State prosecutors in Delaware and New Jersey slammed the hammer down on an alleged  pyramid scheme known as Credit USA Inc. Credit USA purportedly sold credit-repair and “identity protection” services, and operated the company to enrich three criminal defendants unjustly, prosecutors said.  Criminal indictments were handed up in Delaware against Terrel Alexander, 41, of Wilmington, Nicole Alexander, 41, and William Love III, 39, of Mount Laurel, N.J. The charges were brought by the office of Delaware Attorney General Beau Biden.  Among the charges were racketeering, conspiracy to commit racketeering, securities fraud, theft, selling unregistered securities and conducing business as unregistered brokers or agents.   New Jersey Attorney General Paula T. Dow sued the company and Terrel and Nicole Alexander amid allegations of selling unregistered stock and transacting in securities without being registered.

Credit USA sold at least 28,000 shares of unregistered stock to at least 100 investors who forked over more than $125,000, prosecutors said. The scheme was selling shares as recently as September 2009, according to court filings.  Shares were sold in “lots” of 100 to members, associates and “proposed officers” of the MLM firm, prosecutors said.  “I applaud the coordination among the states to thwart this operation,” said Marc B. Minor, chief of the N.J. Bureau of Securities. “Credit USA’s sale of unregistered stock highlights the public’s need to be more vigilant and to check with the Bureau before investing in order to avoid being victims.” If convicted of all counts in the criminal case, the defendants each face up to 76 years in prison

Editor's opinion at this point:
Did McNulty insult the WatchDog on his LocalAdLink conference call?
1. I got over 54 complaints checks were not being paid from LAL distributors. Plus over 10 that ads didn't work but since I know that there are several well financed competitors coming out..... kinda blew those off for now.
2. I got bombarded with spam about how much $$ McNulty had.  You know how many times I have heard B.S. about exactly like that in the last 38 years??? THEN TO WATCH A COMPANY GO BELLY UP OR THE SUPPOSEDLY RICH OWNER RUN OFF WITH THE DISTRIBUTOR MONEY!
3. For critics of my reading an SEC Filing - I do shell rolls - you can't get more sophisticated than that - don't believe in shorting stock - except for this economic crash. The SEC filing below is bad - and I stand by that - In fact I advise people not to start an MLM company with publically traded stock.
4. The conference call fixed that - his kids are throwing in 1.5 million to go toward overdue Distributor pay checks - YES - I THINK I HELPED WITH THAT!  Thats why I am here...... the little guy!
5. Since some of the top leaders in Local Ad Link were leaders in Burn Lounge (FTC pounding 50% of commisssions must come from Customers who are end consumers - NOT BELONGING TO THE PAYPLAN) I was very glad to hear that Local Ad Link established a lower sign up fee at $99 and paying out up to 75% commission on Customer Sales plus awards for their meeting coming up.   THESE ARE GOOD MOVES TO DODGE LEGAL HITS!

CCPC, a merchant account provider, will give Beyond Commerce a $50 million dollar monthly credit line, which will allow our business to operate and grow at a rapid pace," stated Bob McNulty, Founder, Chairman and CEO. "Our explosive growth in Q1 caused us some problems with prior credit card processors; CCPC will pave the way for additional sales and growth opportunities and also offer bankcard services to our existing and new customer base."  Ed. opinion -  Glad this happened Distributor checks shouldn't bounce again.  I am still critical because of the statements in the SEC filing below.  I hear the hype about how rich the founder is and then read the SEC filing!

12 May 2009 - Ur Editor Opinion: What happened to all the money that the founder of this company supposedly had.  This is a bad SEC Corporate filing.  I am getting sick of these so called millionaires and Distributors getting sucked in by their B.s.  With the supposed mega buck background the founder had these numbers should be pocket change for him to cover.   WHY AN SEC FILING LIKE THIS........MLM  DISTRIBUTORS HYPED AGAIN!


