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Gaming scandal hits Russian domain launch

Kevin Murphy, November 24, 2010, Domain Registries

The launch of Russia’s .РФ country-code top-level domain, widely lauded as a runaway success story, has been tainted by a registrar gaming scandal.
Government antitrust authorities are investigating six registrars over claims that they registered tens of thousands of premium domains in order to auction them to end users, according to local reports.
The registrars in question are thought to have colluded, using each others’ services to register the names, hence the competition probe.
The largest registrar, Regional Network Information Center, aka RU-Center, is alleged to have registered 65,000 domains during the first days of the .РФ launch in order to profit from auctions.
These domains have been frozen pending resolution of the dispute. The registry, Coordination Center for TLD, is thinking about cancelling the registrars’ accreditations.
RU-Center is quoted as saying, laughably, that the premium domains were registered in order to prevent cybersquatting.
In a statement, the registry questions the public good of registering проститутки.рф, which apparently means “prostitute.rf” and is currently asking $190,000 at auction.
The investigation certainly takes the gloss off the launch, which has so far racked up well over 500,000 registered domains and was put forth as case study for internationalized domain names.