ASDUpdates.com

My Journal of Internet Schemes/Scams and things that really annoy me

Archive for the 'Zeek Rewards Suits' Category

Class action suits in Federal and State courts.

New Summons Issued Today in Zeek “Net Winner” Civil Case

Posted by ASDUpdates on 4th March 2014

I checked the Docket file today and found a new batch of Summons issued to names with whom we are all familiar. And the “net winner” is:

  • Durant Brockett
  • Todd Disner
  • Trudy Gilmond
  • Trudy Gilmond, LLC
  • Jerry Napier
  • Global Internet Formula, Inc.
  • P.A.W.S. Capital Management LLC
  • Lori Jean Weber

The receiver has also supplied a list of around 9,000 US “net winners” who received over $1000 from Zeek Rewards.  Some of the names are familiar, most are not.

Here is a link to that list    Net_Winners 3.1.14

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Posted in HYIP, MLM, Online Marketing, Other Ponzi Scams, Pyramid Schemes, Scams, Zeek Clawbacks, Zeek Crazy Stuff, Zeek Rewards Federal Court Cases, Zeek Rewards Suits | 1 Comment »

BehindMLM: Great Article on Zeek Clawbacks

Posted by ASDUpdates on 4th March 2014

I am just posting the link to this story; Oz spent a lot of time going through the back story on those mentioned in the civil suits.

Clawbacks filed against Zeek insiders & winners

Mar.04, 2014 in Zeek Rewards

Once again, thanks to Oz for his insight….

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Posted in HYIP, MLM, Online Marketing, Other Ponzi Scams, Zeek Clawbacks, Zeek Rewards Federal Court Cases, Zeek Rewards Suits | No Comments »

New Zeek Civil Case Section Added To Files Website

Posted by ASDUpdates on 3rd March 2014

I will be posting a separate page to hold all of the documents in the 2 new Civil cases, 14-cv-089 and 14-cv-091.  The documents will be online this evening; links are below.

Kenneth D. Bell v. Burks et al.,  Civil Case 14-cv-00089   (Insiders)

Kenneth D. Bell v. Todd Disner, et al., Civil Case 14-cv-00091  (Net Winners)

 

I made this post “Sticky” so it will be at the top of the page; I will remove the “Sticky” attribute in a week or so.

 

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Posted in ASD Updates, Zeek Clawbacks, Zeek Crazy Stuff, Zeek Rewards Federal Court Cases, Zeek Rewards Suits | No Comments »

ANNOUNCEMENT FROM THE ZEEK RECEIVER – March 3, 2014

Posted by ASDUpdates on 3rd March 2014

ANNOUNCEMENT FROM THE RECEIVER – March 3, 2014

Since my appointment as Receiver, I have said that I intended to investigate and file legal actions against those who created and operated the ZeekRewards scheme and to pursue claims to recover the money paid to the scheme’s net winners. After careful analysis of Rex Venture Group’s (“RVG”) written and electronic records, the review of hundreds of thousands of documents and numerous interviews with relevant witnesses, on Friday, February 28th, I filed lawsuits in the United States District Court for the Western District of North Carolina to achieve both those goals. The Complaints are public records, and copies of both Complaints have been posted to the website.

Complaint against Insiders

Complaint against U.S. Net Winners

Both actions describe in detail the ZeekRewards Ponzi and pyramid scheme and how it was operated from January 2011 to August 2012. In the scheme, over 700,000 participants lost over $700 million dollars. The first action, Kenneth D. Bell v. Paul Burks, Dawn Wright-Olivares, Daniel Olivares, the estate of Roger Plyler, Alexandre de Brantes and Darryle Douglas, Civil Action No. 3:14-cv-89 asserts claims for breach of fiduciary duty, unjust enrichment, the return of fraudulent transfers and other claims against six of the scheme’s insiders. It asks the Court to order the defendants to repay the losses caused by their unlawful conduct and return the money RVG paid them.

The second action, Kenneth D. Bell v. Todd Disner, et al., Civil Action No. 3:14-cv-91, makes claims against more than 10 of ZeekRewards’ largest “net winners” in the United States asking that the Court order them to repay the net winnings they received from the scheme. Each of the named defendants won in excess of $900,000 (either individually or together with another family member or through their shell corporation). As described in detail in the lawsuit, because ZeekRewards’ net winners “won” (the victims’) money in an unlawful Ponzi and pyramid scheme, they are not permitted to keep their winnings and must return the fraudulently transferred winnings back to the Receiver for distribution to Zeek’s victims.

