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  • AdSurfDaily’s Bowdoin Says He’s Appealing Forfeiture Order Issued By Federal Judge; Notice Filed 6 Days After INetGlobal Raid; Riddle Of Bowdoin’s Competing Affidavit Claims Unsolved

    Andy Bowdoin

    The president of a Florida-based autosurf company implicated in a Ponzi scheme by the U.S. Secret Service says he is appealing a forfeiture order that gave the government title to more than $65 million seized from his personal bank accounts in 2008.

    Notice of the appeal by Andy Bowdoin of AdSurfDaily was filed by his attorneys March 1, about six days after federal agents — citing the Jan. 4 forfeiture order by U.S. District Judge Rosemary Collyer of the District of Columbia — raided the Minneapolis offices of INetGlobal.

    In an affidavit for a search warrant last month, the Secret Service said INetGlobal, a company operated by Steve Renner, was operating a similar autosurf Ponzi scheme and also engaging in wire fraud and money laundering.

    The INetGlobal affidavit asserts, among other things, that a member of ASD attempted to recruit an undercover Secret Service agent into INetGlobal despite the member’s own reservations about ASD.

    INetGlobal was described by the ASD member as a wink-nod enterprise, according to the Secret Service affidavit. The company “uses the same terminology and business model as ASD,” the agency said.

    In court filings prior to the INetGlobal raid, Bowdoin’s attorneys laid the groundwork for an appeal of Collyer’s Jan. 4 forfeiture order on the grounds of judicial error, arguing that Bowdoin had not received proper notice about orders Collyer issued last year and did not react to them because of computer glitches at the office of one of his attorneys, Charles A. Murray.

    “I experienced as yet unidentified computer/server issues, wherein multiple email messages apparently never loaded to the firm’s Inbox,” Murray said in court filings on Feb. 17.

    The glitches occurred between Nov. 10 and “early January” of this year, Murray said.

    Paperwork for Bowdoin’s appeal shows a “minute order” issued by Collyer Feb. 21, denying earlier motions by Bowdoin.

    A “minute order” is a document that encapsulates legal issues before a judge. Minute orders sometimes are used when paperwork among the parties in a case is flying and a judge memorializes rulings by addressing them in a short entry, as opposed to issuing lengthy orders for each issue.

    “The Court’s Order of November 10, 2009 . . . was not a final, appealable order,” according to Collyer’s minute order. “Nor has Mr. Bowdoin shown that the Court erred in entering . . . the November 20, 2009, Order to Show Cause. The order granting default judgment and final order of forfeiture . . . is the final order in this case.”

    On Nov. 10, Collyer ruled that Bowdoin no longer had standing in the case after he had battled for 10 months to reenter the case. Bowdoin submitted to the forfeiture in January 2009 — and then changed his mind, first acting as his own attorney and later acting with Murray’s help because Bowdoin had fired his previous paid counsel.

    On Nov. 20, Collyer issued an order that gave potential claimants in the case 30 days to come forward. No claimant emerged. On Dec. 17, however, Bowdoin filed a motion to disqualify Collyer, saying she was biased. Collyer denied the motion Dec. 18. She issued the forfeiture order Jan. 4.

    In February, Bowdoin, 75, flatly claimed in a sworn affidavit that he was told by a former defense attorney that, if he submitted to the forfeiture in January 2009 of tens of millions of dollars, he would face no jail time if criminal charges were filed in the ASD Ponzi scheme case.

    He did not name the attorney in the February filing, referring to him obliquely as “prior counsel.” In an earlier filing, Bowdoin identified his counsel as Stephen Dobson.

    “I was assured by my prior counsel that, if I released my claims in this [civil-forfeiture] action, I would not be facing any incarceration,” Bowdoin claimed last month. “My January 2009 motion to withdraw my claim . . . was solely based upon prior counsel’s unilateral mistaken belief that my release of claims would unequivocally assure that any subsequent criminal sentence entered would not include any prison time.”

    Last month’s filing was witnessed by Florida notary public Joe B. Cox of Lee County.

    But in a sworn affidavit Bowdoin signed Sept. 15 before a different notary public — Patricia C. Sanson of Lee County — Bowdoin repeatedly said Dobson had said only that there was a possibility Bowdoin would not be sentenced to prison if criminal charges emerged.

    In the Sept. 15 affidavit, Bowdoin repeatedly swore that Dobson had not promised him no jail time.

    These are among the phrases Bowdoin swore to in the Sept. 15 affidavit (emphasis added):

    • Dobson represented to me that I could possibly avoid prison or get a reduced sentence if I agreed to disclose details concerning ASD and releasing the assets.
    • I also signed a document stating that I would release my claims in the abovecaptioned civil in rem forfeiture proceeding, again thinking that necessary for a possible avoidance of a prison term.
    • I did all of this on the understanding that by cooperating I could possibly avoid a prison sentence.
    • I agreed not to exercise my rights in the civil forfeiture proceeding, anticipating from representations made by Dobson that this could possibly keep me out of prison.
      Dobson lead [sic] me to believe that if I cooperated there was a possibility that I would not be incarcerated or imprisoned.
    • I believed that my cooperation would still result in a criminal sentence that could possibly not include imprisonment or incarceration.
    • I slowly came to understand what I understood from Dobson not to be the case: that my agreement to cooperate provided me no benefit in the criminal matter except the possibility of a reduced sentence if the judge desired which would still be a life sentence.

    Bowdoin’s filing last month led to questions about whether he deliberately chose to appear before a different notary to swear to the affidavit. At the same time, it led to questions about whether Bowdoin somehow was unaware that Collyer already had cited Bowdoin’s Sept. 15 sworn affidavit in a major ruling that Bowdoin no longer had standing in the case.

    On Nov. 10, Collyer noted Bowdoin’s repeated use of the words “possibly,” “possible” and “possibility” in the Sept. 15 affidavit when referring to the advice Dobson had given him on the matter of jail and finding that Dobson had behaved responsibly while representing Bowdoin.

    “Such an approach from counsel could be seen as the norm when the Government’s evidence is strong,” Collyer said. “What Mr. Bowdoin hoped to gain from his release of claims/early acceptance of responsibility and his debriefing with the Government was a promise of no jail time. When that was not forthcoming from the Assistant United States Attorney, Mr. Bowdoin balked and tried to back up, as if he had not already released his claims and talked to the Government.”

    There may be other news associated with Bowdoin’s appeal: The filings suggest that William Cowden, who spearheaded the forfeiture case for the Department of Justice as an assistant U.S. Attorney and then accepted a job in the private sector, may be returning as a special prosecutor while maintaining his job in the private sector.

    Cowden was derided by Bowdoin supporters as “Gomer Pyle,” but piloted the case through an evidentiary hearing that resulted in a ruling from Collyer in November 2008 that ASD had not demonstrated it was a legal business and not a Ponzi scheme.

    With the Secret Service leading the investigation, Cowden then filed a second forfeiture complaint against assets linked to ASD. The second complaint was filed in December 2008 and named members of Bowdoin’s family as beneficiaries of ASD’s illegal scheme.

  • Timeline Suggests INetGlobal Was Pounding Clickbank Vendors With Traffic From China In Months Proceeding Raid While Sucking Bandwidth And Destroying Conversion Stats

    EDITOR’S NOTE: Untargeted, unfocused traffic and participants who did not have websites to advertise are two of the issues in the AdSurfDaily autosurf Ponzi scheme case. They also are issues in the INetGlobal case.

