Matt Lloyd’s MOBE entry of default set aside
Following an entry of default recorded against Matt Lloyd McPhee on February 1st, McPhee filed to have it set aside.
McPhee’s motion was granted on April 19th.
In his motion, McPhee (right) argued he was under the impression he was still in settlement negotiations with the FTC. And so he hadn’t filed a response to the FTC’s complaint.
The assertion made little sense seeing as McPhee, through his ex-attorneys, had had no contact with the FTC since December 15th.
The court ruled that because default judgment hadn’t been entered, there was good cause regardless to set aside the entry of default.
The Court also finds that McPhee would suffer significant financial loss if the Court were to deny the Motion.
As the Court previously noted, Plaintiff appears to be seeking more than $125,000,000 in damages.
In addition, the Court does not find that Plaintiff will suffer significant prejudice if this case is allowed to proceed on the merits.
The FTC had raised concern that creditors would be able to recover funds from McPhee outside of the FTC action, however the court dismissed this as speculation.
The potential threat that some creditors may be able to obtain judgments against McPhee is significantly outweighed by the financial loss McPhee would suffer if the Court were to deny the
Motion.
The FTC failing to file for default during negotiations with McPhee was brought up to support the unlikelihood of creditor judgments.
As it stands McPhee delayed response to the FTC’s complaint has been accepted.
A settlement between the parties is still possible, but in the meantime the case proceeds towards trial.
I believe he needs to end up in bankruptcy just like me. Why should my retirement support his crime?
Oz, I think you mean the FTC, not SEC.
Hah, that I did. Thanks for catching that.
Matt Lloyd have destroyed many people’s dream and hope to achieve something. He have used all entrepreneurs like myself to invest heavily into the business just so he can purchase all the luxury using our hard earned income and life savings for some.
I was a single mom almost homeless & going insane trying to keep up my cool not to over react from the failure business.
What is the point to keep all the luxury items where if you die, those things can’t go along with you. Might as well give it up and return to the owners of people you scammed and lied to.
Hopefully everyone gets there money back and for matt lloyd and is commrades they going to prison hopefully life imprison.
i hope so matt has cause tons of damages in my life and many more. matt has shown no regrets whatsoever or render the word.
i’m sorry to the people matt has violated financially emotionally and spiritually.
I too am currently going through bankruptcy. I truly believed in this program and thought it would be good for when I retire.
Now I’m in bankruptcy…this will remain on my credit for 7 years!!! I know I’ll get through it but the fact that I’m going through it should not be the case!!!!
I totally agree. Complete scam. Anyone who was taken in my this should get a refund… myself included.
When can we get our money back at least part of it? I am deep in debt because of this scam.
It’s a process without a timeline.
I suggest you work toward settling your debts rather than get further in debt waiting for distribution.
Where was the scam? What was he doing to scam people?
I made thousands using this program and only lost when the FTC shut it down. I have been trying to find out what he did to scam people.
I was a consumer of this program, did what the program said, made sales, and got paid. Where was the scam?
The money you made was stolen from consumers who were fed misleading income claims.
I got paid, where duh scam?
That you and a handful of MOBE affiliates at the top of the pyramid scheme made money doesn’t change the fact that the overwhelming majority of MOBE affiliates lost money.
That’s how scams work.
If you want more information read over the FTC’s complaint – https://behindmlm.com/companies/mobe/ftc-claim-mobe-a-125-million-fraudulent-business-education-scam/
I’m curious how to apply to get your money back. I spent all of my retirement money on this scam.
You can’t get your money back. There is no claims process yet.
Even when one is set up, it is nigh on impossible you’ll get all your money back.
I signed up to mobe and never received my course and never got my refund I spent over $600. Which may not be a lot to most people, but to a single mother of 5 who had to take a loan out and travel the country to attend seminars paying for transport and hotels.
It’s a lot of money in total while trying to achieve what mobe claimed to teach.
I spent over £1500. Which I also had to pay interest on as it was a loan I got to cover costs. This was disgusting.
I feel for all of us who lost money. I am out over $110,000 and working with freedom debt relief to pay off those creditors.
I chose to do this instead of bankruptcy because I did not feel right causing these companies a complete loss for my bad decisions; however, with my health getting worse every month and my house needing what seems to be constant repairs, I do not know how long I can keep paying over $1000 a month toward paying these off.
It almost seems like throwing good money after bad. If anyone had any suggestions, I am all ears.
The only thing you can do is wait for the Receivership to start the claims process.
TelexFree victims have been waiting around five years for their first distribution, so I wouldn’t be relying on distribution to get you of immediate financial trouble.
I worked at it and made our investment back.. To those of you who quit your 9-5 for this was not smart. Those of you who took out loans for this was not smart. Those of you who used personal savings for this was not smart.
Use someone else’s money. You are protected when you use CREDIT CARDS against FRAUD.
It may be too late for those of you who did and failed to forward the FTC link to your CC company would have got some if not all of your money back over time.
Like Arthur stated, the SCAM was those of you who failed to do their due diligence with MOBE.
When you start a business, ANY business, just because the doors are open that doesn’t mean the customers will walk through the door. You have to invite the in, provide proof and teach..
Many of you if not all of who lost I believe took the 21 steps course and expected the cash to flow right in. That’s not how business works..
Congratulations on successfully scamming the people you’re now deriding.
The FTC didn’t sue MOBE and Matt Lloyd because people ” took the 21 steps course and expected the cash to flow right in.”
The FTC sued MOBE and Matt Lloyd because the entire business model, from the products to the marketing to the represented income, was all based on bullshit, lies, fraud and deception.
By “making your investment back” in MOBE, you were part of the problem.
If you want to pretend you were ignorant to the fraud, fine. The least you can do then is respect that a ton of people lost a ton of money in MOBE.
The blame for that rests solely on Matt Lloyd and his band of merry scammers.
I do not believe enough is being done to get our money back, the FCCallowed him to pay his attorney, and they walked away.
I would love to pay back three credit card debts, and be able to move on Mr. FTC Receiver would you allow all of us who needs to be refunded to pay back money borrowed.
Matt Lloyd ignored our pleas to get our money returned, I want Matt Lloyd to be responsible for what he has done, why is he able to go about as if nothing has happened?
They seized almost 10 mill from the payment processor, and Lloyd’s been essentially stripped of his property assets.
I suppose if you were truly unhappy with recovery efforts you could reach out to the Receivership for an explanation.