This second action also includes class action claims against approximately 9,000 ZeekRewards net winners in the United States who each won more than $1,000 in ZeekRewards (claims against net winners outside the U.S. will be pursued in future actions). The total amount won by these net winners exceeds $200 million. As explained in the Complaint, the law permits the Receiver to bring claims against a class of defendants where the underlying facts and legal issues are similar against the members of the class – like in this case where they all won money in ZeekRewards. The Receiver has asked that the Court appoint the largest net winners sued by name as class representatives because they will, by virtue of their own defense to the same claims, be adequate and appropriate representatives for the rest of the net winner class. A list of those individuals whom the Receiver believes won more than $1,000 and therefore would be included in the class can be found here. If you are on the list, you are not required to do anything at this time, although you may, of course, discuss this matter with legal counsel if you choose to do so. However, I do ask all those on the list to complete a short contact information form so that those persons can be promptly notified of important information as the case moves forward.

As discussed above, the goal of the lawsuit against net winners is simply to obtain the return of the money paid out to net winners in excess of the amount of money they paid to RVG. Previously, I have offered to discuss settlement of the Receiver’s claims against net winners in an effort to recover this money without the need for litigation. The Court has approved over 175 settlement agreements, with many allowing the repayment of the settlement amount over time on a negotiated payment schedule. Although litigation against net winners has now begun, and I intend to pursue it vigorously to obtain Judgments, including interest, against all defendants and class members, I remain willing to settle the Receiver’s claims with those willing to repay a significant portion of their net winnings. Net winners who want to discuss settlement should indicate their interest by email to zeeksettlement@mcguirewoods.com.

I am and have been grateful for the continuing support and patience of affiliate victims.


 

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Posted in Zeek Clawbacks, Zeek Crazy Stuff, Zeek Rewards Federal Court Cases, Zeek Rewards Suits | No Comments »

Daniel and Dawn Olivares Receive Final Judgement In Civil Case

Posted by ASDUpdates on 3rd March 2014

I checked the Olivares’ Civil case this morning and found that the case had been closed on February 28th.

Final Judgements have also been entered, including both individuals being ” permanently restrained and enjoined from violating, directly or indirectly, Section 10(b) of the Securities and Exchange Act of 1934 and Rule 10b-5 promulgated thereunder, by using any means or instrumentality of interstate commerce, or of the mails, or any facility of national securities exchange, in connection with the purchase or sale of any security.”

For Daniel Olivares:

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For Dawn Wright Olivares:

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I have uploaded the full documents onto the Files website.

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Posted in HYIP, MLM, Online Marketing, Other Ponzi Scams, Pyramid Schemes, Zeek Crazy Stuff, Zeek Rewards Suits | 1 Comment »

US Attorney For Western District of North Carolina VWA Release

Posted by ASDUpdates on 9th February 2014

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ZeekRewards

This website will be updated frequently, to include recent court filings, upcoming hearings and other important court dates. Please continue to check this website for up-to-date information.

United States v. Dawn Wright Olivares and Dan Olivares – Case No: 3:13-cr-335
On December 20, 2013, the United States Attorney for the Western District of North Carolina announced that Dawn Wright Olivares, the Chief Operating Officer, and Daniel C. Olivares, the Senior Technology Officer, of ZeekRewards, have agreed to plead guilty for their roles in the $850 million ZeekRewards Ponzi scheme. According to a Bill of Information filed against Dawn Wright Olivares and Daniel Olivares on December 20, 2013, Dawn Olivares, Daniel Olivares and their co-conspirators used the promise of a fictional share of the “daily net profit” from penny auction website Zeekler.com to obtain payments from victim-investors, including over 1,500 victims in the Charlotte, North Carolina area. Dawn Olivares is charged with one count of investment fraud conspiracy in violation of Title 18, United States Code, Section 371 and with one count of tax fraud conspiracy in violation of Title 18, United States Code, Section 371. Daniel Olivares is charged with one count of investment fraud conspiracy in violation of Title 18, United States Code, Section 371. An initial appearance date has not yet been scheduled.


You can visit the Victims and Witness Assistance page by clicking here, it contains a lot more info that I will not post here for the sake of article length.

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Posted in Zeek Clawbacks, Zeek Crazy Stuff, Zeek Rewards Federal Court Cases, Zeek Rewards Suits | No Comments »

Robert Craddock Returns??

Posted by ASDUpdates on 4th February 2014

As most of you recall, around November 13, 2013 or so, Zteambiz.net had posted their “last update”. Well, that has all changed with this post that was found today:

Zteambiz has gone through a lot of changes in the last 18 months now, the content has come under attack from regulators and critics that want to just publish false and negative opinions. The one glaring fact is these so called people in the know have consistently gotten it wrong and most people do not know what to believe.