Local Ad Link (localAdlink) reported net losses of $12,857,990 and $4,785,000 for the fiscal years ended December 31, 2008 and 2007, respectively. Although Local Ad Link (localAdlink) generate revenues (Local Ad Link (localAdlink) generated $1,843,231 in 2008 and have already generated over $5,000,000 during the first two months of 2009), our revenues and gross profits currently are not sufficient to cover our operating expenses. Although Local Ad Link (localAdlink) currently anticipate that our sales will significantly increase in 2009 compared to prior years, Local Ad Link (localAdlink) anticipate that Local Ad Link (localAdlink) will continue to incur net losses in the near term, and Local Ad Link (localAdlink) may never be able to achieve profitability. In order to achieve profitable operations Local Ad Link (localAdlink) need to significantly increase our revenues from advertising and product sales. Local Ad Link (localAdlink) cannot be certain that our business will ever be successful or that Local Ad Link (localAdlink) will generate significant revenues and become profitable.

Local Ad Link (localAdlink) will need significant additional capital, which Local Ad Link (localAdlink) may be unable to obtain.

Local Ad Link (localAdlink) currently do not have sufficient cash available to fund our working capital needs. In addition, Local Ad Link (localAdlink) do not generate sufficient cash from operations to fund our operating expenses, nor do Local Ad Link (localAdlink) have any credit facilities available to us from which Local Ad Link (localAdlink) can fund our operating deficits. Our capital requirements in connection with our commercial operations have been and will continue to be significant. Also, Local Ad Link (localAdlink) have to date funded many of our operating expenses from short-term loans, of which over $4,750,500 will mature by September 30, 2009. Accordingly, Local Ad Link (localAdlink) will need to obtain a significant amount of additional capital (from operations or from investors) to continue to fund our operating expenses and to repay our currently outstanding obligations. HoLocal Ad Link (localAdlink)ver, in order to generate more sales from our E-commerce stores, Local Ad Link (localAdlink) need to obtain additional from our vendor credit lines with the suppliers of the products that Local Ad Link (localAdlink) sell. Because of our current financial position, Local Ad Link (localAdlink) have not received the amount of vendor credit that Local Ad Link (localAdlink) need to generate significant sales from our E-commerce sales. Local Ad Link (localAdlink) have not identified the sources for the additional financing that Local Ad Link (localAdlink) will require, and Local Ad Link (localAdlink) do not have commitments from any third parties to provide this financing. Certain investors may be unwilling to invest in our securities since Local Ad Link (localAdlink) are traded on the OTC Bulletin Board and not on a national securities exchange, particularly if there is only limited trading in our common stock on the OTC Bulletin Board at the time Local Ad Link (localAdlink) seek financing. There is no assurance that sufficient funding through a financing will be available to us at acceptable terms or at all. Any additional funding that Local Ad Link (localAdlink) obtain in a financing is likely to reduce the percentage ownership of the company held by our existing security-holders. The amount of this dilution may be substantially increased if the trading price of our common stock has declined at the time of any financing from its current levels. There can be no assurance that financing will be available in amounts or on terms acceptable to us, if at all. If Local Ad Link (localAdlink) are unable to obtain the needed additional funding, Local Ad Link (localAdlink) will have to reduce or even totally discontinue our operations, which would result in a total loss to all of our equity investor and a significant loss to our promissory note holders.

Local Ad Link (localAdlink) currently have outstanding potentially convertible promissory notes that are secured by a lien on all of this company’s assets. Accordingly, a default under the convertible promissory notes could result in the foreclosure of all of our assets and the termination of our business.

Local Ad Link (localAdlink) initially issued $4,280,000 (of which $4,075,000 is still outstanding) of convertible promissory notes that are secured by a first priority security interest on all of our assets. Of those notes, $2,100,000 Local Ad Link (localAdlink)re scheduled to mature on March 31, 2009. The holders of those notes have extended the maturity date of those notes to July 31, 2009. As a result of this extension, all $4,075,000 of the notes now mature and must be repaid in full, both principal and interest, on July 31, 2009. Failure to make any payment as required under the convertible promissory notes could result in the acceleration of the convertible promissory notes and the foreclosure of our assets. If Local Ad Link (localAdlink) are unable to repay the notes in full upon their maturity, or if Local Ad Link (localAdlink) otherwise default under our obligations to the holders of those notes, the holders of the convertible promissory notes will have the right to foreclose on all of our assets, which would materially and adversely affect our ability to continue our operations and could terminate our existence. No assurance can be given that Local Ad Link (localAdlink) will be able to make all payments as required or that Local Ad Link (localAdlink) will be able to repay the convertible promissory notes.