    UPDATED 8:20 A.M. ET (March 10, U.S.A.) Public records and other information suggest INetGlobal was becoming largely dependent on cash from Mainland China and was routing unwanted traffic that did not convert into sales to the sites of Clickbank vendors — while passing along the bandwidth costs to the vendors and grossly distorting  their conversion statistics.

    In an affidavit for a search warrant, the U.S. Secret Service, citing an analysis of INetGlobal’s money stream by an unnamed employee, said “at least 87% of the company’s revenue was generated from sale of memberships to members residing in China.”

    The affidavit also describes an INetGlobal function in Flushing, N.Y., on Jan. 23 that was attended by at least two undercover agents.

    About 400 people attended the function, the Secret Service said. The “majority” were Chinese. Attendees to whom an undercover agent spoke “had either little or no facility in English.” The agent noted that that “conference registration took a long time because nobody at the registration desk spoke Chinese, and many of the conference attendees could not make themselves understood in English.”

    Moreover, the agent said, when INetGlobal owner Steve Renner “asked, through an interpreter, how many people in attendance had their own business . . . only two raised their hands.”

    One attendee — an existing INetGlobal member — was asked by the second undercover agent if she had a website to advertise in INetGlobal’s rotator.

    The INetGlobal member — a woman Renner had identified as a “New Jersey resident making $6,000 per day, or $180,000 per month” — said she had no site to advertise in the rotator because having a website “was not required,” the Secret Service said.

    A second INetGlobal member approached by the same undercover agent was asked if he had a website to advertise in the rotator. This member — a man described as telling the agent he made $3,000 a month in INetGlobal — explained that he had a website, but did not post it because “it was ten years old,” the Secret Service said.

    Renner was observed telling different stories, the Secret Service said. One version had INetGlobal posting $25 million in revenue in December; another version “a short time later” pegged the figure at $20 million. Renner also said “iNetGlobal’s search engine, Access, would soon rival Google’s.

    “Renner did not explain to the crowd that Access was simply a link to another search engine, and that an Access web search was just the same as a web search on this other search engine,” the Secret Service said.

    Despite the claim that INetGlobal’s search engine would rival Google’s, the Secret Service said, internal company emails discussed “the possibility of the other search engine cutting the link and thus taking down Access.”

    A Public Tip-Off From Renner Himself That INetGlobal Was Up To No Good?

    Meanwhile, web records suggest that INetGlobal — at least for a time — either took it upon itself to add the sites of Clickbank vendors to its advertising rotator or instructed members who did not own businesses to add Clickbank links, an act that resulted in a surge of traffic from China that led to few if any sales. The apparent lack of sales suggests that Chinese members viewing the ads either did not understand what they were viewing or were viewing the ads simply to get paid.

    At the same time, web records suggest that INetGlobal was relying on the websites of individuals and companies that had no tie to the firm to provide surfers something to see in the firm’s advertising rotator — at the bandwidth expense of the unaffiliated companies and individuals, at least some of whom were Clickbank vendors.

    One of the Clickbank vendors — writing on the Digital Point Forum Sept. 26 — reported that he was studying his Clickbank affiliate stats and discovered something “REALLY messed up.”

    The vendor reported on Digital Point that the ID “inetgbal’ suddenly was sending  junk traffic that “appears to be coming from China.”

    The vendor published screen shots to support his claim and noted, “If you do a ‘surfin demo’ on the iNetGlobal website, you’ll see it takes you to random CPA offers and Clickbank products.”

    On Sept. 27, the vendor reported on Digital Point that he considered the traffic problematic and was considering a means of blocking it at the server level with the use of an .htaccess file.

    Working with .htaccess files, which can be used to block traffic from an IP or IP range, is not for the faint of heart. It is not uncommon for inexperienced webmasters to bring down their own servers or create an endless loop of error messages when attempting to tweak server behavior with an .htaccess file.

    Recognizing the dilemma, the Clickbank vendor put out a call for “good coders” to walk him through a fix for a problem he believed INetGlobal was causing for him.  Other posters inquired about the possibility of asking Clickbank to block the unwanted affiliate link.

    The discussion on the forum suggests INetGlobal was creating a situation in which Clickbank affiliates might have to incur an expense simply to block unwanted traffic — while creating the additional burden of polluting conversion statistics, potentially making the products less attractive to affiliates.

    If, say, a product ordinarily made one sale per each 100 views of an affiliate link — and if INetGlobal suddenly sent through 1,000 page views from China (er elsewhere) that did not convert because the traffic was untargeted or people simply were surfing to get paid — a vendor’s conversion rate could drop from one in 100 to one in 1,100.

    On Nov. 6, 2009, a person posting as Steve Renner — the “Director” of INetGlobal — appeared at Digital Point. A little more than a month later, Renner was convicted of income-tax evasion in a case brought in September 2008.

    Less than three months after Renner’s tax conviction, the Secret Service asserted that INetGlobal was part of an international Ponzi scheme that had engaged in wire fraud and money-laundering.

    “The problem was we had no Daily Budget in place and so traffic was running rampant,” the Digital Point poster purporting to be Renner explained on Nov. 6.

    The Clickbank vendor did not mince words in his response to the Nov. 6 post. Others were equally unhappy.

    Visit the intriguing thread on Digital Point.

  • Website Of Spokesman For Renner Entity Claims Government ‘Leaking’ Info To PP Blog About INetGlobal Ponzi Probe; ‘Didn’t Happen — Ever,’ Blog Says; Meanwhile, A Bogus ‘Apology’ Claim

    UPDATED 2:20 P.M. ET (U.S.A.) Did people associated with a company implicated by the U.S. Secret Service in a Ponzi scheme, wire-fraud and money-laundering case participate in a misinformation campaign?

    A Twitter website with a tie to the Inter-Mark companies operated by Steve Renner claims that federal officials are “leaking” information to the PP Blog.

    “Didn’t happen — ever,” the PP Blog said today. “The information we published was not leaked to the Blog. The Blog obtained the information from a public source, through the normal course of its reporting, and the information was available to reporters and the public before the Blog even published its first story based on the information.”

    Meanwhile, another website with a tie to a Renner’s Inter-Mark Corp. is making the claim that a Blogger Inter-Mark is targeting in a lawsuit for calling INetGlobal a “scam” issued an “apology.”

    The apology claim appears on a domain titled CheapClix.net, whose domain registration lists V-WEBS.COM as its nameserver. A Renner company dubbed V-Webs LLC appears to be an inactive Minnesota corporation that used the same Minneapolis street address as InetGlobal and other Renner companies, according to public records.

    A CheapClix.net post headlined “HOSPITALERA.COM APOLOGIZES TO iNetGlobal” and dated Feb. 4 claims that the Hospitalera Blog issued an apology to INetGlobal on a date uncertain and implies that Hospitalera now even endorses INetGlobal.

    “We are deeply saddened by the actions taken by this blog to defame iNetGlobal,” the CheapClix.net site says, apparently quoting from the purported apology. “iNetGlobal is one of the top Internet Marketing firms in the United States. We reach out to them with a sincere apology in hopes that we too can use the iNetGlobal products and services.

