Morgan Johnson, an officer and manager at Digital Altitude, agreed to settle Federal Trade Commission fraud allegations on April 23rd. This marks the first settlement in the FTC's case against the company and its executives. The agreement awaits final approval from FTC Commissioners, a process projected to last eight to twelve weeks.

A judge issued a stay on proceedings against Johnson May 3rd, pausing litigation during the settlement review period. The FTC's complaint alleges that Digital Altitude and its officers defrauded consumers, identifying Johnson as an officer/manager for Digital Altitude, RISE Systems & Enterprise.

Johnson’s settlement contrasts with other defendants still contesting the FTC's claims. The agency is also pursuing The Upside LLC, a California firm managed by Mary Dee that handled credit card processing accounts for Digital Altitude. The Upside LLC also received a legal stay on May 3rd following a joint settlement application, suggesting potential negotiations.

Mary Dee, however, continues to fight the charges. While the FTC reports "productive and ongoing settlement discussions" with remaining defendants, Dee has not reached an agreement. The FTC's action against Digital Altitude stems from allegations of deceptive business practices by the company and its leadership. Johnson's settlement provides the FTC with its initial resolution in this matter. Discussions with other defendants may indicate further settlements are forthcoming.