were
collected by the company"

"Rissler said as many as 1,000 letters may be sent out each month"

So that means if the first batch goes out this month, they can wrap it all up around Christmas 2009!

simple
August 1st, 2001, 09:51 AM
Here is an article.

http://www.usatoday.com/life/cyber/tech/review/2001-08-01-directv-crackdown.htm




Simple.

spawn1
August 1st, 2001, 10:44 AM
I seriously dont think there going after people who bought from them one time 1 year ago. Besides seriously they cant prove that they still got any of the equipment at there house or where ever alot of people went legit after black sunday (I did) and so they will be wasting courts time as well as tax payers $$$ on trival lawsuits for signal theft and alot of the people they busted SOLD equipment/cards the key word is sold as long as you did not sell you should have nothing to worry about

Ha!Ha!
August 1st, 2001, 02:14 PM
Simple's article from USA Today says the letters started to go out in June. Seems like we'd'a heard about a lot'a people getting them by now. Who's actually got one? Another thing -- from category of "outside the lines." DTV/Hughes/General Motors is the biggest cash revenue pornographer in North America. 596=597-598. Has your computer got a video capture board? There's other ways to fight back.

gregt17
August 1st, 2001, 05:05 PM
What if Dave is really one of the Canadian dealers so he can make some money off people north of the border and also compile a list of US customers that he can add to his lawsuit?

Just a thought.

PS I still haven't got my letter from Dave!!!

whistler
August 3rd, 2001, 10:39 AM
Admit Nothing

Deny Everything

& Demand Proof

thats the motto to go by.... IMHO

August 3rd, 2001, 03:15 PM
[QUOTE]Originally posted by To The Real King!!
[B]Hi Everyone,

I am bound by a gag order, because I decided to settle out of court with Dtv. DTV did NOT lose it's case in California as The KING wants you all to think! They lost the RICO Counts!

For anyone who bothered to read the whole story, The Rico Counts are only a way for DirectTv to make the entire suite a joint action, and seek attorney fees! They have, and always have had the individual cases against us.

Reggie is now looking for a way out so people dont come after him, because he was so loose with his paperwork and shipping habits! What better way that to make you beleive he was the guardian of the people!

"In the case of VCIPHER the police DID seize all of my paper invoices but as I was found NOT GUILTY by the courts these remain my property until the appeal process is finished and then must be returned to me. The RCMP have answered that they DID NOT give these to anyone as that would be a theft."

Let see, Reggie says that the RCMP seized all of his invoices, but in his other posts, he says he never kept invoices? Hmmmmmm... Any business man who ran a company of that size would keep off-site records, or atleast end of year records in a bank? Could it be that Reggie himself handed over the records to DirecTV for compensation? He claims all over that he is flat broke, and is living in poverty! Hmmmm... Funny, He tells all of us to ignore all of these legal notices and that DirectTV cant touch us, while he wont step foot in the US. I wonder why that would be? I think HE struck a deal with DirectTV.

"Apparently it was a hacker who installed a NOVELL network for us who left a back door and downloaded a boobytrapped version of this in the USA and apparently gave it to DirecTV®. That was a person who we won't mention here as distributing personal information on this site is a no no. What he gave them is totally invalid and was boobytrapped"

First rule of combat, when fingers start to point at you, point the blame elsewhere. But most intelligent people think first. Why the hell would Reggie hire a HACKER to install a novell network? That would be like letting DirectTV install a Sat Dish for him???? If the information is bobbytrapped, why the hell am I in so much damm legal trouble?

"Now as to the supposed evidence that they have and these customer lists. They have claimed to have a valid list of Vcipher customers and copies of the invoices. This they do NOT have. What they instead have is an inaccurate and improper list that does NOT serve as evidence of anything."

Is it not possible again that the wonderfull REAL KING sold all of us out to save his rear end???? Does he give a damm about any one of us????

"I have seen invoices from this list in MY LAWSUIT with them and I can tell you that they are FABRICATED (they made them) and COUNTERFEIT and anyone who makes ANY admission based on this list is making an admission for NOTHING."

He has seen invoices from his lawsuit, but not from mine and the others down here! How the hell does he know, did he show his sorry ass and defend us?

"Vcipher NEVER sent invoices to customers and what they have (improperly and stolen) is an inaccurate list that has many names on it of people who ONLY inquired and NEVER Purchased. In addition there are names that are PHONY and were given by others pretending to be the person named."

WHOAAAAAA!!!! LOOK UP A FEW PARAGRAPHS!!!! The Court Jester said the RCMP seized his invoices, now he said that there were no invoices??? WTF??????

"So anyone who admits ANYTHING based on this list is being HOODWINKED.

