TelexFree @ BehindMLM

The Dominican Republic is emerging as one of the hardest hit TelexFree investor markets. Yet, despite a significant number of Dominicans investing in TelexFree, local authorities failed to take any action against the company or its top local promoters. Not because they didn’t know TelexFree was an unsustainable Ponzi scheme mind, but rather because their hands were tied behind [Continue reading…]

You’re at the top of a global billion dollar Ponzi scheme that recently collapsed, and was then shutdown by US regulators. If you’re Randy Crosby or Santiago De La Rosa, you disappear off into the night and are never heard from again. If your Faith Sloan, after attempting to brush off the severity of situation [Continue reading…]

Yesterday saw the continuation of the first day hearings in TelexFree’s bankruptcy application. Barring any additional information being made public, it looks like the hearing saw three significant events take place: The DoJ have formally objected to KCC’s fees and compensation Some of KCC’s actions have been “troubling” to the Judge presiding over the application A [Continue reading…]

In a last-ditch attempt to appease regulator and reduce the impact of the fraudulent activities the company had engaged in over the last two years, TelexFree began filing applications to register itself as a telecommunications provider in US states. The question of why this was only done now of course lingers, but that’s not the [Continue reading…]

When news broke that TelexFree’s Chief Financial Officer had been caught trying to escape with management’s retirement funds, the evidence the FBI presented in court was pretty conclusive. Filed in a Massachusetts District Court on April 16th, Scott Stanley, an attorney with the SEC filed the declaration of John Soares, a special agent with the [Continue reading…]

I’m seeing a whole bunch of crazy information getting pushed out there by TelexFree affiliates about the next tax hearing date. Dates in late April and May are all over the place, and many are citing some list of nine things that are apparently to be discussed. Meanwhile in reality, a single Judge has signed the [Continue reading…]

Turns out the SEC don’t trust TelexFree management at all. And after the revelation yesterday that Joseph Craft lied about his position in the company while trying to make off with $37.9 million dollars, who can blame them? The SEC pyramid scheme complaint against TelexFree was originally filed on the 15th of April, meaning it was [Continue reading…]

As agents from the FBI, Department of Homeland Security and Immigration and Customs Enforcement burst through the door of TelexFree’s Massachusetts head office, Joe Craft looked up from his laptop. “They’re early”. Craft had been running his laptop day and night in anticipation of a raid, deleting the mile-long paper trail that he hoped would throw regulators [Continue reading…]

Hot on the heels of the Massachusetts Securities Division alleging TelexFree to be a $1 billion dollar Ponzi scheme, now comes a new complaint from the SEC. Filed on the 15th of April in a Massachusetts District Court, the SEC have named eight defendants in the case, and have grouped them into three distinct categories: [Continue reading…]

Late yesterday we reported on iPayout disabling the ewallet services they were providing to TelexFree. Since then, some interesting developments have come to light.