    “After careful review of iNetGlobal’s services and products, we find the company is real and the services are true to what iNetGlobal represents. Again, we apologize.”

    The apology claim is dubious because Sybille Yates, who operates the Hospitalera Blog from the Czech Republic, told the PP Blog last week that she was not even aware that Renner’s company was suing her until Feb. 25 — three weeks after the date of her purported apology.

    Yates did not immediately return an email from the PP Blog today seeking comment on the apology claim and whether she had, in fact, apologized. A Feb. 16 post  from Yates on the Hospitalera Blog, however, describes the news release that announced the apology as “faked.”

    Whether the apology claim somehow sprouted from some fantastic reshaping of facts by an INetGlobal supporter or was just an outright lie that was part of a misinformation campaign was not immediately clear.

    It has been common in the so-called autosurf “industry” for lies, misstatements, misrepresentations, misinformation and claims not based on facts to spread virally on the Internet as though they were truth.

    In the AdSurfDaily case, for instance, claims were made that the prosecution admitted ASD was not a Ponzi scheme, that ASD President Andy Bowdoin had received an award from the President of the United States for business acumen, that Google and ASD were partners and that ASD had the backing of huge corporations with huge advertising budgets.

    All of the claims were untrue.

    The CheapClix.net claim about the purported apology adds another strange twist to the INetGlobal story. If Yates never issued such an apology — and Yates’ Blog says no such apology was issued — it leads to questions about why someone would claim such an apology had been issued and even go so far as to issue a news release to announce an apology that had not been made.

    The introduction to Hospitalera’s purported apology as reported by CheapClix net begins, “We appreciate this step taken by the people at the hospitalera web-site to make amends for their erroneous publications.”

    The CheapClix.net post from Feb. 4 includes a link to what appears to have been a news release issued by an unknown party to herald Hospitalera’s purported apology. The news release link to PRLog.org resolves to an error page. PRLog.org is a free news-release distribution service.

    Yates’ Blog says she contacted PRLog to have the fake news release removed, and that PRLog took down the bogus release “in a heart beat.”

    UPDATE 2:20 P.M. Yates has confirmed she never issued an apology.

    “I never issued said apology, nor did I ever authorize anybody to do so in my name,” Yates said.

    “I never issued or published a press release on prlog.org. As I came across the forged and false press release, I contacted prlog.org immediately and they took it down. I have no information who published/submitted said press release to prlog.org.”

    A second link in the CheapClix.net post that heralded the purported apology resolves to TweetMeme.com, a site that aggregates Twitter links. A small icon that reads “V News Network” appears below a headline of “iNetGlobal Scam: Hospitalera Blog apologizes to iNetGlobal.”

    Records suggest that “V News Network” may be yet another Renner entity.

    A headline heralding a purported apology from the Hospitalera Blog for calling INetGlobal a scam appears on a website known as CheapClix.net. The Hospitalera Blog says the apology was "faked."

    ‘Leaking’ Claim

    Why the Twitter site, which is tied to IBBN.org, made the claim of that the government was “leaking” to the PP Blog is unclear. The Twitter post is dated Feb. 28. IBNN, which stands for The Independent Business News Network, is registered in Renner’s name. The site is operated by Donald W.R. Allen II, IBNN’s editor-in-chief and the the vice president and director of public relations for V-Newswire — a company in Renner’s INetGlobal family.

    Renner is listed as the IBNN domain registrant.

    Allen did not comment Friday when the PP Blog advised him that the government leaked no information to the Blog. The Twitter site does not list a source for its claim that federal officials “leaked” information to the Blog, but asserts that such an event was possible “Only in America!” The Twitter site continues to make the claim.

    The site also claims “iNetGlobal not a Ponzi.” No source is listed for the denial. It is unclear if IBNN has access to audited and certified balance sheets and financial statements of the Renner enterprise that could destroy the government’s Ponzi assertions.

    IBNN previously skewered the Star-Tribune newspaper of Minneapolis/St. Paul, asserting that the paper, which covered the INetGlobal raid, was displaying  “defamatory contempt [for the Renner entities] prior to a full investigation and a Grand Jury inquiry.”

    Allen, who signed the IBNN opinion piece, did not disclose his tie to the Renner companies when the piece was published. The piece went missing after the PP Blog published a story in IBNN’s tie to Renner, but since has been restored — with a few lines added.

    The U.S. Secret Service, which raided Renner’s operations in Minneapolis last month, asserted that INetGlobal and other Renner companies were part of an international Ponzi scheme that was engaging in wire fraud and money-laundering.

    The PP Blog cited as its source a Secret Service affidavit for a search warrant. The affidavit was published openly on a government website.

    At various times in its history, the PP Blog has been accused by participants in alleged Ponzi schemes of being part of a government operation. The Blog has reported on paranoia that often accompanies Ponzi scheme participants, some of whom become preoccupied with thoughts about government “plants.”

    Such claims about the PP Blog have been made from one Ponzi scheme case to the next, but they simply are not true. Ponzi promoters have accused the Blog of idiocy, occasionally resorting to name-calling or posting under multiple identities in a bid to create the appearance that a particular company caught up in Ponzi allegations the Blog was covering had more supporters than it actually had.

    As was the case with AdSurfDaily, a Florida company implicated in an autosurf  Ponzi scheme by the Secret Service in 2008, the Secret Service used undercover agents as part of the investigation into INetGlobal, according to a court affidavit. At least one of the undercover agents also was involved in the ASD investigation, according to court filings.

    Other court filings reviewed by the PP Blog have described various investigative techniques the agency uses, including surveillance from automobiles of subjects under investigation at places such as residences, parking lots and post offices — and even trash Dumpsters.

    At least two Secret Service agents were in the room to observe an INetGlobal function in New York, according to court filings. Agents also observed an ASD function in Miami in 2008, according to court filings.

    An agent involved in the ASD case listened to an INetGlobal sales pitch by an ASD member, according to the affidavit in the case.  It is plain from multiple public filings that the Secret Service is well aware of the so-called autosurf “industry” — and also the so-called “matrix” industry.

    It was publicly known that Renner had been under federal indictment for income-tax evasion since September 2008, a month after the ASD raid. There also is a considerable, public paper trail consisting of court filings, news releases and other information that links Renner to a Ponzi scheme known as Learn Waterhouse, elements of which were prosecuted by both the SEC and the U.S. Department of Justice.

    The public paperwork in the Learn Waterhouse case dates back to 2004. A Renner entity known as CCI provided payment-processing services for the Learn Waterhouse Ponzi scheme.

    Visit the Hospitalera site.

    Read about the purported apology on CheapClix.net.

  • EDITORIAL/ANALYSIS: Events Are Controlling DNA, Not The Other Way Around; Prosecutor’s Office Mum On Narc That Car Inquiry In Texas

    This Narc That Car promoters' check-waving video is now missing from YouTube's public channel, after being placed there March 1. The video, however, is said to be available through a private YouTube channel. It is unclear whether Narc That Car asked its promoter — "Jah" of the Cash For Car Plates Blog — to remove the video, which also claimed repping for Narc That Car was like working for the U.S. "Census Bureau."

