Prenda Attorney Admits Guilt in Porn-Trolling Operation

Prenda Attorney Admits Guilt in Porn-Trolling Operation

MINNEAPOLIS — John Steele, the former Prenda Law partner who allegedly made millions of dollars suing hundreds for illegally downloading adult films, pleaded guilty today to conspiracy to commit mail fraud and wire fraud, as well as conspiracy to launder money.

Admitting to federal prosecutors in Minneapolis that Prenda Law’s operation was a scam, Steele brokered a deal that calls for him to cooperate in the prosecution of others involved, presumably his only co-defendant — Prenda Law partner Paul Hansmeier.

Hansmeier, who is suspended from practicing law and earlier filed for bankruptcy, has denied similar charges and awaits trial in Minneapolis.

In exchange for Steele’s plea, prosecutors agreed that they will dismiss 16 other charges against him, including mail fraud, wire fraud and conspiracy to commit and suborn perjury.

Steele, with the deal, could be sentenced to 8 to 10 years in prison if approved by U.S. District Judge Joan Ericksen. Without a deal in place, the statutory maximum sentencing on the charges is about 40 years.

According to the plea agreement, Steele and Hansmeier launched a scheme in 2011 “to fraudulently obtain copyright lawsuit settlements by deceiving state and federal courts throughout the country.”  

Prosecutors said Steele and Hansmeier used sham business entities to acquire copyrights to adult movies, some of which they filmed themselves.

The Chicago attorneys posted the movies to file-sharing websites where others could watch them, then filed suits against unnamed John Does who anonymously downloaded the movies.

Later, they sought court approval to issue subpoenas to ISPs to identify possible defendants.

When Prenda Law filed suit against the Does they “used extortionate tactics to garner quick settlements,” the plea agreement said. Those settlements averaged about $3,400 per defendant.

“When these individuals did fight back, the defendants dismissed the lawsuits rather than risk their scheme being unearthed,” the agreement said.

According to the agreement, Steele and Hansmeier, or counsel they hired, filed 200 fraudulent copyright infringement lawsuits around the country seeking the identities of the subscribers behind more than 3,000 IP addresses. In total, between 2010 and 2014, Prenda Law collected more than $6 million in settlements.

When judges began questioning their tactics, Steele and Hansmeier “repeatedly lied and caused others to lie” in an effort to hide their operation, the agreement said.

Pictured: John Steele

 

 

  

View plea agreement

Related:  

Copyright © 2024 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

Justices Alito, Thomas Invoke Victorian-Era Morality Law, Raising Censorship Concerns

Several national publications reported this week on widespread concern among Free Speech advocates after U.S. Supreme Court Justices Samuel Alito and Clarence Thomas repeatedly invoked during a hearing the infamous segregation-era law the Comstock Act, which was the cornerstone of U.S. censorship of sexual material from the 1870s until the 1970s.

TeamSkeet Releases 1st Installment of 'Ripe for the Taking'

TeamSkeet has released the first installment of its latest feature, "Ripe for the Taking," starring TeamSkeet March AllStar Scarlett Alexis.

Skinfluential Management's FansFuel Acquires Fanwire

FansFuel has acquired creator account management tool Fanwire.

Pineapple Support Appoints Kasey Kei as Brand Ambassador

Pineapple Support has appointed veteran performer and content creator Kasey Kei as its latest brand ambassador.

Nebraska AV Bill Moves Forward Despite Privacy, Free Speech Concerns

Nebraska’s unicameral Legislature has given first-round approval to LB 1092, the state’s version of the age verification bills being sponsored around the country by anti-porn religious conservative activists.

Eva Maxim, Katrina Colt Headline 'Cumming to LA' From Cherry Kiss

Eva Maxim and Katrina Colt star with Vince Karter in 2021 XBIZ Europas Female Performer of the Year Cherry Kiss' "Cumming to L.A.," from Evil Angel.

AEBN Celebrates 25th Anniversary

The Adult Entertainment Broadcast Network (AEBN) is celebrating its 25th year in business this week.

Performers in Meta Blacklisting Lawsuit Seek to Preserve Antitrust Claims

Adult Performance Artists Guild board officers Alana Evans, Kelly Pierce and Ruby have informed a California court that, although they want to drop their lawsuit claiming that Meta conspired with OnlyFans to blacklist rival premium fan platforms’ talent, they may still pursue antitrust claims in the future.

Skylar Snow Headlines 'Infidelity 4' From Sweet Sinner

Skylar Snow toplines "Infidelity 4," the latest release from Mile High Media studio brand Sweet Sinner.

Serenity Cox Stars in 'Enjoy It' From MILFY

Serenity Cox stars with Alberto Blanco in "Enjoy It," from Vixen Media Group studio imprint MILFY.

Show More