The white van speaker scam explained, and how it moved to Craigslist and Facebook

You walk out of Home Depot with a new faucet for that bathroom project you’ve been putting off, and as you head to your car, two guys in a windowless van roll up. At this point, your instincts should tell you that nothing good could come of the situation, but then the friendly guy behind the wheel tells you he’s got the deal of the century for you. Suddenly, you can’t help but take a closer look at what might be a potential steal to be had.

We feel for you if you’ve fallen for the scam, but the fact is, you no longer have any excuse with today’s technology being what it is. You have a lengthy Wikipedia entry on the subject and dozens of caught-in-the-act videos on YouTube at your disposal, not to mention a general cavalcade of consumers on forums, blogs, and watchdog sites, all ready to warn you about what’s become known as the white van speaker scam. Yet, as you read this, someone, somewhere, is falling victim to the hoax.

The white van speaker scam is a global phenomenon, still active in multiple cities on multiple continents. It subsists because of the avarice of those who conceived of it, the cunning of those who sell it, and, most of all, the ignorance of those ensnared by it. Fortunately, a little information can go a long way in helping you see the scam for what it truly is.

How it works

The white van speaker scam is simple in its execution. Salesmen are hired to peddle inferior, faux name-brand speakers from a van or SUV, or increasingly, online via Craigslist, Facebook Marketplace, or other such websites. The speaker equipment is cheap, shoddy, and generally unsellable via traditional channels. To work around that fact, the scammer employs a fictitious backstory.

They’ll tell you that they requested too many units and haven’t been able to unload them, and that there will be hell to pay if they don’t get rid of the inventory. They’ll present you brochures, web addresses, business cards, and box tops, in person, and official-looking marketing material online, all of which will seem to point to the fact that this is your lucky day and you’ll be getting an incredibly expensive speaker at a once-in-a-lifetime discount.

As mentioned, many of these operations have moved online. Seller sites have become full-blown storefronts, and “official” Facebook pages, craigslist users, and eBay accounts surface for these various brands. While the format may be different, the tactics are largely the same. If you’re presented a deal that sounds too good to be true — not to mention from sellers or brands you don’t recognize — it’s likely a scam.

The salesperson will likely be aggressive, charismatic, and accommodating. For instance, do you have to run to the ATM to grab some extra cash? No problem, they’ll wait. Even if you’re a bit skeptical, you might justify the purchase by saying to yourself, “It’s such a cheap price, how bad could these speakers be?”

Seriously, they are that bad

Think Michael Jackson circa 1987. Ever heard of Bang Audio, Paradyme, or Klausen Audio? Of course you haven’t — and it’s not because they’re exclusive, expensive brands. Many of these obscure outfits exist just for the sake of these kinds of scams, often obtaining licenses and distribution rights in an effort to create a veneer of legitimacy. Even their names are designed to make you think you’ve heard of them before, (Bang & Olufsen, Paradigm, etc.).

You don’t have to be an audiophile to hear the difference. There’s no complex engineering, testing, or research behind these products as they’re merely hunks of plastic with the cheapest drivers the manufacturers can muster. Typically, they won’t even sport a crossover network, meaning speaker cones that have no business producing bass or treble are tasked with producing the deepest lows and airy highs. Just imagine Mariah Carey as a baritone or Barry White as a soprano, and you’ll start to understand. These are the last speakers you want to use for, say, a surround sound setup.

Watch it in action

If you’re worried about being scammed, or you don’t know if you’ve been scammed, the internet is the best resource you have available. Simply Google the company name or a description of the situation, and tack on the word “scam” at the end before searching. If something is of dubious legality or value, the internet will most certainly be abuzz with buyer beware sentiment.

YouTube is the best resource of all for this type of scam, one that allows you to see precisely how the shtick unfolds in real-world circumstances. Below is such an example.

So, is this illegal?

Unscrupulous? Immoral? Illegitimate? Yes. Illegal? Unfortunately, no. The companies involved will be sure to cover their backs by paying their taxes and acquiring licenses and distribution rights, so it’s rare that you’ll be able to nail them on those fronts. Furthermore, the swindlers selling their speakers are almost always independent contractors. Since they’re not employed by the company, the company isn’t liable for any kind of false advertising the salespeople may engage in.

You could choose to bring legal action against a particular salesperson, but once they pull out of the parking lot or take down their profile, they’re gone. Even if you do find them, any case you bring is basically going to be your word against theirs, and if you do recover damages, the requisite time, energy, and court costs will no doubt exceed the value of what you recoup.

Who is behind this?

There were multiple reports from 2009 that outed Michael Joseph Amoroso as the mastermind behind the morally bankrupt operation. An entry on Ripoff Report — made by a swindled customer — claims to have ferreted out the master scammer with the help of a private detective. The same individual even posted the location of Amoroso’s house on another forum.

It’s unclear whether Amoroso continues to be involved with the scheme, but the venom behind the Ripoff Report entry and elsewhere on the internet effectively demonstrates both the prevalence of the scam and the anger of those affected. Beyond Amoroso, though, there is a veritable laundry list of companies that are complicit in this scam. Below is a list of implicated brands and companies, compiled from various sources around the Web.

Sure, a company called Dogg Digital should raise alarm bells, but there are some pretty terrible names of legit audio companies out there, too.

Furthermore, the depth of this unconscionable scheme is astounding. Sellers issue receipts with incorrect or nonexistent addresses, while vans and other vehicles are registered so as not be traced to distributors or salespeople. Everyone involved with this operation knows what it is and that it’s a scam through and through, but fortunately, the information is more ubiquitous with the prevalence of smartphones and tablets.

In the digital age, let technology be the lens with which you look before you leap. The simple rule is to just stick to stores and brands you know and trust. Besides, no matter how good a deal these scams may appear at first, it’s never been easier to find affordable speakers, projectors, or even 4K TVs that are on the level. Stay safe, people.