Bidders Committing Fraud on Penny Auctions

Unfortunately, not only do we have to watch for penny auction sites committing fraud (shill bidding, bots, not shipping, etc.), we also have to be on the look out for dishonest bidders that are bidding in teams and colluding by telling bidders to not bid against them out of “respect,” this is indeed coconspiring to win auctions and defraud businesses. This is not only unfair to site owners, as they could possibly lose a substantial amount of money, but to other bidders as well. We believe that this has grown to become a serious issue across various sites. So, think twice before you plan to do this if you are contacted by a bidder requesting you to join in on any sort of bidding “truce/pact.”

As you may have read in the Bidcentsible section of our Penny Auction Forum, Bidcentsible.com accidentally (as have many penny auction sites – unfortunately) failed to BCC the contacts on an e-mail , thus disclosing all e-mail addresses to registered bidders. In turn, a few bidders took this information and used it to contact bidders and form a group to collude and defraud BidCentsible.

Here’s the message from BidCentsible regarding the current, unfortunate events:

“Bidcentsible.com member,

Perhaps you have recently received an email from an individual or
individuals claiming that Bidcentsible.com has treated Members unfairly
or irresponsibly. On the advice of our legal team, we are not yet at
liberty to comment on the membership status of the sender/s of this
email; however, we can state without reservation that the statements
contained in this communication are at best misleading and at worst,
patently false.

Unfortunately, we have uncovered a group of recruited individuals that
formed to engage in unscrupulous acts and predatory bidding practices in
an attempt to disrupt and manipulate the natural flow, experience and
outcome of auctions for all bidders. In order to protect the integrity
of the process, as well as each member’s equal opportunity to
participate in a fair auction, we were obligated to take action against
the offending parties. Sour grapes or not, when an issue such as this
occurs, we must take quick and decisive action, as well as address the
allegations presented in the document.

We inadvertently sent an email that did not have the BBC feature enabled
on a handful of the intended recipients. While this was not a violation
of our privacy policy, it was a mistake on our part.

We also want to take this opportunity to address the PayPal issue which
almost everyone knows by now. We are enclosing the letter from PayPal
which might help to further explain the circumstances. In the event you
need additional information, please email us at support@bidcentsible.com.

We look forward to providing you with more deals and excitement at
Bidcentsible.com. Thanks for your participation.

With our best regards,
The Bidcentsible.com Team”

If you have been contacted by someone suggesting you “respect” other bidders we hope that you steer clear of this, and please let us know if anyone has suggested you engage in this very unscrupulous behavior.

Discuss and review penny auctions in our forum!

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2 comments… add one
  • DONALD DAMON August 16, 2010, 8:45 am

    quibids; allows you to bid under the 28 day rule but uses shills to make sure you don't win. happened to me only about a week ago. wont answer my question " How do you allow a person to bid but do not allow him to win???

    Reply
  • Brandon August 24, 2010, 3:27 pm

    Ok, Amanda I think you have let this get out of hand, I was one of the players on that list! I am also one of the players that helped out Bidcentsible for my name was put on that list with out myself excepting anything!! So now that your hanging party is out and my name is being ran through the mud I have no choice other than seek legal advice! I have been a good member and always was considerate to other players, I did not make claims with out facts!! Now I could do this same thing to them, I could start a email with there names on it and say the same thing and then let the lynching party take over!! My email address is posted on your site, for you to let this over a letter that was placed with my screen name on it is wrong!! You talk about scruples, I am guilty until found Innocent, now I would go on and defend myself but I would just end up like southerngal who was one that turned the group in!!

    Now she is being picked apart for doing the right thing, If we were to turn in the person that sent the letter no one would of been discovered because it was a email that we could not trace! I always enjoyed your site, for you to let others turn on members with out all the facts was wrong!! I guarantee this will happen again with Innocent bidders on the list, this is a sure way to get rid of the competition!! So when these bidders are accused I hope you stick up for your members before the hanging party gets to trash there name!!!!

    Yours trully huntelkhard!

    Reply

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