RE247365: $300,000 frozen and $580,000 in fraud?
Joining an MLM opportunity started by someone who was an affiliate in a travel-based pyramid scheme, then launched an MLM company who without notice took their affiliate’s customers and shutdown their MLM division, and then plead guilty to tax evasion should have been a no-brainer.
For many in the industry though, September was a month of spamming advertisements for RE247365 in the hope that people would sign up.
Operating itself as a pyramid scheme, RE247365 paid affiliates $50 for every new affiliate they recruited into the scheme. On top of this, additional bonuses were offered at certain recruitment milestones.
What usually happens in schemes like RE247365 is that those who get in early recruit as many suckers as they can, cash out their withdrawals and then move onto the next scam.
To that end, Alexa’s traffic estimate graph for RE247365 is pretty spot on:
Initial recruitment boom, cash out and do a runner before those you’ve scammed realize there’s nobody gullible enough left to recruit.
One problem though… this time around those who got in early are still waiting for their commissions to be paid out in full.
A video surfaced late last month featuring RE247365 owner Peter Jensen:
In it, Jensen announces that “it’s time for (him) to ask for help”.
Jensen then goes onto explain that “over $300,000” in RE247365’s merchant account has been frozen. No explanation as to why the funds have been frozen is given, nor does Jensen reveal who the company the merchant account is with.
Hackers from Pakistan are also cited, with Jensen claiming they, through credit card fraud, “took down several” of RE247365’s merchant accounts. Jensen claims this resulted in $200,000 in fraud, but how this ties into the merchant accounts themselves is not clarified.
[1:00] Our pay card provider decided to drop us, whilst 5 other prominent MLM companies on a Sunday night. Imagine waking up to a Monday message like that.
Whether Jensen misspoke and meant “along with 5 other MLM companies” is not clear. If he did indeed mean to use “whilst”, the thought is left unfinished and what exactly those “5 prominent MLM companies” had to with RE247365 remains a mystery.
Referring to it as “a financial disaster for the company”, Jensen explains how he then made the decision to switch RE247365’s merchant account processor.
This decision, Jensen claims, resulted in the loss of ‘three quarters of (RE247365’s) credit card database, resulting in the loss of $400,000 in income a month.’
On top of all of this, in the week Jensen shot the video he claims an additional ‘$380,000 of fraudulent charges (were) put through (RE247365’s) Wells Fargo account‘.
How these charges were approved on RE247365’s end is once again not clear.
With a purported $300,000 in funds frozen and $580,000 in fraudulent transfers, Jensen explains that RE247365 needs to “generate cash flow” before it can honor existing commissions owed.
[5:45] This is not a question of my integrity… or this is not a time to question my integrity, or my moral fibre or my character (laughter), or the promises that you say I haven’t kept.
This is unforseen things in business that we couldn’t control. But rest assured, you will get your money. And so will everyone in this company.
It’s gunna take some time, so if we build up this cashflow over the next three to four weeks… just trust me, it’s coming.
Jensen touts a “90 day” plan repeatedly in the video, promising that owed commissions will begin to be paid out the week beginning December 15th (next week).
At least that was the plan back in late November.
Painting a completely different picture of what’s going on in within the company is Faith Sloan.
In a rant used to plug her latest opportunity, Yevo, Sloan yesterday lamented the elastic payment schedule of some $4000 in recruitment commissions she’s owed.
Referring to RE247365 as “the biggest comedy of errors or deliberate face palm smacks” she’s ever seen, Sloan writes:
(Jensen) lied at least 3 times to me personally. I specifically texted him when he promised to pay my $5000 in 2 payments of $2500 and then a few days later came back and says he will pay it in 5 weekly payments of $1000 each. Each time I said okey dokey.
I received a $1000 check drawn on Wells Fargo and Wells Fargo said we were not allowed to cash the check. We could only deposit it. I laughed and told the teller at Wells Fargo to have a nice day. I deposited the check. It did indeed clear RE247365 checking account 1 day later.
Then Peter Jensen comes back a few days later and reneged on his WORD. He said he can pay us the RE247365 bonus pay that he OWES us, over a TEN MONTH TIME PERIOD! WHAT???
So the remaining $4000 RE247365 bonus you OWE me and the remaining $1250 you owe the $2500 people will be paid $500 and $125 a month respectively for 10 months?
It sounded like one of those Charlie Brown cartoons where the adults speak in some sort of unrecognizable language. WAHN WAH WAH WAHN!
A lot of people were not happy to hear news like that right before Thanksgiving. And many people already committed/spent their $2500 and $5000.
Now they are in the freakin hole. Happy Thanksgiving from Peter Jensen and Relationship Energy.
Sloan goes onto reveal that the giant oversized checks many RE247365 affiliates used to market the opportunity to new recruits have also not been paid out.