    First, some news: A website titled DeanBlechman.com now resolves to a parked page at the offshore registrar directNIC. As first reported on the PP Blog, the site previously redirected to the website of Data Network Affiliates (DNA).

    directNIC is “based in Grand Cayman, Cayman Islands,” relocating from its former base in Louisiana after Hurricane Katrina, according to the firm’s website. directNIC is DNA’s registrar, and also the registrar for the DeanBlechman.com domain and a DNA-associated domain known as TagEveryCar.com.

    In a bizarre autoresponder message earlier this week, DNA said it had chosen “privacy” protection for $5 “to prevent management from having to “put up with 100 stupid calls a day,” a source told the PP Blog.

    In an interview Wednesday with the Blog, Blechman, DNA’s former chief executive officer, said he was “surprised” to learn of the DeanBlechman.com site, painting a picture that the company was not in control of its own message and had a “back door guy” who was authoring “bizarre” communications.

    Blechman did not identify the “back door guy.” Precisely when the DeanBlechman.com domain stopped redirecting to DNA’s website is unclear. It was still redirecting to the site early yesterday, but now is resolving to the directNIC page.

    Meanwhile, the PP Blog contacted the office of R. Scott McKee, the district attorney of Henderson County, Texas, yesterday. McKee is training for deployment to Iraq, and was not available immediately to answer questions on his inquiry into Narc That Car, according to a woman who answered the phone.

    The woman said it was possible that an assistant prosecutor would contact the Blog, but the call was not returned yesterday.

    McKee’s office opened a civil inquiry into Narc That Car (NTC) more than a month ago, turning to the office of Texas Attorney General Greg Abbott for assistance and saying it had received “numerous calls and complaints inquiring into the legitimacy and legality” of NTC.

    How that inquiry is proceeding is unclear. Two days ago, the Dallas branch of the BBB reduced its rating on NTC from “No Rating” to “F,” the worst possible rating on the BBB’s 14-step scale that begins with “A+.”

    NTC now joins companies such as AdSurfDaily and Speed of Wealth as firms that have scored an “F.”

    It is possible that NTC could improve its score at the BBB over time, but the score of “F” it holds now was arrived at after the company had been given more than a month to explain its compensation program to dampen pyramid concerns. The BBB also said it asked NTC to “substantiate some claims made in its advertising” Jan. 18. That inquiry remains open.

    NTC does not publish the name of customers of its database product. Some affiliates have claimed the firm was associated with major automobile manufacturers, the FBI, the Department of Homeland Security and the AMBER Alert program.

    The company removed a video reference to the AMBER Alert program after the U.S. Department of Justice, which administers AMBER Alert, denied it had any affiliation with NTC.

    ASD never improved its BBB score because it became consumed by a government investigation. ASD is implicated by the U.S. Secret Service in a Ponzi scheme.

    Speed of Wealth, which also became consumed in government litigation, also did not improve its BBB score. It is implicated by the SEC in a Ponzi scheme involving Mantria Corp., whose BBB rating is being “updated,” according to the BBB. Mantria currently is listed as “No Rating.”

    On another matter, MLM aficionado Troy Dooly now is openly challenging DNA officers Arthur Kurek and Donald Kessler to explain what is happening at the company.

    Rumors are rampant that Phil Piccolo, a notorious figure in MLM, somehow had become involved in DNA. Absent a firm denial from company management, the rumors continue to fly.

    For his part, Blechman, DNA’s former CEO, did not rule out that Piccolo was involved in the firm.

    In the absence of a unified message from DNA and plain statements on issues such as whether Piccolo is involved and what steps have been taken to assure that DNA is compliant with state and federal law, events are controlling DNA, not the other way around.

    The suggestion that “privacy” protection was chosen so management would not have to put up with “stupid” calls is patently absurd — as is the amount of hype being put out under DNA’s name.

    No one at the company has emerged to speak on issues of legality and privacy. DNA says it is in the business of recording license-plate numbers. Like Narc That Car promoters, DNA promoters have made sweeping statements, asserting that affiliates could record plate numbers at places such as Walmart, Target, church parking lots and parking lots at doctors’ offices.

    Company conference calls have been cheerleading sessions — with DNA’s own pitchmen leading the cheers.

    Whether DNA and NTC affiliates are required to seek  permission from owners of private property or the permission of local jurisdictions to record plate numbers remains unclear. Also unclear is how affiliates are required to behave if confronted by property owners or police who question what they are doing.

    Sweeping assertions have been made by affiliates that plate data is “public information” available for the taking in the parking lots of large retail stores. One NTC promoter said on YouTube that his wife recorded plate numbers at a university. The PP Blog believes the university was the University of Nevada, Las Vegas.

    The office of Sen. Harry Reid, D.-Nev., did not return a call from the Blog seeking comment on the practice recommended by the NTC promoter. Nor did Reid’s office return an email sent by the Blog. Reid is Senate Majority Leader. One of the buildings on UNLV’s campus bears his name. The same NTC promoter recommended “libraries” as excellent sources of plate numbers.

    Among the privacy concerns is whether the companies, which appear to be targeting as clients of the database product firms that repossess automobiles, could use the data to create profiles on the movement of people.

    In a DNA conference call, one company pitchman said DNA hoped to attract enough affiliates to make it possible for the company to record a plate number at Walmart at noon — and the same plate number at a “doctor’s office” at 1 p.m. and the same plate number elsewhere at 4 p.m. The same pitchman suggested churches were good sources of license-plate numbers.

    Adding to the fog of uncertainty is a pattern of strange communications from the firm, which is using Google’s free gmail service to conduct customer service. Emails received by DNA members do not include a street address, which brings issues of transparency into play and potentially brings issues of federal compliance into play.

    The PP Blog, which is a Blog among millions of Blogs, has received repeated affiliate spam from DNA and Narc That Car promoters. For weeks, there was no way even to contact DNA to report spam. The Blog will not contact the company via the gmail address — which was made public only days ago –out of concern its email address will be harvested and added to a database controlled by an unknown party.

    Narc That Car, meanwhile, has a “Span Policy” — as opposed to “Spam Policy” — link at the bottom of its website. Some of its promoters have produced check-waving videos, including a video that claimed repping for NTC was like working for the “Census Bureau,” a government agency.

    One of the videos showed that NTC payments are issued by check drawn on the account of “National Automotive Record Centre Inc.” That entity, which uses the word “National” in its name and the British spelling of “Centre” — as opposed to the U.S. spelling of “Center” — is registered in Nevada. NTC also is associated with a Texas company known as Narc Technologies, which, according to a YouTube video now made private, once issued checks for affiliates.

    These things hardly inspire confidence in the NTC enterprise.

    Just this morning, the PP Blog received information from a DNA member that the company emailed members, claiming “D.N.A. archived e-mail communications were erased by design.

    “We will send you the last 3 e-mail communications within the next 24 hours,” the email said. “If you do not wish to receive D.N.A. Daily Communications please visit your back office.”

    Even if the email was perceived by management as a means of demonstrating that DNA was trying to gain control over its message, such a communication only leads to more questions. The email did not include a street address. It also implied that members needed to opt out of communications by doing so within their back offices, rather than opting out by clicking on a link at the bottom of emails they receive.

    The hype from DNA and its promoters — dropping names of icons such as Donald Trump and Oprah Winfrey — and making claims that a “MEGA MILLION DOLLAR DEAL with a publicly known industry giant” and a “Top Secret Product” are on the horizon are rubbing some MLM aficionados the wrong way.

