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Feds Shut Down Fortune Hi-Tech Marketing

by kindsvater
16 replies
A popular MLM make money network and its assets were just seized by the feds, primarily because almost money being made was from recruiting other members into the network. This makes it a pyramid scheme.

These networks all try to claim they have some other product for their members, but how is the money actually being made?

Key point: This network had been going for a few years. Just because a scheme has been in the news, and has continued, does not mean the feds have given it their blessing.

Federal, state regulators shut down Fortune Hi-Tech

If you're promoting another popular, MLM make money network of the day, cough cough Empower, and trying to make money by getting others into the network, I might be concerned.

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#feds #fortune #hitech #marketing #shut
  • Profile picture of the author Andyhenry
    This stuff never surprises me, but the amount of people who call this stuff affiliate marketing does.
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    nothing to see here.

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  • Profile picture of the author MikeTucker
    What surprised me was how long this took... Seems like I remember
    someone stalking me about Fortune Hi-Tech back in what, 2007 or
    something like that?

    The US gov is being seriously out-lawyered by the corporations.
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    The bartender says: "We don't serve faster-than-light particles here."

    ...A tachyon enters a bar.

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  • Profile picture of the author mattjay
    I am happy to see the Fed's moving on this one. I wish they would take note and move on everybody else too. not mentioning any names here, but when the idea to making more money is getting more members involved and getting recurring payments every month, "passing payments up" etc etc, how are they not on to others yet?
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  • Profile picture of the author talfighel
    When you have a network marketing/affiliate program that has real products, even if it is a service or product that you can view online, this makes it legit.
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    • Profile picture of the author PvPGuy
      Originally Posted by talfighel View Post

      When you have a network marketing/affiliate program that has real products, even if it is a service or product that you can view online, this makes it legit.
      A product or service is not the determining factor. If the money comes from the sales of the products or service, then it can be legit; only if people joining today have the potential to make more money than their sponsor.
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  • Profile picture of the author talfighel
    Originally Posted by kindsvater View Post

    cough cough Empower, and trying to make money by getting others into the network, I might be concerned.
    Yes, you should be concerned because it is obvious that you have no idea what you are talking about. Empower is a very legit company and business opportunity. They hired lawyers to make it as legit as possible.

    Originally Posted by PvPGuy View Post

    A product or service is not the determining factor. If the money comes from the sales of the products or service, then it can be legit; only if people joining today have the potential to make more money than their sponsor.
    When you have a company that only allows the people at the top to make the great money, then you know for sure that it is not legit and is some sort of an illegal pyramid.
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    • Profile picture of the author kindsvater
      Originally Posted by talfighel View Post

      Empower is a very legit company and business opportunity. They hired lawyers to make it as legit as possible.
      Lol. Your sig link with "Empower" in it says it all. What was the program shut down last year that had it plastered all over its site how it was "lawyer approved" and they had all sorts of attorneys reviewing the program? Oh yes, Zeek Rewards.

      There's a lot of people promoting this stuff that are "true believers" and in complete denial until the shut-down occurs and they lose their money.

      My opinion about these programs is simple:

      - If you are using the program and products to obtain new knowledge so you can make money outside of the program, then it has value for you.

      - If you are in the program to make money by promoting the program to others, and that is how your downline is also to make money, then you are engaged in pyramiding.

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    • Profile picture of the author onSubie
      Originally Posted by talfighel View Post

      Yes, you should be concerned because it is obvious that you have no idea what you are talking about. Empower is a very legit company and business opportunity. They hired lawyers to make it as legit as possible.



      When you have a company that only allows the people at the top to make the great money, then you know for sure that it is not legit and is some sort of an illegal pyramid.

      Actually, Empower is exactly the kind of company this story is talking about.

      Although they offer "real" products, services and training to be "legit", the majority of the income appears to be from recruiting new members.

      I have nothing specifically against Empower and this thread shouldn't be about bashing or promoting different companies.

      The point is, these companies market themselves as "money making" opportunities and use lifestyle/proof of income to highlight successful members. The successful members are the ones with the most recruits. The members who do not recruit anyone are the ones who fail and say it "doesn't work".
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      • Profile picture of the author mattjay
        Originally Posted by kindsvater View Post

        Lol. Your sig link with "Empower" in it says it all. What was the program shut down last year that had it plastered all over its site how it was "lawyer approved" and they had all sorts of attorneys reviewing the program? Oh yes, Zeek Rewards.

