Vemma @ BehindMLM

FTC: Boreyko might have mislead Bank of America

Two days ago BehindMLM reported BK Boreyko’s request for an expedited decision on his motion to short sell a property. The court granted the request, with the motion moving fast towards a January 15th decision. Part of the discourse of the motion has seen the FTC file an objection to the sale, with the regulator [Continue reading…]

Boreyko proposes sale of $600,000 “underwater” property

No verdict yet on the proposed AZPACK sale, but news today that Boreyko wants to sell off more real estate. The proposal was made with Boreyko’s full knowledge of the preliminary injunction currently in place, which prohibits him from selling any real estate asset that is owned or controlled by, or held for the benefit of, Defendant [Continue reading…]

FTC: Vemma’s new comp plan terrible for affiliates

Just shy of three months ago, Vemma introduced a new compensation plan. This was required in order for the company to restart it’s MLM business opportunity, with the previous plan deemed conducive to a pyramid scheme. Following implementation of Vemma’s retail-centric compensation plan, only one hundred and nineteen Vemma affiliates qualified for commissions. These affiliates [Continue reading…]

Vemma lost half a million dollars over the last 2 months

As part of the preliminary injunction granted against Vemma back in September, the company is required to submit quarterly reports. Vemma recently filed a report for the months September through to November, in which revealing information about the company’s current business operations are disclosed. Among other things, Vemma recorded operation losses of over a half [Continue reading…]

Are Vemma and BK Boreyko broke?

Back in November we covered BK Boreyko wanting to inject $500,000 into Vemma. The money was to be raised via the selling off of a 25% stake in AZPACK Properties, LLC, a real-estate investment company. As part of the preliminary injunction currently in place, Boreyko is prohibited from selling off any real-estate assets. Boreyko wasn’t selling [Continue reading…]

FTC Vemma case management proposal, 2017 trial date?

As part of ongoing litigation by the FTC against Vemma, both parties have filed a joint Proposed Case Management Plan. Filed on December 7th, the plan lays out the FTC’s case against Vemma and projected timeframes (disagreements included) from both parties.

Vemma was in “poor financial state” prior to Receiver

When the court-appointed Receiver submitted a fee application for $294,452, Vemma weren’t happy about it. Back in control of their company following the Receiver’s temporary stint, Vemma argued that Robb Evans & Associates’ (REA) fees were “excessive”. Rather than the near $300,000 REA had requested, Vemma insisted the cost of the work performed by REA ‘would [Continue reading…]

Boreyko wants to inject $500,000 into Vemma

The current state of Vemma’s financial affairs is unknown. However if a recent filing by owner BK Boreyko is anything to go by, things might be looking tight. AZPACK Properties, LLC is an entity in Arizona which owns real estate. Arizona state records list a filing date for AZPACK Properties in 2013, with four manager/member [Continue reading…]

Vemma’s retail comp plan – the new MLM benchmark?

One of the my staple fallbacks if I’m not sure about retail in an MLM compensation plan, is to recommend asking a potential upline about it. See how they qualify for commissions and try to get a sense of what their retail volume is. Compare this to their recruited affiliate volume and you’ll have a [Continue reading…]

Court denies Vemma’s revised compensation plan

Frustrated with the FTC’s “all or nothing” interpretation of the court-ordered preliminary injunction, Vemma sought to bypass regulatory approval through a court filing. Whereas the FTC maintained that no commissions should be paid out unless 51% of affiliate sales are to retail customers, Vemma instead wanted to adopt a pro-rata model. This would see affiliates [Continue reading…]