ZeekRewards, Zeek Rewards, Paul Burks shut by SEC as $600 Million Ponzi Scheme, What happened, what should you do now?

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SEC shuts down ZeekRewards as $600 million Ponzi scheme.
SEC shuts down ZeekRewards as $600 million Ponzi scheme.

Introduction

You were probably wondering what happened to Zeek Rewards and the answer is not pretty: they where shut down by none other than the US Security and Exchange Commission , or SEC, on Thursday 16-AUG-2012, for being a massive $600 Million Dollar Ponzi scheme.

I have tracked ZeekRewards since April 2012, and I was among one of the first (OzSoapbox of BehindMLM.com was first) to call it a suspicious scheme that can easily be a Ponzi scheme. You can read my analysis.

If you are a Zeek affiliate, I would recommend you NOT to believe any recruiting speech or cheerleading speech from people eager to take advantage of your emotional turmoil. Instead, I would recommend you to read through the facts. I'll start from about a month ago, when the signs started.

If you prefer information in Questions and Answers format, please read the other hub: Zeek Rewards Recovery Q&A

NOTE: Please check the comments for the latest updates, as I don't always have time to revise the hub itself when there are late developments.


End of ZeekRewards Timeline

20-JUN-2012

  • A Lexington TV station did a report on penny auctions, highlighting Zeekler, mis-states North Carolina Attorney General's position on Zeekler as "legal".
  • ZeekRewards affiliates cheer the report as validation of their business, leading to critics seeking confirmation from NC AG's office
  • NC AG's office quickly contacted the TV station, pointing out the error, leading to removal of the video and revision of the website entry.

06-JUL-2012

  • North Carolina Attorney General's office sent Zeek a Civil Investigation Demand request documents. This fact was NOT made public by either party until a month later.

20-JUL-2012

  • Randy Shroeder, head of MonaVie, a major MLM in the US, stated on his "training call" that ZeekRewards is a Ponzi scheme
  • ZeekRewards affiliates and supporters are quick to discredit his viewpoint

01-AUG-2012

  • Dr. Keith Laggos, who was previously hired as a consultant for Zeek Reward's "compliance" efforts, was suddenly terminated when he was found to be recruiting for some other company. He then predicted that the Feds will hit Zeek within 6 months.
  • Laggos also revealed he is a Zeek affiliate with 4500 downlines and making about 40000 a month.
  • Laggo's publication "Network Marketing Biz Journal" touted ZeekRewards as "company of the month" for April 2012. it was later revealed (but NOT confirmed) that Zeek apparently bought $100000 worth of reprints as well as hiring him as consultant for that favorable article.

03-AUG-2012

  • Reports surfaced from a North Carolina credit union's fraud prevention unit that it has warned members about ZeekRewards being potentially fraudulent
  • The report cannot be fully confirmed by other parties
  • ZeekRewards printed a news item from new COO that claims they have located the person responsible in the credit union and the item was 'dealt with'. However, this cannot be confirmed.

13-AUG-2012

  • Reports started to surface that future leadership calls and training calls are cancelled, as are the Red Carpet Event scheduled for 22-AUG-2012.

16-AUG-2012

  • Lexington newspaper "The Dispatch" started covering Zeek, with photo of Zeek headquarters and people lined up outside wanting to hand in their checks (read article here)
  • Zeek headquarters suddenly closes its doors in 3:00PM and all of its websites started to go off line, with no explanation, according to local paper (read article here). Paper interviewed one Zeek affiliate who saw people changing the locks on the door and take a box of stuff out the backdoor. The affiliate assumed those were Zeek employees.
  • At first, NC AG's office was suspected to have shut down ZeekRewards. A petition was started by Zeek affiliates to leave Zeek alone. NC AG's office released statement that it had not issue a shutdown order.

17-AUG-2012

  • Secret Service agent appeared at doorstep of Zeek HQ, confirms that Secret Service is investigating Zeek, but will not reveal further details.
  • In the afternoon, SEC sent out a press release that it had shut down ZeekRewards as a $600 Million Ponzi scheme. (read article here)
  • The shutdown was quickly picked up by major news networks, including Reuters, CNN, FOX, NBC, WSJ, and more.

20-AUG-2012

  • Court documents revealed that receiver was appointed by the court, and Paul Burks chose to hand over the company quietly and pay $4 million dollars in fines to settle the charges with SEC and waive rights to appeal.
  • Unknown groups headed by people linked to RVG started to spread nasty rumors about the SEC, about how Paul Burks was railroaded, without adequate representation, how Zeek will reopen in two weeks, and so on. Some even started petitions to reopen Zeek on various online petition websites.

27-SEP-2012

  • Zeek Rewards receiver Ken Bell revealed that he had secured 300 million dollars to be returned to the victims, and he's working on more. And any rumors claiming to have talked to him or SEC is false.

30-OCT-2012

  • Zeek Rewards receiver Ken Bell revealed that had has sent out 1200 subpoenas to the "top earners" in Zeek asking them for financial information related to Zeek, in preparation of "clawback", i.e. getting money back from them so they can be distributed to the victims.


Remarks on the Final Days of Zeek

In hindsight, it was obvious that the people changing the locks on the Zeek HQ, and the people removing things out the back door, were Federal investigators, not Zeek employees that the Zeek affiliate had assumed. Yet until the SEC shutdown was revealed, many Zeek affiliates and supporters had hoped that the shutdown was temporary and voluntary, and voiced their opinion doing so, many on the NC AG's Facebook page. It was so overwhelming that AG's office was forced to redesign their FB page.

What was surprising was NC AG's office had sent a civil information demand to Zeek back on 06-JUL-2012, and this was NOT made public until 16-AUG-2012 by either Zeek nor the AG office.

It is also very interesting that the SEC indictment is extremely detailed, that they are well aware of Zeekler and ZeekRewards history, much of which I was able to reconstruct.


Facts from Security and Exchange Commission

SEC press release regarding shutting down $600 Million ZeekRewards Ponzi scheme

The news has been picked up by Reuters, NBC, CNN, FOX, and all the major news networks around the world.

