Eagle Gates Group Review: Package-based Ponzi investment
Eagle Gates Group name Eddy McClough as Founder and CEO of the company.
Has over 12 years of diversified financial services experience holding senior management roles spanning investment banking, private equity, investment management, and real estate in global financial services brands such as KPMG, Bank of America Securities and Merrill Lynch.
Distinguished speaker who has presented numerous keynote speeches globally ranging from macroeconomic issues, investment techniques and risk management at various international investment conference and summits.
As to the company itself;
Founded on February 2005 in the United States, Eagle Gates Group is now one of the world’s leading index futures investment and asset management company.
While the Eagle Gates Group website domain was first registered back in 2005, research reveals it hosted content that had nothing to do with Eagle Gates Group until earlier this year.
In early March the Eagle Gates Group domain registration changed, reflecting when McClough likely took possession of it.
Prior to March, the domain was redirected to an unrelated electrical gate retailer.
The Eagle Gates Group website as it is today went live sometime after March, 2016.
With respect to Eddy McClough (right), no information about him exists outside of what has recently been published in connection with Eagle Gates Group.
There is an obviously staged “CNN interview” doing the rounds, in which McClough is fed softball questions from a paid actor.
The interview is shot in a small studio with harsh lighting (McClough appears saturated in sweat) and echoey sound.
Quite obviously the segment didn’t air on CNN.
If you pay particular attention to McClough’s eyes, you can see he’s reading off a script (when he finishes his eyes dart back to the interviewer). There’s also two clocks on-screen which go out of sync at [3:13].
Who McClough actually is I have no idea. His LinkedIn profile claims he’s based out of New York but other than that there’s no reliable information publicly available about him.
Bit strange for someone who’s purportedly a ‘distinguished speaker who has presented numerous keynote speeches globally‘.
Eagle Gates Group provide a corporate address in New York on their website. Further research however reveals this is a “virtual office business center” ($99 a month).
It appears Eagle Gates Group (and probably Eddy McClough), exists in New York in name only.
At the time of publication Alexa estimate that 72.5% of traffic to the Eagle Gates Group originates out of Thailand. This suggests Thailand is likely where Eagle Gates Group is being operated from.
Read on for a full review of the Eagle Gates Group MLM opportunity.
The Eagle Gates Group Product Line
Eagle Gates Group has no retailable products or services, with affiliates only able to market Eagle Gates Group affiliate membership itself.
The Eagle Gates Group Compensation Plan
The Eagle Gates Group compensation plan sees affiliates invest up to $10,000 on the promise of a monthly ROI.
Eagle Gates Group affiliates are also paid to recruit new affiliates who invest.
Monthly ROIs
Eagle Gates Group affiliates invest funds on the promise of advertised three-stage monthly ROI payments.
- Stage 1 is the first 90 days after funds have been invested
- Stage 2 is 91 to 180 after funds have been invested
- Stage 3 is 181 days and onward
Monthly ROI payments are based on how much an Eagle Gates Group affiliate invests:
- $1000 package – 3% monthly ROI in Stage 1, 6% monthly ROI in Stage 2 and 9% monthly ROI in Stage 3
- $5000 package – 4% monthly ROI in Stage 1, 8% monthly ROI in Stage 2 and 12% monthly ROI in Stage 3
- $10,000 package – 5% monthly ROI in Stage 1, 10% monthly ROI in Stage 2 and 15% monthly ROI in Stage 3
Direct Referral Commissions
Eagle Gates Group affiliates are paid a 10% direct referral commission on funds invested by personally recruited affiliates.
Residual Referral Commissions
Residual referral commissions in Eagle Gates Group are paid out via a unilevel compensation structure.
A unilevel compensation structure places an affiliate at the top of a unilevel team, with every personally recruited affiliate placed directly under them (level 1):
If any level 1 affiliates recruit new affiliates, they are placed on level 2 of the original affiliate’s unilevel team.
