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Godaddy has been accused of bidding against its own customers in their tdnam.com domain name auctions.
Domain name auctions are a huge business, which generate millions of dollars for expired domains.

The 3 large players in the expired domains business

1. NameJet.com
2. SnapNames.com
3. Pool.com

TDNAM is the GoDaddy acronym for The Domain Name AfterMarket, and does not provide the same level of service as the 3 main services.

A GoDaddy Vice President has been caught bidding against customers in their own domain name auctions. The employee Adam Dicker isn’t just any GoDaddy employee; he’s head of the GoDaddy subsidiary that controls the auctions. Dicker won some of the domains he bid for, and pushed up the bid price on auctions he didn’t win.

The conflict of interest is unethical, and possibly illegal according to ICANN domain name auction regulations. However, Godaddy loves controversy and I’m sure this is just part of their marketing plan. How many more links have they gained as a result of their controversial domain marketing plans?

See the news on the Nodaddy forum with comments from disgruntled godaddy customers. Nodaddy provides Godaddy reviews and rates Godaddy services.

Slashdot has a large commentary of the godaddy VP bidding on their company auctions.