3pexcel Review: Discount card cycler pyramid scheme

3pexcel provides no information on their website about who owns or runs the business.

The 3pexcel website domain (“3pexcel.com”) was privately registered on July 24th, 2017.

The footer of the 3pexcel website advises the company is ‘a member of Xeap Group Inc.

Xeap Group is incorporated in California in the US.

Upon visiting the 3pexcel website for the first time visitors are required to choose a country. Nigeria is provided at the top of the list and is separated from the other choices. A corporate address in Port Harcourt, Nigeria is also provided on the 3pexcel website.

Both suggest 3pexcel is being operated from Nigeria itself. As far as I can tell Xeap Group is nothing more than an offshore shell company.

As always, if an MLM company is not openly upfront about who is running or owns it, think long and hard about joining and/or handing over any money. [Continue reading…]

Wakaya Perfection overturn arbitration order in Youngevity lawsuit

The beef between Wakaya Perfection and Youngevity dates back to 2016.

Our reporting initially covered Youngevity’s lawsuit in California, which alleged Wakaya Perfection was founded on stealing business from Youngevity.

Wakaya Perfection filed their own lawsuit in Utah, over breach of contract and “tortious behavior”.

Wakaya Perfection’s lawsuit was subsequently moved to federal court, wherein Youngevity filed for dismissal.

In November 2017 the dismissal was granted, requiring Wakaya Perfection to settle the dispute via arbitration.

Wakaya Perfection filed an appeal, a decision on which was finally made last month. [Continue reading…]

Jason Guck’s sentencing delayed, 5Linx “a shell of its former self”

Jason Guck is the last of the three 5Linx co-founders still awaiting sentencing.

Guck was supposed to be sentenced on December 19th, however that date came and went with no news.

Today I had Guck’s case flagged for an update. [Continue reading…]

ShareNode Review: Nasgo NSG and SNP token securities fraud

ShareNode provides no information on their website about who owns or runs the business.

The ShareNode website domain (“sharenode.com”) was first registered back in 2006.

The domain registration was last updated in August 2018. Stephen Chiang is listed as the owner, through a PO Box address in the US state of California.

Further research reveals Chiang (who also goes by “Steve Chiang” and “Steve Jiang”) and Eric Tippetts cited as a co-founders of Nasgo.

On the ShareNode website the company advises it is “powered by Nasgo”.

A press-release dated October 3rd names James Hardy (right) as co-founder of ShareNode.

Eric Tippets has been doing the rounds of the MLM training circuit for a number of years, primarily through his Rocket Recruitment app.

At least for a number of years, Nasgo appears to be Tippet’s first MLM venture as an executive.

Steve Chiang also appears to have a marketing background but is much more secretive about it.

This is from Chiang’s LinkedIn profile;

The first organization I created quickly became a 1000 member force using each others skill sets to succeed and create the template for future success.

That organization became the fastest growing organization in a US company and with those 1000 employees quickly became the #1 distributorship within a three month period.

Due to the generic nature of the name, I wasn’t able to specifically pin down Chiang’s MLM past.

James Hardy heads up eVantage Financial, some sort of insurance based income opportunity.

Alexa statistics for the eVantage Financial website suggest it has long-since collapsed.

Read on for a full review of the ShareNode MLM opportunity. [Continue reading…]

OnPassive Review: GoFounders four-tier matrix pyramid scheme

OnPassive is currently being marketed via a “GoFounders” prelaunch website.

Both the OnPassive and GoFounders website domains were privately registered in mid 2018.

The OnPassive website is currently a placeholder that claims “Only Qualified Founders Accepted in Prelaunch By Invitation Only”.

A video on the GoFounders prelaunch website presents Ash Mufareh as OnPassive’s founder.

On Facebook Mufareh (right) cites himself as CEO and founder of GFI Fusion, a marketing team within Global Domains International.

Going further back (~2010), Mufareh launched AshMax, a recruitment-based matrix scheme.

These days Mufareh promotes various “passive income” scams to a closed-group of investors who follow him from one scheme to the next.

Two Ponzi schemes I was able to link Mufareh to include TelexFree and PayDiamond.

TelexFree was a a Ponzi scheme launched in 2012.

In a marketing video uploaded to YouTube in 2013, Mufareh downplayed TelexFree’s legal issues in Brazil.

As of now, TelexFree has made many mistakes, not one or two, many mistakes in Brazil…

…however past doesn’t mean the future. Brazil doesn’t mean the United States or the world.

Anyone who experienced what happened in Brazil (who had a position in TelexFree), they would definitely become more protected in the United States.

Because we know they (TelexFree) have a strong will to survive and stay in the market for a very long time. Years to come.

That said they (TelexFree) have to take extra measures to be protected in the United States as there is a very clear constitution and law that doesn’t change as frequent(ly), and to mention a solid law.

I can’t accuse anybody or any government of having some maybe gaps or, you know what I’m talking about. But this is a lot more reliable in terms of business in the United States.

TelexFree was shut down by the SEC in 2014. An investigation by a court-appointed Trustee has since revealed TelexFree investor losses in excess of $3 billion.

