payment processors @ BehindMLM

Payza money laundering case heading toward plea deals

A March 12th status conference in the Payza case has been rescheduled for April.

SolidTrust Pay shutting down, cites regulatory conditions

Payment processor SolidTrust Pay has announced it is terminating business operations on April 1st, 2020.

Payza money laundering indictment resolutions on horizon

Our last update on the Payza indictments was Firoz Patel pleading not guilty back in January. Since then negotiations have been going on behind the scenes, leading towards what will likely be a plea bargain.

FTC sues Allied Wallet for assisting scams with stealing $110 million

Payment processor Allied Wallet has been sued by the FTC for violations of the FTC Act. The regulator alleges Allied Wallet assisted “business opportunity and coaching scams, pyramid schemes, and unlawful debt collection operations” with illegally charging over $110 million to consumer accounts.

Payza settles $13.1 mill Zeek clawback with consent judgment

Payza, one of the three parties the Zeek Receiver is pursuing over a $13.1 million clawback, has agreed to a consent judgment for the full amount owed.

Firoz Patel pleads not guilty to Payza money laundering, bond set

Payza co-founder Firoz Patel has pleaded not guilty to charges relating to money laundering. Patel also entered a plea of not guilty on behalf of Payza’s parent company, MH Pillars.

Firoz Patel turning himself in to face Payza money laundering charges

After roughly ten months of being a fugitive, Firoz Patel is turning himself in. Last March Firoz and his brother Ferhan were indicted on money laundering charges related to Payza. The DOJ alleged that through Payza, the Patel brothers laundered over $250 million dollars for “child pornography rings and other criminal enterprises”. Some of the criminal [Continue reading…]

Payza & Patel bros served cease & desist in New York (updates)

New York isn’t too happy with Feroz Patel’s efforts to keep Payza afloat. On October 24th the New York State Department of Financial Services issued Payza, founders Firoz and Ferhan Patel and associated companies MH Pillars, OboPay and MH Pillars with a cease and desist.

MOBE Receiver seeks to recover $925,000 from Peoples Trust

In an attempt to retain almost a million dollars fraudulently obtained through MOBE, Peoples Trust in Canada decided the preliminary injunction didn’t apply to them. This prompted a lawsuit against Peoples Trust by the MOBE Receiver, which is currently playing out in the Superior Court of Quebec.

MOBE processor QualPay ordered to return $6.3 million in stolen funds

A request from Qualpay to keep $6.3 million stolen from MOBE victims has been denied. The TRO in place against MOBE requires all funds related to the fraudulent business be turned over. Rather than hand over the $6.3 million it processed for MOBE, Qualpay instead sought an exemption from the TRO. The processor argued that [Continue reading…]