Tag: U.S. District Judge George H. Wu
-
Appeals Court Agrees with FTC: BurnLounge Was A Pyramid Scheme
UPDATED 10:12 A.M. EDT (JUNE 3) U.S.A. The U.S. Court of Appeals for the 9th Circuit today agreed with both a lower court and the Federal Trade Commission: BurnLounge was a pyramid scheme. Much to the dismay of some MLMers, the case demonstrates that a company that makes some retail sales still can be a…
-
BULLETIN: BurnLounge MLM Operators, Top Promoters Ordered To Pay Nearly $17 Million In FTC Pyramid-Scheme Case
BULLETIN: A federal judge in California has ordered the operators and top promoters of the BurnLounge MLM scam to pay nearly $17 million. The FTC brought the BurnLounge pyramid-scheme case in 2007, saying the program “primarily provided payments to participants for recruiting of new participants, not on the retail sale of products or services.” In…
-
BULLETIN: Peter Jerald Frommer, California Ponzi Schemer, Sentenced To 108 Months In Prison; Victims Tell Tales Of Devastation
BULLETIN: Peter Jerald Frommer has been sentenced to nine years in federal prison for a Ponzi scheme that fleeced investors of more than $8 million. The scheme itself gathered $13 million, and Frommer, 35, advertised “guaranteed” returns of up to 15 percent in a period of only six weeks. The scheme was known as “Cap…