FTC Sues Passport Site Operators in Consumer Protection Case

The news: The Federal Trade Commission has sued GovAssist LLC, Entry LLC and Scott Zuckerman, alleging they ran a government impersonation scheme aimed at people who need passport services. In a consumer protection action announced Thursday, the agency says the operation used deceptive paid search ads to pass itself off as the federal government, or as affiliated with it. The ads allegedly steered travelers to the defendants’ websites. The FTC also alleges the sites made false promises about the services they would deliver, and that they were used to collect consumers’ financial and personal information.

Key takeaways:

• The FTC alleges the defendants posed as, or implied a link to, the federal government to attract passport customers.
• The agency says the scheme relied on paid Google search ads and landing pages.
• The complaint also targets misleading service promises and fake reviews, according to the FTC’s announcement.
• These are allegations. The defendants have not been found liable.

Why it matters: Anyone who searches for a passport online can end up on a site that looks official but is not. The FTC says that since at least October 2023 the defendants hosted websites including GovAssist.com, Entry.com and IVS.us to offer passports and passport-related services. A person who thinks they are dealing with a government office may hand over sensitive details, and possibly payment information, to a private company instead. The agency’s case centers on that confusion and on promises it says were false.

The big picture: The case is aimed at search advertising as much as at the individual defendants. Christopher Mufarrige, director of the FTC’s Bureau of Consumer Protection, said using paid Google search ads and landing pages to impersonate the government and target American travelers is illegal. He called the action a “stark warning” that the FTC will pursue all bad actors participating in search advertising schemes that mislead consumers, distort competition, or otherwise violate the FTC Act. That language suggests the agency is watching how paid placement is used to capture people at the moment they are looking for a government service.

What’s next: The lawsuit will now move through the courts, where the defendants can respond to the FTC’s claims. Travelers can take a practical step in the meantime. Before entering personal or payment details, check that a passport-related page is run by the actual government, and be wary of ads at the top of search results that only resemble official sites. Watch for further FTC actions against search advertising schemes, which the agency has signaled it intends to pursue.