    MLM has a miserable reputation. Messages from DNA are doing the industry no favors.

    If DNA is attempting to seize back its communications apparatus, it needs to explain precisely why it lost control of it early on. And a corporate face must emerge for the company — one who is willing to answer the hard questions on the propriety, safety, legality and privacy concerns the firm is sparking.

    For now, at least, it is a tangled web fueled by hype that ducks the issues and causes the company to look silly — day after day.

  • A PONZI MYSTERY: Trevor Cook’s Faberge Eggs, Iraqi Dinars Missing; Appraiser Braves Elements, Accesses Cook’s Frozen Island Retreat In Canada By Snowmobile

    It’s starting to read like Ian Fleming fare, something straight out of James Bond and “Octopussy.”

    R.J. Zayed, the receiver in the alleged Trevor Cook/Pat Kiley Ponzi scheme in Minnesota, says he did not find Cook’s collection of Faberge eggs when, armed with a court order, he searched Cook’s home in Apple Valley. The precise size of the collection is unclear, but it has been described in court filings as featuring “numerous” eggs.

    The fabulous jeweled eggs also didn’t turn up at the Van Dusen mansion in Minneapolis, which Cook and Kiley used as an office. Potentially “millions” of Iraqi dinars once stored on the third floor of the mansion also are missing, according to court filings.

    Zayed was able to get cursory information on Cook’s island getaway in Canada, though — thanks to a real-estate appraiser who was willing to venture to the Rainy Lake Island property near Fort Francis, Ont., on a snowmobile.

    “Given the difficulty traveling to the island during the winter, however, no other licensed appraisers have been able to make an on-site inspection as of [yesterday],” Zayed said.

    Additional appraisals will be obtained with the spring thaw, presumably in April, “when the weather allows easier access to the island,” Zayed said.

    The Rainy Lake Island property consists of 2.3 acres of land. There are “several structures on the property, including an 1130 square foot log cabin, a guest cabin, docks and sheds,” Zayed said.

    “The dwelling structures are newly constructed and weather tight, but unfinished on the inside. The property is serviced with electrical power supplied by under water cable originating from the Minnesota side of the lake,” Zayed said.

    He estimated that the property was worth about $400,000 to $500,000.

    Cook, who is jailed for contempt of court for not turning over receivership assets, purportedly purchased a submarine to access the island, but discovered the waters were too dark for the submersible craft.

    Because of the unfriendly waters, Cook talked about moving the craft to Panama, whose waters he believed more suited for use of his submarine, according to court filings. The submarine purportedly was purchased on eBay.

    Zayed was able to locate 31 watches in a collection described in court filings as “vast,” including a “diamond studded Rolex watch that Cook gave to his wife and that she maintained in a safe deposit box.” He also recovered a ROM exercise machine that retailed for $14,165.

    Investors in the alleged $190 million scheme may get “pennies on the dollar,” Zayed said.

    Prior to being jailed in January, Cook asked Chief U.S. District Judge Michael Davis for a monthly allowance of $6,679, including a monthly outlay of $105 to cover the expenses of his three housecats and $100 for a gym membership.

    While searching Cook’s home, Zayed seized three automobiles: a 2005 Lexus 33 series; a 2004 Lexus L43; and a 1997 BMW 328ic. He is seeking to auction them off.

    Zayed already has sold a 1989 Rolls Royce; a 2004 Audi RS6; a 1985 Pontiac Fiero “Lamborghini Kit Car”; a 1998 BMW Z3; a 1989 Mercedes 420 SEL; and a 2000 Lexus. The cars, some of which had high mileage, fetched $73,100, according to court filings.

    All buyers were required to “sign a statement certifying that they were not serving as a proxy” for Cook or any other person or entity that is part of the probe, Zayed said.

    Meanwhile, Zayed sold Cook’s large-screen, high-definition TVs and other items such as computers and gambling equipment for “at least” $24,000 — higher than the expected amount, according to court filings. A final accounting of the auction was not yet finalized.

    An inventory of items suggested that the collection featured 10 TV sets with 50-inch screens and two sets with 42-inch screens. Like the car-buyers, the TV-buyers had to certify they were not acting as a proxy.

    The Cook/Kiley entities perpetrated “a massive scheme to defraud and that they never operated as legitimate investment vehicles,” Zayed said, noting that he believes the entities “have no value as ongoing businesses” and that “the value of any ‘investments’ in these entities has a present value of zero dollars.”

    Zayed said the Van Dusen mansion has a “still-confidential buyer” willing to pay $1.6 million in cash for the historic structure. A deal could close next month, if no buyer willing to pay more emerges.

    The property was marketed for $1.995 million, and racked up some big bills for security, repair of furnaces, repair of the alarm system, snow removal, cleaning and other maintenance.

    Cook, Kiley and several companies were implicated in an alleged $190 million Ponzi and forex fraud in November by the SEC and the CFTC. Kiley formerly hosted a show on Christian radio.

  • BULLETIN: Narc That Car Gets ‘F’ From Better Business Bureau; Rating Is Lowest On 14-Step BBB Scale

    UPDATED 1:42 P.M. ET (U.S.A.) The Better Business Bureau branch in Dallas has given Narc That Car a rating of “F,” the worst-possible rating on the BBB’s 14-step rating scale.

    Narc That Car’s previous rating was “NR,” meaning the firm had no rating with the BBB, which opened an inquiry into the company Jan. 18.

    The BBB said that, despite the fact Narc That Car provided some information on the company’s compensation practices Feb. 8, the organization “remains concerned as to whether the business model, in practice, truly provides any significant method of compensation which would not require sponsorship of additional program participants.”

    “According to the company, as of February 10, 2010, only 1% of total commissions paid out to independent consultants was for the sale of license plate information to third parties, referred to as ‘client share,’” the BBB said.

    “Previously, the company’s ‘client share’ income was the only repeatable form of compensation which did not involve the recruitment of others into the opportunity. However, as of March 1, 2010, the company has provided a modified compensation plan which allows for base-level independent consultants to receive commission payments.”

    Read the BBB’s rating for Narc That Car as of March 5, 2010.

  • Did Narc That Car Slap ‘Jah’s’ Check-Waving Videos On YouTube? Promo That Said Working For Narc Like Working For ‘Census Bureau’ Now Labeled ‘Private’

    Can’t get enough of Narc That Car promoter “Jah’s” check-waving videos on YouTube? Need a “Jah” fix to ensure NTC actually pays its members?

    It looks as though you’ll now have to get your fix in private. Jah’s check-waving videos have been removed from YouTube’s public site.

    “Jah” explains why in a new YouTube video, dated March 4.

    “Here’s the situation,” the video says. “Our company has a public advertising policy that does not allow us to openly advertise income specifics.”

    The video does not explain whether “Jah” was asked by NTC to remove the videos from public viewing or whether he arrived at his own decision to do so.

    It appears as though three CashForCarPlates videos by “Jah” that waved checks or focused on money in other ways have been made private-only.

    One of the videos was placed on YouTube March 1, just three days ago. While public, it showed two checks issued by National Automotive Record Centre Inc.. The checks  were drawn on NewBridge Bank to demonstrate that Narc That Car pays.

    “We’re [going] to show you some real, solid video proof of the money that’s being made here and where you can go with this business,” the video said. “This is awesome.”

