The Federal Trade Commission is refunding over $2 million to tens of thousands of consumers who were duped during the financial crisis of the 2000s by scammers offering fake get-rich-quick “kits” and coaching programs.
The FTC in 2009 sued the self-described “gurus” behind the bogus kits and programs, John Beck, John Alexander, and Jeff Paul; the scheme’s marketers, Gary Hewitt and Doug Gravink; and companies tied to the scam. The FTC said in a news release that the group pitched the kits and coaching systems under various names, including “John Beck’s Free & Clear Real Estate System,” “John Alexander’s Real Estate Riches in 14 Days,” and “Jeff Paul’s Shortcuts to Internet Millions.”
The FTC alleged in a complaint that the defendants did not to deliver the easy-money benefits they promised. In reality, many of the duped individuals lost money in paying for the kits, monthly subscriptions, and costly coaching programs. A court imposed a final judgment ordering the defendants to refund consumers’ money.
The FTC is sending refunds to 39,500 individuals affected by the scam. Anyone receiving one of the checks should cash it within 90 days. For more information about a refund payment, contact the refund administrator, Simpluris, at 866-675-3049, or view frequently asked questions about the refund process at the FTC website. The FTC’s interactive dashboards for refund data offer a breakdown by state of refunds in FTC cases.
