FC: Paypal deletes account of independent news site, gives no reason

From: Declan McCullagh (declanat_private)
Date: Wed Mar 12 2003 - 22:24:39 PST

  • Next message: Declan McCullagh: "FC: Billion dollar food retailer nastygrams critical website"

    Previous Politech message:
    
    "Anti-abortion activist complains Paypal seized his account"
    http://www.politechbot.com/p-04524.html
    
    Alternatives? Politech has accepted donations through E-Gold or GoldMoney 
    for the last year or so (http://www.politechbot.com/donate/). I'll compile 
    and send along other suggestions.
    
    -Declan
    
    ---
    
    From: Eric Cordian <emcat_private>
    Message-Id: <200303112128.h2BLSIH01886at_private>
    Subject: Paypal Strikes Again
    To: declanat_private
    Date: Tue, 11 Mar 2003 13:28:18 -0800 (PST)
    
    Hi,
    
    The folks on whatreallyhappened.com are reporting that Paypal has closed
    their account, exercising its "sole discretion" according to the user
    agreement to close their account and embargo their funds for six months.
    
    http://www.whatreallyhappened.com/lindex.html
    
    Since whatreallyhappened.com is a link farm of news stories featuring a
    variety of views on the impending War with Iraq, and Paypal just pulled
    this same trick with an anti-abortion activist, it would appear that
    Paypal is employing its user agreement selectively for political purposes.
    
    While Paypal as a private company certainly has the right to choose with
    whom it does business, tying up donations people have made to support a
    political cause for half a year does seem a tad dishonest.
    
    -- 
    Eric Michael Cordian 0+
    O:.T:.O:. Mathematical Munitions Division
    "Do What Thou Wilt Shall Be The Whole Of The Law"
    
    ---
    
    Date: Wed, 12 Mar 2003 11:13:54 -0800
    To: declanat_private
    From: "A.Lizard" <alizardat_private>
    Subject: Paypal strikes again!
    
     From anti-abortion to anti-war. What business does a money transfer agent 
    have deciding whether to pay funds or not based on the account holder's 
    politics? And what is PayPal likely to decide is "objectionable" next? On 
    what objective criteria?
    
    If you know anyone using PayPal to raise funds for a political site 
    regardless of politics, better let them know about this.
    
    Given that PayPal is apparently using political criteria to decide who its 
    OK to transfer money to, other than hearing a sucking sound on the Internet 
    as every political organization not aligned with the Bush Administration 
    using PayPal to accepts donations to pull all their money out and instruct 
    their banks not to accept demands for funds from PayPal, I'm expecting the 
    next response to be a demand for federal regulation of PayPal-like services.
    
    A.Lizard
    
    >PayPal switches off indy news site account
    >By Drew Cullen
    >Posted: 12/03/2003 at 08:39 GMT
    
    http://www.theregister.co.uk/content/6/29717.html
    
    >A US independent news site which relies upon reader donations has had some 
    >of its air supply cut off by PayPal.
    >In a email sent to WhatReallyHappened.com 
    >http://www.whatreallyhappened.com/ yesterday, PayPal's Orwellian-sounding 
    >"Merchant Risk Department" wrote:
    >As you know, the PayPal User Agreement states that PayPal, at its sole 
    >discretion, reserves the right to close an account at any time for any 
    >reason. We write to inform you that, after a review of your site, and in 
    >accordance with the User Agreement, your account has been closed. Your 
    >funds will be held for 180 days from the date of the last transaction on 
    >the account. After 180 days have expired, we will refund your funds by 
    >mailing a check to the address linked to your account.
                     .  .  .
                     rest at the URL
    
    ---
    
    From: "Scoop Editor - Alastair Thompson" <alastairat_private>
    To: Declan McCullagh <declanat_private>
    Date: Thu, 13 Mar 2003 12:22:11 +1300
    MIME-Version: 1.0
    
    Dear Declan,
    
    Looks like a case for the Politech community to ruminate on.
    
    http://www.whatreallyhappened.com/paypal.html
    
    Paypal closed off this 911 advocacy websites account - and they
    are fighting back. As they have a huge audience in the blogging
    and independent media community this news is spreading like
    wildfire.
    
    Indymedia are now debating ending their association with Paypal
    too.. and I suspect hundreds of other independent media sites
    (including us) are considering the same thing.
    
    The sad thing is they do provide a very easy to use and well
    maintained and supported service... and they have massive market
    share. Their conduct is difficult to understand in the circumstances.
    
    One alternative service some indymedia are considering using is.
    
    http://www.affero.com
    
    Which has some additional capabilities which are useful for online
    publishers.
    
    It would be useful if members of the forum might be able to suggest
    other alternatives. We have been advised by one person to open
    our own Visa Merchant account but are very reluctant to do so. A
    service like the one Paypal has been providing seems like it is in
    huge demand.... but it does need to be secure and reliable... which
    sadly Paypal appears not to be.
    
    
    regards
    Alastair Thompson
    Scoop
    
    
    
    
    Alastair Thompson
    Scoop Editor
    Scoop Media
    Wellington
    http://www.Scoop.co.nz
    021 70 70 44
    
    
    
    
    -------------------------------------------------------------------------
    POLITECH -- Declan McCullagh's politics and technology mailing list
    You may redistribute this message freely if you include this notice.
    To subscribe to Politech: http://www.politechbot.com/info/subscribe.html
    This message is archived at http://www.politechbot.com/
    Like Politech? Make a donation here: http://www.politechbot.com/donate/
    -------------------------------------------------------------------------
    Declan McCullagh's photographs are at http://www.mccullagh.org/
    -------------------------------------------------------------------------
    



    This archive was generated by hypermail 2b30 : Thu Mar 13 2003 - 07:39:27 PST