TelexFree @ BehindMLM

As part of their civil TelexFree case, on October 4th and November 5th the SEC deposed Faith Sloan. Whereas Sloan certainly isn’t the first prominent MLM underbelly figure to be deposed, what makes this deposition unique is that the SEC has made the entire transcript public. Sloan’s deposition provides revealing insight into the mind of [Continue reading…]

What kind of MLM marketer is Faith Sloan? According to the SEC she’s one that has participated in at least nine multi-level marketing programs (including TelexFree) in which a promoter recruits other promoters and is compensated according to the number of persons recruited. Yep. The SEC just publicly slammed Faith Sloan for serial scamming the public [Continue reading…]

TelexFree co-owner Carlos Wanzeler’s brother, Fabio Wanzeler, was a net winner in the $3 billion dollar Ponzi scheme. Fabio Wanzeler profited some $633,578 off of TelexFree victims. His wife, also an investor, wound up losing $7000. Not surprisingly, the net-winner status of Fabio Wanzeler and his wife saw them face clawback litigation from the court-appointed [Continue reading…]

All but cementing any doubt it wasn’t a $3.6 billion dollar Ponzi scheme, on September 28th Judge Gorton ordered Final Judgment against TelexFree and TelexFree LLC.

According to records prepared by disgraced accountant Joseph Craft, TelexFree transferred $500,870 to Telex Mobile and $2.02 million to TelexElectric between 2012 to 2014. For all intents and purposes Telex Mobile and TelexElectric were shell companies owned by Carlos Wanzeler and James Merrill. Arguing that neither company provided any services to TelexFree in exchange for [Continue reading…]

Over four years since the SEC filed suit against Faith Sloan, a trial date has now been set.

Following denial of his motion to dismiss, Santiago De La Rosa entered settlement negotiations with the SEC and TelexFree Trustee. Those negotiations lead to a proposed settlement, which was approved by the court on July 31st.

Following on from the news that Randy Crosby had entered into settlement negotiations with the SEC late last year, a stipulated settlement with the TelexFree Trustee has been filed.

The road to holding two of TelexFree’s biggest promoters accountable has been a long one, but the SEC is one step closer following a dismissal of two motions to dismiss.

Breaking news on US efforts to extradite TelexFree owner Carlos Wanzeler on criminal charges, following a decision to strip Wanzeler of his Brazlian citizenship. Can’t say I saw this one coming…