Roomster Bought and Posted Tens of Thousands of Fake Reviews,
Published Unverified Listings to Scam Renters out of Millions
NEW YORK – New York Attorney General Letitia James and the Federal Trade Commission (FTC) today sued Roomster — an online platform that claims to help individuals find apartments and roommates — and its executives for defrauding millions of users nationwide. The lawsuit alleges that Roomster, a Manhattan-based company, failed to verify apartments submitted to its website, posted non-existent apartment listings, and scammed consumers out of tens of millions of dollars. Roomster, which is used predominantly by low-income renters and students, also bought and uploaded tens of thousands of fake positive reviews on app stores to boost traffic to its platform. Attorney General James and the FTC are co-leading a coalition of six attorneys general to stop Roomster’s deceptive practices and secure restitution for impacted individuals nationwide.
“There is a term for lying and deceiving your customers to grow your business: Fraud. Roomster used illegal and unacceptable practices to grow its business at the expense of low-income renters and students,” said Attorney General James. “Unlike Roomster’s unverified listings and fake reviews, their deceptive business practices will not go unchecked. I am proud to lead this effort with the FTC to protect low-income renters and students defrauded by Roomster.”
“Roomster polluted the online…