    Whether Narc That Car pays has not been an issue, however. The issues have centered on how the company pays, whether it is operating a pyramid or Ponzi business model and the propriety, safety and legality of Narc That Car.

    The two checks in the video were for $45 and $452.10.  Both appeared to have been drawn Feb. 23.

    In the video, the $45 check was used as proof of payment — and the check for $452.10 is used as proof of the type of payments that could come later for Narc That Car members.

    “This may be one of our last . . .  videos, because this is the real deal,” the video said. “We can’t go any further. We’re not going to be out here flashing, you know, five-figure checks.”

    The video also claimed that recording license-plate numbers for NTC was like working for the “Census Bureau.”

  • BLECHMAN: Problems Apparent In DNA 3 Weeks Into His Tenure As CEO; Company Email Tuesday Was ‘Bull’ From ‘Backdoor Guy’

    EDITOR’S NOTE: Clarity did not emerge in a phone interview Wednesday with former Data Network Affiliates’ CEO Dean Blechman. Blechman was candid at times and guarded at times. His guardedness, however, seemed largely involuntary. It was as though Blechman, who was courteous throughout the interview, would have chosen full-throttle openness had a handler not been on the line. Indeed, Blechman seemed eager to answer questions — and occasionally interrupted the handler to make an emphatic point.

    Although the Blog anticipated a far-ranging interview with Blechman at an agreed-upon time of 2:30 p.m., the sweeping interview did not come off. Blechman himself scheduled the interview and provided information to the Blog prior to the session.

    At 12:15 p.m., however, the Blog was notified electronically by the handler, who described himself as a conflict-management strategist between Blechman and DNA, that the interview would not occur.

    Blechman, he said, had decided to issue a news release by the end of March — as opposed to participating in an interview yesterday — because he needed more time to assemble facts. The handler previously had not been a part of any communication between Blechman and the Blog, and the Blog was surprised by his sudden presence.

    It is not unusual for a third party such as an attorney or a PR specialist to be present in interviews with journalists. What was unusual about the handler’s presence was that he served as a sort of mediator between Blechman and DNA, which the Blog believed set the stage for the level of candor to be reduced significantly.

    The Blog responded by phoning the handler, saying that, unless Blechman himself canceled the interview, the Blog was proceeding as though it would take place as scheduled at 2:30. At 2:31, the handler — with Blechman on the line — called the Blog. After civil banter among the parties, the Blog began to ask Blechman a question to clarify events.

    Several minutes of contentiousness then ensued between the Blog and the handler, with the Blog questioning why a third party had become involved at the 11th hour and whether the handler was speaking for Blechman. During the early contentiousness, Blechman mostly remained silent. He eventually spoke — sometimes speaking over the handler.

    From the Blog’s point of view, the presence of the handler — and this is NOT a comment on the handler as a person — added a layer of clumsiness and contributed to an unclear situation becoming even more unclear. In the Blog’s view, the purpose of the interview was to let Blechman explain his involvement in DNA and the reasons he decided to leave. People are interested in that information, including DNA members who read this Blog’s coverage of the upstart firm, which Blechman conceded has a considerable PR problem.

    Only hours before the interview, in preliminary remarks and in a back-and-forth with the Blog, Blechman said the “real truth” would come out during the interview. We continue to believe that Blechman was sincere. Our analysis now is that events intervened after Blechman’s initial contact with the Blog yesterday and that he was less open than he intended to be. Still, some information emerged from the session.

    The handler did not speak for attribution during the call, which lasted for 58 minutes. There were other periods of contentiousness during the call, owing — from the Blog’s point of view — to the handler’s attempt to shape the session and limit its scope.

    Because many questions remain unanswered and no party has emerged to answer them authoritatively, the DNA story may find itself percolating on Blogs and forums for weeks.  Speculation that Phil Picollo is involved in DNA is apt to continue. Piccolo is a lightning rod for MLM critics.

    At the same time, concerns about the propriety, safety and legality of DNA continue to build.

    Many issues — and an air of mystery — swirl around DNA, an upstart MLM company that is recruiting members to record the license-plate numbers of cars for entry in a database. Blechman, a longtime businessman , has found himself the center of unwanted attention even though he spent only a few weeks at the firm.

    But an effort is under way to get to the truth of what’s driving events at DNA, Blechman said.  Yesterday morning, prior to the afternoon’s phone session and before the handler became involved, Blechman described the events as “bizarre.”

    Why DNA has not been able to get a handle on events remained a mystery — even after the interview. Blechman, though, asked that anyone who has evidence of any wrongdoing by anyone associated with DNA to email him at dbi5@optonline.net

    Now, the incomplete story . . .

    Dean Blechman painted a picture yesterday that Data Network Affiliates (DNA) was a company not in control of its own message, including the message it issued to announce his departure.

    That message, authored by person Blechman did not identify by name but described as a “back door guy,” misspelled his name as Bleckman, the former DNA chief said. It was unclear if Blechman knows the person’s name.

    And Blechman complained that DNA had butchered the departure announcement, which the company withheld from the membership for nearly a week, in other ways.

    Blechman made it clear that he left DNA for good on Feb. 24. The company announced the news March 2, six days after the departure. Blechman questioned yesterday why the company had waited so long.

    He faulted himself for not recognizing unspecified problems at DNA earlier, conceding that “I should have done a bit more responsible [job of] due diligence.”

    “There’s no way I’d get involved in something” that was not above-board, Blechman said. He acknowledged that it “took me three or four weeks to see the light about this.”

    In the end, he said, the only thing to do was to leave.

    Among the issues, he said prior to the interview, were communications from the company that he described as “bizarre” and misleading.

    During the interview, Blechman said the announcement by DNA of his departure was a case in point. Two days ago, the company announced that Blechman had left “[d]ue to the fact that Mr. Blechman is a Director and High Equity Owner of a high visibility network marketing company” and that there was potential for “a conflict of interest.”

    There is “no conflict of interest,” Blechman said flatly. “The press release that came out of DNA support was incorrect. It was bull, and I’m very upset [about] it.”

    Blechman said the “back door guy” was putting out “stuff that I don’t even see to cover his [behind] and tail.”

    For weeks, multilevel-marketing (MLM) aficionados have speculated that Phil Piccolo, a notorious figure in MLM circles, somehow had become involved in DNA.

    Blechman did not rule out yesterday that Piccolo was involved. When pressed for a definitive answer, Blechman suggested that one could be forthcoming.

    Piccolo is the subject of considerable scorn online. Whether he is part of the company remains unclear, and rumors of his involvement continue to swirl.

    A source told the PP Blog that DNA’s support operation denied that Piccolo was involved with the company. Piccolo’s critics have said he has been known to use aliases, and researchers have suggested there is a digital footprint that links Piccolo to the firm, based on an IP address and a domain name associated with Piccolo.

    A DNA affiliate URL that begins with the word “topposition” resolves to a page dubbed “The Corporate Team.” The gmail address that DNA uses for support is listed in the upper-right corner of the page. It appears that no other affiliate page at DNA includes the support address in that position.

    The information suggests that one or more members of the “Corporate Team” are using DNA’s support email address to field inquiries from members of the “Corporate Team” downline group. The Blog viewed the affiliate sites of three ordinary members of DNA yesterday. None of the sites had DNA’s support address in the upper-right corner, which suggests — but does not demonstrate conclusively — that DNA support has its own downline team.