The following are actual allegations from the SEC (you can be sure that SEC has evidence to present this in court and to have judge sign an asset freeze order)

  • SEC has charged Rex Venture Group (RVG) dba ZeekRewards as a pyramid and Ponzi scheme
  • RVG has raised over $600 Million Dollars from 1 million affiliates since January 2011
  • 98% of revenue of RVG, and the purported "profit share" comes from affiliates
  • RVG only has $225 Million of assets left in 15 different institutions around the world
  • RVG affiliates, all together, has nearly three BILLION VIP Points
  • The daily RPP ratio, which averaged 1.5%, was arbitrarily determined by Paul Burks
  • Out of 10 billion VIP bids (most purchased by affiliates), less than 0.25% was actually redeemed.
  • In July 2012, ZeekRewards took in $162 million USD, but paid out $160 million USD. It is near collapse.
  • Burks has taken $11 million out of RVG/ZeekRewards since its operation, and spent most of it, leaving only 4 million in his possession.
  • At least 1 million was distributed to family members
  • Out of $225 Million RVG assets, $30 million were held by the various financial institutions as 'deposit' hedge against chargebacks outside of United States
  • SEC has charged RVG / Paul Burks with multiple violations of the Securities act, such as failure to register securities, selling unregistered securities, using fraud in connection of securities,
  • SEC has frozen all RVG assets
  • Paul Burks have already surrendered all RVG assets to SEC appointed trustee and will surrender the $4 Million in his possession. Paul Burks agreed to this in order to settle SEC charges against him without admitting guilt.



Other Facts that have surfaced

Most of the following facts are gathered from "The Dispatch" news reports:

  • Paul Burks is in his Lexington home, with a security "guard" out front.
    EDIT: Paul Burks have moved to place unknown as of MAY 2013.
  • Supposedly Paul Burks has received death threats
  • Better Business Bureau have fielded over 30000 requests of rating of Rex Venture Group in the past 30 days alone, a volume they had NEVER experienced

Following are from personal observations on the Internet

  • A lot of Zeek supporters are still hoping that ZeekRewards can be restarted, when all RVG assets have been turned over by Paul Burks to the SEC already.
  • Some Zeek Supporters are quickly rallying their downline to move them to some other schemes they have joined or is about to join.
  • Other MLM and scheme members are quickly recruiting Zeek affiliates with promises of free membership and such (much like ambulance chasers)
  • All eWallet transactions have been frozen, if your account had transactions with Zeek. This was confirmed with NxPay and STP.



Unanswered Questions

While ZeekRewards and its associated websites are gone, many questions remain, mostly 'what happens now?', but there are specific questions:

  • Will additional charges be filed against Paul Burks, head of RVG?
  • Is Paul Burks under house arrest or any other travel restrictions?
    A: Apparently not, as they left Lexington as of April 2013.
  • Is the security guard outside his house hired by SEC, or by himself to keep reporters away? (According to a name search, he's the HEAD of a security company, not a common guard)
  • Will additional charges be filed against other members of Rex Venture Group, such as Darryl Douglas, Dawn Wright-Olivares, or the new staff hired only recently?
  • Will other agencies join the investigation? Right now, it's Secret Service (SS) and Securities and Exchange Commission (SEC). Though this would also fall into jurisdiction of IRS, FTC, Attorney General's Office (state level), and possibly the FBI, Postal Inspector's office, US Attorney's Office, and more.
  • Where are the Zeek officers, except Paul Burks, now?
    A: Dawn Wright-Olivares is hosting a podcast with Peter Mingliss on MLM, no news on anybody else.
  • Will top affiliates be investigated as well? Many have been confirmed to be earning 1 million a month by Paul Burks himself
  • Will there be "clawback", when some of the top affiliates have taken LOTS of money out?
    ANSWER: YES!
  • What happens now to the checks and such that had not been cashed?
    ANSWER: By law, Cashier's Checks and such bank instruments belong to Zeek. Regular checks can be cancelled.


If you are a victim, what should you do?

If you are a Zeek affiliate, what happens next depends on whether you have gained money, or lost money. This is my own opinion, of course.

Remember, Feds have Zeek's computers so they know exactly how much they paid you.

I am assuming you are in the US. I don't know what you should do if you are a victim outside of the US. You may wish to contact your local law enforcement and see if they have any ideas. Though this may not do anything until Remission registration actually starts.

Here is what you should do:

  • If you have gained money (i.e. gotten more OUT than you put in), don't spend it yet.

WHY: I don't know if the trustee will initiate clawbacks like the Madoff trustee did. If you're "small fry", you *probably* won't get bothered. If you have pulled out tens of thousands of dollars, beware.

  • If you have lost money, (i.e. put in more than you got out), you'll need to wait.

WHY: A trustee either has been appointed or will be appointed soon. The trustee will take inventory of all the assets RVG has, and take back all the money in foreign eWallets. Once they are all in his control, he'll then start a 'restitution program' where all people who lost money will submit request. The time period will be limited. If you don't submit a request you won't get anything back. Then your request will be verified, and once they tally up the total the assets will be divided up and you get paid. This process may take two to three YEARS.

UPDATE 20-AUG-2012

Kenneth Bell of McGuireWoods LLP has been assigned by judge to be the receiver of ZeekRewards to start restitution to all victims of ZeekRewards.

http://www.zeekrewardsreceivership.com/

The website is NOT active as of 20-AUG-2012 but should be active later in the week.

email address is info@zeekrewardsreceivership.com

No further information is available at this time.

It is recommended that you do NOT sign any sort of petition or join any sort of "program" until the restitution program has been made public.

==========

Here is what you should NOT do:

  • Do NOT Join any other MLM or scheme until your head is clear

WHY: During period of grief, you'll go through several of the 5 phases of grief due to this huge emotional shock: Denial, Anger, Bargain, Depression, Acceptance. Your emotion is NOT stable, and you will be VULNERABLE to others seeking to take advantage of your weakened mental state.

I already saw reports on various news websites about how other MLMs and schemes are offering free membership, support, and such to Zeek affiliates. In your weakened state, you may not be able to do a proper due diligence analysis of the alleged opportunity. You may be especially vulnerable to a "sympathetic shoulder / voice".

  • Do NOT post hate speech or other signs of denial

WHY: Combination of anger and denial may lead you to do very crazy things, such as denounce the government as corrupt (when it is out to save you), that government is out to cheat you out of your money (or your future income), that 's a conspiracy of the rich to keep you poor, and so on. Those actions make you look VERY VERY stupid once you calmed down, and you will likely regret making such statements later.

Remember, if you post something on the Internet, it can probably be found later. It can never really be truly deleted. Such statements may come back and haunt you later.

