MOBE fraud tops $318 million, FTC moves for default judgment
The FTC initially estimated MOBE scammed people out of at least $125 million.
Based on ongoing forensic accounting efforts by the Receiver, that figure has now jumped to $318.5 million.
The latest figure was provided in an FTC motion for default judgment and permanent injunction against Matt Lloyd McPhee and the MOBE corporate defendants.
Settlement negotiations between McPhee (right) and the FTC began on or around June 2018.
By early December 2018 McPhee’s attorneys were no longer representing him.
Settlement negotiations continued to deteriorate, primarily over McPhee’s refusal to surrender foreign real estate assets.
The FTC alleges McPhee obtained luxury condos, a private island and resort, will ill-gotten gains derived through MOBE.
McPhee used these illgotten funds to finance his real estate acquisitions abroad and formed eight different shell companies in seven countries to advance his ambitious fraud and avert law enforcement.
The FTC filed for an entry of default against McPhee and MOBE on February 1st, 2019.
Default was promptly recorded by the court clerk.
On February 6th, Lloyd filed a late answer to the FTC’s original MOBE lawsuit.
McPhee also asked the court to set aside the entry of default. The FTC opposed, on the grounds
McPhee had notice of the FTC’s suit since June 2018 and chose not to file an answer until February 2019, McPhee failed to assert a meritorious defense to the lawsuit, and delaying the entry of a final judgment at this late stage would prejudice the FTC and consumers.
MOBE and the associated corporate defendants have not responded to the FTC’s complaint, or moved to oppose the entry of default.
The FTC maintains that
the vast majority of (MOBE) consumers did not make money from the Defendants’ program or offerings, but in fact lost substantial sums of money or incurred crippling debt, and many were not able to obtain refunds from Defendants.
Of notable interest is the FTC’s acknowledgement of McPhee’s attempted reboot scheme, Scale Fast Secrets.
Much like MOBE, McPhee’s new venture purports to teach consumers how to quickly grow their online business and claims that McPhee’s mentorship services will “bring you a flood of new customers.”
On his website, McPhee tells prospective customers that even after the FTC’s suit,
“two things remain flawlessly intact; My experience and my knowledge.
Short of a bullet to the head, no government agency will ever take those things away from me.
It’s time to get back in the game and do what I love the most; growing businesses!”
These sentiments are hardly assuring.
This new coaching venture, much like his prior scheme, is rife with opportunities for rampant fraud.
At the time of publication, a decision on the FTC’s motion remains pending.
Update 22nd April 2019 – On April 19th Matt Lloyd’s motion to set aside the entry of default was granted.
This man stole my home and bank accounts and I have not gotten them back.
I’m in for over 70000.00 how can I get it back?
@Nina
You’re not going to get them back either. You’ll get a percentage back, which is yet to be determined.
@ronald
You can’t at this time.
And when the time does come, you won’t be “getting it back”. You’ll get a percentage back if you have a valid claim.
After I have invested in mobe i was also invested in his real estate example like serenity island, should i get my both invested back ?
You won’t get your investment back, you’ll get a percentage of what you spent on MOBE back when the claim portal goes live.
Anything you spent outside of MOBE has nothing to do with the FTC’s lawsuit.
I too had invested in MOBE way back 2017, for a total of $16K. i made a loan to make an investment to Mobe and until now i am still paying for it.
My finances has been negative eversince. I was hoping to get a refund even just a percentage will be a big help for me and my family.
I have invested over $60,000 into MOBE, to their Diamond level and have lost it all.
It has negatively affected me financially and otherwise, and I have not recovered since.
I am into MOBE for over $60,000. I took a 200 point hit to my credit rating and struggling month to month.
My WHY was for retirement. Now I am suffering from health issues and less than a year from retirement.
I really hope that situations like this are being taken into account.
If not for my faith, I am not sure what I would have done. I am praying for all of us.
I am into MOBE for $150,000.00. Every training they sold me came with more training I could purchase. I had high hopes that this would work since I am retired.
Close to the end I was finally thinking this was a scheme. We all are hurting financially and need our money.
The receiver has not told us anything since last February, so I’m wondering if that is another scheme?
Ponzi cleanup takes years. TelexFree was shut down in 2014 and to date not a single distribution payment has gone out.
Justice delayed is Justice denied! Start refunding now! Interests on borrowed funds for MOBE is causing a grest burden.
Be grateful justice is working for your entitled ass at all. The alternative is you get nothing.
And if you were stupid enough to borrow funds to chase pyramid scheme riches, that’s on you.