All of those BIG RE247365 PROMOTIONAL MARKETING CHECKS we celebrated around for $2500, $7500, $25,000, $100,000 or more have NEVER been deposited in any of the the (sic) RE247365 distributors’ bank accounts.
RE just begun paying the $2500 and $5000 bonuses when this crap hit the fan.
The use of such props, which clearly convey the message of commissions earnt within the company when infact said commissions have not been paid, certainly raises the question of fraudulent marketing. Or at the very least a misrepresentation of then status of RE247365 as an MLM business opportunity.
Furthermore, left unaswered is the status of the $300,000 of RE247365 purportedly frozen by their former merchant account processor. Ditto why the company no longer has access to the funds. Not to mention why explicitly the funds were frozen in the first place.
One possible (and let’s face it, entirely likely) scenario is that RE247365’s previous merchant processor became concerned that the company was operating as a pyramid scheme.
BehindMLM first reviewed RE247365 back in early September. In my review it didn’t take long for me to identify some serious compliance issues surrounding RE247365’s recruitment commissions and incentives.
Leaked screenshots of Sloan’s backoffice all but confirmed retail activity within RE247365 was non-existent, which would certainly be enough to trigger a merchant processor freezing an account.
Either of their own accord or at the behest of authorities investigating the scheme.
Somewhat ironically, Sloan mentions in her rant that she was all but aware of the non-compliance issues pertaining to RE247365’s compensation plan.
We did indeed expect a change in the marketing plan to ensure that it was compliant.
That was told to us months and months ago. The bonuses and the pricing structure was said to be temporary.
Yet despite this, Sloan signed up anyway and began marketing what she acknowledges to be a non-compliant opportunity.
Had she of read our review of RE247365, perhaps Sloan might have saved herself some effort and time. Claims of hacking and credit card fraud are rife within pyramid scheme circles, being typically trotted out at the first signs of recruitment slowing down.
Whether that is the case with RE247365 remains to be seen.
In the meantime, despite having likely spent between $2500 and $5000 to sign up and months promoting a pyramid scheme, only to be short-changed to the tune of $4000 – Sloan maintains on her blog that here at “behind idiocy”, we are the idiots.
Has a lot of bad luck for one ponzi / pyramid pimp, doesn’t she ??
Maybe she should try going straight for once.
Sloan audio rant:
Faith Sloan is such a whiner when she loses her money but has no scruples when it comes to stealing from others.
She is a LOSER! I hope for the worst for her!
scammers scamming scammers = always funny
Technically, everybody has a bit of that.
When your favorite sports team won, it’s “my team” won. When they lost… “they” lost.
But Sloan managed to take that to a ridiculous extreme and it involves money, which make it that much more hilarious.
There’s a bit of “narcissistic” personality there… ego-driven, can’t be at fault for anything (had to be somebody else), and indignant when caught (“why pick on me, Feds?”)
Just noticed that RE247365 has abandoned their trademark application back in November.
This basically means the whole thing is coming down, and the snowball is rolling fast.
RE started with regular merchant account and processor because Jensen claimed to be normal biz.
When banks found he’s really MLM / recruitment (and/or lots of chargebacks / frauds) he got the boot AND they are holding his money for chargebacks. That I can believe. That’s standard for merchant accounts.
But that’s par for the course when you’re dealing with a “biz” that pays for recruitment.
I was the “hacker” behind the leak of faith sloan. Just to prove, this is some database name from that site:
This is interesting, because 20 september the graph are stable… But after I leaked ALL password and especially the faith sloan, the curve turn down and it was FAST. Wow.. I have so much power like that?
I never get the credit card or change anything. But because they did a VERY SHIT JOB!!!! in security (they send the password in plain text with Cross-site request forgery), so I NEED to save all password and make it public. Why not.
I am just thinking… Because I love the Faith Sloan, why not try to atack the ponzy that she is in. Just for fun 😀
I just don’t have to much time 🙁
Even the crickets are wondering what happened to their income and are filing suit.
which one is Faith Sloan and Kelly Tolar doing next??
That “scammers scamming scammers” thing is exactly what’s been happening in Brazil too.
And, oh please, again with the “hackers hacked us” excuse? A lot of scams have used that already.
My guess is faith Sloan will be in jail soon for her criminal activities in telexfree.
It’s great the she’s openly complaining so the government can track her habitual scamming
@oz i love how in the picture with the big check she hash tagged the word “cash-flow”.
in my homeland theres a saying “dime de lo que alardeas y te dire lo que careces” which translates to “tell me what you’re boasting and ill tell you what you’re lacking”… she’s trying to make it seem like all is okay but the ground is shrinking under her feet.
i wonder if she even has legal advice, isn’t anyone pointing out to her, that all of this will be used against her prosecution in the upcoming telexfree trials?
i love the faith sloan too!!! XD
did they put out a arrest warrent on faith Sloan yet?
Did they hit the 1st milestone on 12/1?
Do you think the 12/14 milestone will be achieved?
