To avoid domain name scams hundreds of UK companies have joined Nominet so they can register domain names at a fraction of the cost and with no risk.
A quarter of Nominet members, the registry of .uk names, consist of normal companies with no intention of becoming a domain-name registrar. After paying £400 plus an annual fee of £100, they can register .uk names for just £5 for two years.
It highlights the ineffectiveness UK watchdogs have over the growing problem. Plans for a Code of Practice for domain name registration were abandoned last April after 18 months of lobbying.
Lesley Crowley, managing director of Nominet, believes it is of little use trying to control domain name con artists. "If you clamp them down, they just start under a different name," she said. "A better approach is to educate people."
She added she would consider creating a dedicated 'scam-zone' on the Nominet website.
But Ken Sorrie, director of ICANN accredited registrar Internetters, stressed the need for a Code of Practice, a strong regulator to force registrars to adhere and a powerful complaint body.
Lack of awareness from the DTI and absence of any credibility test for Nominet members, he said, gives sharks a "green light" to do what they want. "Even reputable companies have started to charge contract exit fees. I don't want the industry to go through another year of scams."
Anet's pressure sales tactic is only one example of shark practices in the domain name industry. Other scams include selling a 10-year contract when the maximum period is two years, or registering the name ownership to the registrant.
"The UK has to decide how it wants its internet to be governed and the government is not as up to speed as business," said Jean-Marie Idler, European general manager at .us registry NeuStar.
Check domain name ownership at the Nominet or Netnames sites.
STEER CLEAR OF A SCAM
Recognise a reputable company
- Costs around £40 per name
- No exit fee
- Warning that someone is trying to register your name
- Given a short time to react
- Reference to Nominet rules
- Ten year registration for .co.uk names. Maximum is two years
- Offer to register an .eu suffix; registration not possible
- New .us suffix ideal for sharks
- Name ownership - check you own the name you've paid for!
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