I to was a believer but soon discovered if I wasn’t on topic couldn’t make any money.
so I paid an paid an paid an got no where. soon it was no communications, so when I wanted to know procedures to get my money back was in the dark.
FYI, The default judgement was granted in MOBE’S favor. The FTC will return June 2020 to try to persuade the court to go forward with the claim.
PRAY!
Either you’re publishing bullshit or you’re regurgitating it. Either way, please stop.
MOBE has already had default judgement entered against it. Matt Lloyd has settled and that settlement has been forwarded to the FTC Commission for approval.
There was no judgement in MOBE’s favor. There is no June 2020 date.
The May 2020 date is a scheduled trial date. It has nothing to do with claims.
I invested 45,000.00 of my retiredment money into MOBE and received nothing in return. When I ask for my money back no one ever reply back to my request.
Even after I completed the 21 step program I was charged even more money for training with a mentor.
How can I get my money back? Who do I need to contact to file a lawsuit?
You can’t at the moment. You’re waiting for claims process approval like everyone else.
Preferably a lawyer.
i am for israel and also invested 15k into MOBE and received nothing in return.
i askt for refund in 2017 but they said that i need to show them for a whol year i had did more invested in facbook and google.
My finances has been negative eversince. I was hoping to get a refund even just a percentage will be a big help for me and my family.
Hi!
I looked at M.O.B.E. many times over the last few years…and was sooooo tempted…but luckily did not invest! (I’d love to say it was due to “smarts”….but…it was my procrastination that saved me!)
There was another company doing the exact same “internet education” scam as M.O.B.E. that closed up about a year before M.O.B.E….. I can’t think of the name…. do you know? (I think it was “Network” something something…. it’s killing me that I can’t remember! LOL!)
Anyway, Thanks for what you are doing for all these folks… u are a great information portal for them.
It IS pretty easy to get sucked into some of these things, especially when you are close to retirement age and are desperately looking for something to provide a retirement income….
The only similar opps that come to mind that shutdown around the same time were Empower Network (collapsed) and Digital Altitude (FTC).
I gave $2500 to have them do the business for me and it was a complete dud. Never gave a refund when I asked them for it.
I would like my money back and also payment for pain and suffering.
You’re not going to get your money back. Nor are you going to receive any compensation (paid by whom lol?).
Who tf is this OZ person stating that I won’t get anything back. Just like these individuals on here who lost money to MOBE Ltd. you’re gradually saying they won’t get it all back but will get a percentage but for me I’m just not getting anything from investing my $2500 into MOBE Ltd.
I don’t care how much it is, Anyone who gave anything should b able to b compensated something back bc I got my receipts.
Who are u anyways Mr Oz, r u one of the lawyers working on this case or u just relying back to everyone bc u have nothing else to do.
I just can’t with negative people. If you’re not helping please just don’t say anything bc it’s a waste of my time, everyone else’s time and you’re as well. SMFH!!!
You’ll get some of your money back… eventually.
Math is math. It’s not like you deposited your money with Matt Lloyd and he didn’t spend any of it.
All I’m stating is that nobody is going to get a 100% refund. Anything beyond that you read into yourself.
Oh and yeah, you can forget about compensation (entitled victims, gotta love them).
This dramatic mentality probably contributed to you losing money in MOBE to begin with. Sorry for your loss.
How come people like Paul Lynch, John Chow who bilked hundreds out of joining MOBE…why are they running scott free and promoting similar scams.
They put out videos about how they made millions from MOBE.. and they are still doing it.
I put in $2500 (silver masterclass). Be nice to get something back. Anything.
How do you apply to get some of your money back?
There’s no claim details yet.
I invested in MOBE upo the Titanium but I did not receive anything at all.
Also I wish to ask, why does the Government allow people like Matt and MOBE con people and then earn tax revenue with ensuring that people are not cheated of their hard earned money.
The IRS investigate tax fraud. The SEC/FTC go after pyramid scammers.
I lost a little over 30k in M.O.B.E. At first it was make so much money in MOBE, never have to work again, except at MOBE.
It was well put together, and looked really doable. Not even.
I don’t know how to get involved with the legal aspects, but I would like to know.
I am into MOBE for over $77,000. I was Diamond member. I took a 150-175 point hit to my credit rating. I went from having a score over 800 to 640 and I am struggling month to month repaying my debt to my creditors. Trying to rebuild my credit.
I really hope that situations like this are being taken into account.
If not for my faith, I am not sure what I would have done. I am praying for all of us.