If any level 2 affiliates recruit new affiliates, they are placed on level 3 and so on and so forth down a theoretical infinite number of levels.
Commissions are paid out as a percentage of funds invested by a unilevel team as follows:
- Assistant Manager – convince personally recruited affiliates to invest $40,000 and receive a 4% residual referral commission
- Manager – convince personally recruited affiliates to invest $200,000 and receive a 5% residual referral commission
- Senior Manager – convince personally recruited affiliates to invest $400,000 and receive a 6% residual referral commission
- Assistant Deputy Director – convince personally recruited affiliates to invest $2,000,000 and receive a 7% residual referral commission
- Deputy Director – convince personally recruited affiliates to invest $4,000,000 and receive an 8% residual referral commission
- Director – personally recruit at two Deputy Director ranked affiliates and receive a 9% residual referral commission
- Senior Director – personally recruit three Deputy Director ranked affiliates and receive a 10% residual referral commission
Joining Eagle Gates Group
Eagle Gates Group affiliate membership is tied to investment in one of three offered packages:
- $1000 package
- $5000 package and
- $10,000 package
The only difference between the above packages is income potential through the Eagle Gates Group compensation plan.
Conclusion
Ignoring the fact that Eagle Gates Group lied about being formed in 2005 and that no information on Eddy McClough exists, the company also fails the Ponzi logic test.
An official Eagle Gates Group marketing video claims the company has “over 8 billion USD of revenue-generating investments”:
In the same presentation Eagle Gates Group claim to have a three-year trading record of over 603 million dollars:
Again, putting aside the fact that Eagle Gates Group didn’t exist three years ago, why is a company able to produce this sort of revenue soliciting investment from affiliates?
If the marketing video is to be believed (and it certainly shouldn’t be), Eddy McClough is sitting on a perpetual goldmine that requires no outside investment.
The reality of Eagle Gates Group is the only source of revenue entering the company is affiliate investment.
The use of which to pay advertised monthly ROIs makes Eagle Gates Group a Ponzi scheme.
There is some MetaTrader MT4 component to the scheme, through which Eagle Gates Group affiliates can purportedly participate in index trading.
This however has nothing to do with the Eagle Gates Group MLM opportunity.
In addition to Ponzi ROIs, the referral side of Eagle Gates Group adds a pyramid layer to the scheme.
Eagle Gates Group affiliates are directly compensated for recruiting new investors, which is typical of an MLM Ponzi scheme.
Absolutely no proof or evidence is provided on the Eagle Gates Group website linking index trading to any of the revenue claims made in the marketing video.
If I had to guess, Eddy McClough is probably hiding out in Thailand or somewhere close by. And Eddy McClough itself is probably a pseudonym.
Eagle Gates Group is built as a fraudulent Ponzi scheme from the ground up, which starts with the claim the company has been around since 2005.
As with all Ponzi schemes, once new affiliate recruitment dries up so too will ROI payments made within the scheme.
Crunching the raw numbers,
- the $1000 package exceeds the 100% ROI mark after 14 months
- the $5000 package exceeds the 100% ROI mark after 11 months
- the $10,000 package exceeds the 100% ROI mark after 9 months
Considering Eagle Gates Group began soliciting Ponzi investment on or around March, 2016, this means the company is due for collapse either late this year or early the next.
Referral commissions will hasten the collapse, along with funds Eddy McClough and friends skim off the top.
Prolonged new investment might prop up Eagle Gates Group beyond this time-frame, however Alexa traffic statistics suggest recruitment crashed in early November.
Although they might not have realized it yet, this likely means the majority of Eagle Gates Group affiliates have already lost money.
Just for the hell of it, fake video and Eagle Gates site has been reported to CNN.
BTW, how do you find some of this stuff? I couldn’t the mlm offer or comp plan anywhere.
This one was a reader request. And yeah, Eagle Gates Group don’t provide any compensation information on their website.
