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Tag: USDA

  • MPB Today Operator Was Subject Of Inquiry By U.S. Food And Drug Administration For ‘Cell Rejuvenator’ Product That Claimed To Treat Lou Gehrig’s Disease, Alzheimer’s, Down Syndrome

    This MPB Today pitch claims a $200, "ONE-TIME" grocery purchase from Southeastern Delivery can "TOTALLY ELIMINATE" future grocery bills.

    Gary Calhoun, the operator of a multilevel-marketing (MLM) program that is targeting Food Stamp recipients, Ponzi scheme victims, foreclosure subjects and people of faith, received a warning letter in 2006 from the U.S. Food and Drug Administration for his marketing of a product that claimed to treat multiple diseases, according to federal records.

    Calhoun, who now operates an MLM program known as MPB Today and a grocery business tied to the program, was ordered by the FDA to stop violating provisions of the Federal Food, Drug, and Cosmetic Act. The grocery business is known as Southeastern Delivery LLC.

    On Friday, the U.S. Department of Agriculture (USDA) said it was opening a “review” of claims made in the MPB Today program and the associated grocery business.

    The FDA’s letter pertained to a Calhoun-operated business known as Trim International and a now-defunct website known as MyTrim.com. Calhoun also operated a business known as United Pro Media LLC, which became a subject of complaints to the Better Business Bureau and was given an “F” rating, the BBB’s lowest rating on a 14-step scale.

    In 2006, according to the FDA, Calhoun was marketing a product known as “TCR Cell Rejuvenator.” The agency said the product was positioned as a treatment for “Neurodegenerative diseases: Alzheimer’s, Parkinson’s, amyotrophic lateral sclerosis, axonal and other neuropathies, Down’s and other syndromes.”

    Amyotrophic lateral sclerosis (ALS) commonly is referred to as Lou Gehrig’s Disease, in recognition of the famed New York Yankees’ first baseman, the subject of the tear-jerking 1942 movie “The Pride of the Yankees,” which starred Gary Cooper. Gehrig died in 1941.

    TCR Cell Rejuvenator also was positioned as a treatment for “recurrent Herpes, common cold and flu,” amid MyTrim claims it could be used “to treat patients with Alzheimer’s, Parkinson’s, cancer and other infectious diseases and neurological disorders,” according to the FDA.

    Meta tags on the site also referenced “prostate cancer,” the FDA said.

    Calhoun was ordered by the FDA to notify it “in writing within 15 working days of receipt of this letter about the steps that you have taken to correct” violations. The company eventually went out of business.

    “[T] he introduction or delivery of a new drug into interstate commerce without an FDA-approved application is a prohibited act,” the FDA advised Calhoun. “No such applications exist for this product.

    “Furthermore, many of the diseases or conditions for which this product is offered are not amenable to self-diagnosis and treatment by individuals who are not medical practitioners,” the FDA said. “Therefore, adequate directions for use for these conditions cannot be written so that a layman can use this drug safely for its intended purposes.”

    The agency said Calhoun had misbranded the product because the “product’s labeling fails to bear adequate directions for its intended uses for those diseases or conditions which are not amenable to self-diagnosis and treatment.”

    MPB affiliates claim a single grocery purchase of $200 through Southeastern Delivery can result in free groceries for life.

    Read the FDA’s warning letter to Calhoun.

  • PHOTO EDITORIAL: The MPBToday Flap: Affiliates Target Food Stamp Recipients, Ponzi Scheme Victims, People Of Faith, Foreclosure Subjects — And Say Government Backs MLM Cycler Matrix Tied To Florida Grocery Business

    EDITOR’S NOTE: UPDATED 3:12 P.M. EDT (U.S.A.) Florida-based MPBToday is one of the programs pitched on Ponzi boards such as ASAMonitor, MoneyMakerGroup and TalkGold. It also is being pitched via email and on social-media sites such as YouTube. All three of the forums are referenced in court filings — including filings in criminal cases — as places from which Ponzi schemes are promoted. Pathway to Prosperity, just one of the schemes promoted on the forums, was alleged in May to have defrauded more than 40,000 people across the globe while gathering more than $70 million.

