Gold Crowdfunding Review: OneX gang get into cash gifting

gold-crowdfunding-logoGold Crowdfunding launched in mid 2014 and is headed up by President and Founder, James C. Hill.

No corporate address is provided on the Gold Crowdfunding website, however the company’s website domain provides an address in the US state of Utah.

Listed as the owner of the Gold Crowdfunding domain is Lynford Theobald of AutoTelNET, Inc.

The exact nature of the relationship between Theobald and Gold Crowdfunding is not clarified anywhere on the company website. Theobald’s name only appears as the creator of a “project” on the site, requesting members give him $150,000 to purportedly put towards gold mining operations in Tanzania (Africa).

lynford-theobald-gold-crowdfunding-project

james-c-hill-founder-president-gold-crowdfundingAs for James C. Hill (right), according to his Gold Crowdfunding corporate bio,

When he joined the workforce, he started in the psychiatric department with a hospital and worked directly with doctors and nurses in a new field research called “behavior modification”.

In the early 2000s he created an e-commerce program that was very popular in the United States. This was during the very early stages of the Internet. Since then he has created five e-commerce Internet-based marketing programs which have been widely accepted worldwide.

JC learned how to work with teams of developers and programmers and website designers around the world to expedite the development of e-commerce systems.

One of the “e-commerce programs” Hill refers to above is OneX. Under the pseudonym “J.C.”, Hill regularly hosted OneX affiliate calls during which he claimed to be part of a group of OneX admins.

OneX itself was a $5 entry recruitment-driven matrix-based scheme that paid affiliates to recruit new affiliates into the scheme. OneX acted as a cheaper feeder program for the shady investment scheme QLXchange.

One of OneX affiliates was notorious AdSurfDaily Ponzi kingpin Andy Bowdoin. Following the shutdown of AdSurdDaily, Bowdoin sought to recommend his investors join OneX under him in order to raise funds for his legal defense.

Public prosecutors quickly put a stop to that, with Hill named as one of the “principals” of OneX in a 2012 court filing:

In what is believed to be the first public filing that includes specific details about OneX, prosecutors produced an exhibit that identified one of the principals of OneX as James C. Hill, who allegedly also is known by the initials J.C.

The introduction of the document ends one of the long-standing OneX mysteries: the identity of “J.C.,” who once assured conference-call listeners that “God” was aboard the OneX train.

In mid 2012 Andy Bowdoin was sentenced to a maximum 78 month prison term. James C. Hill escaped prosecution.

Hill remained at large but appears to have been relatively quiet in the MLM arena these past few years… until now.

Read on for a full review of the Gold Crowdfunding MLM business opportunity. [Continue reading...]


WakeUpNow recovery in second half of 2014?

wakeupnow-logoWhen we last visited WakeUpNow’s financials, it was revealed that the company had blown through almost $8 million dollars over two years.

Numbers wise WakeUpNow looked to be in dire straits and unless things picked up in 2014, the future wasn’t looking all that bright.

About a week ago WakeUpNow published a consolidated quarterly report for the first six months of 2014.

Looking at the raw numbers the company appears to be on the up and up, but is everything as it seems? [Continue reading...]


WCM777 Receivership report reveals extent of fraud

wcm777-logoBack in March the SEC shut down WCM777 and it wasn’t long thereafter that a court appointed Receivership took over.

Tasked with securing funds that will eventually be returned to investors who lost money in the scheme, little has since emerged as to the status of the Receivership’s efforts.

In contrast to the Receivership circuses of TelexFree and Zeek Rewards, the WCM777 Receivership has been deceptively quiet.

In the Receivership’s Second Interim Report however, details of what exactly they’ve been up to are finally revealed. [Continue reading...]


US authorities spearhead global Ponzi regulation efforts

Late last year and just only a few months before the DoJ and SEC would take down the billion dollar Ponzi scheme TelexFree, US attorney general issued a stern warning to Ponzi admins and participants:

“We will continue to work with our law enforcement partners to take down greedy scam artists who think nothing of stealing the savings of hard working people,” said U.S. Attorney Tompkins.

“As today’s technology continues to evolve, cybercriminals use these advances and enhancements to perpetrate an expanding range of crimes,” said Secret Service Assistant Director of Investigations Paul Morrissey.

“As we have seen with this case, even with the increasing complexity of online Ponzi schemes, it remains difficult for criminals to remain anonymous.

The Secret Service continues to seek new and innovative ways to combat emerging cyber threats.

In the nine months preceding, it’s easy to lose sight of the above message. MLM Ponzi schemes still launch to a global audience with relative frequency and those involved in past scams continue to ply their trade openly.

Still, in the five or so years I’ve been covering MLM – it does feel that this year some real judicial progress has been made (see coverage of the ongoing TelexFree and Zeek Rewards cases).

With every regulatory action against the industry the grey shrinks, and the speed with which regulators react increases.

So much so that as of right now, I’d be hard pressed to name a remaining MLM Ponzi scheme that operates with the reach and magnitude of either Zeek or TelexFree.

Evidently work continues in the MLM regulatory arena behind the scenes. So what have the authorities been up to these past eight months? [Continue reading...]


BitClub Network Review: Zeek Ponzi veterans at it again…

bitclub-network-logoThere is no information on the BitClub Network website indicating who owns or runs the company.

The BitClub Network website domain (“bitclubnetwork.com”) was registered on the 22nd of July 2014, however the domain registration is set to private.

The BitClub Network website itself is being hosted out of the Netherlands, without more information however it’s not clear whether this is also where the owner(s) of the company are based out of.