Many Zeek affiliates are in complete state of denial, still hoping that ZeekRewards can be restarted, or denouncing government as corrupt protecting the rich and oppressing the middle class, and so on and so forth. I hope this is not you, and you don't do something you'll regret later.

  • Do NOT try to hide the fact that you were a victim with lies

WHY: You were NOT stupid. You are a VICTIM. You were defrauded, cheated, and lied to. Why would you disguise that?

Should you have known better? Maybe. You made the best decisions based on the best information you had at the time. You can blame yourself for not listening to the critics, or not doing enough research / due diligence, but YOU WERE CHEATED NONETHELESS.

NOBODY IS PERFECT. EVERYBODY CAN BE CHEATED. Even Dr. Stephen Greenspan, who literally wrote the book on gullibility, was cheated... by none other than Bernie Madoff.

If you lost family money, admit it, accept it, tell the truth. You were mislead. You are sorry, and you'll help the government get your money back.


Special Case: What if you have downlines?

Someone brought up an excellent question: what if you have downlines? That you personally recruited into Zeek, by extolling the "virtues" of Zeek? Did you just aided and abetted fraud?

Technically yes, you did.

Therefore, you will need to confess, apologize, and explain that you were mislead

(And I hope you were mislead, because if you recruited knowing perfectly well it's potentially illegal and you did not disclose this fact then you are a shill, and I hope you get what's coming to you. And I know there are MANY of you out there. )

Look up the "judas goat" meaning. You are the goat. You did not know.

You will keep them informed when more information becomes available about how to get back their money (and yours).

And that's all you can do.


Official Announcement from NCDOJ

NCDOJ has set up a special hotline with pre-recorded message and an email box:

(919) 716-6046

zeek@ncdoj.gov

However, as of Saturday 18-AUG-2012 no new information is available.


Receiver Appointed, Website Open

The Federal Court, after capitulation of Zeek leader Paul Burks and surrender of all assets to Federal authorities, has appointed Kenneth Bell as receiver to start investigation, tally of all assets, liquidations thereof, and restitution of all victims.

You can find his website at

zeekrewardsreceivership.com

He has two separate FAQs, one for victims, and one for the 1200 subpoenas he sent out to the top earners in Zeek.

Lawsuits involving Zeek Rewards

Many victims, not willing to wait for receiver's job, and hoping to recover more money, are filing their own class-action lawsuits. On the other hand, another group of affiliates are backing a separate effort to sue SEC and attempt to reopen Zeek. All these are independent of the receiver's upcoming restitution plan. In addition to this, there's additional websites (such as this hub explaining the restitution process).

However, all such lawsuits are ON HOLD as per the SEC lawsuit's FINAL JUDGEMENT (remember, Burks already plead non contest, and the case is OVER). Please see the judge order at the end of this section.

PERSONAL OPINION: You can always join a lawsuit later should you choose to seek representation. You should not have to split any recovered funds with a lawyer, unless you actually think you can get MORE through a lawyer. Several lawyers and Ponzi experts at ZeekRecovery.info agree that paying a lawyer will likely NOT net you more money than what the receiver may net you, and may DECREASE your take due to lawyer fees.


Patrick Miller LLC
against Zeek

Patrick Miller LLC, representing Johnny Belsomme and class from Louisiana, is the first to file class action lawsuit on 24-AUG-2012, with about 10 affiliates. This was reported by Troy Dooly on his website mlmhelpdesk and there is a website setup. This was confirmed by news reports.

My personal reaction: not enough information at this time.


J. "Cal" Cunningham
against Zeek

Mr. Cunningham has been reported by local press to be representing about 90 victims in Davidson County of North Carolina and plan to sue Zeek Rewards, owner, top execs and top affiliates.

My personal reaction: Mr. Cunningham, who's also a local politician, has a blemish on his law career, in that he had previously been reprimanded for ignoring a fee arbitration, and for bill padding, both against the same client. It is not know how good he is in class-action lawsuits.


Quilling
against ???

A petition to sue the Federal government, claiming wrongful persecution, has been circulating from Dave Kettner, organized by Robert Craddock, and supported by top affiliates including Todd Disner. Their claim is Zeek is a fine business, Feds are telling lies, and they want Zeek restarted. And they want your donation (through one of Craddock's companies) to pay SRN Denton's lawyers. Recommendation donation is $50 per person. Later, SRN Denton's name was quickly dropped, and supposedly a Mr. Quilling from Texas was hired. To do what? I have no idea.

My personal reaction: This one is ring very loud alarms. Todd Disner, along with another top Zeek affiliate Schweitzer, are known for filing frivolous lawsuits against Feds trying to restart another Ponzi scheme, Ad Surf Daily. Their ASD related lawsuit was dismissed earlier this year. Robert Craddock is pretending to be just an affiliate on his website, even though he had previously identified himself as working as a Rex Venture Group (Zeek's parent company) Consultant that reports straight to the top. Craddock also wants your donation through his FHTM team called "Fun Club USA" ( FHTM was later shut down as a pyramid scheme by the FTC and 6 state's attorneys general) Dave Kettner had been promoting Zeek since July 2011 and may be a top affiliate as well, with a history in the TVI Express scam.

As for the lawsuit itself, the case is done. The defendant Paul Burks, the owner, plead no contest. It's OVER. Nobody else in the company has standing or the authority to sue the Feds. Who are they going to sue as?

Furthermore, any talk of having evidence to exonerate Zeek is not really believable. If there is such evidence, why would Burks not have used it to fight, with that warchest of 4 million dollars, and instead, just signed away everything?

And even if they manage to sue and win in court, that only takes care of the Ponzi issue. it does NOT resolve any of the issues surrounding selling unregistered securities, fraudulent misrepresentation of business, and the big charges nobody has mentioned: wire fraud. You can go to JAIL for wire fraud. Andy Bowdoin of Ad Surf Daily did.

And what if it is a Ponzi? Consider this... the top affiliates, and company insider, instead of putting their own money on the line, and lots of it, wants you to put in YOUR money, funneled through former Zeek consultant's account connected to another suspect scam. In other words, if it's a Ponzi, then they are spending YOUR money to make sure you do NOT get your money (lost in the scam) back. And that's assuming the money actually reach the lawyers.

If you want to support this effort (and I personally say, "are you kidding me?!"), send the money directly to the law firm. They are obligated to give it back if they are not going forward with the lawsuit. If you give it to Craddock, who knows what they'll actually do with it.