I am so glad that I left this company. I was very skeptical when I joined, it all sounded too good to be true.
My biggest question and doubt was where on earth is all this bonus money going to come from?
Example (10) heavy hitters hit the bit payout of $100,000 in bonues, well, well that is $1,000,000 – now let’s be real here folks, where on earth would RE get $1,000,000 to pay out? Not to mention $50,000s, $25,000s, $7,500s, and $5000s, and $2500s.
Were people really this naive to think they were going to get these commission checks for recruting tons of folks. really??
Come on Maurice, did you really believe this yourself, or were you just trying to cover up a scheme??
i never joined RE as well. all those checks are fake. they only bounce. properly the next 419er groups.
Wait, did Faith Sloan admit that all those photos of of her holding promo checks are fake, and thus she had engaged in income claim fraud, or at least, accessory to fraud?
Keep in mind that part of Burnlounge’s charges were income claim fraud.
Might just be me, but the name itself “Relationship Energy” sounds like some metaphysical type scheme to begin with.
Not very original.
And if I were into deciphering codes, “RE247365” would stand out blatantly as “Your RearEnd is about to get screwed out of some or all of your money every day this entire year”.
So, people shouldn’t be upset if their money ends up supporting scams of this type. They were clearly asking for it.
Not to mention, the originator of this scheme also likely made out with a database of victims’ names they just turn around and sell to other scheme operators and the cycle continues.
We all know that RE 24/7/365 is a scam, no doubt…But OZ, what’s up with you and KChang bashing that Faith Sloan lady on this and several other feeds on your site….
What’s that all about? Is this something we all need to know? Hmmmmm?
Sloan’s been a prominent investor/affiliate in several recent major scams.
In TelexFree she is the subject of regulatory action by the SEC.
In RE247365 leaked images of her backoffice were a source of information to prove that RE247365 weren’t interested in retail sales.
Beyond that she’s of no interest.
How that equates to “bashing” escapes me. Is there something we need to know?
I wonder if the management and ownership at Yevo are concerned about this Faith Sloan is now promoting their company after all the ponzis and scams that Miss Sloan has operated in last few years.
If I was Yevo I would stay far clear of Faith Sloan and her crew. I believe Miss Sloan is still has charges pending in regards to the telexfree scam.
Hello again people!!
Do you want to see our famous Ponzy Pimp behind the curtain?? After I read this post I tried to talk again with her. Too bad, now she block me 🙁
To have so much love from her, I need to work “hard” in that site. Because I say if she did something bad to me I will do things more bad to her, now I am doing it.
So, this is all the logs of our romantic journey in internet. You can read it all! I talked with her a lot of things that I read here in blog. And she answered some things… Please, read from bottom to up.
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Oz??? What about that pedophile things 😀 It’s obvious she really know you. And you are the worst of the worst, because you don’t like young girls, but young boys.. Common, you are a gay pedophile.. Tsc.. You will have bad time in jail. 😀 😀
Does she really believe it in their mind? I saw her blog and she has a special “place” in their heart for you. 🙂
And she never enter in this blog, so don’t worry about her, she will not read it anyway 😀
For Everyone: What is the current “business” she is “working” now? If I have so much luck like the RE247365, maybe I can get their attention again >:)
Uh, I’m getting married next year to my girlfriend of going on five years (proposed a few weeks ago).
Sloan’s just upset her life choices are catching up with her.
Of note is that in writing her fiction about me, for once in her Sloan dropped the carefully crafted online persona she presented to the world and revealed her true character.
This is what goes on in this woman’s mind. This is what she resorts to when she’s backed into a corner.
That’s funny, I don’t recall doing so… I may have mentioned her once or twice, but only with references to suspect schemes that she herself advertised to be in.
On the other hand, there are websites that clones BehindMLM…
Faith Sloan has always pitched fast earning ponzi schemes, that have fleeced many out of their hard earned money while she has pocketed hundred of thousands of dollars.
Now she Crying the blues about not having any telexfree money that she can not pay her bills, I don’t believe her for a second.
She just made a boat load of cash in re 24 while telling the feds she’s as broke as a rabbit.
This Sloan audio is amazing, A crook calling a crook a crook. HAHAHA, ok, so she cleaned over a million from people who sold their house and cars to buy into her scam and get suckered.
What Jensen did was a joke to what she and her partners did with TelexPrison.
She plays stupid to the feds, WHAT A JOKE, she indicates she knows how to run peters business and so smart with merchant services, please record this before she takes it down.
Send this to the feds and any authority, she knows how to steal from people, this is proof.
She owes over a million people a dollar in restitution for TelexPrison. She knew better, give it back, you stole, like peter stole yours.
She preaches God and she’s gonna get the teeth of Karma
She is the lowest form of trash on the earth
Coach Van is pimping Grocery Rewards Network now. Pay $150 a year to save money on groceries
I’m pretty sure Safeway Delivery is cheap, and Costco only costs like $50 a year.