traffic-monsoon-logoIn the wake of the SEC’s allegation that Traffic Monsoon is a $207 million dollar Ponzi scheme, owner Charles Scoville has publicly responded to the allegations.

In a Facebook post published about an hour ago, Scoville claimed he’s going to ‘stand up against (the SEC’s) claims in a court of law.

The SEC alleges Scoville was in the process of transferring unfrozen PayPal funds to his personal accounts, with the intent of then transferring the funds offshore.

charles-scoville-responds-to-sec-TRO-traffic-monsoon-facebookIn his Facebook post, Scoville claims

PayPal started to release funds.

Fake checks were circulating around using the bank account and routing numbers made available online for customers purchasing services, so I moved the funds out of the business account until I could get to the USA, go into a chase branch, and send those funds to payza.

Then, I was going to surprise members with an early release.

Convenient much?

People had been circulating fake checks using bank account and routing number info provided online..

I moved the funds out from the business account into my personal account to avoid those from clearing, also– I intended to send those funds to payza as the note on that transfer indicates.

I just couldn’t make that large of a transfer to pay people what they had earned until I was able to go into a chase branch.

I didn’t pay myself that money. I was positioning that money to be sent to payza, but I wasn’t given a chance to do that because I hadn’t been able to go into a chase branch since I was out of the country.

charles-scovilleIn response to Traffic Monsoon being a Ponzi scheme, Scoville (right) seems to believe pseudo-compliance about a lack of ROI guarantee will stand up in court.

There’s no promised “returns” as I have always said, and the website and my videos doesn’t say anything of the sort..

I’ve never guaranteed 10% returns.. only that as we sell ad service people who click ads in the traffic exchange can qualify to share in revenues up to a maximum of $55 .. without any time frame affixed whatsoever.

Despite the SEC spelling out the use of newly invested funds to pay off existing investors is what makes Traffic Monsoon a Ponzi scheme, the thought appears lost on Scoville.

I was definitely sharing profit margins with people as I have outlined. No investment is offered on traffic monsoon as it clearly states.

No promise of returns — only promise of ad service, with an explanation that people can click through ads and qualify to share in the revenues, which couldn’t possibly be guaranteed.

Whether Scoville has acquired legal representation is as of yet unclear.

If he intends to rock up on court on August 5th and go on about a lack of ROI guarantee though, looks like we’re in for a steamroll hearing.

I was just about to fly to Utah to make that transfer and surprise everyone with an early release to some of the positions and balances.

In his post, Scoville mentions he was “out of the country”. The above suggests he was about to fly back into the US before the SEC were granted a TRO.

Whether Scoville is currently in the US has yet to be confirmed.

 

Update 28th July 2016 – In a new Facebook update, Charles Scoville has claimed he’s since spoken with the SEC.

Good news. I spoke with the SEC this evening, and they have been so kind and wonderful.

They have recognized I have been very honest and open with them about everything, and they recognize my pure intentions behind this business.

They know and can confirm that the reason I moved funds to my personal account previously to coming to the USA was to protect people’s money from these fraudulent checks circulating.

They feel we can work something out that allows Traffic Monsoon to move forward through restructuring.

More discussions will follow, but I have expressed to them that I want to find through creativity working together with the SEC a way to make everyone happy, or at least say: “oh, it’s not that bad!”

Additional conversations and meetings with them will follow.

You don’t restructure a $207 million dollar Ponzi scheme. While Scoville may have spoken with the SEC’s lawyers today, I find it highly doubtful any meaningful negotiations have taken place.

The SEC know the granting of a preliminary injunction on August the 5th is a slam dunk, they’ve got no reason to negotiate with Ponzi scammers.