BitConnect cease and desist permanent in North Carolina

July 19, 2018 mlmdetective 0

Following no response from BitConnect, a cease and desist issued against the company by North Carolina has been ordered permanent.North Carolina issued BitConnect with a securities fraud cease and desist back in January.
BitConnect confirmed notice of the cease and desist on its website on January 11th.
On January 23rd the cease and desist arrived at BitConnect’s virtual address in the UK.
The recipient refused to sign for the delivery and so it was returned undelivered.
On January 31st the Companies House changed BitConnect’s address to a default address in the event of discovered filing discrepancies.
The North Carolina Securities Division sent the cease and desist…

Michael Force “uncooperative”, unpaid attorneys want out ($90,000+)

July 14, 2018 mlmdetective 0

The client relationship between Michael Force and his attorneys has reached breaking point, with all three requesting permission to withdraw from the case.Suggesting he was aware of an investigation well before the FTC’s January 29th filed complaint, on January 15th Force hired three attorneys to represent them.
The same attorneys also represented co-defendants Digital Altitude, Mary Dee and Thermography for Life.
Since January Force (right) and his co-defendants have racked up over $90,000 in legal fees.
Back in May Force and Mary Dee demanded access to $100,000 in fraudulently obtained funds to fund their legal defense. The motion remains pending.
Signaling they believe the motion…

Nui and Mintage Mining to “vigorously defend” securities cease & desist

July 14, 2018 mlmdetective 0

Although we’d caught wind of it a day before, yesterday Nui published it’s official response to the Texas cease and desist.Following months of assurances that Nui, Mintage Mining, Symatri and the Kala altcoin had been signed off on by “top law firms in the US”, Texas issued the company with a securities fraud cease earlier this week on Wednesday.
In light of the notice, Nui has advised affiliates it has “cease(d) offering” its products ‘in the state of Texas for the time being‘.
Despite Texas securities law being materially indifferent from federal securities law, Nui and owner Darren Olayan are continuing to offer unregistered…

Nui & Mintage Mining securities fraud cease and desist in Texas

July 11, 2018 mlmdetective 0

Despite reassurances by Nui that their Kala altcoin and Mintage Mining have “stability and protection with the SEC“, a US securities regulator has issued the company with a cease and desist.The Texas Securities Board issued an emergency cease and desist notice to Nui on July 11th.
Named as respondents in the notice are Symatri LLC, Mintage Mining, BC Holdings and Investments LLC, Social Membership Network Holding LLC, Nui Social, Darren Olayan (right), William Douglas Whetsell and Wyatt McCullough (Nui affiliates).
As per the notice, the Securities Board alleges
(Darren) Olayan controls Mintage Mining.
Mintage Mining is illegally and fraudulently issuing and offering two different investments in cryptocurrency…

SingliWorld scammers arrested, facing prison time and fines

July 5, 2018 mlmdetective 0

Six SingliWorld scammers have been arrested in Singapore, including Founder Leong Koon Wah (aka Hermes Leong).Wah, along with five of his associates, faced court on Wednesday on charges related to illegal operation of a pyramid scheme.
BehindMLM reviewed SingliWorld back in 2015. Based on information available at the time, we found the business to be a combination of pyramid recruitment and suspicious ROI promises.
SingliWorld primarily targeted potential investors in Singapore and Malaysia.
The company claimed to generate ROI revenue through forex trading, an activity the company was not authorized to engage in.
How much money investors lost in SingliWorld is yet to be disclosed…

Russell Whitney settles MOBE fraud with FTC, stripped of assets

July 5, 2018 mlmdetective 0

For his part in scamming consumers through MOBE, the FTC named Russell Whitney as a defendant in their fraudulent business lawsuit.Rather than defend the FTC’s allegations and clear his name, Whitney has instead opted to reach a settlement.
As per the proposed settlement, Whitney (right) acknowledges that

the FTC has sufficiently demonstrated that Defendant Whitney has engaged and is likely to engage in acts or practices that violate … the FTC Act, and that (the FTC) is therefore likely to prevail on the merits of this action
The FTC has sufficiently demonstrated that immediate and irreparable harm will result from Whitney’s ongoing violations of…

Matt Lloyd heading towards MOBE fraud settlement with FTC

July 5, 2018 mlmdetective 0

As expected, rather than fight the FTC’s allegation that MOBE was a $125 million dollar fraudulent business, owner and CEO Matthew Lloyd McPhee appears to be heading towards a negotiated settlement.Settlement negotiations between Lloyd and the FTC at this stage are well underway but the outcome is still uncertain.
Nevertheless, the FTC appear confident of reaching a settlement.
Defendants McPhee and (Susan) Zanghi have both indicated that they would like to discuss resolving all the claims against them and the FTC, and these defendants have had some preliminary discussions with the FTC regarding settlement that are promising.
So much so that the FTC has taken…

Invia World banned in Austria for operating an “illegal business”

July 5, 2018 mlmdetective 0

Invia World was launched amid the collapse of the Questra World Ponzi scheme.Headquartered in Austria and run Daniel Zdesar, who headed up Questra World’s Austrian chapter, Invia World promises a 36 month ROI on individual investments of up to €25,000 EUR.
Following an internal investigation, on May 29th Austria’s Financial Market Supervisory Authority banned operation of Invia World.
The FMA claim Invia World are illegally offering financial services in Austria, by way of an “alternative investment fund”.
This contravenes Austria’s Alternative Investment Fund Manager Act, making Invia World an “illegal business”.
This is effectively Austria’s version of an unregistered securities offering, as Invia World is not ‘licensed…

Sean Brown reaches Digital Altitude fraud settlement with FTC

July 5, 2018 mlmdetective 0

A third Digital Altitude defendant, Sean Brown, has reached a settlement agreement with the FTC.In line with previously reached settlements with The Upside LLC and Morgan Johnson, Brown’s settlement has been submitted to FTC Commissioners for approval.
Approval was granted for both The Upside LLC and Morgan Johnson’s submitted settlements, with a decision on Brown’s proposed settlement expected no later than September 7th.
If approved by the FTC Commissioners, a motion requesting approval of the reached settlement will then be filed – at which point the details of the agreement are made public.
In the meantime the FTC has requested a stay on proceedings…

USFIA Receiver seeks 90 day victim claim submission extension

July 3, 2018 mlmdetective 0

Despite being able to file claims since April, a surprisingly small number of victims have thus far sought to recoup their losses.Owing to a “substantially lower than anticipated” number of submitted claims, the Receiver is seeking a 90 day submission extension.
As per the court’s original March order, June 29th was the final day USFIA victims could file their claims.
Despite financial records revealing tens of thousands of victims, since then only “a few thousand” have filed claims.
Analysis of communication between the Receiver and USFIA Receivership identified technical issues and difficulty providing accurate information as common problems.
Another disturbing reason is misinformation reportedly spread by…