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Rhinelander Auto

The Federal Trade Commission and State of Wisconsin are taking action against Wisconsin auto dealer group Rhinelander Auto Center, its current and former owners, and general manager Daniel Towne for deceiving consumers by tacking hundreds or even thousands of dollars in illegal junk fees onto car prices and for discriminating against American Indian customers by charging them higher financing costs and fees.

The defendants have agreed to proposed court orders that will require Rhinelander’s current owners and Towne to stop their unlawful practices and provide $1.1 million to be used for refunds to consumers.

Type of Action
Administrative
Last Updated
Case Status
Pending

Roomster Corp

The FTC and six states filed a lawsuit against rental listing platform Roomster Corp. and its owners John Shriber and Roman Zaks for allegedly duping consumers seeking affordable housing by paying for fake reviews and then charging for access to phony listings.  Separately, the FTC and the states filed a proposed order against Jonathan Martinez—who allegedly sold Roomster tens of thousands of fake reviews—requiring him to pay $100,000 and cooperate in the FTC’s case against Roomster.

Type of Action
Federal
Last Updated
Case Status
Pending

Blessings in No Time

The Federal Trade Commission and the state of Arkansas sued the operators of a “blessing loom” investment program, alleging that it has operated as an illegal pyramid scheme that bilked tens of millions of dollars from thousands of consumers, and targeted African Americans and harmed people struggling financially during the COVID-19 pandemic.

In their joint complaint, the FTC and Arkansas charged that the operators of Blessings in No Time (“BINT”) have lured people into joining their program by falsely promising investment returns as high as 800 percent. The complaint alleges that some BINT members paid as much as $62,700 to participate. In reality, though, as in other pyramid schemes, the vast majority of participants have lost money, the complaint alleges.

BINT’s operators are banned from the business of multi-level marketing as a result of enforcement actions taken by the Federal Trade Commission and the State of Arkansas alleging the operation of an illegal pyramid scheme.

Type of Action
Federal
Last Updated
FTC Matter/File Number
2123043
X210020
Case Status
Closed