Is RE247365 a pyramid scheme? (Faith Sloan case study)
Typically when one reviews an MLM opportunity a general sense of how funds flow in and out of the company can be derived via the compensation plan.
In the case of RE247365, there was significant indication that all that was likely to happen would be the recruitment of affiliates. Bonuses are paid out at certain downline recruitment milestones, culminating at 5000 recruited affiliates paying out $250,000.
A matching bonus paying up to 50% of the recruitment bonuses is also available.
The sole qualification for commission payouts is the ongoing payment of a $34.95 monthly affiliate fee.
RE247365 does have two third-party services hitched to this core commission structure, but they are irrelevant and unlikely to be marketed or sold to non-affiliates.
A quick search reveals dozens of marketing pitches from RE247365 affiliates trying to build their downlines to hit the 50 ($2500), 100 ($5000), 150 ($7500), 500 ($25,000), 2000 ($100,000) and 5000 ($250,000) recruitment qualification amounts.
At this point, I typically publish a review concluding these findings. “Leaders” in the company then dismiss the information as untrue or lies, but don’t specifically counter it.
If we’re lucky, someone from management might pop by and leave a few paragraphs of derail attempts and strawman arguments in their defense.
Rarely, if ever, is the issue of money flowing in and out of the company addressed. At least not until a compliance attorney is consulted. It’s not entirely unusual for me to receive requests to take down reviews because “company A” has changed their compensation plan after copious amount of fraud have already been committed under a now obsolete compensation plan.
But I digress.
Over the last twenty-four hours images have appeared online which allow us to peel back the curtain behind one of RE247365’s top affiliates, Faith Sloan.
What’s going on in her downline? Is she selling anything to retail customers? How much has she earnt to date? How did she earn it?
Read on for the answers to all of these questions and more.
According to her backoffice information, Faith Sloan currently has three hundred and eighty-two affiliates in her RE247365 downline (click to enlarge).
At the time of publication, this has resulted in Sloan hitting the 50 and 100 affiliates in your downline qualification milestones.
Total payout? $7500.
It’s worth noting Sloan isn’t all that far off from hitting another $7500 commission at the 150 mark either. The image above shows her to be just 14 recruits away.
Oh and if you’re wondering why she hasn’t crossed 150 yet with 382 in her downline, that’s because of a genealogy rule in place that specifies only a third of counted recruits can come from any one recruitment leg.
Despite her Kevin Robinson leg having 296 recruited affiliates, only a third of her total counted quota (relative to how many affiliates are in the other legs) can be counted. Hence the total sum of recruited affiliates counted currently being under 150.
In addition to her RE Players Club commissions, Sloan has also made just over $1000 in direct recruitment commissions (click to enlarge):
Alright, so we know Sloan has made $7500 off of recruitment of new affiliates alone. And another $7500 payout is just around the corner. What retail sales has she made then?
Surely with hundreds of affiliates in her downline Sloan has had time to market RE247365’s third-party offered services to retail customers?
“Residential Opportunities” I believe refers to the third-party power services RE247365 offer access to:
As you can see, Sloan appears to have not sold even one package (to a retail customer or even her personal downline).
Travel?
Same story.
Whether or not Sloan has personally sold any loans to retail customers is unclear, but I didn’t see any information confirming as much.
Sloan joined RE247365 on August 17th. Why, over a month later, she appears to have not sold a single service offered through RE247365 to a retail customer is a mystery.
One possible explanation lies in Sloan’s recruiter, Michael Van Leeuwen, otherwise known as “Coach Van”:
Leeuwen was an investor in the $850M Ponzi scheme Zeek Rewards. He is currently being pursued by the court-appointed Receivership for the stealing of $1.4 million from the Zeek’s victims.
Leeuwen has thus far failed to defend himself in the clawback litigation filed against him, with the Zeek Receivership moving for default judgement against Leeuwen a few months ago.
Sloan was also an investor in Zeek Rewards, with both her and Leeuwen’s track record post Zeek revealing a penchant for passive investment/recruitment schemes. Simply put, neither are in the slightest interested in selling genuine products or services to retail customers.
Also revealed in the information released by the unknown source is that various members of Sloan’s family are also hold accounts in the company.
Downline records of Sloan’s reveal positions in the name of Kerry Sloan, Antoinette Sloan and Yvette Sloan.