I used an official Eagle Gates Group presentation on YouTube for the comp plan (youtube.com/watch?v=dHKsXsfhfSU), cross-referenced with several affiliate presentations to verify.
I should have said I couldn’t find it on their site or any web pages, as I did see some YouTube videos and FB pages with info.
I saw some mention of an Apex Club launch somewhere in Asia I believe and thought maybe that was the name of the MLM side of things.
The CNN headline is fake. The top title says “stock market in 2017”, but the small marquee below says “the statement identifies two of the attackers as abu zaka…”
It can only refer to one thing, ISIS attack in Tunisia back in 2015. The two attackers were “Abu Zakariya al-Tunisi and Abu Anas al-Tunisi” (NOLINKY://www.cnn.com/2015/06/26/africa/tunisia-terror-attack/)
Someone needs to notify CNN or Youtube
It’s just sorta amusing that someone would make the effort to dummy up some press releases, a few videos and find a couple of local news websites that publish 3rd party content without examining it first, all to tell such stupid lies.
Eagle Gates pretends to be a global financial powerhouse and I guess they’re hoping no one ever thinks to run their name through FINRA’s Broker Check website:
brokercheck.finra.org
Eagle Gates Group is not listed as a firm licensed to deal in any way with securities or investments and despite Eddy McClough’s “12 years of diversified financial services experience” he’s never held any sort of license either.
So the people behind Eagle Gates are making an effort to fabricate a history for themselves but not one that stands up to any legitimate scrutiny. They seem to be squarely targeting the “more dollars than sense” demographic.
Well this review should be posted in Thailand’s language as well. Thai?
I am now a member of the management eagla gate eagle in a very distressed. Because the system does not withdraw from The Leader will have a management problem.
I as one member To send people to the Management of the company at the urgent care too. Thank you very much.
They even have fake awards.
“Chicago wealth management awards” returns only Eagle Gates on google.
cbs58.com/story/33768446/eagle-gates-group-wins-accolades-at-the-chicago-wealth-management-awards
@Mr Eagle
So the collapse has already begun?
Information from the Articles of Incorporation showed that this company was registered in Wyoming State in the US on 23/7/2009 in the name of Poseiden Communications Corp. with Mr Gerald Pitts as Director.
on 27/5/2016 the director was changed from Mr Gerald Pitts to Mr Eddy McClough.
on 2/6/2016 the name of the company was changed from Poseiden Communications Corp. to Eagle Gate Group, Inc.
information from wyobiz.wy.gov/Business/FilingDetails.aspx?eFNum=249196148179203000196120043035190150253203228255
I have written most of these information in Thai just a day before behindmlm posted this. pantip.com/topic/35267037/comment15
In Thailand, Eagle Gates registered as a real estate company with the sentence of not gathering fund from people. They have 3 shareholders, all thai. Eddy is not one of share holders, no norminee.
And it’s just a news release where you can write almost anything. PRNewswire, phooey.
Thank you for the review, this is very useful information.
As I have known, there are many people who have registered to the website and yeah!! I am the one of them.
More than a week, we have realized that there is a problem with the withdrawal and redeem system. No money was transferred to the customer accounts and no any notification regarding system maintenance or failure.
I have tried to report to CNN website but no response from CNN yet.
Thai Version
Read comment 15
(Ozedit: Please don’t link to non-English sites with no explanation)
How sure are you OZ this is Ponzi scheme did you join at the first place about this company, did you manage to get in touch, don’t simply spoil market by putting a hoax report.
If this company are not legit there won’t be showing investor their meta trader 4 account live which each of the investor Id will link to MT4 to their own trade and which cant be manipulated through system.
Which is under profitable and proven technical analyst report,I can share with you the live trade which there are trading in Index and most of the trade are high hedge and under high floating profit and of course whatever the compensate there paid is making sense to people.
Get in touch with Asset Management Fund Team then your brain and eyes will open towards the company and the way there do their business.
