Anonymous transactions on the Internet can have a dark side. Research each of the terms below on the Web. Prepare a one-page report for each term researched. Your paper should describe the problem and provide examples and illustrations where possible. Conclude each paper with recommendations on how to guard against each type of fraud.

a. Search using the terms “Ponzi Scheme” or “Pyramid Scheme.” To find current examples in action try searching for “plasma TV $50,” “cash matrix,” “e-books” and “matrix,” or “gifting” through a search engine or auction site.

b. Search using the terms “phishing” and “identity.” If possible, include a printout of a real-world example that you or an acquaintance may have received via e-mail.

c. Search using the term “third-party escrow.” What legitimate function does this serve? Provide an example of a legitimate third-party escrow service for Internet transactions. How has the third-party escrow system been used to commit fraud on the Internet?

d. Prepare a one-page paper describing a type of online fraud not covered in the previous questions. Prepare presentation materials and present your findings to the class. Be sure to include a description of the fraud, how to detect it, and how to avoid it. Use real-world illustrations if possible.