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After getting acquired, bank scraps its dot-brand

Kevin Murphy, August 20, 2019, Domain Registries

Another dot-brand gTLD has bitten the dust, but this time it does not appear to be due to lack of interest.

TIAA Bank has told ICANN that it wants to terminate its contract to run .everbank, the dot-brand of a bank it acquired two years ago.

It’s only the second self-terminating dot-brand I’m aware of where the gTLD is actually being used. The first was .iselect a couple months ago.

EverBank had about.everbank and commercial.everbank live and resolving, but they currently both just bounce visitors to its .com site.

The EverBank brand was retired over a year ago, after TIAA acquired it and renamed it TIAA Bank, so it would be pointless to continue using the gTLD.

I think EverBank is catchier, but TIAA is still catchier than .teachersinsuranceandannuityassociationofamerica-collegeretirementequitiesfund, which, at 78 characters, is technically too long to be a TLD.

It’s the 53rd new gTLD to ask ICANN to terminate its registry contract.

CEO lost millions on Manhattan apartment deal just days before AlpNames went dark

The CEO of AlpNames lost his $2.1 million deposit on a $10.6 million Manhattan apartment just days before his company went belly-up earlier this year, DI can reveal.

ApartmentsA New York District Court judge in February found in favor of property developer Highline Associates, which had sued Iain Roache for his deposit after he failed to pay the balance of the luxury residence’s purchase price in 2017.

The ruling appears to have been published February 25 this year. By March 7, just 10 days later, ICANN had already started compliance proceedings against AlpNames.

The timing could just be a coincidence. Or it might not.

According to Judge Robert Sweet (in what appears to be one of his final decisions before his death at 96 in March this year), Roache agreed in December 2015 to buy a condo, parking space and storage unit at 520 West 28th St, a then under-development luxury apartment complex designed by award-winning architect Zaha Hadid, in Manhattan’s fashionable Chelsea district.

The purchase price of the one-bedroom apartment was an eye-watering $9.8 million. Another $770,000 for the parking space and storage unit brought the total agreed price to $10,565,000. Roache plunked $2,113,000 of that into escrow as a deposit.

At that time, AlpNames, majority-owned by Roache, was quite a young company.

It was on the cusp of selling its millionth domain, and had got to that milestone in just over a year in business. Earlier in 2015, it had been bragging about how it was second only to GoDaddy in terms of new gTLD domains sold.

Famous Four Media, the new gTLD registry that Roache also led (also no longer a going concern), had already launched 10 of its eventual 16 TLDs. In total, the portfolio had roughly 1.5 million domains under management. It was one of the leaders, volume-wise, of the new gTLD industry.

When the apartment was finally ready to move into, in June 2017, Highline approached Roach to close the deal.

According to the court’s findings, Roache declined to immediately pay and seems to have given the developer the runaround for several months, requesting and receiving multiple extensions to the closing date.

It wasn’t until early 2018 that Highline, apparently determining that it was never going to see the money, terminated the contract and attempted to take ownership of the $2.1 million deposit.

But Roache’s lawyers instructed the escrow agent not to release the funds without a court order. Obligingly, Highline sued in February 2018.

During the case, Roache argued among other things that he had been verbally duped into signing the purchase agreement, but the judge wasn’t buying it.

He noted that Roache is a “sophisticated businessman” who had hired an experienced New York real estate lawyer to advise him on the purchase.

He also noted that the contract specifically said that the buyer is buying based on the contents of the agreement and specifically not any prior verbal representations (nice clause for all those bullshit-happy real estate agents out there, I reckon).

The judge finally decided that Highline, and not Roache, was rightfully owed the $2.1 million deposit.

It wasn’t long after the ruling that AlpNames customers started experiencing issues.

I first reported that the web site was offline, and had been offline for at least a few days, on March 12 this year. A NamePros thread first mentioned the downtime March 10.

It later emerged (pdf) that ICANN had already started calling AlpNames on March 7, after receiving complaints from AlpNames’ customers that the site was down.

On March 15, after receiving no response from Roache, ICANN made the decision to immediately terminate its Registrar Accreditation Agreement.

A couple of weeks later, CentralNic took over AlpNames’ customer base and around 600,000 domain names, under ICANN’s De-Accredited Registrar Transition Procedure.

That’s the timeline of events.

Am I saying that there was a causal link between Roache’s real estate deal going south and AlpNames going AWOL within a couple of weeks? Nope. I don’t have any evidence for that.

Am I saying it’s possible? Yup. The timing sure does look fishy, doesn’t it?

India’s largest registrar goes insolvent, gets suspended

India’s largest independent registrar has been found insolvent by a local court, after failing to pay back $28 million in bank loans.

Net 4 India has now also had its right to sell gTLD domains suspended by ICANN as a result.

Judging by legal papers (pdf) buried on Net4’s web site, the insolvency relates to a series of loans the company took out with the State Bank of India between 2002 and 2012.

