Zeek Rewards Receivership closes, end of an era
On May 19th 2022, the Zeek Receiver announced the Zeek Rewards Receivership was officially closed.
This marks the end of an era here at BehindMLM, spanning eleven years and two hundred and thirty-two articles.
As per the Receiver’s May 19th update;
The final distribution has been completed, and the Receivership is now administratively closed.
The closure follows final distribution checks, sent out back in January.
On Wednesday, January 19th, we sent out over 121,000 distribution checks, which provided an additional $14.3 million to the victims of the ZeekRewards Ponzi scheme.
With respect to any ongoing issues with payments, the Receiver advises;
The 120 day expiration period for those checks has now passed, and no further distributions will be made.
If you received confirmation from the Receivership team that a reissued check is being sent to you, please look for its arrival in the coming weeks.
No further requests for replacement checks or wire transfers can be accepted at this time.
Although it’s more of a TelexFree thing, the Receiver also provided insight into non-communication reported by Zeek victims;
I have received thousands of calls and emails over the past several months regarding requests for distributions and reissued checks.
While I would like to be able to respond to each of your messages, with over 129,000 claimants, I have been unable to respond to individual communications regarding distribution-related questions.
Please note that as of this update, the Receivership is closed, and there will be no further responses to distribution-related communications.
This goes for BehindMLM too. BehindMLM isn’t and has never been tech support for Receiverships or Trusteeships.
All in all the Zeek Receivership resulted in victims with approved claims recovering 84% of their losses.
With this final distribution, we have returned a total of $371 million to the scheme’s victims.
I am proud of the Receivership Team and its diligent work that has provided such a robust return to the claimants.
Matthew E. Orso
To put the $371 million paid out in context, Zeek Rewards itself was a $900 million Ponzi scheme (originally pegged at $600 million by the SEC).
BehindMLM reviewed Zeek Rewards in September 2011. The SEC would go on to shut Zeek Rewards down in August 2012.
The man behind Zeek Rewards, Paul Burks (right), was sentenced to fourteen years in prison back in February 2017.
Burks is currently being held in FCI Butner, a “medium security federal correctional institution” in North Carolina.
Burks, 75, is scheduled for release on February 15th, 2028.
This brings BehindMLM’s coverage of Zeek Rewards to a close. Thanks for reading.