    MPBToday is a multilevel-marketing company tied to a Pensacola grocery company known as Southeastern Delivery LLC. The U.S. Department of Agriculture (USDA) said Friday that it was conducting a “review” of affiliate claims. Precisely what claims USDA will review is unclear.

    Some affiliates are encouraging recipients of Food Stamps to join the program, which claims a $200, one-time expense can led to free groceries for life. Other affiliates have targeted victims of the alleged AdSurfDaily Ponzi scheme in sales pitches. Still others are using religion to sell the program. The program uses the word “foreclosure” in its sales pitch. Florida has one of the highest foreclosure rates in the United States. More than 9,000 people showed up at the Palm Beach County Convention Center late last month to seek foreclosure relief.

    One potential area of inquiry is whether Food Stamp recipients somehow can use their allotment to qualify for MPB Today’s MLM program. Another potential area of inquiry is whether Food Stamp money somehow is being used to pay MLM commissions. Because MPB Today says Southeastern Delivery assesses a shipping charge of up to 50 percent for the home delivery of groceries — and because affiliates purport that food “vouchers” and food “credits” can be acquired, perhaps in the form of a Walmart gift card MPB Today sends in the mail — another potential area of inquiry is whether Food Stamp money somehow can be converted to pay for items such as electronics and prepaid Visa cards. One MPB Today affiliate said the firm’s high shipping costs were a reason for Southeastern Delivery’s Food Stamp customers to join the MLM program.

    Claims have been made that the MLM program is “certified” by the government, “acknowledged” by the government and that Walmart is affiliated with MPB Today. Walmart has not responded to a request for comment from the PP Blog.

    Here are some photos of promotions for MPB Today from around the web. (Red highlighting added by PP Blog):

    In this YouTube video and text pitch, a claim punctuated with exclamation marks is made that the program is "Govt. certified with Food Stamps!" and that there is a "contract with wal mart!" The word "scam" appears multiple times in the pitch — in an apparent bid to drive traffic to the site from prospects seeking to determine if there is any scam-related information on MPB Today.
    MPB Today positioned on YouTube as a good opportunity for people of faith. The words "Christian" and "scam" are used to drive traffic to the site.
    In a money-waving Blog post, an MPB Today affiliate with a California address shows a check for $300 and a Walmart card.
    In this video for MPB Today on DailyMotion, visitors are encouraged to visit a .org affiliate site for the company, even though MPB Today is not a charity. The video claims members can purchase "electronics," even though MPB Today says it is in the grocery business and affiliates are targeting Food Stamp recipients in sales pitches.
    MPB Today affiliates display check and Walmart card on YouTube after videotaping check-opening ceremony. The program is described as a "NO BRAINER."
    This document on file in Florida shows that Southeastern Delivery LLC, the grocery arm of the MPB Today MLM program, once was known as William Lindsay Properties LLC. The name change occurred in January 2010. Gary Calhoun, the operator of MPB Today, is associated with both firms, according to records.
    On Aug. 25, the PP Blog received an unsolicited sales pitch for MPB Today via an email to the Blog's support address. Among the claims in the pitch, which did not include an unsubscribe link, was that "Walmart is thrilled" with the results of MPB Today. The pitch was targeted at members of AdSurfDaily, a company the PP Blog regularly covers because ASD is implicated by the U.S. Secret Service in an alleged Ponzi scheme involving tens of millions of dollars. A similar pitch was sent to another website that covers AdSurfDaily-related news.
    The names of Walmart and Sam's Club referenced by "Ken Russo" at the ASAMonitor forum, which is notorious for promoting Ponzi schemes.
    In this video, a check and Walmart card are displayed. Unlike other checks written in Southeastern Delivery's name, this check was written in the name of MPB Today Inc. The video, which captured a check-opening ceremony, shows a Walmart "In Store Credit" card
    In this video, an MPB Today affiliate gives a sales pitch while driving an automobile. A check and Walmart card were presented when the vehicle stopped at a highway intersection.The pitch claims a "ONE-TIME" expenditure of $200 can "TOTALLY ELIMINATE" grocery bills.