After the company failed to pay those loans back, in 2014 the debt was acquired from SBI by Edelweiss Asset Reconstruction, which specializes in buying debt cheap then recovering it through the courts.

Edelweiss sued Net4 to get its money back a couple of years ago and, in March this year after what appears to have been a slam-dunk, won its case.

The ruling states that the outstanding debt in 2017 was almost two billion rupees — Rs 1,940,860,284, which works out to just short of $28 million at today’s rates.

Having learned about the insolvency in April, ICANN set about trying to contact Net4’s management to see if the company was coming back into compliance.

ICANN’s Registrar Accreditation Agreement says ICANN can terminate registrars’ contracts if they are in insolvency proceedings for more than 30 days.

After the company failed to show it was compliant, this week its RAA was suspended from June 21 to September 19.

During that period, Net4 will not be able to sell new domain registrations or accept incoming transfers. It will also have to display a notice on its web site to that effect.

If it has not demonstrated compliance by August 28, ICANN may start its termination process.

Net4 is the largest ICANN-accredited registrar based in India, as measured by number of registered gTLD domains (excluding Public Domain Registry, LogicBoxes, and several affiliated dummy accreditations, which are all owned by US-based Endurance International).

It had over 100,000 gTLD domains under management at the end of February — almost all in .com and other legacy gTLDs — but its DUM had been shrinking hard for many months.

At some point, Net4 appears to have been listed on both India’s National Stock Exchange and the Bombay Stock Exchange, but was delisted about a year ago.

Brand kills off gTLD that is actually being USED

Two more companies have told ICANN they’ve changed their minds about running a dot-brand gTLD, including the first example of a TLD that is actually in use.

Dun & Bradstreet has said it no longer wishes to launch .duns, and Australian insurance company iSelect has had enough of .iselect.

Both companies filed to voluntarily terminate their ICANN registry agreements in March, and ICANN published its preliminary decision to allow them to do so this week.

While business data provider D&B never got around to using .duns, .iselect has had dozens of active domains for years.

The company started putting domains in its zone file about three years ago and had over 90 registered names at the last count, with about a dozen indexed by Google. That’s a quite a lot for a dot-brand.

It is using domains such as home.iselect, news.iselect and careers.iselect as redirects to parts of its main corporate site, while domains such as gas.iselect, creditcards.iselect and health.iselect send customers to specific product pages.

They all redirect to its main iselect.com.au site. There are no web sites as far as I can tell that keep visitors in the .iselect realm.

I’m pretty certain this is the first example of a voluntary contract termination by a dot-brand that is actually in active use.

There have been 52 such terminations to date, including these two latest ones, almost all of which have been dot-brands that never got out of the barn door.

That’s over 10% of the dot-brands that were delegated from the 2012 gTLD application round.

Five more gTLD deadbeats fingered by ICANN

The company that tried unsuccessfully to get the .islam new gTLD has been slammed by ICANN for failing to pay its dues on five different gTLDs.

Asia Green IT System, based in Turkey, has been considered “past due” on its registry fees since at least January, according to an ICANN breach notice sent yesterday.

The company runs .nowruz (Iranian New Year), .pars (refers to Persia/Iran), .shia (a branch of Islam), .tci (a closed dot-brand) and .همراه (.xn--mgbt3dhd, appears to mean something like “comrade” in Persian).

The only one of these to actually launch is .nowruz. It came to market March last year — bizarrely, it didn’t leave sunrise until a week after Nowruz was over — and has scraped just over 40 registrations. It does not appear to have any active web sites.

With little to no revenue, one can imagine why it might have difficulty paying ICANN’s $25,000 annual per-TLD registry fee, which it will have been paying for almost four years before lapsing.

None of its mandatory “nic.example” sites resolve for me today, though its “whois.nic.example” sites can be reached once you click through an SSL security warning.

The primary registry web site for AGIT, agitsys.com, also does not resolve for me.

ICANN’s breach notice claims that it has been unable to contact anyone at the registry, despite many outreach attempts, since January. It believes it has outdated contact data for the company.

AGIT is perhaps best-known to DI readers for its unsuccessful attempts to apply for .islam and .halal.

ICANN rejected these applications last October after an outcry from governments of Muslim-majority nations and the Organization for Islamic Cooperation.

Given AGIT’s apparent difficulties, perhaps that was a good call.

If the registry doesn’t cough up by June 13, ICANN may start termination proceedings.

It’s the 19th published breach notice ICANN has sent to a gTLD registry. In most cases, even the handful of cases that have escalated to termination, the registry has managed to resolve the issue before losing their contracts.

The only gTLD to actually get terminated to date I believe is .wed, which is currently being wound down by Nominet in its role as Emergency Back-End Registry Operator.

The most-recent registry breach notice, filed against .whoswho in January, is still “under review” by ICANN.