Court Order Appointing Receiver: all lawsuits on hold

Court order says all lawsuits on hold
Court order says all lawsuits on hold | Source

Conclusion

ZeekRewards was one of the larger Ponzi schemes in recent memory (except the ginormous Madoff Ponzi) and there are a million victims.

If you need help, seek help.

If you are not sure what to do, ask around, but do NOT make hasty decisions.

You are not alone.

You will get through it.


More by this Author


Comments 84 comments

Gabe 4 years ago

All I can say to Troy Dooly and all the other blind followers of this zeek sham is WE TOLD YOU SO BOY, WE TOLD YOU! It will be a hard lesson to learn but just make sure you DO learn from your mistakes and get a REAL JOB.


Dan 4 years ago

Nice summary, there's a sucker born every minute.


dosborne08 profile image

dosborne08 4 years ago from Pembroke Pines, FL

KS,

I must say, you are always very detailed in your Hubs. Job well done on your coverage of ZR. You do deserve much credit!


TimB 4 years ago

Thanks K. Excellent write-up. A lot of Zeekers will be asking what to do next.

One point you left out: how to deal with your downline. Any thoughts on that subject? I personally feel compelled to notify, explain (as much as I can), reach out personally, and apologize.


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

NCDOJ office sets up Zeek hotline, promptly overwhelmed by victims's messages. You can listen to pre-recorded message at (919) 716-6046, but you probably won't be able to leave a message of your own.

You can send email to NCDOJ regarding Zeek at their special mailbox: zeek@ncdoj.gov however there is no new information available.


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

Thanks, TimB, excellent suggestion and a new section has been added!


Jimmy 4 years ago

We (you, me, some others) actually called it a Ponzi in early March on BehindMLM in our comments. You called it a pyramid and "possibly a Ponzi" in early Feb stating a few conditions that would make it a Ponzi, since we didn't have enough data at the time.


Jimmy 4 years ago

"Laggos also revealed he is a Zeek affiliate with 40000 downlines and making about 40000 a month."

Correction to the above - Laggos said on that recruiting call he had 'about 4500' people in his downline.


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

Thanks Jimmy.

NEWSFLASH: Court has appointed a receiver "Ken Bell" to handle Zeek assets. This is confirmed by Court Documents.

http://www.ponzitracker.com/storage/order.pdf


Tim Baynes profile image

Tim Baynes 4 years ago from Springfield, Missouri

I note that the order requires that all transactions on what are "Recoverable Assets" be ceased. I assume that this restriction applies to those in possession of Zeek proceeds? I.e. a Zeek affiliate who has been paid to the extent that he/she made a profit, should protect and preserve the cash?


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

@Tim Baynes -- I am not an attorney nor do I act like one. I will tell you I don't know. I *think* it refers to any assets that is still under RVG's control, such as eWallet accounts, bank accounts, and so on. However, I would NOT be surprised to see those who benefited hugely from Zeek, i.e. that "top dozen" who's supposedly earning 1 million a month on the receiving end of clawback lawsuits.


Observers 4 years ago

@ksChang - Great summary. . .have sent to people I know in Zeek.


al 4 years ago

shouldn't any new pyramid scheme be certified by the sec, or secret service. Doesn't that make a whole lot more sense than them taking all the fluff / cash after it explodes. how about protect the consumer before it's to late.


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

@al -- but then, who checks up on them later to make sure they're still on the same business model? It'd be another layer of bureaucracy that inhibits small business founding.

Zeek was a fraud and critics have been warning people 10-11 months ago. I was a couple months late to the party. Oz at behindmlm had reviewed Zeek back in September 2011 and declared it potentially fraudulent and suspicious.


Perfectgovt 4 years ago

T. Roosevelt at the opening of the Jamestown Exposition said it best... A sovereign can make no excuse... are you a citizen happy to be taken care of by the democracy? Fine--make excuses, blame others, including the government, White Collar Criminals, like Paul or Bernie, etc. But if you are a man or woman living in the REPUBLIC that our forefathers and foremothers were genius enough to create, you can make no excuse. I have certainly found my enemy...he is me! I listened to the message, did a half-ass due diligence, etc. But the money I spent on purchasing Zeek bids was money I could afford to lose--i.e. not money I needed for bills or groceries, etc. Before any of you think that if Zeek was a registered security that it would have been safe, perhaps your memory needs to be jogged to a few months ago when people lost millions in a day on Wall Street. At least Paul B. created a company where no one could purchase more than 10K worth of bids. Get this, NO ONE has really lost, or could lose more than 10K. This means that if every affiliate paid out 10K, there would have been 10Billion paid out by affiliates into Zeek. It is clear that nowhere near this amount of money was spent. I became an affiliate--no shame here--and my upline spent 2500, his upline 750.00, etc. I only know a few who spent 10,000.00. I have little doubt that many did, but the vast majority spent 200-1000.00 IMHO. Sure there are 1 million affiliates, but it is beyond ignorant to compare this to Goldman Sachs who happily held out its corporate hands to accept 12.9Billion that we know of in tax dollars for bailout AND MADE RECORD PROFITS AND PAID EXECUTIVES RECORD BONUSES. No one could lose more than 10K to Zeek. That is fact. I know one person who lost 400,000.00 in two days a few years ago and then saw her tax dollars go to bailout the ones who were personally responsible for that loss... I seriously doubt anyone will commit suicide from Zeek shutting down. No one is going to declare bankruptcy or lose the farm. But millions upon millions of Americans did go BK, and lost family fortunes, and are living in poverty because of drinking the real KOOLAID---that their future was secure because the SEC was watching their back on Wall Street! Comparing Zeek to that is pure ignorance!


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

Compared to Zeek, Goldman Sach was wearing a see-thru thong in terms of transparency.

I don't consider your comparison to be valid, but I can see why you'd make such a comparison. I simply question your motive doing so. Are you trying to minimize Zeek's damage to the American public? or are you trying to derail this into a discussion about "evils of Wall Street"?

Remember, Zeek is the largest US Ponzi to date in terms of NUMBER OF VICTIMS. Victims of Madoff, Alan Stanford, and such are mostly the one-percenters who can afford to lose such money. Zeek went after the middle-class, the everyman, the average Joe. Does that make Zeek a more or less heinous crime?


coolguy1803 4 years ago

Thank you for a great summary kschang!!! I have several friends who have recently signed up for Zeek. They sent in cashier's checks to buy bids. Up to this point, their checks have not been cashed. My question is will the check still be cashed even when Zeek has been shut down?


