payment processors @ BehindMLM

After pleading guilty to money laundering charges, Firoz Patel’s plan seems to have been do a bit of jail time and then live off $24 million in stashed bitcoin. Unfortunately for Patel the DOJ caught wind of the stash, prompting additional criminal charges filed in May 2023. Patel pled guilty to obstruction last month and [Continue reading…]

Mohammed “Moe” Diab and Amy Rountree have pled guilty to Allied Wallet fraud charges.

Christopher Scanlon’s Nvayo Limited has been hit with a number of regulatory restrictions by the FCA. On August 8th, the FCA imposed six restrictions on Nvayo Limited’s business operations:

When MLM companies committing fraud tout a debit card, it’s typically obtained through shell companies attached to dodgy merchants. Both GSPartners’ and PLC Ultima offered debit cards through PMA Media Group, Aurae Lifestyle, Nvayo Limited, Club Swan and AU Card LLC – all owned by Christopher James Scanlon. Scanlon was arrested by US authorities at [Continue reading…]

Payment processor CoinPayments is still providing financial services to the $4 billion OneCoin Ponzi scheme. This follows a categorical denial from CoinPayments in June 2022.

Back in 2020 payment processor ePayments announced it was the subject of a freeze order. The freeze order was issued by the FCA, tying up over £100 million in client funds. Those funds are still frozen. Now ePayments has announced it’s shutting down.

Twelve Defendants in the TelexFree class-action filed motions to dismiss the latest Fifth Amended Complaint. Five motions were granted and one was partially granted, leaving six Defendants fully on the hook.

Typically an MLM Ponzi scheme launches with or switches to cryptocurrency to avoid financial regulation. Then there’s CashFX Group who, following two years of ongoing crypto withdrawal problems, have now convinced investors they’ll be paid through a debit card.

News broke of Allied Wallet executives being indicted on criminal charges last Friday. At the time I was unable to access what I believed was a sealed indictment. Sure enough a sealed indictment was filed on August 25th. Pending the arrest of three of the suspects, all of which were US-based, the DOJ requested the [Continue reading…]

Four Allied Wallet executives, including owner and CEO Ahmad “Andy” Khawaja, have been indicted on fraud charges. This latest round of indictments follows charges filed in 2019, as well as an FTC lawsuit detailing theft of $110 million.