    DNA added the gmail support address to its “Contact Us” tab only days ago — after Blechman’s departure — and has not explained why it is describing itself in emails to members as a leading-edge company while at once using Google’s free gmail service for support.

    A bizarre autoresponder message titled “Top 16 Customer Service Issues” was sent from DNA’s support address Tuesday, according to a source who provided a copy of the message to the PP Blog.

    Item No. 16 on the Top 16 list provided an explanation for why DNA’s domain used an address in the Cayman Islands. The reason, according to the autoresponder message, was that the company chose “privacy” protection by paying a registrar $5 in a bid to prevent management from having to “put up with 100 stupid calls a day.”

    Whether such a bizarre message had the approval of DNA’s company officers is unclear. Also unclear is why DNA’s emails to members do not list a street address. The lack of a street address leads to questions about transparency and potentially brings compliance issues into play.

    Item No. 5 on the Top 16 list, meanwhile, claimed that “D.N.A. Management is Aware of many FALSE Rumors…The D.N.A. Legal Department is on top of such and is taking Legal Action…You can not become the #1 record breaking company in THE WORLD… Without people taking cheap shots at you…  In the mean time keep on keeping on…”

    Prior to the numbered items, the autoresponder message claimed: “The D.N.A. company is signing a MEGA MILLION DOLLAR DEAL with a publicly known industry giant. Between this agreement being sign (sic) and the D.N.A. Top Secret Product being announced on March 27th, 2010. (sic)  D.N.A. is positioning itself to be (sic) Global Giant.”

    On Tuesday, the PP Blog reported that a domain titled DeanBlechman.com listed the same Cayman Islands address as DNA’s domain and redirected to DNA’s website.

    “That was a surprise,” Blechman said yesterday.

    On another matter, Blechman described DNA President Arthur Kurek, who remains with the company, as a “good man.”

    Nonetheless, Blechman said, “There’s no way you’re going to see me affiliated with DNA.”

    “My name — and my family’s name — has an impeccable reputation for integrity,” Blechman said.

  • BULLETIN: Former Data Network Affiliates’ CEO Will Answer Questions In Interview Today; Says Company Is Engaging In ‘Bizarre’ Conduct And Campaign Of ‘Misinformation And Lies’

    The former chief executive officer of an upstart multilevel-marketing (MLM) firm said this morning that the company was lying to members.

    Dean Blechman, the former CEO of Data Network Affiliates, said that members deserved to know the truth and that he will make it plain in an interview with the PP Blog later today.

    In preliminary comments, Blechman described DNA as a company that did not have a clue about what it is doing.

    “This is the most bizarre, amateur, unprofessional, and continuation of misinformation and lies,” Blechman said.

    He pointed out that the company had misspelled his name in an announcement to members about his departure. DNA waited nearly a week to tell members that Blechman had stepped down, a practice grossly at odds with corporate norms.

    “You would think that the man behind DNA support would at least know how to spell my last name by now,” Blechman said.

    The “real truth” will come out later today, he said.

  • Data Network Affiliates (DNA) Issues Bizarre Announcements; Meanwhile, Narc That Car Promoter Says Repping For NTC Like Working For ‘Census Bureau’

    UPDATED 1:57 P.M. ET (March 5, U.S.A) Data Network Affiliates (DNA) announced via email that Chief Executive Officer Dean Blechman has stepped down, according to a member. The announcement came six days after Blechman’s departure — and one day after the company said it launched a “Beta Test” of its ability to gather license-plate numbers.

    DNA’s website previously implied the company would be in full launch yesterday, after two previously advertised launch dates in February were postponed.

    Why DNA, which lists a Cayman Islands address in its domain registration and lists no address at all in email communications sent to members, chose to wait nearly a week to announce Blechman’s departure to the membership was unclear.

    Important news such as the departure of a CEO or top executive normally is announced in advance of the departure as a means of quelling rumors and maintaining continuity and stakeholder trust.

    Also unclear is why a domain titled DeanBlechman.com, which uses the same Cayman Islands address as DNA’s website and a DNA-related website known as TagEveryCar.com, redirects to the DNA website.

    A person believed to be Blechman contacted the PP Blog Sunday, saying by email that “I am no longer the CEO of DNA. I have no affiliation with the company whatsoever.” The sender’s identity could not be verified immediately, but the Blog believes it was Blechman, owing to follow-up correspondence it received.

    It is anticipated that Blechman will contact the Blog later this week to answer questions, although no formal interview has been scheduled. It is unclear if Blechman knows about the DeanBlechman.com domain or approved of its creation.

    DNA, which previously had neither a contact form nor a contact email address on its website, now lists a gmail address. gmail is Google’s free email service. A source said tonight that the gmail address was on an autoresponder that sends a message titled “Top 16 Customer Service Issues.”

    Item No. 5 on the Top 16 list reads: “The D.N.A. Management is Aware of many FALSE Rumors…The D.N.A. Legal Department is on top of such and is taking Legal Action…You can not become the #1 record breaking company in THE WORLD… Without people taking cheap shots at you…  In the mean time keep on keeping on…”

    Meanwhile, Item No. 16 provided an explanation for why the DNA domain was registered in the Cayman Islands. The reason, according to the autoresponder message, was because the company chose “privacy” protection for $5 in a bid to prevent management from having to “put up with 100 stupid calls a day.”

    Prior to the numbered items, the autoresponder message claimed: “The D.N.A. company is signing a MEGA MILLION DOLLAR DEAL with a publicly known industry giant. Between this agreement being sign (sic) and the D.N.A. Top Secret Product being announced on March 27th, 2010. (sic)  D.N.A. is positioning itself to be Global Giant.”

    The announcement by DNA of Blechman’s departure was ungrammatical, bizarre — and also at odds with information previously released by the company. It even misspelled Blechman’s name.

    “Intentions On Going Public,” the email began. “Say Good Bye To Naysayers.

    “A public company has to answer to a HIGHER POWER than an AG,” the email said. “A publicly traded company has to answer to the SEC. No messing with them. Ask Martha Stewart.

    “Dean Bleckman (sic) on 02/24/2010 stepped down from being the future CEO and any affiliation with D.N.A…” the company email said. “Due to the fact that Mr. Blechman is a Director and High Equity Owner of a high visibility network marketing company could create a conflict of interest. We believe Mr. Blechman to be a very good man and wish him well in any future endeavors.

    “There are some who will try to turn the above information against us,” the email continued. “But the truth be known with the intention of taking D.N.A. public it is in our best interest to have management dedicated and with experience on taking companies public.

    “DNA is currently interviewing high level marquis executives for the role of CEO,” the company said. “We will keep all our D.N.A. Affiliates informed. All other management is 100% in place and very dedicated and excited about the future of D.N.A.”

    Why DNA would say Blechman stepped down from being the “future” CEO is unclear. Only days ago Blechman identified himself as the current CEO, and the company promoted him as such in marketing materials and on conference calls.

    Narc That Car Update

    A new YouTube video by a Narc That Car (NTC) promoter says that collecting data for NTC is like working for the U.S. Census Bureau. Checks issued by the firm bear the name “National Automotive Record Centre,” the video reveals.