Kenneth 4 years ago

Bow down to your knowledge Chang!! True good to be true maybe it is true good to be true. :)


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

@Coolguy1803 -- hard to say. If the checks already arrived at Zeek HQ (and I suspect they are) then they are legally Zeek property and will be added to the Zeek 'assets' to be distributed later by the receiver.

SEC already changed the locks and now owns everything Zeek.

If it's personal check, stop payment may still be possible.

@Kennth -- I don't mind getting buttered up a little, but don't go overboard. ;)


coolguy1803 4 years ago

their bank won't stop payment for cashier's check until 90 days if the checks are not cashed. Would the gov just leave the checks alone?


Perfectgovt 4 years ago

Without doubt, the largest problem I had with Zeek over the 2 months(I became an affiliate June 9th)I have known of Zeek is that it seemed impossible to know exactly what was going on. This kind of business model is archaic and unwise for this and many other reasons. If I would have done more due diligence and put Paul B under the scrutiny of looking carefully into whether he was running an open business model with transparency, or one where is it anyone's guess whether or not there was genuine profit or pseudo---I would not have become an affiliate. I hope my point in my earlier post didn't fail to make the point, that I do not blame Burks or my upline, or anyone---I simply wasn't careful enough and must take personal account of my own actions and not look bitterly for someone to blame.

Yes Zeek was appealing to the average Joe, but also very appealing to top earners. For example my sponsor had a front level attorney who sponsored 4 other attorney's in the same firm, each of them purchasing 10K in bids. Yes, there were some who took money off credit cards, or their last 10K in the bank, and purchased bids, much like there are some who cash their checks at 7-11, and purchase lottery tickets as their way of rolling the dice, but if the people in my upline are typical, the vast majority are like me...10K is not fun to lose, but it is not going to cause me to lose any sleep. The very reason I didn't do a truly in depth due diligence on Paul B himself, (I have been around the block long enough to know that in any mlm, the Principal/Founder creates herself/himself in the structure which is either legitimate or a scam), was that 10K loss or gain at this point in my life is uncomfortable but not anything close to disastrous. I knew it was money at risk, and when I pulled the trigger, it was with the same peace I feel now.

For those who put money into any business/venture/investment without FDIC backing that they couldn't afford to lose are victims of their own ignorance. I told those I talked to that they should not put any money in any business venture that they did not get a divorce from and release ownership of. I lost 140K on a real estate venture a few years back which cost me a wonderful credit score, a life-long relationship, and many sleepless nights. I learned the divorce lesson with venture capitol the hard way--NOTHING IS SURE that is dependent upon other people. I am the creator of my own destiny, and that is exactly why I have peace at this time.

Paul B. lied, scammed, had zero transparency, and hurt many people. He's just as guilty as Bernie, and his future is going to be very uncomfortable, and if he escapes jail time, it would surprise me. So I agree with your comments regarding the criminality of what he did. I trust this government. It is not flawless, but 99.99999% of the time, the government does it right. So when I heard that Zeek was under investigation and had been shut down while that was happening, I knew that the only way that the website would be up again was if the company was actually making money legitimately, not from new affiliate purchases, but from online auctions, and since no one at Zeek ever shared any facts or figures on how much daily profits were... well you get the idea. I knew that finally we would know what was truly going on and for that I was grateful. Paul B. is about as honorable as a con running a shell game in front of the 5 and dime, and our wonderful government is going to hold him to account. And I'm okay with the fact that it's a government that is ruthless(ruth--meaning mercy). He is going to be punished and made to be an example as a deterrent. Good! I wrote as a guy who has 10K in the game, spent it with peace, and now it appears I will lose that, and still feel peace---and I wanted to encourage everyone like me who played this game, to let it go. Don't spent time worrying about what the government is doing or not doing to Paul B or Bernie. Rest assured, it will do a perfect job without my monitoring. Let's learn our lessons, pick ourselves up, and with gratitude carry on. We are Americans. We are the most resilient determined nation ever in existence. Thomas Jefferson and Patrick Henry didn't conceive of a governmanet that would take care of a bunch of helpless debtors or they would have created a democracy, not the republic, based upon the sovereign nature of every man and woman with unalienable rights and manifest destiny. I love this Republic. So should you! I recommend we stop the victim talk, accept responsibility, get a divorce from whatever money spent on Zeek, and if our perfect government gets us some back, let it be a great surprise while you are about the business of creating wealth with your determined American positive energy. If you want to be a victim, have at it. As for me, Zeek is in my rearview mirror, with some great lessons on board. Peace to all!


Tim Baynes profile image

Tim Baynes 4 years ago from Springfield, Missouri

All I just saw an email from Chris Lamonte (early affiliate) who stated "All the money orders/cashier checks sent down which have not been posted will be returned."

Let's hope this is the case for those in this position - will make life a little easier for them.


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

@Coolguy183 -- I don't know. Right now it's the weekend and nobody knows anything.

@Tim Baynes -- He doesn't know sh__ either. The problem is he refuse to admit it. I am not afraid to admit I don't know.

This seriously depends on how Zeek's receiver is going to handle the shutdown, on anything that's still in the pipeline, mailbox, whatever. I am not a lawyer, so I am not qualified to comment on how the mail will be handled. However, pay attention of paragraph 24 and 26.

https://docs.google.com/viewer?a=v&pid=sites&srcid...

Thanks to ASDUpdates for publishing these files. My personal opinion is if it arrived at Zeek, it belongs to Zeek.

@PerfectGovt -- thank you for clarification You knew full well you went in with extreme risk. You had no one to blame but yourself, but you made the best decision you felt you did at the time, and you accept that, thus you're at peace. Many people are not as clear-headed as you are.


RC 4 years ago

@kc.....do you have any input on NXPay...I have a pending on the money transfer to NXpay...it was never transfer to zeek.


imsomad 4 years ago

So we need to have receipts or any kind of proof of evidence to recoup our money?


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

@RC -- if it's in YOUR account, it's YOUR money. If there's a "pending" transfer, that's up to NxPay on whether to put it back or not.