For this reason we will start once again sending updating emails, and doing a better job of filtering out the ongoing negative people that haunt everyone in the industry.

If you would like to be on our mailing list you can register here and if you at any time wish to be off the list you can also request and be removed as well.

As we know Zeek is never coming back, we will from time to time provide you with updates of companies that we feel will meet, or exceed the income potential that Zeek provided. And at the same time also help you learn about ones, that may be only interested in taking your hard earned money.

We would like to also address the amateur hour on the web; I’m referencing the flood of inaccurate information that seems to flood everyone computer with so called experts wanting to tear down any program you may want to join. If you can keep one thought in mind. These people writing the stories most likely have never experienced the success you have seen and only want to steal your dreams and ambitions. There is a phrase I feel best describes the average person that has subscribed to our list. “If you’re willing to do the things most people won’t, you can have the things most people can’t!”

So if you know someone that wanted to and never did we are opening up the ability to register to Zteambiz.net to provide updates and assistance as we all move forward to better and more profitable ventures.

Providing information to help everyone move forward


What utter nonsense!! All of the above comes from a website ran by a man who tried to copyright the word “Scam”, so that he could control who used the word, I suppose. And just as you would think, his application was denied. One of the last posts on Zteambiz was Craddock telling people to contact him if they needed their Used ID information, as he had the member database; apparently, the Receiver took a dim view of Craddock circumventing and subverting the claims process approve by a Federal Court.  Perhaps the Receiver and the Court are the people characterized  thus, “the content as come under attack from regulators and critics that want to just publish false and negative opinions”.

Apparently, Craddock and Zteambiz put forth the only opinions or information that have any validity, is you believe what Craddock says.  And I don’t !

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Posted in HYIP, MLM, Online Marketing, Zeek Clawbacks, Zeek Crazy Stuff, Zeek Rewards Federal Court Cases, Zeek Rewards Suits | No Comments »

Zeek Receiver’s Status Report for the Fourth Quarter of 2013

Posted by ASDUpdates on 31st January 2014

Yesterday, Kenneth D. Bell filed his 4th Quarter Status Report for 2013. Within this report are some mentions of “Pursuing Fraudulently Transferred Funds”, better known as Clawbacks. Many of us had hoped those cases would be filed by now, but it looks like they are still on the horizon.

Here is a snippet from the filing:

E. Description of Claims Held by the Receivership Estate

1. Identifying and Pursuing Fraudulently Transferred Funds Held by Net-Winner Affiliate-Investors
The Receiver incorporates by reference his previously filed Quarterly Status Reports discussing the total value of fraudulently transferred funds and the litigation methods for pursuing those funds.

The Receiver filed a Request for Leave to Institute Actions and For Order Setting Initial Conference on December 11, 2013 (Doc. No. 169). The Court granted the Receiver leave to
institute clawback actions on December 19, 2013 (Doc. No. 172), allowing the Receiver to file
clawback actions at an appropriate time in the coming weeks.

2. Settlements with Net Winner Affiliate-Investors
The Receiver entered into settlements with 10 additional net winners during the fourth
quarter, bringing the total number of settlements to 179. These additional 10 settlements total
$545,300 on $892,549 in net winnings (61.09%). Overall promised settlement payments to-date
total approximately $2,527,238 on winnings of $4,457,418, an approximate 56.70% return.

3. Investigating Claims against Receivership Defendant Insiders and
Third-Party Advisors
The Receiver Team continued its investigation into potential claims against RVG insiders and third-party advisers as a part of its ongoing fact investigation, continuing its analysis of documentary evidence that will be used in proving such claims. The Receiver Team also responded to requests for assistance and information from the U.S. Attorney’s Office that aided
the government in obtaining plea agreements from both Dawn Wright-Olivares and Daniel
Olivares.

III. CONCLUSION

At this time, the Receiver recommends the continuation of the Receivership for the following reasons:
1. The continuing efforts of the Receiver to investigate and marshal assets of the Receivership Estate;
2. The continuing efforts of the Receiver to implement the claims and distribution processes in order to distribute proceeds to injured claimants;
3. The carrying out of any other legal and/or appointed duties of the Receiver as identified in the Receiver Orders or as the Court deems necessary.

I have uploaded these filings onto the Files website.