Photos on Kerry Sloan’s Facebook profile indicates that he is a younger relation:
Update October 2019 – Kerry Sloan’s post has been deleted as of October 2019 /end update
Who Yvette Sloan is exactly is unclear, but her Facebook feed is littered with photos of a similar-looking Kerry Sloan indicating direct relation:
Anyway, the point isn’t mapping out Faith Sloan’s personal genealogy, it’s that multiple positions under the control of one master affiliate are hallmarks of Ponzi and pyramid schemes.
Affiliates do this in order to effectively double up on commissions and bonuses earnt.
That said, whether or not Sloan controls the four positions within her family herself is unclear. They would appear to be placed quite high up in her downline so it is a possibility she’s just using their names for the accounts (and/or cutting them in a percentage of the commissions if she’s managing the accounts).
In summation, a snapshot of Sloan’s RE247365 account reveals thousands of dollars earnt via recruitment of new affiliates and their continued paying of monthly fees, with zero retail activity taking place.
Given that Sloan’s downline is sizeable, one can assume this is a common pattern among RE247365’s affiliate-base.
Not that anything different was expected given we’d already gone over RE247365’s compensation plan. I mean, if it walks like a duck, quacks like a duck then it’s obviously not a zebra now is it.
Where to from here?
Well it seems Sloan has her sights set on migrating RE247365 to Nigeria of all places. Under the ruse of a random “digital product”, an email Sloan sent to RE247365’s support reveals she is keen to get started on recruited Nigerian affiliates into her downline (click to enlarge):
2014-09-07: Many of my international colleagues are excited about the RE compensation plan. Are we going international soon? Do you have any plans to roll this baby out?
Maybe we can offer them the travel product at this time or quite possibly come up with some type of digital product for our international folks.
That is my strength. We can bring in hundreds of thousands of folks all around the world.
Here is a sample facebook message I received amongst many:
Lovely pics faith… Any update about what u said u will help us reach out to RE about coming to help out in customizing to suit us here.
One thing I can guarantee RE is they can get over $1billion into the network from us here in Nigeria. Because we have got the money and the people.
We av the strongest economy in Africa and we the most populous black Country in the world and we and extremely motivated people with a lot of built energy to make it.
RE should try and open it for Nigeria or else they some other company will do and this beautiful compensation plan that magnet people in itself will not shield it full profit for RE.
I love RE compensation plan so much! Help us make it work in Nigeria and you stand to get huge reward and I mean very Word I said. Because I will surely make u my direct upline.
Pls work RE into Nigeria. It is Possible!!! Thanks.
The status of RE247365’s international expansion plans, if any, is unclear.
As an aside, Sloan recently filed papers in court advising US regulators that she was “unable to support herself financially“. The filing was made in objection to temporarily staying the SEC’s civil case against TelexFree, in which Sloan is named as a defendant for her part in promoting and profiting off of the billion dollar Ponzi scheme.
Sloan’s claims of being unable to support herself are made against the backdrop of a recent trip to Dubai to attend a Dubli event (affiliate membership to Dubli costs up to $12,000), and the evident thousands of dollars she’s making in RE247365 recruitment scheme.
At the time of publication, regulators have yet to respond to Sloan’s claims.
Footnote: Some of the captured images that appear in this article contain comments left by the original source of the images.
I myself am not aware of who leaked the images. They were uploaded to a publicly accessible image gallery which an anonymous party then sent me a link to.
Another great one Oz. Thanks for keeping on top of these issues
What seems to also be missing is the bonuses are not paid out when you hit the levels.
Its a money game. You have to wait 31 day’s (To suck in the 39.00 monthly) to qualify for a bonus. Then it is paid 15 days later so its 46 days from the day you hit that qualifier.
Then it pays and re starts at 0 and you have to wait 46 more days to get another bonus. The money paid is all the 39.00 (Screw Me Fee) to the winner. No payouts on the fee’s so its pure money game.
I join and get a team of 2000…. I don’t get the bonus… I have to wait almost 3 years and pray that 2000 stays active at $39.00 and my legs are balanced …. Total con job and the game is up!
And you thought it was a legitimate business, or were you just hopeful getting in early would make you a net winner when the scam collapses?
How do your 2000 affiliates feel about the comp plan?
L B,
Tim was giving an example.
I am not in RE and never would join RE. I am showing how their crap pay structure is. R.I.F.