@imsomad -- I'm just a guy with a computer, this is just my opinion. You'll need cancelled checks, at the minimum on how much you gave Zeek, including monthly fees, bid purchases, and such. If you joined early, get your 1099. If you paid via credit card, get copy of statement. Basically, pretend you're gonna get hit by an IRS audit. Document EVERYTHING.

My personal opinion is you won't get back your monthly dues, but the initial large investment, you'll get back a chunk of it, hopefully a BIG chunk, but keep your expectations on only 35% or so. (i.e. if you put in $1000, expect to get back only $350, but you can HOPE for more.)


RC 4 years ago

@KC, Thanks. I will call Monday if they answer. They took out the ability to transfer money back to my account. I will also talk with my bank since it still shows pending.


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

FOLKS: DO NOT put down an URL or name ANY company for recruitment. I WILL BAN THE COMMENT!

It is UNETHICAL to recruit a victim in their weakened state of mind. And yes, there are several that tried to post such comments already. I thought it was obvious from my tone in the hub itself. I was apparently wrong, or I am dealing with clueless and/or ignorant people, so here's the EXPLICIT WARNING:

DO NOT POST ANY link to ANY OTHER schemes, opportunities, or WHATEVER, or even MENTION any other MLM or such that is recruiting, or your comment WILL BE BANNED as SPAM.


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

NEWSFLASH: There is a rumor on the web that RVG Zeek had paid its fine and is going to reopen in Europe. This is TOTALLY BOGUS.

THERE IS NO BASIS IN THIS RUMOR. There are already several penny auctions around the world. They don't need to take on the lousy name that was already associated with a scam in the US.

Whoever spreading this rumor is likely playing very sick game with victims of Zeek, much like people who sent fake SOS messages to parents of child who had disappeared.

DO NOT believe rumors. Deal with FACTS.


Helen Nguyen 4 years ago

Great summary. Great help.


HelenDC profile image

HelenDC 4 years ago

@KC Thank for all info you post here and BehidMLM. I still have $46 stuck in NXpay account. The is may own money transferred from my check acct back in June when I first joined Zeek. I haven't had any cash out yet. My first payout request on 7/28 and was sheduled for 8/13 to be in Nxpay accout but $$$ never appears!! I looked into Nxpay account today, it already removed the options of "wire out" to the bank . Is there any way we contact NXpay to have them send me check? Don't know what phone # to call. I 've been with Zeek for 7 weeks and lost $2900 + $110 montly fee!

Thanks, HelenDc


Cryingangle 4 years ago

I joined zeek in July and now lost all 5k, still have $518 in nxpay and can not transfer it to my bank


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

I am getting multiple people stating that their NxPay eWallet is frozen.

Any reports from the other eWallets? STP and that third one?

I have a feeling that SEC already filed paperwork with the eWallet companies and such, or those eWallet folks know enough not to ignore the SEC.


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

Got unconfirmed reports that Payza and STP are not affected. Only NxPay eWallets are affected.


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

Looks like STP just froze all Zeek related accounts as well. I expect Payza to follow shortly.


Hunter 4 years ago

Excellent analysis and coverage on Zeek. I follow your hub page and in agreement %100. However, I went into zeek just because can't say no to a female friend. I lost $128 while others I knew sustain loss in the amount of tens of thousands. This is worser that Madoff. Now some suckers switch over to justbeenpaid.com. You have any analysis on that?


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

JBP is even MORE of an obvious scam than Zeek, IMHO. Already answered that here:

http://soljaboy2012.hubpages.com/question/193000/j...


jde 4 years ago

Thanks kschang for the updates! I know 8 people who lost 10k each, and are concerned about the settlement. Your information going forward is quite valuable and they will be monitoring your site for any changes.

thanks again,

jde


imsomad 4 years ago

This may be great news for some of you, for those of you who have sent out money orders/cashier's check after july 1st, they have not been cashed out and they will not be cashed out. I even went to my bank today to verify this and it was true. The only thing is that you can not file a claim until 90 days after of submitting the check. So now that I know that RVG will not be cashing out the check, and now that I know from the bank that my cashier's check is still alive, I am going to claim this on the 91st day. Good luck everyone!!!


Amanda 4 years ago

Very good post. Glad others are also trying to sincerely help people through this....as am I ...just trying to help people through the Zeek disaster..... zeekrewardsupdates.blogspot.com


HelenDC profile image

HelenDC 4 years ago

I just read an article on Dispatch.com, reporting news related to Zeek and how SEC would plan on to do:

http://www.the-dispatch.com/article/20120820/NEWS/...

www.zeekrewardsreceiver.com

May help also.


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

@HelenDC -- it's actually zeekrewardsreceivership.com. Already updated the section with the proper links. Website is not yet active. Thanks.


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

Warning from North Carolina Attorney General: all victims of Zeek should watch out for "reload scams" targeting them!

----

WATCH OUT FOR "RELOAD" SCAMS

Monday, August 20, 2012

Reload scams hit consumers when they’re down, offering to help them make back money they lost to a previous scam or bad business decision. These scams have been popular for years with telemarketing fraud rings but can also follow other types of fraud.

We’re now seeing reload scams seeking to recruit consumers who were members of Zeekler, a penny auction website headquartered in North Carolina that shut its doors last week and entered into a settlement with the U.S. Securities and Exchange Commission. The SEC determined that Zeekler was a Ponzi scheme, using money from later investors to pay back earlier investors until the scheme started running out of money. The Attorney General’s Office is continuing to investigate Zeekler.

Blogs, news releases online, and individuals leaving comments in articles about the Zeekler shut down are already touting opportunities “for those that are looking for something that can help them replace the income they were receiving from Zeek Rewards.” If you’ve been a part of a scheme such as Zeekler that collapsed, or if you lost money to another recent scam, don’t fall for a reload scam. Better to cut your losses than lose even more.

----

http://www.ncdoj.gov/News-and-Alerts/Alerts/Watch-...


HelenDC profile image

HelenDC 4 years ago

It may take a while for SEC to complete the investigation. We must be very patient! Based on the email of Nxpay to its affiliates::

"We are in direct contact with the appointed trustee from the United States District Court and are currently pulling reports and reconciling each account. This reconciliation will assist with the investigation and determine all funds that belong to the NxPay account holders versus funds that belonged to Rex Ventures. Due to the court order and during this investigation period you will not have the ability to move any funds in or out of your NxPay account. We hope to have the reconciliation completed within a couple of weeks."...


