Operator and Corporate Associate of Business Coaching Scheme Settle with FTC

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An officer of the Digital Altitude scheme that falsely claimed it would enable people to earn substantial income online, and a company it used to process consumers’ credit card payments, are banned from selling business coaching programs and investment opportunities under settlements with the Federal Trade Commission.

According to the FTC, Digital Altitude falsely claimed its program would enable people to earn “six figures” in “ninety days or less.” It also promised to provide individualized coaching from successful marketers, who in fact were just salespeople selling higher membership levels. Most people never earned the promised income.

Consumers lost tens of millions of dollars to the scheme, including some individuals who lost more than $50,000.

Under the settlement orders, these defendants are also prohibited from credit card laundering, making misrepresentations about any product or service, profiting from consumers’ personal information collected as part of the scheme, and failing to dispose of it properly.

The judgment against Morgan Johnson imposes a $54 million judgment that will be suspended due to her inability to pay. The judgment against The Upside LLC imposes a $140,983 judgment that will be partially suspended when the company has surrendered a bank account.

Litigation continues against the remaining defendants.

The Commission vote approving the proposed stipulated final orders was 5-0. The U.S. District Court for the Central District of California entered the orders on July 6, 2018.

The Federal Trade Commission works to promote competition, and protect and educate consumers. You can learn more about consumer topics and file a consumer complaint online or by calling 1-877-FTC-HELP (382-4357). Like the FTC on Facebook, follow us on Twitter, read our blogs and subscribe to press releases for the latest FTC news and resources.

Contact Information

CONTACT FOR CONSUMERS:
Consumer Response Center
877-382-4357

MEDIA CONTACT:
Frank Dorman
Office of Public Affairs

202-326-2674

STAFF CONTACT:
Andrew Hudson
Bureau of Consumer Protection
202-326-2213