Faith Sloan now published another very offensive post on her Facebook page, and she is wrongfully accusing OZ of having hacking her RE247365 account… can anyone believe this? I guess this is typical…
As usual, she didn’t address the issue that RE doesn’t have any other substantial source of income othet than affiliate subscription. She just made personal attacks, and to the wrong person… lol
I’d like to thank Faith Sloan for confirming in public that the information posted here was fully accurate, indicating her perjury to the court.
Good Job!
FWIW, I have received an anonymous comment giving me the same links to the same material. I was very busy this week and had not acted on it before Oz’s story broke.
Hello Hello!!!
I am the hacker that did this leak! The Faith Sloan already see my work! Good to know! I will love to see an answer from her! She is my best ponzi pimp! But isn’t the beautifull one 🙁
If you didn’t see her account, don’t worry, be happy! She already changed her password! She look like to use a secure program to generate password, but, with lamme security site, this don’t work!
Look this linka nd get their new password : (Ozedit: link removed, looks like it’s been patched)
If you are lazy, their new password is: (Ozedit: removed) and her username is: (Ozedit: removed).
But… Why if you are borring seeing only their account? Why not see from everyone? Yes, you can do it! Atlhoug you can use the link and change the ID, you can see all password from (Ozedit: links removed).
By the way, a lot of people use the SAME password for their e-mails, facebook and other accounts. Why not try to see the information of your “friend”? This is funny. Brought for you by a lamest ponzi security!
Please, visit my facebook site and like it: (Ozedit: link disabled)
I removed the actual username and password, I don’t think publishing these details is appropriate.
As I understand it though what, you can punch any RE247365 affiliate UserID into that “dexterms” link and get their username and password?
…they probably want to be patching that hole up sooner rather than later.
Looks like they’ve addressed the vulnerability. I think we can get on with our lives now.
With top leaders failing to have any customers, how is anyone in RE247365 pitching their services with a straight face?
Hi Oz, you are too much good with this site. They deserve have all data leaked because they create a ponzi game with a shit security. Who is lammer enough to make their password in plain text?
Anyway they fix it, but… who cares… I have ALL their password.
Sory for facebook, I really did a mistake. 🙁
I can’t stop people hacking or finding vulnerabilities with MLM companies, but I have to balance what is newsworthy and/or constructive with publishing compromising personal login details.
What people involved in dodgy schemes do or don’t deserve unfortunately doesn’t trump legal responsibility. And I think publishing people’s login details on here crosses a line.
I totally understand Sloan and others scamming people for years in various schemes has left a whole host of pissed off people in its wake, moreso when she’s filing papers in court crying poor.
But in the interest of preserving the site, anything outside of coverage of Sloan’s involvement in the industry (which is currently within the context of TelexFree legal proceedings and commission payouts in the various schemes she’s involved in), should be, if they are to be at all, covered elsewhere.
You only have to look at the recent photo leaks and how Reddit and 4Chan have since changed user-policy to see how quickly things can spiral out of control.
Hum… I understand what you say…
I will say the true. I just hacked another ponzy site and they really make the password as a plain text. I just don’t believe that for a lot of people, the password is the same for their e-mails. So, I enter in their account.
Because there are another data, like phones, I can recovery the password. Than I can enter in facebook and everything.
But… What did I get? A random person with random things… This is just trash.. This is a kind of security.
If you are no one, than no one care about your data. If you are a very famous, you are a target.
In the same way, if the site use a hash, I may get the password with brutal force. But again… Why I will lost my time if you are no one?
For specific case of faith sloan, she really look like to use a secure password generator. It can be hard with brutal force atack. But… If you save in plain text… This is useless.
You can see from another side. As I can see, the one that run the site can see too. So… The people is vulnerable in the same way.
I just don’t see problem with it. 😀 I may never enter again in this site 😀 So… let’s make the life of the one that create the ponzi game more difficult.
Imagine all people saying:
I trust you, I give my money, but a dumb hacker just leaked everything so easy.
Hold them accountable for running the scams they do. Crappy security comes second.
The Ponzi Hacking –
Maybe a wikileaks type of site would be the best place for your releases. Then post up links to the data around..
just a thought..
Well you know, Nigerian scammers have been trying to screw American’s for years. It’s only fair that Faith Sloan is trying scam them back!