    Despite the use of the word “national” in its name and the YouTube video that uses the name of the Census Bureau, NTC is not a government agency.

    The video, by NTC promoter “Jah” of the Cash For Car Plates Blog, focuses exclusively on money and does not address any propriety, safety, legal or privacy concerns, defining license-plate numbers as “public” information available for the taking for entry into the NTC database.

    “We’re like Census Bureau workers,” the video claims. “We’re collecting public data.”

    Some critics have raised myriad concerns about NTC, which is the subject of an inquiry by the BBB in Dallas and the office of the district attorney of Henderson County, Texas.

    Among the concerns raised by critics is whether the company could use the license-plate data it collects to create profiles on the movement of people — battered wives living in secret shelters, federal judges, politicians, celebrities, patients of psychiatrists and other medical professionals, members of religious groups and ordinary citizens from coast to coast in the United States.

    Some promoters of Narc That Car and DNA have argued that people who have nothing to hide have nothing to fear, raising the specter of a sort of private Big Brother.

    Narc That Car promoters routinely suggest that no license-plate numbers are off-limits for entry in the database, which purportedly is being created for companies in the business of repossessing automobiles.

    At least one You Tube video promoting Narc That Car — a video that featured footage from a Public Service Announcement by a group of celebrities that had been spliced into the video as though they were promoting Narc That Car — has been removed from YouTube for Terms of Use violations.

    That video, by a Narc That Car downline group known as Team Trinity International, formerly existed at this URL:

    http://www.youtube.com/watch?v=XgLFHH6TaaA&feature=related

    Jah’s Cash For Car Plates video for NTC, meanwhile, shows two checks issued by National Automotive Record Centre Inc.  and drawn on NewBridge Bank to demonstrate that Narc That Car pays.

    “We’re [going] to show you some real, solid video proof of the money that’s being made here and where you can go with this business,” the video says. “This is awesome.”

    Whether Narc That Car pays has not been an issue, however. The issues have centered on how the company pays, whether it is operating a pyramid or Ponzi business model and the propriety, safety and legality of Narc That Car.

    The two checks in the video are for $45 and $452.10  — both of which appear to have been drawn Feb. 23.

    In the video, the $45 check is used as proof of payment — and the check for $452.10 is used as proof of the type of payments that could come later for Narc That Car members.

    “This may be one of our last . . .  videos, because this is the real deal,” the video says. “We can’t go any further. We’re not going to be out here flashing, you know, five-figure checks.”

    The video was placed on You Tube March 1.

    In a Jah video placed on YouTube Feb. 12, a check featured in the video is written in the name of a different entity: Narc Technologies Inc. The check appears to be drawn on a different bank than the check in the March 1 video, although the video was grainy.

    National Automotive Record Centre Inc. was registered as a corporation in Nevada Jan. 12.

  • Spokesman For Renner-Related Company Did Not Disclose Tie In Opinion Piece That Attacked Star-Tribune Newspaper; Name Is Referenced In Secret Service Affidavit; Declines To Answer Questions From PP Blog

    UPDATED 2:25 P.M. ET (March 2, U.S.A.) The vice president and director of public relations for V-Newswire — a company in Steve Renner’s INetGlobal family — authored an opinion piece lambasting a Minnesota newspaper’s coverage of a Secret Service raid at INetGlobal’s Minneapolis offices last week on his personal Blog, but did not disclose his tie to the firm.

    Donald W.R. Allen II operates a Blog known as The Independent Business News Network (IBNN). Allen did not disclose his INetGlobal tie when authoring an editorial titled, “Minneapolis’ Star Tribune newspaper’s bias reporting causes defamatory speculation at Internet marketing firm.”

    The piece began, “If the Star Tribune newspaper can use its ‘power’ to taint a company’s image prior to investigation by authorities, whose (sic) to say the news you get is true and accurate?”

    The Star-Tribune was among the first media outlets to report that federal agents believed INetGlobal was operating a Ponzi scheme.

    Information gleaned during the federal probe led to allegations that INetGlobal also was engaging in wire fraud and money-laundering.

    Allen, whose name is referenced in a search-warrant application in the INetGlobal case, now says he should have disclosed the tie in the IBNN editorial.

    “I will give full disclosure on the iNetGlobal piece today because I have 3 more follow up stories,” he said this morning. He asserted that the IBNN domain, which is registered in Renner’s name under the organization of V-Webs LLC, “has nothing to do with iNetGlobal other than being registered by the company as part of my employment agreement.”

    Allen defined the IBNN Blog as a “Civil Rights, Politics and News Blog for mostly the Twin Cities area.” IBBN’s site content includes an endorsement of the Tea Party Movement in the United States and a “Declaration of Tea Party Independence.”

    Allen emailed the PP Blog Sunday after appearing at the Blog, posting comments and using the IBNN URL, not a URL associated with the Renner companies. He dismissed the Blog as “minor league,” writing it was engaging in a “witch hunt.” The Blog responded to Allen’s email by asking him to comment on a number of issues concerning INetGlobal and inquiring why he was using the IBNN URL if he was a spokesman for a Renner entity.

    Later in the day, Allen responded to the Blog’s questions by saying he would answer questions about his role at V-Newswire, but he did not address the questions the Blog asked previously.

    The Blog then resubmitted the questions, adding several more questions to a list of four it previously had asked. Allen responded to the email, but chose not to answer a number of questions.

    Among the questions Allen declined to answer was whether INetGlobal, in the aftermath of the Ponzi scheme allegations, believed it should inform members about Steve Renner’s December conviction on four felony counts of income-tax evasion. Allen also declined to answer a question on whether INetGlobal had a duty to inform members that Cash Cards International (CCI) — a payment processing firm once operated by Renner — could not return money to Ponzi scheme victims in a case brought by the SEC against a California company known as Learn Waterhouse because Renner had spent the customers’ money.

    Allen did say he saw “nothing illegal with V-Newswire or the V-News Network.”

    The Blog asked Allen whether he was the “Donny Allen” referred to in an INetGlobal news release and the “Donald Allen” referred to in a Secret Service affidavit that alleged “Donald Allen” provided confusing information to a person who attended an INetGlobal function in New York.

    Allen did not answer the question, which the Blog posed twice.

    Undercover Secret Service agents also attended the New York function, according to the affidavit.

    The PP Blog also asked Allen whether he believed he should disclose his tie to INetGlobal when responding to Blog and forum posts. He declined to answer the question, which was posed twice.

    He also declined to answer a question about how it served INetGlobal’s PR ends to dismiss as “minor league” Blogs that report the serious allegations against the company.

    AdSurfDaily, a Florida company implicated in a $100 million Ponzi scheme, employed a similar PR approach. The ASD case is referenced in the Secret Service affidavit, amid allegations that an ASD member described INetGlobal as a wink-nod enterprise and attempted to have an undercover Secret Service agent participate in a three-way call with the ASD members’ sponsor for the purpose of recruiting the agent into INetGlobal.

    Allen also declined to answer a question on whether he was the author of an INetGlobal news release after the raid that said federal agents had arrived at Renner’s offices “looking for something to substantiate their claim that illegal activity was occurring in the business.”

    The news release used Allen’s email address, which he described as temporary in an email to the PP Blog, but did not mention Renner’s income-tax conviction and the allegations that Renner had spent money belonging to CCI customers.