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Update From Zeek Rewards Receiver

Posted by ASDUpdates on 19th January 2014

UPDATE FROM RECEIVER – January 18, 2014

We have recently added a link on Zeekrewardsreceivership.com that will allow you to check the status of any timely, fully submitted claim(s) that you filed through the Claims Portal (the “Status Check Link”). The Status Check Link can be accessed at the following address: https://cert.gardencitygroup.com/zrwdet/fs/home. The Status Check Link will allow you to log in to a webpage using the userid and password you selected when you registered on the Claim Portal. After logging into the Status Check Link, you will be brought to a webpage that will inform you whether your claim determination has been issued and will also permit you to confirm or update your contact information, as necessary. Please make sure that any contact information that you submitted is up to date so that when a claim determination for your claim is completed, you will receive notice that your claim determination has been completed. If your claim has been determined, upon logging in, you will be prompted to review your claim determination.

If, after logging in, the Status Check Link shows that your claim has not yet been determined, please be patient. We are working hard to determine all fully submitted claims of Affiliates as quickly as possible. Please do not call or email me to request the status of your claim as this will slow the claim determination process for all parties. Moreover, all entities making such requests will, to the extent they receive a response from the Receivership Team, be directed to the Status Check Link to obtain such status.

If you cannot log in after following the Status Check Link because you cannot remember your userid or password, you will be able to recover these items from the website.

If you receive the following message, it indicates we do not believe you finally submitted a timely claim:

We have located the account associated with the Registration ID and password which you have tried to use to log in to check the status of a claim. However, our records indicate that no claim was finally submitted for this Registration ID.

Before contacting the Receivership Team however, please confirm that you do not have a separate Registration ID under which you have filed a completed claim by clicking on the link below and selecting “Forgot Registration ID” and entering the email address that you have used to register. An email will be sent to the email address which you provide and that email will contain a list of Registration IDs associated with that email address.

Thank you.

If you believe this is an error, please contact us through the address listed in that message and we will evaluate your assertion.

If you filed a claim by an alternative method approved by me in writing, you will receive your claim determination through a paper submission.

Finally, we wanted to update you on the claims reconciliation process. We are nearing the completion of the determination of more than 40,000 additional Affiliate claims. These claim determinations will be finalized in the next few weeks and will be sent out in large groups. We will continue to send email notices of determination to all individuals holding such claims. Please check to see if your claim has been determined using the Status Check Link listed above.

Thank you again for your patience and support in this process.

Kenneth D. Bell
Receiver


Please click here to view prior updates from the Receiver

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Posted in Zeek Clawbacks, Zeek Crazy Stuff, Zeek Rewards Federal Court Cases, Zeek Rewards Suits | 2 Comments »

DOJ Files Suit Against Four Oaks Bank, A Former Zeek Payment Processor

Posted by ASDUpdates on 9th January 2014

I have posted the Docket File for this case and the relative other filings on the Files website. Here is a snippet from the Complaint:

81. In Spring 2012, Four Oaks Bank agreed to provide ACH access to a TPPP-TX merchant-client, Rex Venture Group, LLC, despite knowing that: (1) Rex Venture’s principals could not be identified through business database searches; (2) the Bank could not independently verify the type of legitimate business in which Rex Venture Group was engaged; (3) one of the two addresses reported by the company was a vacant lot, and the other was a different business; and (4) the Social Security Number of one of the company’s purported principals was associated with a different person. A Bank official even concluded that the purported owner of Rex Venture Group “keeps changing company names so his reputation will not catch up with him.”

82. These red flags did not stop Four Oaks Bank from providing access to the ACH network through TPPP-TX and another nested payment processor to Rex Venture Group. By August 17, 2012, the public learned what Four Oaks Bank already knew or should have known – Rex Ventures Group allegedly was a massive Ponzi and pyramid scheme. In S.E.C. v. Rex Ventures Group, LLC d/b/a/ Zeekrewards.com, et al., Civil Action 12-CV-519 (W.D.N.C.), the government alleged that Rex Venture Group had illegally raised more than $600 million from approximately one million investors. Four Oaks Bank had allowed Rex Ventures Group (through TPPP-TX and a nested relationship) to process close to $60 million in ACH transactions in furtherance of the illegal scheme.

i am glad to see the DOJ going after the facilitators of these scams and schemes. It’s about time!!!  Maybe this will send a clear message to the other co-conspiratorial payment processing companies.

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Posted in Other Ponzi Scams, PIMPs, Pyramid Schemes, Zeek Clawbacks, Zeek Crazy Stuff, Zeek Rewards Federal Court Cases, Zeek Rewards Suits | No Comments »