Several that I've come across recently operate in that gray area where they haven't done anything illegal or fraudulant, but they have been highly immoral in my opinion.

Unfortunately, many of these objectional tactics and strategies are aimed at newbies -- you know the people who are new to online business. I guess it's kind of like picking the low-lying fruit of the internet, but it just seems wrong to me.

• They claim to provide a complete business in a box for one low cost and you'll be able to make thousands selling over and over again when they know that there are so many people selling or giving away the same products that you'll never make a penny.

• They sell you a software product claiming that it will catapult your business to the next level when it will really get your site banned by all the search engines.

• They set you up in a mall, directory, or traffic machine that claims to send you tons of targeted traffic when they only send you people who are as desperate for traffic as you are and could care less what you're selling.

• They provide loads of ebooks with full resell rights claiming that you can resell them yourself and make money hand over fist when they know the market is already saturated.

• They write up fictitious reviews of products that they have never used just so that they can encourage people to buy and make affiliate revenue.

I could go on and on with this list, but you get the basic idea. They're not doing anything illegal... it's just a gray area.

If you think you can't get caught up in one of these 'plans'... think again.

I think the world could do with a lot fewer bogus reviews, ebook resell rights, businesses in a box, and traffic schemes. Let's stop preying on people's hope.

On the other hand, there are some businesses out there that really are fraudulant and you should report them as such. Unfortunately there really isn't one central authority for reporting fraud online like there is for brick and mortar businesses, and if you're doing business with someone outside your own country it's even more difficult. Here are a few legitimate places that you can report online fraud:

• Internet Fraud Complaint Center - The Internet Fraud Complaint Center (IFCC) is a partnership between the Federal Bureau of Investigation (FBI) and the National White Collar Crime Center (NW3C). IFCC's mission is to address fraud committed over the Internet. For victims of Internet fraud, IFCC provides a convenient and easy-to-use reporting mechanism that alerts authorities of a suspected criminal or civil violation. For law enforcement and regulatory agencies at all levels, IFCC offers a central repository for complaints related to Internet fraud, works to quantify fraud patterns, and provides timely statistical data of current fraud trends.

• National Fraud Information Center - This site contains a lot of information that will help you to recognize fraud online. They also have a complaint center, but I'm not sure they have the authority to do anything about an actual case of fraud.

On to the Dog House...

• Ron Hutton and Joe Clayton Jr. - Ron Hutton is a semi-successful internet marketer and Joe Clayton Jr. is an ex-Nasa engineer turned software entrepreneur and they've teamed up to offer the 'software franchise.' Let me tell you about the IBSoftShop and you decide if you should buy into it.

  
  

• PayPal Loophole - This little loophole greatly benefits merchants who sell services and digital products, but it totally screws the consumer who needs to file a complaint against a dishonest merchant. Any 'gray area merchant' who knows about this loophole can make a fortune. Don't get caught in this one.

  
  

• The Marketing Rat Pack - See how 'marketing gurus' get other 'experts' to endorse their products and make more sales. You decide if these are honest testimonials.

• Smart Pages and The Whole Truth - If you're still considering using 'smart pages' in your search engine optimization, then you should really read this review of The Whole Truth.