American Police Force: Internet Scam?

american-police-forceWhat in Hades is going on in Montana? In April 2009, Two Rivers Authority and the Hardin City Council started looking into housing enemy combatants currently detained in Guantanamo Bay (Gitmo), Cuba. A few weeks later (May 15th), a business called the American Police Force (“APF”) registers the domain name AmericanPoliceGroup.com. The next thing you know, APF is trying to contract to operate a private jail and police training center for $27 million.

It seems that the detention facility was built but had no prisoners. APF offered to fill the jail and operate it.

Although no agreement has been reached because, among other issues, bondholders have rejected it, APF employees have apparently patrolled the streets of Hardin City in Mercedes SUVs with “Hardin City Police” decals on the sides of the vehicles…but there isn’t a city police department. Crime is handled by the county sheriff’s department.

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Think about this for a minute. A private company with no government contract suddenly decides to play police in your home town. What would you do?

It gets better. The server for APF’s website happens to host Defense Product Solutions’ website. This company registered its domain name way back on June 19, 2009. Note that both APF and DPS use the double-headed eagle for their corporate logos. AlliedDefenseSystems.com (registered March 2007) appears to be a related site. This website’s administrative contact is Mohammad Abdalla. Mr. Abdalla is listed as the COO for this company in Anaheim, CA.

Here’s where it gets more strange. The admin e-mail is for a Mr. Edward Angelino, who just happens to be listed as a small business contact for Defense Logistics Services, Inc., a company that appears to be providing foreign military sales support for the Kingdom of Saudi Arabia. Mr. Angelino has an interesting tracking record when it comes to both lawsuits and government contracts.

DESCRIPTION: Foreign Military Sales (FMS) Support to Kingdom of Saudia Arabia Logistical, Financial Management, Analysis, and Administrative Support

According to the California Secretary of State’s office, Defense Logistics Services, Inc. was formed in 2004 but is dissolved.

There is, however, an American Private Police Force Org Inc. that was incorporated March 2, 2009, and is based in Anaheim too. In addition to being the corporation’s agent for service of process, a Mr. Michael Hilton is the self-designated “Captain” of the APF.

The APF claims it is the subsidiary of a parent company but won’t identify the parent company or where APF is getting its money. The company’s Washington, D.C. address is a virtual office. Its Santa Ana, California office appears to be in an office complex with a Spanish-speaking church, a dental lab, and insurance agency.

Our main office is located in Washington D.C. and we service all 50 States and most Countries. Our experienced staff consists of highly experienced former law enforcement officers. – APF Website

Based on the above information, it seems that the websites are designed to create a much larger presence for American Police Force than actually exists. If there is actually adequate funding and professional personnel available to handle the construction and operation of a detention facility in Montana, the evidence for it isn’t readily available. If this is a scam, the government officials duped into supporting it should be thrown out of office. If the company is legit, there ought to be an investigation as to why it is patrolling the streets in vehicles with “police” decals when the employees are not municipal police. And if this is somehow a botched federal government operation to relocate Guantanamo Bay detainees, there should be Congressional hearings looking into what has occurred.

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Independent Contractor Agreements: Should You Use Them In Your Internet Business?

independent-contractorsLet’s make one thing clear. An independent contractor agreement should never be used in your Internet business to disguise an employer-employee relationship. If you get caught doing this with an employee, you could be held liable for payroll taxes and some nasty penalties. Simply not worth the risk.

If there truly is an independent contractor relationship, such as a work-for-hire web design gig for a single site, you’ll want a signed written independent contractor agreement in place to protect your legal rights.

Although the terms of an independent contracting agreement will vary depending upon the type of work to be performed and the unique circumstances surrounding the relationship, there are some general provisions that most of these types of contracts have in them in order to be binding (legally enforceable) in a way that offers you protection. These terms include:

  • Scope of work
  • Price (amount and time(s) of payment)
  • Expense allocation (including any reimbursements)
  • Deadline for completion
  • Milestones (often tied to payment)
  • Existence of an independent contractor relationship rather than employment
  • Ownership of intellectual property rights for work created and protection of trade secrets
  • Governing law and jurisdiction
  • Alternative dispute resolution provisions

Your Internet lawyer can draft customized independent contractor provisions that are designed to protect your interests while keeping you out of court in case of  a dispute.

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Seth Godin Jumps the Shark

seth-godinFrom permission marketing fame to cyber greenmail shame, Seth Godin has finally jumped the shark. Spinning it as SEO reputation management is a kind way of describing this scam. What Godin has done is launched Brands in Public. Sounds innocent enough? Hardly.

Godin has put together hundreds of Squidoo pages for companies with major brands. A complimentary service? Done with permission? No. The aggregated content on these pages are determined by Godin/Squidoo…unless your company is willing to pay $400 per month in “greenmail” to control the content and spin it.

“If your brand wants to be in charge of developing this page, it will cost you $400 a month.” – Seth Godin

Because Squidoo pages rank high in the search engines, Godin is essentially telling these companies to fork over the money or have their online reputation interfered with by him because he’s using their keywords/brands to drive a lot of traffic to Squidoo.

From an ethical standpoint, there’s little separating what Godin is doing from cybersquatters who sit on domain names filled with the companies’ brands demanding unreasonable sums. Morally, it is similar to competitors  using the companies’ brands as keywords in pay-per-click (PPC) campaigns to drive traffic elsewhere. The main difference is the dollar amounts involved. Let’s say that 500 companies give in to Godin’s demands and fork over $4800 a year. That’s an additional $2.4 million in revenues generated simply using the “pay me or else” method of marketing.

Is this legal? I’m sure a few of the companies will be discussing the matter with their Internet and trademark attorneys.

Is it ethical? No.

I’m disappointed in Seth Godin.

You should be too.

Recommended Reading: Seth Godin Tries Out Brandjacking

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