        There's a lot of people promoting this stuff that are "true believers" and in complete denial until the shut-down occurs and they lose their money.

        My opinion about these programs is simple:

        - If you are using the program and products to obtain new knowledge so you can make money outside of the program, then it has value for you.

        - If you are in the program to make money by promoting the program to others, and that is how your downline is also to make money, then you are engaged in pyramiding.

        .
        Originally Posted by onSubie View Post

        Actually, Empower is exactly the kind of company this story is talking about.

        Although they offer "real" products, services and training to be "legit", the majority of the income appears to be from recruiting new members.

        I have nothing specifically against Empower and this thread shouldn't be about bashing or promoting different companies.

        The point is, these companies market themselves as "money making" opportunities and use lifestyle/proof of income to highlight successful members. The successful members are the ones with the most recruits. The members who do not recruit anyone are the ones who fail and say it "doesn't work".
        This is EXACTLY the case. Show me one successful empower network member who doesn't have a huge list of people paying them and their "sponsor" huge amounts of money every month, and who's express goal is to get more and more and more people in the chain, and train them to get more and more people in the chain. The idea is to make money, month after month. That is how it's done, nothing more clear than that.

        DISCLAIMER: i am not bashing empower or anybody successful with it. More power to you, but if you think the money is made by making posts to your empower network blog, that's just not the case. The money is made by getting more and more people paying you month after month, and getting them to get more and more people paying you month after month.
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        • Profile picture of the author Mogly
          Originally Posted by mattjay View Post

          This is EXACTLY the case. Show me one successful empower network member who doesn't have a huge list of people paying them and their "sponsor" huge amounts of money every month, and who's express goal is to get more and more and more people in the chain, and train them to get more and more people in the chain. The idea is to make money, month after month. That is how it's done, nothing more clear than that.

          DISCLAIMER: i am not bashing empower or anybody successful with it. More power to you, but if you think the money is made by making posts to your empower network blog, that's just not the case. The money is made by getting more and more people paying you month after month, and getting them to get more and more people paying you month after month.
          EN is probably going down within a year or so.

          The FTC has to make a case, after hearing about the MLM/pyramid scheme, and then they move on it. Can take a lot of time.
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    • Profile picture of the author Cali16
      Originally Posted by talfighel View Post

      Empower is a very legit company and business opportunity. They hired lawyers to make it as legit as possible.
      You do realize that some companies "hire lawyers to make it appear as legit as possible"...

      As with any profession, not all lawyers are ethical and / or competent. So, if that was one of their primary selling points, I'd take it with a grain of salt and give some thought to what Brian has said.

      I do hope, for your sake, that you don't have all your eggs in an Empower Network basket.
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  • Profile picture of the author J Bold
    I wouldn't trust Banners Broker, either. Seems a similar setup with little real value in terms of products.

    But I don't know enough about it to say it's a ripoff for sure, but I wouldn't be surprised!
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  • Profile picture of the author Jeff Schuman
    I am not in any MLM at this point of my life because I really do not like networking that much.

    I thought Empower Network was an affiliate program. I am not in it. I did look at it recently, but did not join.

    Longstanding MLM programs like Amway, Avon, etc. have been around for many years with real products being sold to real distributors and real retail customers. That is the kind of MLM company to join.

    Update: I just found this post from last year...
    http://www.warriorforum.com/articles...e-program.html
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    Jeff Schuman - SEO Blog Writer For Hire! Buy affordable, SEO, quality, MMO niche blog articles. Fast turnaround.
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  • Profile picture of the author MikeTucker
    I won't target any specific MLM that is still active,
    because I don't pay enough attention to really
    know what they are doing these days.


    But for me, it's simple math:

    10,000 people in a "downline"
    VS.
    10,000 clients in my own business


    ...As they like to say, "It's a no-brainer!"
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  • Profile picture of the author drewfioravanti
    Maybe Empower Network gets around it...for now...because they offer the blogging platform as the product, and, to be a "distributor", you have to sign on and use their payment gateway. They also offer training products.
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