By the way if (Ozedit: marketing spam removed)
Get your fact right before pin point on the company. Get A life and learn to live.
You’re confusing me with Eagle Gates Group. I’m not the one publishing bogus CNN interviews.
Look, if these scammers could legitimately generate 15% a month ROIs, they’d keep it to themselves and become rich.
Instead they’re convincing suckers like you to sign up and give them your money.
Sure they’ll wave some token MT4 trades in your face as proof the ROIs are legitimate, however the MT4 activity has nothing to do with the passive monthly ROI paid out.
You can probably verify this yourself by going through the provided trades and seeing if the ROI adds up to 15% a month. Actually it’d have to be higher than 15% a month, owing to recruitment commissions paid out.
Why? Using newly invested funds to pay off existing investors isn’t a difficult concept to understand.
Oz: You don’t get my of point view, you have to be trader to understand the point of the view of a company.
You don’t even know about company structure on paying people fund and assume as take from old investor and paid for new.
Anyway that a waste of time by looking at your news and in actual we know the progression on our side.
I am just abit curious when i talk about MT4, you can’t even defend in your news and telling there try to face proof.
(Ozedit: Offtopic derail attempts removed)
They make “40% a month” once, maybe twice.
NOBODY on the planet can make 40% a month on a regular basis.
If they did, they would own the world in ten years.
Unless, of course, you can provide evidence to the contrary.
That would be real, documented evidence, bot postings from the usual suspect HYIP ponzi forums.
@Dalz
It’s not up to me to prove MT4 is being used to generate a ROI of 15% a month.
Eagle Gates Group need to provide proof that ties every single dollar paid out each month with trades. They’re the ones making the claim.
Otherwise the only verifiable source of revenue entering the company is affiliate investment, the use of which to pay the monthly ROI (even partially) constitutes Ponzi fraud.
Legitimate companies don’t mock up fake CNN interviews. If Eagle Gates Group are willing to make fraudulent marketing videos the chance of them legitimately creating a 15% monthly ROI is slim to none.
Oz and littleroundman: You want to have proof about MT4 under the Eagle Gates register under Real time trading (Ozedit: Snip. Nobody is asking for proof of MT4 Trading in and of itself.
Provide proof that every dollar paid out by Eagle Gates Group to date has been sourced from MT4 Trading or accept it’s a Ponzi scheme.)
i m satisfy with Dalz j bcoz im trading in stock mrkt sinc 10 yrs and it is not a joke to manuplate MT4 trading system,
all u appositions first do ur home work then punch the comment. and i am with those who want to invst with eagle gates , they are the block chain system technique thats why they areable to provide such big return.
What makes you think we haven’t?
Yeah so uh, you’ve clearly got no idea about blockchains. They aren’t some magical system you pump money into and collect a monthly ROI from.
Perhaps lay off the fake CNN reports and do some actual homework hey.
Thanks for the review. Actually we in Malaysia n China have invested millions of dollar in eaglegates but to our disappointment there is a big problem in withdrawal of the money.
Moreover the person who is supposed to be our upline mr. Nick and Wang I think from Singapore as they claim is now where to be found.
As for the office that have listed in the website like in United States, Germany, U.K. And Japan are all fake as they only Hv a receptionist to answer the phone but know nothing about eaglegates n they just put u to the machine n leave your messages.
And worst the messages will never be replied. We are still trying to get someone who can explain to us what is happening?
Hope some one can help .. thanks
Eagle Gates is a Ponzi scheme. You invested and Eddy McClough and friends stole your money.
Does anybody know where is eddy McClough is now?
Google Sener Index Trading…look familiar? They’re at it again!! Same scheme different name…
New CEO.
Has Eddy McClough finally been caught yet?
How is it possible that he could escape justice for so long?? Someone must know him!?
Catching a Boris CEO isn’t going to do much. It’s the scammers behind the Boris CEOs that should be targeted.
Unfortunately regulation of securities fraud across Asia is lacking.