Domain Warehouse Rumbled
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     27 October 2006
Domains/ Internet & e-Commerce

European domains administrator, EURid, suspended 74,000 website names in late July after an investigation found that 400 registrars, sheltered by three UK firms, had stockpiled them for sale rather than use.

The firms were named as Ovidio Ltd, Gabino Ltd and Fausto Ltd.

EURid legal manager, Herman Sobrie, told the media: ‘In this case we are convinced that the domain name holders of the 74, 000 .eu names are acting as a front for a number of registrars. The domain name holders and the registrars can be regarded as one and the same. Since registrars should only register domain names for existing customers and not warehouse the names in order to resell them at a higher price, this is clearly in breach of the registrars contract.’

However, in April, EURid’s entire launch of the .eu domains had been criticised by Go Daddy CEO, Bob Parsons, who wrote in his blog: ‘Two weeks before the landrush period began there were 800 – many real, many not – accredited .eu registrars. Then just before the landrush period began, Voila! … at least 300 more registrars appeared. Some legitimate registrars are claiming that the number of bogus registrars could even be much greater…’

EURid is now planning to sue the bogus registrars.