MLM SHAKY AND/OR SCAM WATCH LIST - REFRESH PAGE!
THINGS TO WATCH OUT FOR
HUBERT HUMPHREY IS BACK! RUN!
Hegemon Group Intl
UR Editors Note: FULL BORE EDITORIAL BECAUSE OF HISTORICAL COMPLAINTS OF GRIEF FROM MLM Distributors and clients
5/24/2013 - As I your editor thougt understood things, Hubert Humphrey was done when WMA insurance and securities went under (as WMA), and Aegon saved it by buying out Hubert Humphrey. They (WMA) were within days of being shut down by regulators. That was the whole purpose of the Dot-Planet fiasco, as HH wanted to ensure that he had somewhere to move his "team," if regulators killed the securities side of the business. The rumor is the money for the Hegemon Group Intl came out of Germany. Ur Ed: Darn more HH complaints are going to start up! Here is the website if you sign up I will break your fingers! You can look to see what I think is the world's worst complan.... worse than WMA's!
The biggest challenges faced by WFG/WGS was regulatory compliance issues and being sued by clients for improper recommendations. “WMA peddles costly and complex packages of insurance and mutual funds much the way Amway sells soap. But how WMA runs its pyramid-style sales structure (Humphrey prefers to call it “the magic of compound recruiting”) is drew scrutiny from regulators and generating claims of fraud from investors.
scam.com“First of all, WFG — a multi-level marketing company — calls people randomly supposedly from Careerbuilder or perhaps Craigslist. They say they are paying positions and offer an invitation to their “job fair”.The “job” they offer is not a job, but as a position as an independent contractor. You have to sign a 1099 form. Using your credit card, pay for a background check which breaks two laws. You never get to see this background check. Which goes against FRCA (Fair Credit Reporting Act) and state level law. Guess what, the background check takes 1 day. They say that they only care about whether you have to commit only federal securities crime on your background check. Ur. Ed: One of the big griefs I got was new Distributors being high pressured into a $5,000 or $10,000 life policy when they joined. The antique complex pay plan was not made for the little guy and it was so complex that no one understood it. No wonder all the legal complaints!
OTHER SIMILIAR COMPANIES MAY OR MAY NOT BE RELATED TO HUMPHREY
SOLD TO AEGON (which no doubt regreted it later): World Financial Group www.worldfinancialgroup.com
Description: Started by A.L. Williams / Primerica top producer and recruiter S. Hubert Humphrey. He left ALW after it was sold to Primerica Corp, and started Alexander Inc, later known as World Marketing Alliance. Sold assets (not the WMA name/logo) to Aegon (except for WMA Mortgage Services which was retained by Mr. Humphrey) and was renamed World Financial Group
Primary Marketing Angle: Replace policies with Variable Universal Life and Indexed UL.
Companies: Western Reserve Life, Pacific Life, others
Fee to join: Yes - Expensive with training fees + Push to sign up new person with $5k or $10k (or more) policy to push out money for recruiter - some regulators viewed this alone as pyramiding!
International Marketing Group www.img-corp.com
Description: Marketing group owned by World Financial Group's Xuan Nguyen, although you will find no mention of Xuan or WFG on any websites. Not exactly sure how this operates, but I believe it caters specifically to the Asian prospect. I believe there (was or is) an arrangement between WFG and IMG.
Primary Marketing Angle: Not sure
Captive: Not sure
Fee to join: BIG front end load policy (from complaints).
Capital Choice www.capitalchoice.com
Description: Started by Art Williams' brother-in-law DIck Kinnard. Basically the same thing as Primerica without the corporate owner, and on a much smaller scale.
Primary Marketing Angle: Replace all permanent life policies with the "Buy Term and Invest the Difference" philosophy.
Companies: ING, Fidelity, others
Fee to join: Yes (no major complaints)