Subject: Internet Fraud Hits the Gay Community
From: [email-masked]
Date: Mon, 05 Jul 1999 10:05:08 -0500

INTERNET FRAUD HITS THE GAY COMMUNITY

If you visited a web site or read a brochure for
an internet service provider (ISP) called Rainbowvoice,
that said they were the first national ISP for the 
LGBT community, you'd tend to believe them. Being first
is important in any market and is an especially 
important boast on the Internet. 

The only problem is, this isn't true. Not even close!

Rainbowvoice launched June 15, 1999. GLINN Network One,
"America's Gay Owned and Operated Internet Service
Provider" (sm) launched a nationwide dialup network for
the LGBT community on October 25, 1997, with the parent
company GLINN Publishing Corporation serving the LGBT
community since 1987, and with a major web presence
since June 27, 1996. Today, GLINN has the largest gay
presence on the Internet (in number of pages and sites.)

If you went to the Rainbowvoice office to ask them
about this, you'd be a bit uncomfortable. Their
"office" (listed on their web site and elsewhere) is 
about 12" x 12" x 5".... specifically a mailbox at
an Atlanta, GA "Mailboxes, Etc" location. The office is
not the only thing that is entirely nonexistent.

If you went to the office of GLINN Network One, 
(www.gn1.net) you'd find a real office with employees,
high speed internet connections, Cisco routers, v.90
access equipment, and some 18 web, email and ftp 
servers and other computer systems, as well as 
extensive support facilities.

GLINN CEO, Dan Schramm, explained, "If a potential
customer read the Rainbowvoice material, he or she
would likely believe that ISP was their only choice
and had done something special by being first to 
serve our community. Unfortunately, that is just not
true, its unfair, and it is an outright fraud to 
misrepresent material facts."

Although puffery is a common advertising tactic, such
as saying one is the "best" or the "greatest", it is an
illegal fraud to make statements of fact which are 
not true. Such misrepresentations can result in civil
or even criminal action.

Schramm added, "Rainbowvoice in fact knows it is not
true. We have contacted them by email and telephone
and in a conversation with Jeff Strobe, operations
manager, he admitted they knew it wasn't true, having 
visited the GLINN Network One web site, but that 'it was
too good of a marketing angle to pass up'. He added that
they had no intention of changing it."

Weeks later, the false claims are still prominently
displayed on the web site. The Rainbowvoice web site,
for instance, states: "rainbowvoice.com, or Rainbow
Voice, Inc., is the first nationwide Internet Service
Provider (ISP) created especially for the LGBT
community."

Telling the truth is not the only thing missing. In
fact, Rainbowvoice consists of nothing more than a
marketing campaign. They do not own or operate any
of the equipment a typical ISP requires. Everything,
from their web site to their dialup network, and even
customer service is jobbed out to other companies.

The dialup network is owned by UUnet, a division of
MCI-Worldcom. Rainbowvoice is a reseller. Pete Cousin,
VP of Picus Communications, confirmed that they host
the Rainbowvoice web site and provide customer service.
Even critical DNS service is provided by a different
firm located in Norfolk, Virginia. Rainbowvoice could
not even manage to design their own web site.

And who are these people lying to our community? You
won't learn anything about the stockholders, officers
or employees from the web site. Not a single name is
mentioned. Is this company owned by straights who 
just want to get on the gay marketing bandwagon? You
wouldn't know by looking at their web site or anything
else. 

GLINN Network One, on the other hand, provides extensive
information on the company's involvement in the LGBT
community and provides detailed information about the
CEO, Dan Schramm, and makes clear that he is a gay man
who has a long history in the community.

GLINN Network One offers the best prices and features
of the two companies. A monthly dialup account is $15.95
down to $12.95 with prepayment, while Rainbow is $19.95.
GLINN offers more email boxes, personal web space, and
other features.

Potential customers aren't the only ones being
taken in by this Internet fraud. The Gay Financial
Network launched an exclusive affiliation with 
Rainbowvoice, announced in a June 15 news release on
the PRNewswire. 

On the page featuring the Gay Financial Network is the
statement, "The first nationwide Internet Service
Provider born this way." Similar statements are made
elsewhere on the site.

Informed of the false and misleading claims made by
Rainbowvoice, Jeffrey L. Newman, President/COO of the
Gay Financial Network, issued the following statement
to GLINN Network One.

"The Gay Financial Network apologizes for any error on
our part from their promotional material. However, we
released our statement in good faith and under the
belief that it was correct and accurate." 

"I have voiced my displeasure over this to
Rainbowvoice.com and will not release any additional
information with that particular claim attached to it.
Further, if in fact these are false statements on the
part of their site with gfn.com, I will instruct my
attorney to seek action to correct it."

Rainbowvoice promiently displays "affiliations" with
other major gay organizations, using those groups to
bolster its own credibility, while promoting its fraud
on our community.

-----------------------------------------------------
This is a news release from the Gay/Lesbian
International News Network (www.glinn.com) a
division of GLINN Publishing Corporation, Dan F.
Schramm, Executive Editor. All facts and statements
contained herein are true and correct and have been
verified as of July 5, 1999.

Editor's Desk: 414-289-8640
Fax: 414-289-0789
Email: [email-masked]