As always, if a MLM company is not openly upfront about who is running or owns it, think long and hard about joining and/or handing over any money. [Continue reading...]


Epic scope of US case against TelexFree revealed

telexfree-logoI tried to maintain tabs on what was going on with TelexFree while I was on break. Mostly it was paper pushing between the parties involved (scheduling, replies etc.), but there was one court document filed that I felt was a must-read.

On the 18th of August the SEC filed a “Motion For Complex Case Designation And Exclusion Of Time” and in it, the scope of case the US government are putting together against TelexFree was revealed for the first time.

Simply put: It’s nothing short of epic. [Continue reading...]


India grants SEBI regulator streamlined court

speak-asia-online-logoIf we learnt anything over the roughly three years it took Mumbai’s EOW to file a chargesheet against Speak Asia, it’s that Indian regulators were woefully ill-equipped to deal with the smoke and mirrors that accompanies modern Ponzi schemes.

With millions of dollars at their disposal, those who ran the scheme paid off an army of affiliates and supporters to rally behind their cause. This saw regulatory proceedings against Speak Asia head to the Supreme Court where, under a foundation of lies, they were delayed for months on end.

Eventually the Supreme Court saw through the farce but by then it was well and truly too late. Ditto when the EOW eventually filed a chargesheet against the company late last year.

In the aftermath of one of the more destructive yet not so widely discussed scams however comes some relief.

With its origins dating back to late last year and it having seen three incarnations since, a few days ago a new law was passed granting SEBI access to an expedited court of their own. [Continue reading...]


Lyoness respond to ACCC pyramid scheme lawsuit

lyoness-logoFollowing on the heels of earlier news today that the ACCC regulatory body in Australia are suing Lyoness for being a pyramid scheme, comes a response from the company.

Hollow rhetoric and colossal amounts of waffling?

Youbetcha! [Continue reading...]


Australia’s ACCC sues Lyoness for being a pyramid scheme

lyoness-logoIt’s not exactly how I pictured easing myself back into blog coverage of the MLM world, but news broke last night that Lyoness are being prosecuted by Australian regulators.

As per their website, the Australian Competitor Consumer Association (ACCC)

promotes competition and fair trade in markets to benefit consumers, businesses, and the community. We also regulate national infrastructure services.

Our primary responsibility is to ensure that individuals and businesses comply with Australian competition, fair trading, and consumer protection laws – in particular the Competition and Consumer Act 2010.

So what’s their beef with Lyoness?

Lyoness International AG, Lyoness Asia Limited, Lyoness UK Limited and Lyoness Australia Pty Limited (together ‘Lyoness’) (are) operating a pyramid selling scheme and engaging in referral selling.

How totally not surprising. [Continue reading...]


60 Second Millionaire: ex-Zeek pimp flees to Philippines

60-second-millionaire-secrets-logoThe 60 Second Millionaire Secrets launched in the first quarter of 2014 and provides a PO Box in Antigua and Barbuda as a contact address.

The company website domain however (“60secondmillionairesecrets.com”) is registered to a Tracy Davison, who provides an address in Makiti City in the Philippines.

On The 60 Second Millionaire Secrets website, Davison is identified as the Founder of the company. This indicates that in reality it is being run out of the Philippines and not the West Indies.

Prior to his launching of 60 Second Millionaire Secrets this year, Davison was an affiliate in Penny Matrix.

Penny Matrix launched in early 2011 and using a 2×14 matrix compensation structure, pay affiliates to recruit new affiliates. As long as everybody paid their $7 a month fee, commissions are paid out.

Prior to Penny Matrix Davison was involved in Zeek Rewards.

penny-matrix-spam-video-tracy-davison-youtube

Tracy Davison the 60 Second Millionaire is currently moving his Zeek Rewards organization of 222,000 people to do PMeBooks. Get in now, while there is plenty of spillover to capture from his organization!

It would appear Davison was using the “60 Second Millionaire” moniker long before he decided to turn it into an MLM opportunity.

In the video itself, Davison reveals

Hello my name is Tracy Davison, I am a millionaire.

I’m a seven-figure income earner in network marketing and in a recent opportunity I was able to build, organically from the ground up, I put in uh fifty eight people personally into this opportunity over the course of about fifteen months.

And then I worked with those people very closely (and) we were able to build an organization of 222,000 people over the course of just fifteen months. Our first fifteen months. That was completely, completely organic growth.

So, I ‘ve come across something recently that I’m very excited about, the company that I did that with went out of business unfortunately. It had nothing to do with me. There were circumstances beyond my control.

But I’ve got this massive organisation of 220,000 people that I’ve got to do something with, and I’ve chosen an opportunity that I think will fit my organization.

Whereas Davison claims Zeek Rewards “went out of business”, the reality is that they were shut down by the SEC for being an $850M Ponzi scheme.

Davison, as a resident of Pleasant Grove in Utah, appears on a list of net-winners in the Zeek Rewards scam who the Receivership is going after:

tracy-davison-zeek-receivership-net-winner-list

One can confirm the above Tracy Davison and the 60 Second Millionaire Secrets Davison are one and the same, with this Meetup profile of Davison’s from 2011:

zeek-rewards-spam-tracy-davison-meetup

I’m looking for 100 people that want to grow 10k into a milion (sic) over the next year through Zeek Rewards.

Now residing in Makiti City, it would appear Davison fled the US for the Philippines upon learning the Zeek Rewards Receivership intends to sue him and reclaim the money he stole from victims of the scam.

Read on for a full review of the 60 Second Millionaire Secrets MLM business opportunity. [Continue reading...]