  • BULLETIN: USDA Conducting ‘Review’ Of Food Stamp Claims Made By MPB Today Affiliates; ‘We Take This Matter Very Seriously,’ Agency Says

    BULLETIN: UPDATED 9:21 P.M. EDT (U.S.A.) The U.S. Department of Agriculture (USDA) has opened a “review” of claims made by affiliates of a Florida-based, multilevel-marketing company, the agency said late this afternoon.

    Members of MPB Today, an MLM program owned by a Pensacola-based grocery seller known as Southeastern Delivery, have targeted recipients of Food Stamps in promotions for the MLM program.

    The agency did not say precisely what claims it would check in its review. MPB Today claims in a video sales pitch that a “one-time” purchase of $200 in groceries from Southeastern can “totally eliminate” future grocery bills.

    “We take this matter very seriously,” a USDA spokeswoman told the PP Blog. “We are reviewing the situation.”

    In general, the spokeswoman said, the agency wants “to make a determination if any regulations are being violated.”

    MPB Today operates a 2×2 cycler matrix that is coupled with the home delivery of groceries. As the PP Blog first reported yesterday, some MPB Today affiliates are advising Food Stamp recipients that the high shipping costs of home-delivered groceries from Southeastern Delivery provide a compelling reason for them to join the MLM program and recruit other members.

    Other MPB Today members have produced check-waving videos, placing them on YouTube to drive business to the firm. One of the YouTube videos claims the MLM program is “Govt. acknowledged.” The video further claims that Walmart is “affiliated” with MPB Today.

    Walmart has not responded to a request for comment from the PP Blog.

    Southeastern’s shipping costs for home-delivered groceries may total 50 percent of an order, according to the MPB Today website.

    A Food Stamp recipient with a $200 order with Southeastern would be spending up to $300 to gain the same $200 of purchasing power offered by a local, walk-in grocery retailer.

    Because of the high shipping costs, the Food Stamp customer should join the MPB Today program to qualify for free shipping and MLM payments for getting others to join, an affiliate suggested in a promotional Blog post titled “Shop Online With Food Stamps.”

    In a Blog post, one MPB Today affiliate claimed that Southeastern Delivery, MPB Today's parent company, had the "sole right" to accept EBT debit transactions for Food Stamps in its market area. (Red highlight added to screen shot by PP Blog.)

    Southeastern is authorized to accept Food Stamps, according to a USDA database. One MPB Today affiliate, however, claimed that Southeastern had “the sole right in their area to accept EBT (equivalent to food stamps/card across the US.).”

    If the claim is true, it would mean that the government was favoring one local Food Stamp-participating retailer over another or creating a condition in which financially strapped consumers from Maine to California would be tempted to send their Food Stamp money to a Florida grocer that suggested a one-time payment could result in MLM riches that would end all food worries.

    EBT is the government’s acronym for “Electronic Benefits Transfer” under the Food Stamp program, which is known as SNAP. SNAP stands for Supplemental Nutrition Assistance Program, and is administered by USDA.

    The affiliate’s claim that Southeastern had the “sole right” in its market area for EBT Food Stamp transactions is dubious. A USDA database shows that at least 25 stores within 2.39 miles of Southeastern’s immediate market area in Pensacola are authorized to accept Food Stamp transactions, including a Walmart that is less than a mile from Southeastern’s business address.

    A federal database shows that at least 25 retailers in Southeastern's immediate market area are authorized to accept Food Stamp transactions.

    There also are two Winn Dixie supermarkets within 1.2 miles of the address, according to the federal database.

    The claim has led to questions about whether MPB Today affiliates were trying to steer nationwide business to Southeastern at the exclusion of authorized Food Stamp retailers that do not charge shipping fees, do not seek to solicit customers for an MLM program and may be more competitive on shelf prices.

