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FTC Adds Defendants in Case Against Growth Cave Scam
FTC Action Ends Ecommerce Empire Builders Online Business Opportunity Scam
Empire Holdings Group LLC, et al. FTC v.
The FTC has charged a business opportunity scheme with falsely claiming to help consumers build an “AI-powered Ecommerce Empire” by participating in its training programs that can cost almost $2,000 or by buying a “done for you” online storefront for tens of thousands of dollars. The scheme, known as Ecommerce Empire Builders (EEB), claims consumers can potentially make millions of dollars, but the FTC’s complaint alleges that those profits fail to materialize.
As a result of the FTC’s complaint, a federal court issued an order temporarily halting the scheme and putting it under the control of a receiver. The FTC’s case against the scheme is ongoing and will be decided by a federal court.
In May 2025, EEB and its owner, Peter Prusinowski (also known as Peter Pru), agreed to a court order that bans them from selling business opportunities and require them to turn over assets to the FTC to be used for refunds to consumers.
FTC, State of Nevada Take Action Against IM Mastery Academy for Deceiving Consumers
FTC Suit Against E-Commerce Business Opportunity Scam Leads to Permanent Bans for Operators
FTC Acts to Stop ‘Click Profit’ Online Business Opportunity that Has Cost Consumers At Least $14 Million
FTC Takes Action to Stop Sprawling ‘Growth Cave’ Business Opportunity and Credit Repair Scam
FTC Sends More Than $960,000 in Refunds to Consumers Harmed by Income Scheme ‘The Sales Mentor’
Traffic and Funnels, LLC., FTC v.
The Federal Trade Commission has obtained proposed orders against the operators of a wide-ranging scheme known as “The Sales Mentor” that made millions by falsely promising consumers that they could make big money from telemarketing sales.
The defendants have agreed to proposed court orders that would require them to pay a total of $1 million for consumer refunds.
In a federal court complaint, the FTC charged the Tennessee-based group of companies, their owners, their officers, and a former sales director with deceiving consumers to pay hundreds or even thousands of dollars for supposed telemarketing training programs that rarely, if ever, delivered on what was promised. In addition, the FTC said the companies continued to make deceptive earnings claims even after they received the FTC’s Notices of Penalty Offenses on money-making opportunities and on endorsements and testimonials warning them that such conduct is illegal.
In January 2025, the FTC sent more than $960,000 in refunds to consumers who paid a job scheme known as “The Sales Mentor” that, according to the FTC, falsely promised consumers that they would make big money from telemarketing sales.
FTC Proposes Rule Changes and New Rule to Deter Deceptive Earnings Claims by Multilevel Marketers and Money-Making Opportunity Sellers
New FTC Data Show Skyrocketing Consumer Reports About Game-Like Online Job Scams
FTC Takes Action to Stop Online Business Opportunity Scam That Has Cost Consumers Millions
FTC Announces Crackdown on Deceptive AI Claims and Schemes
FTC Action Leads to Settlement Against Individual and Company that Operated Business Opportunity Scheme That Took Millions from Consumers
James D. Noland, Jr. (Success by Health)
A federal court granted the Federal Trade Commission’s request to temporarily shut down an alleged pyramid scheme known as “Success By Health,” and to freeze the assets of the company and its executives.
In May 2023, a federal court sided with the Federal Trade Commission, ruling that James D. Noland, Jr. illegally owned and operated two pyramid schemes—Success By Health (SBH) and VOZ Travel—in violation of the FTC Act and that Noland violated a previous federal court order barring him from pyramid schemes and from misrepresenting multilevel marketing participants’ income potential.
FTC Staff Issue Report on Multi-Level Marketing Income Disclosures
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