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

Just got confirmation that ALL THREE eWallet providers have frozen ALL accounts associated with Zeek rewards, including all affiliates.


desenrav 4 years ago

Why is there no mention of Dawns where a bouts and the other

high ups in the scheme. Will they be held accountable?


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

@Coolguy1803 -- Yes, Mr. Kevin Thompson is collecting some info from Zeek victims. He didn't say anything about doing it for free though. He's a real lawyer, and pretty well known in MLM circles.

However, I am choosing NOT to link to him because I believe you don't need an attorney to get paid back YOUR OWN MONEY when a receiver was already appointed. Also, he is Bidify's lawyer. yes, Bidify, that "other" penny auction that just scrapped their entire business model due to Zeek's prosecution.

If any Zeek victims really feel the need to read it, it's just a form. You can find it at his website, themlmattorney.com

Thus, I am denying your comment for now.


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

@desenrav -- I don't know. It's part of the "unanswered questions". I prefer not to comment on rumors unless they are harmful.


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

zeekrewardsreceivership.com is now up and running, but no new info is available.

This is confirmed to be the real website, do NOT accept imitations.


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

NEWSFLASH: Affiliates are trying to cancel any checks sent to Zeek but not yet cashed, dating almost to mid July. However, banks are NOT allowing such stop payments, due to multiple legal reasons.

http://www.the-dispatch.com/article/20120821/NEWS/...


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

NEWSFLASH: Dozens of people hired an attorney in NC area to sue Zeek Rewards.

http://www.goupstate.com/article/20120822/WIRE/120...


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

NEWSFLASH: Alex deBrantes, fiancée of Dawn Wright-Olivares, and chief Internet marketer of Zeek, apparently still has his Facebook account active.


HelenDC profile image

HelenDC 4 years ago

@KChang, Thanks for your updates. More info from NXpay just received. We could call Nxpay now if questions:

"In the event you believe in good faith that you have a legitimate claim to any funds located on your NxPay.com® account, including, but not limited to commission payouts, fees or charges, or chargebacks, we encourage you to access the Temporary Receiver’s website, located at http://www.zeekrewardsreceivership.com/. This website provides pertinent information on the correct procedure to follow in order to recover any funds located on your NxPay.com® account. BECAUSE THE SEC HAS INDICATED THAT THERE MAY BE MORE THAN 1 MILLION POTENTIAL CLAIMANTS, IT IS VERY IMPORTANT THAT YOU FILE YOUR CLAIM WITH THE TEMPORARY RECEIVER AS SOON AS THE FORM IS AVAILABLE. However, please note that since ZeekRewards has been charged with fraud, the SEC has the ability to pursue any and all funds and/or persons who may have benefitted from the fraud.

If you have any questions or concerns, please feel free to contact us at 503-513-9900. We have support staff members available for support calls/emails and request that you do not interrupt daily operations by contacting phone extensions other than the one dedicated to Customer Support (Option “2”).

Due to heavy call/email volume, we would like to take this opportunity to answer a few of the most common questions to date:

Q: When will I receive my funds?

A: We are working to reconcile our accounts as quickly as possible to give accurate reporting to the Temporary Receiver. Once we are able to give you a more accurate estimate, we will share this information.

Q: What if my money was never used to purchase bids/subscriptions/etc.?

A: If your account was affiliated with Rex Venture Group, (i.e. you registered for NxPay® via Zeek Rewards), your account balances were frozen as well. Part of our reconciliation process is separating funds that never left the NxPay® wallet to purchase bids/etc. from the funds that were already sent to Zeek Rewards. Once this information is presented to the Temporary Receiver, we will be given information on how the Temporary Receiver wants us to proceed.

Q: How do I cancel my account?

A: In order to focus our resources on locating any missing funds and account reconciliation, we ask that you do not contact us to cancel your account for the time being as your account has already been secured. Per Federal Court Orders, we have disabled access to funds moving to/from your NxPay® account and we have also disabled remote access to your account from 3rd parties (such as Rex Venture Group). We have also suspended any monthly charges on your main NxPay® account."..


Perfectgovt 4 years ago

Not good news on the Russian front! forward drafts drawn on Bank of America, that were cashiers checks, were all cast by Zeekler sent mid June. The teller and the person she called at customer service, did not flag the checks as not able to be processed as stop payment because of Zeekler So


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

NEWSFLASH: Lexington Attorney established its own recruiting website for people to join in their lawsuit seeking class action status.

For fairness' sake, he will NOT be linked, but his name is J. Calvin Cunningham.

P.S. And Mr. Cunningham, spell Zeek correctly, please. It's not Zeke.


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

NEWSFLASH: video surfaced (apparently a real one this time) where Paul Burks admits on audio (and video?) that he had been running a Ponzi scheme, and got a lawyer to sign off on it.

http://behindmlm.com/companies/zeek-rewards/ceo-pa...


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

NEWSFLASH: If you see some sort of website or email telling you to go join a certain effort to sue the SEC and restart ZeekRewards, beware.

I can tell you that it's being run by the SAME PERSON who tried to take down the explanation hub about Zeek I wrote to warn the public about it.

Yes, the person who previously want to BURY the truth about a Ponzi scheme, now wants fight the government who also called it a Ponzi.

If he asks for money, then you know how it really goes.


coolguy1803 4 years ago

I got this piece of news saying that the uncleared checks will, on a presumption, be returned to the issued banks.

http://www.digtriad.com/news/article/241771/1/Hope...

what do you think of this Chang?


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

@Coolguy1803 -- I say... expect the worst, hope for the best. :)

NEWSFLASH: Multiple efforts by unknown forces (could be actual Zeek supporters, could be someone hoping to cash in on Zeek victims) are attempting to create some sort of "Zeek Defense Fund". I recommend you to read what happened to four similar efforts trying to defend Zeek's predecessor: Ad Surf Daily Ponzi before putting down any money. At least one is suggesting donation of $50 per head.

http://www.patrickpretty.com/2012/08/24/as-zeek-re...


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

NEWSFLASH: ZeekRewards Receiver will hold special news conference on August 27th, 2012 (Monday) at 2PM EDT. However, this call is NOT public (due to limited capacity). Expect media coverage later that day.

http://www.zeekrewardsreceivership.com/pdf/Zeek%20...


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

@Juan Morales -- would you stop spamming that Z team thing?

