“We admit the mistake, and starting with May 15 payments, we will reconcile it,” iBill President Gary Spaniak told XBiz, claiming that all affiliate monies, or revshares, will be paid directly to the webmasters who maintained affiliate programs, rather than to the affiliates themselves.
“Now the webmaster is responsible for getting money to the affiliates,” he said.
Spaniak said that while webmasters have been paid millions in cash and stock over the past three weeks, webmaster affiliate percentages had been mistakenly diverted to another account.
“It wasn’t done intentionally,” Spaniak said. “If it was, I’d have a better story.”
IBill’s struggles have been public for more than a year. Its acquisition by Deerfield Beach, Fla., neighbor Interactive Brand Development (IBD) in January came at a low point in the third-party processor’s history, after corporate takeovers, resales and the revocation of its merchant account, coupled with accusations of malfeasance from many adult companies.
IBD secured Dallas-based Corporate Restructuring Partners (CRP) to retool iBill’s infrastructure. The firm is on retainer with iBill until June. Spaniak reiterated that “CRP is not running the company – they are not even on the premises."
As long-awaited payments begin arriving in webmaster mailboxes, there has been continued speculation about iBill’s financial and ethical integrity in light of its recent history. The absent revshare payments were a mistake, Spaniak said, and are now fixed.
“We’ve come a long way in three weeks," Spaniak said. "We want to be part of the biggest comeback in the adult Internet."
