WASHINGTON, D.C. — Victor Ramirez, one of the operators involved in a sweepstakes scam that defrauded consumers of millions, has agreed to a settlement with the Federal Trade Commission (FTC). The settlement permanently prohibits Ramirez from participating in any sweepstakes or making claims to consumers about winning or potentially winning prizes.
The FTC filed its complaint against Ramirez in 2015, alleging that he was part of a scheme that defrauded over $28 million from consumers in the United States and several other countries, including Australia, Canada, France, Germany, Japan, and the United Kingdom.
The complaint charged that Ramirez, along with other defendants, sent personalized letters to consumers claiming they had won large cash prizes, typically over $2 million. To claim the prizes, consumers were instructed to send a $20-$30 fee. The letters threatened forfeiture of winnings if payment was not made within 10 days. In reality, consumers had not won any prizes, and the defendants had no ability to award them.
Under the settlement terms, Ramirez is barred from any involvement in sweepstakes or prize promotions, and is prohibited from engaging in deceptive practices related to any product or service. He is also restricted from using any consumer information obtained through the scam.
The settlement was approved by the FTC with a unanimous vote of 5-0 and has been entered by the U.S. District Court for the Southern District of Florida. The stipulated final order, once signed by the court, will have the force of law.
William J. Hodor of the FTC’s Midwest Region is the staff attorney handling the case.