BehindMLM reviewed PayDiamond in early 2017 and, based on its business model, concluded it was a Ponzi scheme.

PayDiamond collapsed in mid 2018, shortly after which Ash Mufareh began setting up OnPassive.

Read on for a full review of the OnPassive MLM opportunity. [Continue reading…]

Melaleuca Review: 400+ products with blurred customer focus

Melaleuca is based out of Idaho and operate in the nutritional supplements, cleaning supplies, and personal-care MLM niches.

Melaleuca was founded all the way back in 1985 by Frank VanderSloot, who today at 70 remains CEO of the company.

According to Forbes, VanderSloot (right) has an estimated net worth of $4.2 billion.

(VanderSloot) is a major landowner — with an estimated 117,500 acres across Idaho, Utah and Montana — and he runs a leading purebred angus cattle operation.

He is also an active political donor, giving millions to Republicans. He was a national finance co-chair for Mitt Romney’s two presidential bids.

Prior to Melaleuca VanderSloot’s relatives ran the MLM company Oil of Melaleuca.

In September 1985, amid FDA investigations into exaggerated medical claims and inventory loading, Melaleuca, VanderSloot’s relatives offered him the company.

By the end of the year Oil of Melaleuca had been shut down and rebooted as Melaleuca.

Since then Melaleuca has mostly had a clear-run with regulators, which is impressive considering the age of the company.

Echoing the 1985 Oil of Melaleuca situation, in 1991 Michigan issued Melaleuca a cease and desist over alleged violations of the state’s anti pyramid scheme laws.

 In 1992, Melaleuca signed a consent decree with the states of Michigan and Idaho agreeing to “not engage in the marketing and promotion of an illegal pyramid.”

The Idaho Attorney General took issue with the marketing practices of several of Melaleuca’s affiliates, as opposed to the company’s business model itself.

In 1997 Melaleuca received a warning letter for “false and misleading claims” regarding two of their supplements.

The matter was resolved and since then nothing further has come of it.

By my count it’s been over two decades since Melaleuca’s last regulatory run-in.

That’s not to say the company is in the clear though. Investigations by Truth in Advertising have documented ongoing instances of Melaleuca affiliates making illegal health claims and false and unsubstantiated income claims.

Read on for a full review of the Melaleuca MLM opportunity. [Continue reading…]

Court freezes Australian BitConnect scammer’s assets

An Australian court has frozen BitConnect Director John Bigatton’s assets. Bigatton is also prohibited from fleeing the country. [Continue reading…]

United Success Network Review: $20 in, $15,200 out Ponzi cycler

United Success Network provides no information on their website regarding who owns or runs the company.

The United Success Network website domain (“unitedsuccessnetwork.com”) was privately registered back in January 2016.

Despite only existing for two years at most, the United Success Network logo falsely implies the company was established in 2008.

Further research reveals marketing videos on the United Success Network website hosted on a YouTube channel bearing the name “itsme1984rich”.

In a December 14th, 2018, video titled “USN LAS VEGAS”, Charles Morgan identifies himself as United Success Network’s founder and CEO:

I wasn’t able to put together an MLM history of Morgan, suggesting United Success Network is his first executive role in an MLM company.

Read on for a full review of the United Success Network MLM opportunity. [Continue reading…]

TrezorHub Review: MMM Global provide help, get help Ponzi clone

TrezorHub provides no information on their website about who owns or runs the business.

The TrezorHub website domain (“trezorhub.me”) was privately registered on October 31st, 2018.

As always, if an MLM company is not openly upfront about who is running or owns it, think long and hard about joining and/or handing over any money. [Continue reading…]

UDS Game Review: Rewards app with heavy inventory loading

UDS Game provides no information on their website about who owns or runs the business.

The UDS Game website domain (“udsgame.com”) was privately registered on December 31st, 2014.

The company appears to have strong ties to Russia, primarily through their Global Intellect Service parent company.

GIS Company appeared on IT markets of Russia and CIS countries on the 2nd of March in 2014.

As a holding company GIS owns two brands: UDS Game and NutriStrike.

Nutristrike’s website is entirely in Russian. The company appears to market a self-branded nutritional supplement.

In a March 2017 fluff-piece, Ted Nuyten’s BusinessForHome cited Viacheslav Ushenin as CEO of Global Intellect Services.

Top leader Viacheslav Ushenin is founder and CEO of Global Intellect Service (GIS) a leading IT company based in Russia.

Prior to Global Intellect Services and UDS Game, Ushenin (right) was a top affiliate in Talk Fusion.

In another 2012 fluff-piece, BusinessForHome cited Ushenin earning $330,000 a month.

BehindMLM reviewed Talk Fusion in 2014 and, based on its $1499 video communication packages, concluded the company had little to no retail viability.

Possibly due to language-barriers, I was unable to ascertain why Ushenin left Talk Fusion.

After leaving Talk Fusion and prior to UDS Game, Ushenin launched Set in Box.

From what I can gather, Set in Box was loosely modeled on Talk Fusion’s video-focused offering:

The company failed but was nonetheless the precursor to UDS Game and Global Intellect Services.

Read on for a full review of the UDS Game MLM opportunity. [Continue reading…]