The FTC is seeking coercive incarceration and entries of default against Iyovia co-owners Chris and Isis Terry.

Iyovia is the second reboot of Chris Terry’s MLM pyramid scheme, formerly known as iMarketsLive and IM Mastery Academy.

The FTC and Nevada filed suit against Iyovia the Terrys in May 2025, alleging over $1.2 billion in fraud.

The FTC’s January 30th motion follows a hearing held on January 23rd which, despite being ordered to make an appearance, Isis Terry failed to attend.

The January 23rd hearing pertained to a previously filed show cause motion, in which the FTC urged the court to find the Terrys in contempt of a granted preliminary injunction.

The FTC’s show cause motion was officially granted in a January 26th order;

For the reasons stated on the record … I grant the plaintiffs’ motion for an order to show cause against the defendants for the failure to comply with the court’s preliminary injunction.

The FTC was ordered to file a supplemental brief by January 30th, which the Terrys were given until February 11th to respond to.

The court also addressed Isis Terry’s unexplained absence from the hearing;

Absent from the courtroom — and in direct violation of the court’s January 5, 2026 and January 22, 2026 order — was Isis Terry.

Isis Terry is also ordered to show cause explaining why she was not present during the hearing and any relevant information regarding her attempts to travel and comply with my January 5, 2026 order to appear.

The FTC filed its supplemental brief on January 30th. In the brief the FTC reiterated specific preliminary injunction violations, including

  • disclosing transfer of assets – “the Terrys have refused to provide this information”, with the Receiver identifying “upwards of $80 million in cryptocurrency” transferred to Chris Terry
  • lying about income – the Terrys claim they earned less than $13 million through Iyovia, however account reports analyzed by the Receiver indicate actual income was over $100 million;
  • personal property – failure to disclose “million of dollars of personal property”;
  • sworn accountings of foreign assets – failure to provide any accounting; and
  • trusts – refusal to disclose details of Auspicious Trust, holder of “significant assets” tied to Iyovia and predecessors;

The FTC argues the above violations were made in bad faith and justify sanctions.

For over five months now, Defendants have refused to provide information about their cryptocurrency transfers of tens of millions of dollars, and refused to disclose their jewelry, watches and other luxury goods.

They also refuse to acknowledge the existence of the Auspicious Trust or disclose the value of the assets held by the Trust.

Evidence of the Terrys’ willful disregard for the Court’s PIs is plentiful. The then-Monitor/now-Receiver stated in his Preliminary Report that “[t]he Terrys have been overtly uncooperative” and “have materially hindered our ability to complete the Monitor duties assigned by the PI.”

He also found that the Terrys’ deposition testimony “demonstrates a disrespect for the Court’s Orders and, it appears, an obstinate refusal to abide by them.”

At her September 30, 2025 deposition, Isis Terry stated that she had not even read the PI issued against her and had not made any efforts to identify transfers of assets to complete her financial disclosure forms.

She went on to lie about the value of her engagement ring. And she failed to appear at the January 23 hearing, despite the Court twice ordering her to attend in person.

Likewise, Chris Terry has refused to disclose:

(1) the considerable transfers of assets that he made to his girlfriend Keishia McLeod,

(2) the transfer of a luxury vehicle to his attorney, George Kelesis, or

(3) the recipients of the tens of millions of dollars of cryptocurrency he transferred.

The Corporate Defendants, which are closely held by the Terrys, similarly have refused to disclose information about transfers or a sworn accounting of their foreign assets.

Specifically the FTC is seeking an an entry of default against the Terrys and coercive incarceration.

The most common sanction, monetary penalties, is not an appropriate solution in this case, where the Defendants’ known assets are already frozen pending a final decision of this Court.

Requiring Defendants to pay a penalty from those assets would merely deplete the pool of funds available for potential future consumer refunds.

Furthermore, the Court has already given Defendants multiple opportunities to come into compliance.

Plaintiffs respectfully request that the Court hold all Defendants in civil contempt for failure to comply with the PI.

Plaintiffs request that the Court order the Defendants to cure all outstanding PI violations within three days of issuance of the contempt order, and file with the Court, within five days of the issuance of the contempt order, a sworn declaration detailing all the steps the Defendants have taken to cure their noncompliance.

Plaintiffs further request that, if Defendants fail to comply fully and timely with the instructions in the contempt order, the Court direct the Clerk to enter default against all Defendants.

In the alternative, Plaintiffs respectfully request that the Court:

(1) order coercive incarceration of the Terrys until they fully comply with the Modified PI; and

(2) direct the Clerk to enter a default as to the Corporate Defendants.

As previously stated, the Terrys have until February 11th to explain themselves to the court. Whatever excuses Chris Terry came up with for the January 23rd hearing don’t appear to have been persuasive.

In the meantime, the FTC filed a motion to amend its Complaint on January 27th.

The amended Complaint “adds 27 relief defendants to this action.”

Plaintiffs seek to amend to ensure that Keishia McLeod; the Auspicious Irrevocable Trust, dated February 10, 2019 (“Auspicious Trust”), through P. Sterling Kerr, Trustee; Afflatus Holdings LLC; Dominant Consulting Group, LLC; Reverie State, LLC; Terra Firma Development, LLC; Felicitous Charm, LLC; Harmonic Waves Holding LLC; Analusion, LLC; and QCS1, LLC  are required to return millions of dollars in assets traceable to funds obtained from the victims of the IML scam.

Through the above entities, McLeod and Kerr are accused of assisting the Terrys with laundering millions in ill-gotten gains.

Court approval on the FTC’s motion to file an amended Complaint remains pending.

Later the same day the Terrys filed a sealed ex parte motion requesting FTC proceedings against them be stayed. Further details are expected once the court addresses the motion next week.