DMA Praises Senate for SAFE WEB Vote

Washington, DC, March 21, 2006 – The Direct Marketing Association (DMA) applauds members of the US Senate who passed the Undertaking Spam, Spyware and Fraud Enforcement With Enforcers Beyond Borders Act of 2005 (US SAFE WEB Act) by unanimous consent late last week.

DMA strongly supported S. 1608, which grants additional authority to the Federal Trade Commission (FTC) to help protect consumers from spam, spyware, and Internet fraud and deception. The Association commends the efforts of the bill’s sponsor, Senator Gordon Smith (R-OR), as well as co-sponsors Daniel Inouye (D-HI), John McCain (R-AZ), Conrad Burns (R-MT), Mark Pryor (D-AR), Byron Dorgan (D-ND), and Bill Nelson (D-FL).

Over the past year, DMA has been active in supporting the "SAFE WEB Act" and in calling for stronger penalties for online criminals and greater resources for law and enhanced "cross border" authority for the FTC as a means to help stem the tide of deceptive and fraudulent e-mails and Web sites that remain a threat to American consumers. As adopted by the Senate, the US SAFE WEB Act includes numerous provisions that will help the Federal Trade Commission (FTC) identify and prosecute cyber-criminals.

"Cyber-crime erodes consumer trust and undermines the success of the online marketplace," said Jerry Cerasale, DMA’s senior vice president for government affairs. "Many of those responsible for fraudulent Web sites and deceptive e-mails are criminals who operate under false pretenses and outside of US borders. Giving FTC the authority and funding it needs to work cooperatively with regulatory counterparts and law enforcement officials from around the world is a positive step toward combating this problem."

"Keeping the online marketplace secure is a cooperative effort between government, businesses and consumers. This new law provides the enforcement muscle that complements businesses and governments are doing to keep ahead of constantly-evolving technologies and ever-more enterprising criminals," added Cerasale.

"The vast majority of fraudulent Web sites, phishing e-mails, and spam that continues to plague consumers is originating from hijacked addresses and through ‘zombie’ servers – unsecured individual addresses and commercial servers that have been taken over by scammers. One of the most important things organizations and individuals can do to combat cyber-crime is to make sure their servers are secure," Cerasale noted. "No matter where they are around the world, when criminals aren’t able to conceal their identities, law enforcement will be better able to find and prosecute them."

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The Direct Marketing Association (www.the-dma.org) is the leading global trade association of business and nonprofit organizations using and supporting multichannel direct marketing tools and techniques. DMA advocates industry standards for responsible marketing, promotes relevance as the key to reaching consumers with desirable offers, and provides cutting-edge research, education, and networking opportunities to improve results throughout the entire direct marketing process. Founded in 1917, DMA today has more than 4,800 corporate, affiliate, and chapter members from the US and 46 other nations, including 55 companies listed on the Fortune 100.

In 2005, companies will spend more than $161 billion on direct marketing in the United States. Measured against total US sales, these advertising expenditures are expected to generate $1.85 trillion in increased sales in 2005, or 7% of the $26 trillion in total sales in the US economy (which includes intermediate sales). All together, direct marketing will account for 10.3% of total US GDP in 2005.