That thing is being run by Robert Craddock, a consultant for Rex Venture Group (i.e. works for Burks) and Todd Disner, a top Zeek affiliate best known for suing the Federal government in his PREVIOUS Ponzi involvement: Ad Surf Daily. Dave Kettner, who's the one tweeting, was a serial MLMer who keeps getting involved in scams, such as TVI Express and its various clones like Club Seabreeze and Diamond Holidays. Kettner had been advertising Zeek since July 2011, so he may be one of the top earners too.

In other words, they are top affiliates who are not using their money to fight for Zeek (and they should have PLENTY), but instead, wants YOUR money for fight for Zeek.

If you do want to send them money, send them to the lawfirm, NOT Robert Craddock. Lawfirm, if they can't take the case, is obligated to return your money. Craddock is under NO obligation to return the money you sent to his FHTM account. That's right, Fun Club USA is his FHTM "team" website / organization.

Understand things fully so nobody ends up being a pendejo.


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

NEWSFLASH: Receiver news conference stated that $600 million by SEC may be 'conservative' (i.e. it will get BIGGER), and he is now estimating that number of victims may be closer to TWO MILLION. All cashier's checks in Zeek possession belongs to ZeekRewards (and thus the receiver). Right now he's busy nailing down every last dollar in Zeek possession and tally up the total. He is obligated by court to go after every dollar, he stated. He did not say what that meant, but that presumably includes after any other assets in Burks possession, as well as possibility of clawback lawsuits. Any and all lawsuits against Zeek has been stayed by court order, and he needs more time to investigate the matter. it's too early to talk about distribution.

http://www.forbes.com/sites/jordanmaglich/2012/08/...


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

NEWSFLASH: Oh, and the receiver stated that please stop calling their office. If they have any news to share, it'd be on the website. Really. Answering phones takes time away from investigation and nailing down money to be return to you all.


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

@Yami Shogun -- can't you see that I already covered that above? Sheesh.


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

NEWSFLASH: Top Zeek Affiliates Todd Disner and Dwight Owen Schweitzer's lawsuit against the Feds for closing Ad Surf Daily ponzi had been dismissed.

COMMENTARY: Disner is bankrolling an effort to sue the Feds for closing Zeek. You tell me how likely is that to succeed? AND they want YOUR DONATIONS.

SUGGESTION: If you do send money, send it DIRECTLY TO SNR DENTON, attention the 2 lawyers named, with a printout of the solicitation, via REGISTERED MAIL. That way, it can't be diverted into other purposes.


RG 4 years ago

Not sure what you are saying, kschang..are you saying their lawsuit has already been dismissed?


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

@RG -- I meant exactly what I wrote. Their lawsuit against Feds regarding the Ad Surf Daily Ponzi was dismissed today by the court. Disner is now bankrolling another lawsuit against the Feds for another Ponzi he was involved in. See a pattern?


RG 4 years ago

Thanks.."Had" been dismissed threw me. I read your blog with great interest, keep up the good work! Funny, I listened to their web meeting two nights ago and no mention was made of any dismissal. Maybe it was a different group bringing suit, it was a Mr. Jolley talking up that one.


RG 4 years ago

Oh, never mind, I have my lawsuits mixed up. Ad Surf Daily..not Zeek..sorry.


Mary 4 years ago

Disner is again! Where can I sign up? I have cash burning in my pockets to give to him. I love sticking it to the man. Go ZEEK!!!


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

Mary also posted as Janet and Jerry. Feels rather like astroturfing, doesn't it? How's the weather in Columbus, BTW?


Serafinos 4 years ago from Chattanooga, TN

MAN, KC -- what does it take to help the uppers see the light?

You got my email about Dooley the manufacturing lie machine... sending emails with videos claiming there are NO VICTIMS from our upper. Makes one wonder what it takes to make them stop passing that info downline - getting people that haven't found your site to keep their hopes up.

Just praying none of them are paying attorneys for "class actions" that don't exist.

Dooley has several videos hooked to the one I sent you... with various other scams on it. Just as cool as a cucumber. OH UGH!

Keep up the good work getting the message out. YOU ROCK!


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

@Serafinos -- the uppers only considers the people directly around them, and because they already took out money more than they put in, of course they are not victimized... but they are holding money that rightly belong to the LOWERS, and the receiver is gonna clawback.


kschang profile image

kschang 4 years ago from San Francisco, CA, USA Author

NEWSFLASH: Clifton Jolley, the PR expert hired by Zeek in its final days, revealed that Paul Burks had performed as a magician, and is skilled in distracting / deceiving people. This is confirmed by newspaper archives. Search for "Paul Burks, the singing magician" on Google and see for yourself.


scott 3 years ago

Hi KC,

Just found Dawn Oliveras on a new radio blog she started with Peter Mingils selling god knows what. I noticed a couple familiar names as followers of the blog, Mary Kettner and Troy Dooly. Seems shady to me or am I just being paranoid? Also checked out her LINked in Bio...No mention of Zeek just something from RVG, hmmmm. weird.


kschang profile image

kschang 3 years ago from San Francisco, CA, USA Author

They are entitled to minimize their own role in a scam in accordance to their ethics (or lack of)


Kenneth 3 years ago

Hi kschang

Can I file tax 2012 for loss as investment? Do u think IRS has all record of zeek? I don't keep the cashier check copy that I paid to zeek. Thanks


kschang profile image

kschang 3 years ago from San Francisco, CA, USA Author

Find a CPA that knows how to file losses due to scam/fraud, not investment. I remember searching and there's an IRS bulletin on this very topic... ponzi scheme losses: how to report.


kschang profile image

kschang 3 years ago from San Francisco, CA, USA Author

New update from ZeekRewardsReceivership.com, claims to start soon.


kschang profile image

kschang 3 years ago from San Francisco, CA, USA Author

Claim has started, folks. Go register and reclaim your losses.


Kenneth 3 years ago

Chang what do you think about Solavie? Do you think it will collapse like Zeek?


kschang profile image

kschang 3 years ago from San Francisco, CA, USA Author

Solavei is at least selling something concrete: phone service. It's not a Ponzi, but it is rather close to a pyramid scheme. It wouldn't be very profitable because there's no margin in phone service. I doubt it'll collapse, but I don't see it being profitable to the average Joe.


John 3 years ago

Hey Chang,

What do u think about wake up now program? Do u think it a scam? I'm thinking about to join it but still unsure about it.

Thank you for your answer.

John


kschang profile image

kschang 3 years ago from San Francisco, CA, USA Author

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