  • DEVELOPING STORY: MPB Today Affiliate Says Firm’s High Shipping Costs For Groceries Good Reason For Federal Food Stamp Recipients To Join 2×2 Cycler Matrix; Also Claims Walmart Gift Cards Convertible To Cash; No Immediate Comment From USDA, Walmart

    UPDATED 4 P.M. EDT (U.S.A.) Former members of AdSurfDaily who lost money in an alleged $100 million Ponzi scheme are not the only prospects being targeted by affiliates of MPB Today. Recipients of federal benefits administered by the U.S. Department of Agriculture (USDA) also are being targeted.

    If you receive federal assistance for food — and if you’re turned off by the shipping costs charged by an online grocery store that is part of a 2×2 cycler matrix operated by a MPB Today, a Florida-based, multilevel-marketing (MLM) program — you should use the high shipping costs as a reason to join the MLM program, according to an MPB Today affiliate.

    And if you are a Food Stamp recipient who needs one more reason to join MPB Today, you should consider that, if you cycle and earn a Walmart gift card from MPB Today, you can use the “gift cards to purchase Walmart Visa Cards, which can be used the same as cash,” according to the affiliate.

    Shopping online for groceries once was a “privilege” reserved “for those in higher income brackets, with more money than time,” according to a Blog titled “Helping Dreams Come True For You!”

    “Granted, shipping charges are usually around 40% of the total grocery bill, but if that seems like too much to pay, you can utilize the marketing plan of the company,” a Blog post aimed at Food Stamp recipients suggests. “And refer your friends to sign up as well.”

    For its part, MPB Today says on its website that shipping costs “can average from 25 – 50%.”

    Under the MPB Today affiliate’s plan, a Food Stamp recipient with a $200 order would be spending up to $300 to gain the same purchasing power offered by a local, walk-in grocery retailer — assuming the local retailer’s prices were the same as MPB Today’s.

    If the local retailer’s prices were lower, the Food Stamp recipient would lose even more purchasing power.

    On average, only about 14 percent of participants “earn” money in 2×2 cycler programs. One such program operating in the Seattle area came under investigation last year by the U.S. Secret Service.

    Walmart did not respond immediately to a request for comment from the PP Blog.

    The Food Stamp program, known as SNAP, is administered by USDA and managed by the U.S. states and territories.

    USDA did not immediately respond to a request for comment from the PP Blog. It was not immediately clear if the agency knows about the MPB Today program and the manner in which it is being marketed to Food Stamp recipients.

    The MPB Today affiliate’s pitch provided no guidance on whether Walmart gift cards could be viewed as reportable income for tax purposes and Food Stamp eligibility purposes. The pitch also did not disclose that the affiliate was in position to earn money if Food Stamp recipients joined MPB Today through the affiliate link on the Blog.

    A promo on MPB Today’s website encourages visitors to “Eat Well Today!” The site shows photos of delicious food, while prompting visitors to click on a video. The video is a sales pitch for the MLM program.

    When visitors click on the video prompt, a dire drum beat begins. The word “foreclosure” flashes on the screen twice in the first 15 seconds. Florida has one of the highest foreclosure rates in the United States.

    Here is how the MPB Today affiliate describes the cycler program’s convenience to Food Stamp recipients:

    “Once at the checkout screen, you enter the number on your EBT,SNAP, or food stamp card, and another credit or debit card to pay for the shipping charges. It’s just that easy.”

    This YouTube promo for MPB Today claims Walmart is affiliated with the program and that the program is "Govt. acknowledged."

    Separately, a MPB Today affiliate is using a video on YouTube to promote the MLM company. The video claims that Walmart is “affiliated” with the firm and that the program is “Govt. acknowledged.”

    “This biz will explode,” the video claims. It does not list a source to substantiate the claim that Walmart is “affiliated” with MPB Today and that the government has “acknowledged” the program.

    The video has received nearly 5,800 views.

    See earlier PP Blog column.