telexfree-logoBack in April Faith Sloan demanded the release of $30,800, currently frozen as per a preliminary injunction granted in May, 2014.

Having previously had a similar motion denied by the court, the SEC’s response to Sloan’s latest filing can be paraphrased as “nothing has changed since”.

That didn’t stop Sloan going gangbusters and invoking all manner of irrelevant caselaw and constitutional rights, which the SEC have now responded to bluntly.

faith-sloan-top-promoter-telexfree-ponzi-schemeThe SEC’s three-page sur-reply addresses three main points.

The first, according to the regulator, is that Sloan (right) continues to lie about identifying all of her assets.

Sloan claims that she identified all her assets sometime after June 13, 2014.

She offers no support for that assertion, which is not surprising as it is not true.

The second points out Sloan’s previously filed motion, which as I’ve mentioned was already denied:

Sloan claims that she did not violate the asset freeze. She essentially repeats the arguments she made in the reply in support of her original motion to release funds.

The Court rejected Sloan’s arguments then, and it should do so now.

In their third point the SEC called out Sloan’s “throw enough mud and hope some of sticks” approach;

After repeating her mistaken argument that Luis v. U.S., 578 U.S. ___ (Mar. 30, 2016), applies in a civil case, Sloan proceeds to attack the asset freeze as a violation of the Fourteenth Amendment and the Massachusetts Declaration of Rights, neither of which applies to the federal government.

For good measure, she also invokes the Eighth Amendment, which does not apply in a civil case.

With undertones of irritation seeping through, the SEC concludes:

Enough is enough. The Court should not waste any time denying Sloan’s motion to release funds, which is a rehash of an earlier motion that the Court denied, which rests on the false claim that Sloan has identified her assets, and which relies on provisions of the U.S. Constitution (and even the Massachusetts Declaration of Rights) that do not apply.

Ouch.

The SEC’s sur-reply was filed on May 6th, 2016, with Judge Gorton yet to make a ruling on the matter.

Sloan meanwhile is busy berating people who don’t join 5000 Families as “weak”. In a post published a few hours ago she writes:

Don’t be Weak. Weakness Evolves into Lyning (sic) Down and Not Getting Up which is essentially Death.

#‎DONTBEWEAK‬ ‪#‎DONTGIVEUP‬ ‪#‎BESTRONG‬ ‪#‎DOIT‬ ‪#‎KEEPGOING‬ ‪#‎WHYSGUYS‬ ‪#‎5000FAMILIES‬ ‪#‎FAITHSLOAN‬ ‪#‎SLOANLEGACY‬

5000 Families is a cash gifting scheme believed to be run by Sloan, despite the TelexFree preliminary injunction prohibiting her from engaging in fraud.

To date Sloan’s operation of 5000 Families has not surfaced in a regulatory filing.

 

Footnote: Our thanks to Don@ASDUpdates for providing a copy of the SEC’s May 6th Sur-reply filing.