If you have an inclination to CONFESS or a "syndrome of confession" don't bother waiting for any letter, just call them up and confess to some "murder" or whatever right now. But anyone who has a bit of intelligence should NEVER confess to anything as concerns Vcipher as what they have is stolen property and is NOT REAL EVIDENCE at all."

I think The KING should come down here and confess for us? Dont you?

"Vciphers ONLY valid invoices are PRINTED INVOICES on PAPER and they do NOT have a single ONE of these. I hope that is clear."

Ok, Vcipher sold thousands of products and used a typewriter to make out the invoices and the Fed-X airbills. Ok Reggie, we beleive you....

I am personally out a very large sum of money, have a felony supervision hanging on my head, while the King of CRAP is sitting pretty in his Canadian home...

SammyBoy
August 3rd, 2001, 03:56 PM
Legal-Dave,

What is your REAL beef with TTRK? Are you truly an end-user or a dealer?

Justin
August 3rd, 2001, 04:02 PM
http://forbes.com/2001/08/01/0801directv.html

Future Tech
DirecTV Declares War On TV Pirates
Michael Noer, Forbes.com, 08.01.01, 12:00 PM ET

NEW YORK - As any outdoorsman knows, if you are being attacked by mosquitoes, you use insect repellent. You don't swat at the beasts with a sledgehammer.

Yet that, in effect, is exactly what satellite broadcaster DirecTV is doing by threatening to directly sue individuals who pirate its television signals using counterfeit smart cards. DirecTV systems use the electronic cards to determine what programming a subscriber has paid for.

Citing U.S. federal statutes that make it illegal to possess equipment designed to intercept an encrypted satellite signal, DirecTV's outside counsel, Seattle-based Yarmuth Wilsdon Calfo, recently mailed thousands of letters to suspected pirates warning that they could face statutory damages of up to $10,000 for possessing pirate equipment. Moreover, the letter mentions damages of up to $100,000 for "involvement in modifying devices to illegally gain access to DirecTV's programming" and states that DirecTV might also seek additional compensatory and punitive damages plus attorney's fees.

Obviously, DirecTV is hoping that its aggressive tactics will cause some television thieves to voluntarily pull the plug on their equipment. But in reality the move does little to address the all-too-real problem of satellite television piracy. After all, the lawyerly letter is a fairly transparent scare tactic. The costs of identifying, suing and collecting damages from each of America's estimated 500,000 pirates would far outweigh whatever money DirecTV would be able to collect in damages. Even the dimmest thief could figure that out. And, even if they successfully prosecuted a case or two, it is by no means certain that DirecTV would be able to collect on the $100,000 damages for device modification. Does using a black market smart card really constitute "device modification?" Lawyers live for this sort of semantic hair-splitting.

Still, no one doubts that DirecTV, which is a unit of Hughes Electronics (nyse: GMH - news - people), has a major piracy problem. Almost since the satellite service was launched in 1994, a shadowy hacker underground has grown alongside it, which sells black boxes and doctored smart cards over the Internet to folks who don't want to pay monthly fees. The Carmel Group, a California-based telecommunications research firm, estimates that pirates cost the industry around $900 million a year.

Nearly all of that money comes out of DirecTV's pockets. With nearly ten million subscribers and $5.5 billion in projected 2001 revenue, DirecTV is close to twice the size of its rival, Littleton, Colo.-based EchoStar (nyse: DISH - news - people), with whom it splits the U.S. market. But DirecTV attracts more than its fair share of pirates, partly for technological reasons, but primarily because unlike EchoStar, DirecTV offers access to the full slate of professional football games.

In the past, DirecTV has tried a variety of more conventional approaches to fighting piracy, including cooperating with law enforcement to bust black market distributors and taking various electronic counter measures, or ECMs. In January, DirecTV instructed its satellites to send an ECM known as a "card kill" on Super Bowl Sunday. That event, known in the pirate underground as Black Sunday, probably destroyed tens of thousands of bogus cards. DirecTV sends out such signals about twice a month, but according to The Carmel Group's Sean Badding, intrepid pirates can effectively block ECMs using devices called emulators, or if that fails, reactivate a "burned" card using a "card strip box" that connects to a personal computer.

The piracy issue is becoming more pressing for DirecTV, partly because Rupert Murdoch's News Corp. (nyse: NWS - news - people) has spent months in discussions with General Motors (nyse: GM - news - people) to buy its 30% stake in Hughes. If that deal were to go through, News Corp. would pay General Motors about $7 billion. The price might well be sweetened if DirecTV were to show some progress in its war against the pirates.

Perhaps DirecTV should learn some lessons from its cousins in the software industry. Both industries are plagued by pirates. In 2000, the Business Software Alliance, an industry-funded lobbying group, estimated that, worldwide, piracy cost the software industry $11.8 billion.

