A new lawsuit filed by the U.S. Federal Trade Commission (FTC) in 2026 underscores the growing difficulty of policing app stores for deceptive subscription apps. The suit alleges that Genesis Tech, a company operating across multiple subsidiaries, defrauded consumers and funneled revenues overseas through a web of shell companies designed to conceal its identity and assets.
Genesis Tech’s network reportedly included subsidiaries incorporated in Cyprus and operating in Ukraine, which marketed apps to U.S. consumers. Among its brands were fitness and nutrition apps MadMuscles, Harna, and Unimeal by Amoapps Limited; PDF Guru and PDF Master from Gurudocs Limited; fashion app Lumi from Bramol Limited; horoscope app Nebula by Obrio Limited; and habit and productivity apps under the Wisey brand by Koflimin Limited.
From early 2023 to mid-2025, these five companies generated nearly $250 million in global revenue. The suit also notes that in the 12 months ending September 2025, transactions through all of the company’s linked PayPal accounts totaled nearly $700 million.
This case highlights a growing challenge for Apple and Google in 2026, as subscription scams evolve from individual apps into complex networks of shell companies. Genesis Tech, for instance, registered new corporate entities and created multiple merchant accounts to hide its identity, the suit claims. It then transferred funds across borders among its various affiliates, evading fraud monitoring programs for years by continually opening new accounts, the FTC explains.
Like other scammy subscription apps that have drawn scrutiny from regulators and consumer advocates, Genesis Tech’s products made sign-ups easy but cancellations difficult. While the company promoted its apps as free or low-cost, consumers faced auto-renewing subscriptions. At times, the company charged customers for extra products without consent or even double-charged them.
The company also omitted cancellation options from its websites and apps, often continuing to charge customers without authorization, the suit says. These practices violate the FTC Act and the Restore Online Shoppers’ Confidence Act (ROSCA). The complaint names Stamatis Skianis, Oksana Kucher, Iryna Oleksyn, Olga Garbuzenko, Rostyslav Ivanitsa, and Viktoriia Savchuk as co-defendants. The case will be tried in the U.S. District Court for the Northern District of California.
via TechCrunch