release - SC Magazine

U.S. Department of Justice
PRESS RELEASE
United States Attorney's Office
Northern District of California
11th Floor, Federal Building
450 Golden Gate Avenue, Box 36055
San Francisco, California 94102
(415) 436-7200
FAX: (415) 436-7234
FOR IMMEDIATE RELEASE
August 24, 2015
SANFORD WALLACE PLEADS GUILTY TO SPAMMING FACEBOOK USERS AND
DISOBEYING A COURT ORDER
Defendant, also known as ASpam King@, Admits To Illegally Accessing Approximately 500,000 Facebook
Accounts And Sending More Than 27 Million Commercial Electronic Messages Through Facebook’s
Servers.
SAN JOSE – Sanford Wallace pleaded guilty in federal court in San Jose today to fraud
and criminal contempt in connection with misusing electronic mail and related activity,
announced United States Attorney Melinda Haag and Federal Bureau of Investigation Special
Agent in Charge David J. Johnson.
In connection with his guilty plea, Wallace, 47, of Las Vegas, Nevada, admitted that,
from approximately November 2008 through March 2009, he developed and executed a plan to
fraudulently obtain Facebook users’ login credentials in order to gain access to their accounts
and send them unsolicited commercial electronic messages (spam). Wallace further admitted
that as a result of his plan he accessed approximately 500,000 Facebook accounts and sent more
than 27 million commercial electronic messages through Facebook’s servers.
Wallace, also known as “Spam King,” acknowledged accessing Facebook’s computer
network in order to send transmissions on three occasions: November 5, 2008, December 28,
2008 and February 17, 2009. As part of his November 2008 activity, Wallace initiated
transmission of a program that resulted in more than 125,000 messages being sent to Facebook
users. His December 2008 activity resulted in transmission of nearly 300,000 messages to
Facebook users and his February 2009 activity resulted in transmission of 125,000 spam
messages being sent to Facebook users.
Furthermore, as part of his plea agreement, Wallace admitted he knowingly violated the
order of United States District Judge Jeremy Fogel directing Wallace not to access Facebook’s
computer network. Specifically, during the proceedings in the civil case Facebook, Inc. v.
Sanford Wallace, et al, No.C09-00798 JF, Judge Fogel specifically ordered Wallace not to
access Facebook’s computer network on three occasions: March 2, 2009, March 24, 2009, and
September 18, 2009. Wallace admitted that that he nevertheless willfully and knowingly
violated Judge Fogel’s order on April 17, 2009, by logging into his Facebook account while
aboard a Virgin Airlines flight from Las Vegas, Nevada, to New York, New York.
Wallace was indicted by a grand jury on July 6, 2011. He was charged with six counts of
fraud and related activity in connection with electronic mail, in violation of 18 U.S.C. §§
1037(a)(1) and (b)(2)(A); 18 U.S.C. §§ 1037(a)(2) and (b)(2)(C), and 18 U.S.C. §§ 1037(a)(4)
and (b)(2)(B). Wallace was also charged with three counts of intentional damage to a protected
computer, in violation of 18 U.S.C. §§ 1030(a)(5)(A) and (c)(4)(B)(i), and two counts of
criminal contempt, in violation of 18 U.S.C. § 401(3). Under the plea agreement, Wallace
pleaded guilty to one count of fraud and related activity in connection with electronic mail and
one count of criminal contempt.
Wallace is currently released on bond. His sentencing hearing is scheduled for December
7, 2015, before the Honorable Edward J. Davila, U.S. District Court Judge, in San Jose. The
maximum statutory penalty for a violation of 18 U.S.C. §§ 1037(a)(1) and (b)(2)(A) is three
years imprisonment, and a fine of $250,000, plus restitution if appropriate. The maximum
statutory penalty for a violation of 18 U.S.C. § 401(3) is determined by the Court. However, any
sentence will be imposed by the court only after consideration of the U.S. Sentencing Guidelines
and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Assistant U.S. Attorneys Susan Knight and Hanley Chew are prosecuting the case with
the assistance of Elise Etter. The prosecution is the result of an investigation by the Federal
Bureau of Investigation.
Further Information:
Case #: CR 11-00456 EJD
A copy of this press release will be placed on the U.S. Attorney's Office's website at
www.usdoj.gov/usao/can.
Electronic court filings and further procedural and docket information are available at
https://ecf.cand.uscourts.gov/cgi-bin/login.pl.
Judges' calendars with schedules for upcoming court hearings can be viewed on the
court's website at www.cand.uscourts.gov.
All press inquiries to the U.S. Attorney's Office should be directed to Abraham Simmons
at (415) 436-7264 or by e-mail at [email protected].
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