But in general, software piracy rates are declining, despite a small upward tick last year. In 1995, the BSA estimated that around 45% of software was illicit (the high number reflects endemic piracy in Asia, particularly China). Five years later that rate had fallen to 37%. Credit the BSA for an aggressive media campaign and a few high-profile legal battles against companies found to have pirated software on employee's machines.

But also credit economics. Like satellite broadcasting, making software requires large upfront costs--development and marketing for software; satellites and licensing fees for DSB--and in both industries the cost of servicing an additional customer, the marginal cost of the product, is close to zero. That has allowed software companies to lower their prices, making up for the difference with larger volume.

Black markets tend to spring up either when products are either criminalized, as in the case of drugs, or when they are overpriced. Basic DirecTV service starts at $21.99 per month, but the average subscriber spends more like $60 a month, purchasing premium channels and pay-per-view events. The Carmel Group estimates that average monthly fees per user will rise to nearly $95 by 2009. That works out to $1,140 per annum. A complete pirate system, including the initial cost of the dish, can be purchased for less than $200. No wonder people hijack the signal.

EchoStar announced yesterday that it is reducing the cost of its basic package, which includes access to 118 channels, to $9 a month for new customers who agree to take their service for a full year. Surely the solution to piracy lies in this direction, not through hollow legal threats.

August 3rd, 2001, 04:15 PM
SammyBoy,

I am one who considers them selves lucky that the Rico Act didnt work, or I would have been in deeper crap than i am in. I am one of the ones named in the California Group... Thats about as far as I can go...

SammyBoy
August 3rd, 2001, 04:30 PM
Legal-Dave,

Then you are a dealer and not an end user that received one of the letters. Good luck with your court battles.

August 3rd, 2001, 04:49 PM
SammyBoy,

Thx for the vote of confidence... But the case was not just against dealers... The term dealers is used very loosly in the case.. It is only the amount of cards/devices that they caught/thought you sold/had




BY To The REAL King!!
Hi Guys,


Guys Legal-dave is either a DirecTV® lawyer or one of the gutless wonders who shoved it up his own ass by "confessing" and cooperating with dave.

When he says above [quote]I am bound by a gag order, because I decided to settle out of court with Dtv. DTV did NOT lose it's case in California as The KING wants you all to think! They lost the RICO Counts!

That is NOT my statement but rather HIS. Its just another of his lies trying to attribute something to me that is actually HIM. What I said can be seen on legal rights and it does NOT include this.

So he is one of the cowards who made a deal to cooperate with Dave and I would be careful what you say around such a RAT. Imaging he RATTED himself out, so what would he say of anyone else :)

DirecTV® have NOTHING from Vcipher that is REALLY evidence. Have a look at the articles that I have written on http://www.legal-rights.org

And you will see the truth. And at the bottom you will see that FREEDOM HAS NOTHING TO FEAR FROM THE TRUTH.

This guy does not believe in that and not only did he register in the last three days he has 10 posts all ragging me.

Interesting but I believe my 3 YEARS of helping the community here counts for a little more than 3 DAYS.

This is a LIAR, COWARD and RAT.http://www.legal-rights.org/images/ttrk.gif

Here is what I think of you DAVE TV

http://www.legal-rights.org/images/pisser.gif http://www.legal-rights.org/images/dtvrat.gif


You can just http://www.legal-rights.org/images/moon.gif

P.S. No disrespect meant to anyone using the RAT as an AVATAR.
http://www.legal-rights.org/images/ttrkhappyday.gif

Thanks & Good Luck,
[ttrkmailname]


[red]Freedom has nothing to fear from the truth![/color][/size]
http://www.legal-rights.org/images/bllrbanner.gif
Now open with lots of useful resources at your disposal AT:
http://www.legal-rights.org

Please DONATE for the SUPREME COURT BATTLE (http://www.legal-rights.org/donation.html)[Edited by To The Real King!! on August 4th, 2001 at 11:25 PM]

slick d
August 3rd, 2001, 07:02 PM
that is what you get when you deal with dealers programming cards in the u.s.

stick to canadian programmers only!!!!!!1

legaldave
August 5th, 2001, 08:39 AM
Bye Legal Dave TV :)
http://www.legal-rights.org/images/ttrkblack.gif[Edited by To The Real King!! on August 5th, 2001 at 06:23 PM]

August 5th, 2001, 09:11 PM
Ahh, It's good to see that The King is Up! It is so hard to keep up with all the Nick's he uses!

Even better to see he is sooo scare that since he is a ADMIN on this board he (or he convinced on of the other admins) to have me KICKED OFF!!!!


