Five OneCoin affiliates arrested in Korea, crackdown continues

October 21, 2017 0

Whereas we’re usually pretty on top of OneCoin affiliate arrests globally, this one from back in June slipped through the cracks.Since the start of this year, Korea’s Financial Supervisory Service hasopened 27 investigations into cases of suspected infractions of the Act on the Regulation of Conducting Fund-Raising Business Without Permission this year.One of those investigations was into OneCoin, which eventually lead to the arrest of five affiliates.Specifics of the arrests are unclear. What we do know is that five OneCoin affiliates were arrested shortly after a police investigation began in late May.The investigation was initiated at the behest of the Illegal…

OneCoin CEO Pierre Arens quits, Ruja Ignatova not seen for months

October 20, 2017 0

When Pierre Arens failed to appear at a recent OneCoin event in Portugal, host Kari Wahlroos claimed it was because he had a cold.Far more likely is the fact that Arens was well underway with plans to abandon his position as OneCoin CEO.Arens was appointed CEO of OneCoin back in May, shortly after the disappearance of OneLife CEO, Pablo Munoz.At the time of his appointment, Arens claimed he’d “studied OneCoin carefully for almost four months”.Arens brushed off concerns OneCoin was a Ponzi scheme and claimedOneCoin/OneLife was just a victim of an extensive and massive smear campaign, very well prepared and organized…

TelexFree Trustee proposes plan to resolve 112,471 disallowed claims

October 20, 2017 0

Although it has likely been eclipsed by some of the scams currently doing the rounds, the SEC’s 2014 bust of TelexFree was at the time easily the biggest ever seen.With three billion dollars purportedly pumped into the scheme by over a million affiliates, the size of TelexFree alone meant piecing together the fraud from a forensic standpoint post significant challenges.Not helping was the fact that 80% of TelexFree investors were based outside of the US, and that many of them didn’t speak English.Also not helping was a popular “scam within a scam” ruse run by top investors, wherein they’d directly solicit…

Cool Trader Pro collapses, Cool Trader Inc files for bankruptcy

October 20, 2017 0

MLM companies attached to robotic trading software make little sense.If you owned robotic trading software capable of generating legitimate and consistent returns year in year out, why would you share it?The normal thing to do would be to feed it seed money, let it do its thing and reap the profits.Opening your golden goose to the public in such a competitive environment makes little sense.A good example of this is the collapsed MLM opportunity Cool Trader Pro.BehindMLM reviewed Cool Trader Pro in January, 2013 as the marketing division of Cool Trade Inc.Both companies are owned by Edward Barsano (right), who also…

TelexFree mattress money mule pleads guilty

October 20, 2017 0

Back in January Cleber Rocha, an accomplice of TelexFree owner Carlos Wanzeler, was caught trying to launder over twenty million dollars in stolen investor funds.An indictment on two counts of money laundering followed in March, which Rocha initially plead not guilty to.As of June Rocha was still contesting the indictment, however earlier this month it was revealed Rocha intended to change his plea.On October 19th a hearing was held, during which Rocha officially plead guilty to two counts of money laundering.Rocha’s guilty plea begs the question what went down between him and the DOJ since June. Wanzeler trusting Rocha with over $20…

Lyoness asked to stop lying about Norway investigation, new deadline

October 20, 2017 0

Back in July it was revealed the Norwegian Gaming Board had reopened its pyramid scheme investigation into Lyoness.The investigation was reopened following a continued stream of complaints from the public, which prompted the Gaming Board to contact Lyoness in April.The Gaming Board sought to have Lyoness address concerns it was running a pyramid scheme in Norway.Lyoness’ response was filed in late May but failed to satisfy the regulator.In July the Gaming Board requested “further information” from Lyoness, and that’s when we became aware of the renewed investigation.In a letter dated October 6th, the Gaming Board has provided updates on their investigation since…

USFIA Receiver seeks $5.3 million clawback from Steve Chen’s ex-wife

October 19, 2017 0

While gullible USFIA investors were lead to believe they were investing in GemCoin points backed by valuable amber, on the back-end Steve Chen was siphoning off millions of dollars to enrich himself and his family.One recipient of stolen USFIA investor funds was Wei He, Chen’s ex-wife.The USFIA Receiver alleges He received over five million dollars of invested USFIA funds is seeking full recovery.In an October 17th motion seeking authority to pursue claims against He, the Receiver alleges He, her Wei He Trust and companies Ahomeland Inc. and Golden Ark Inc., received at least $5.3 million dollars of USFIA investor funds.Forensic accounting has…

Phoenix Power Rising admin arrested for securities fraud

October 19, 2017 0

Terri Ann Petty first popped up on BehindMLM’s radar last year, as admin of the Phoenix Power Rising cycler Ponzi.Following complaints from her investors, authorities in Ventura County launched an investigation.Petty was subsequently arrested for securities fraud on August 31st.Phoenix Power Rising was a reboot of a collapsed 2012 scheme bearing the same name.The original Phoenix Power Rising appears to be a continuation of “Project 4 Freedom 2010”, which collapsed in early 2011.Through various Ponzi cyclers under different names, Petty had been scamming people since 2010.Petty is alleged to have used “elaborate false claims” and “promises of spectacular returns” to get…

#1 Goldmine Review: Email blasters with text and banner ads

October 18, 2017 0

#1 Goldmine operates in the advertising MLM niche and identifies Maryanne Myers as owner of the company.On the #1 Goldmine website, Myers claims to have history with websites going back twenty years.I’ve owned websites since 1998 and will be my 20th anniversary when 2018 rolls in.I’ve always done this under my own name in conjunction with the names of: Webstars2000 (Previous, it was outdated name), Webstars2K (CURRENT) or Webstars International LLC (Previous, an LLC was not needed).Other than Pangea, Myers (right) appears to have launched and primarily been involved in low-key “get paid to” opportunities.There’s a relevant thread on RealScam that has been tracking…

Genusity Review: Bluetooth beacon marketing devices

October 17, 2017 0

Genusity operate in the marketing MLM niche and are based out of North Carolina in the US.A marketing video on the Genusity website reveals Randy Thomas and Tim Sebert are co-founders of the company.In the video Sebert claims he’sbeen in the network marketing industry now going on forty-one years this October.Randy Thomas claims he’s been ‘in the network marketing industry for over twenty-six years‘.The most prominent MLM companies they’ve been affiliates of appear to be Skinny Body Care and before that, Global Domains International.In 2015 Sebert and Thomas signed up as HopRocket affiliates. In 2016 they launched the 10x Recruiter pyramid scheme.Today…