"

Yes folks DO CONSULT a LAWYER. But what Legal-Dave here is NOT telling you is that he is one of the cowards who signed a deal with Dave because he is too gutless to FIGHT. He did not "get" it up the ass he actually inserted it up HIS ass himself :)
"

To gutless to fight?? If anyone that would be you, sir-john! What have you done other than post a cheesy web site, beg your freinds for money and STILL RUN YOUR VCipher Company out of Mexico!

I cant afford the legal fees to fight a hopeless battle. The evidence more than proves itself! There is a point you just give in!

"I suspect he may like it that way."

I might like it up the ass, but I dont wear a gag-ball and get spanked by bi----ual bikers......

"If he did something illegal and he considers it better to CO-OPERATE with Dave and sign an An Landers Confession, then he got what he deserves. Too dumb to understand they DO NOT have evidence, he was one who CO-OPERATED and confessed. Anyone who is dumb enough to do that rather than challenge them gets what he asks for in Spades."

You stupid little man.... The invoices were only used to gather proper LEGAL information on SHIPPING RECORDS, CREDIT CARD RECORDS ETC. That is the legit part of it! ---- the invoices, they just added fuel to the fire, the fire was already raging!!!!




"and that is PRECISELY what should be done. Challenge their supposed evidence and they CANNOT come up with the answer to WHERE THEY GOT IT, IS IT STOLEN and PROVE ITS REAL. It is stolen, they got it illegally and it is BOOBYTRAPPED and NORT REAL. Bye the way HE LIES about shipping evidence, tapes or an Employee and he is full of ---- on that. I believe he is really a lawyer with Dave and he should be ignored. But if anyone wants to believe him then be my guest."

Yes everyone, I am a legal representitive from direct tv.. I work for Larry Rissler... I personally suck Scott Wilsdons cock too... Every peice of product that VCipher shipped left his house/office via Fed-X... Hello? Not only does that produce a big paper trail, but it had to hit customs as well, and VCipher had to produce a customs invoice! It doesnt matter if the invoice said "1 Reg Scullion Gag-Ball" No Reggie doesnt want you to know about the tapes, or ex-employee that he ----ed so bad that turned.... When they come knocking on your door and you see it you sure as hell will beleive! They were watching him before the RCMP Raid, but the Canadians hit them first! The video of the inside of his office was amazing...


"Were are the RULINGS, the court transcripts etc. All of you know that I post these on legal -rights but this fool simply makes claims but does NOT even have a court ruling to show for it. Scanners cost $59.00 today so where is that DAVE??"

No way, you get your fat ass down to California and scan them, or send your attorney! I am under a gag order and I am staying that way. The crap you post on Legal-Rights is your one-sided opinion of what you want people to see! It is not based on any facts... Most of the articles are modified or cut to skew it your way. What would he like me to scan? I dont have a court ruling! I settled! I sure as hell aint posting that here! DOES anyone realize how many DTV/NDS people are one these boards? DO YOU?

"But he wont because it does not exist :)
I just hope that nobody gets sucked in by him and I recommend you all read all the articles on this issue at
http://www.legal-rights.org

Where you will find the TRUTH. Does ANYONE imagine I can say the things I am saying there if it is NOT the truth. They would SUE my ASS if they could but sorry cant sue when the TRUTH is told :)"

Oh my god, I am on the fíng floor rooling! the TRUTH? Give me a break... You dont have a single article there that doesnt have YOUR biased opinion in it or some annotation with comments on it... Did you mention that the California Case is still open?? No you said it was lost! They only lost the RICO!!!!!! Asswhole!

"By the way. Notice he registered in Aug 2001 and TODAY is the 5th. How dumb does he think people arehttp://www.legal-rights.org/images/ttrk.gif[Edited by To The Real King!! on August 4th, 2001 at 10:26 PM] [/B]"

People show how dumb they are when they belive you! Someone that has more names that a prostitute! I have been on these boards for years, and only came back to tell people to be carefull. Once I saw you giving out self-serving legal advice, I couldnt help myself! Why should they beleive you anymore then me.... You are the moron that got raided in the first place!

Just The Facts
August 6th, 2001, 02:31 PM
legal dave

The members are speaking out against you


Walk The Plank!!!!

Walk The Plank!!!!

Walk The Plank!!!!


Just The Facts

Ironman
August 6th, 2001, 06:32 PM
TTRK: Just to clarify, thats my avatar and I don't take any offense, but I think you should know that its not a rat. Its actually a Taco Bell dog, holding errrr doing something to an H card.

http://a1060.g.akamai.net/f/1060/5672/30m/www.imagestation.com/picture/pbbb9d40bca37c9af7998024091e6f320/ff1e9404.jpg

gunsmoke2
August 6th, 2001, 10:29 PM
LOL :)

GS2

travis_cornell
August 6th, 2001, 10:34 PM
Legal-Dave, you are the weakest link, Goodbye.