Ed. Opinionated Note: Now let me hear the hype about the founder and his boddles of money.  $4 million is chunk change in this business. 

The WatchDog has gotten a lot of complaints about LocalAdLink.  The company runs a binary and started with a lot of hoopola + good story.  The majority of complaints The Watchdog has received included a link to blogs with bad reports from consumers.  But there are only 2 complaints on the LA Better Business Bureau in 36 months = OK.  Why?  One suspicion your editor has is that one or (some) of the new AD scams (patterned after ASD below) running a Pyramid scheme on the Internet is attacking LocalAdLink.  Why?  Loss of suckers?  If a scammer complains to the BBB they have to give their real name etc.  So they hammer the blogs with bad news about LocalAdLink to dodge giving their real name and info to the BBB?

The LA BBB doesn’t like Binary Pay Plans or MLM for that matter, so we can understand the low rating for Local Ad Link.  See below:

LocalAdLink, 17815 Sky Park Circle, Building 10 Suite H, Irvine, CA 92614
Phone: (949) 679-7000  Fax: (949) 679-7007
Contact: Andre Sappingfield - Director of Account Relations

If you are a real consumer  with a real complaint file it with the the BBB above. Meantime if you want submit information about LocalAdLink good bad or ugly do it below.  LocalAdLink is on the MLM WatchDog watch list.


17 Nov 2008 AdSurfDaily is getting hammered by a class action suit so if you lost money this may be your only chance to get any  money back.  It looks like kind of an extortion run on Bank of America so even if you do join the class action suit will you get much?  Don't know but we know the Lawyers will!


17 Nov 2008 AdSurfDaily’s motion to get seized money released by Feds was bounced.  The main part of the proceedings focused on Ad SurfDaily being a Ponzi Scheme that lead to the Federal Government’s seize of 53 million Dollars.  So the next question is will the follow-up legal action by the Government be Civil or Criminal action?  How many people will be included?

5 Sept 2008 Editors Note: Rumor (or deliberate leak?) out of D.C. Feds tired of messing around with scams - jail the owners and top players (the word used was 100's) and there is a new "big case" that will change the way of doing business for Internet scammers to include top earners.  The Watchdog repeats this is a leaked rumor and that it is ASD is only deductive opinion.  Would  this mean that instead of civil charges - criminal charges could be brought also or in lieu of civil charges? And note that is a question!

Read the Analysis Under The Court Documents!

August 7th 2008 afternoon update
The Florida Attorney General went after Ad Surf Daily (AdSurfDaily) yesterday.  Heck it is an election year!  More power to him!  Besides A S D scammed Distributors out of $$$ millions at Florida meetings!  Rumor is that Florida may go after some of the top promoters not just corporate Andy Bowdin.

TuesDay, August 5th 2008 afternoon update
The U.S. Attorney’s Office District of Columbia calls ASD (AdSurfDaily Inc.) a “massive Internet-based wire-fraud scheme” and a “Ponzi scheme ... disguised as an advertising company.”  Secret Service, Special Agents raided two buildings in Quincy, Florida where the Internet masked ponzi scheme company operated. Agents  seized and searched Andy Bowdin's (company owner) lakeside home in Quincy and his house in South Carolina.  The Secret Service also seized $53,000,000 in funds.


Friday, August 1st 2008 afternoon update:
Upon direction from the U.S. Attorney's Office in the District of Columbia, ASD will not be able to move funds into company accounts, or out of them. We will work to resolve this problem, and return to normal operation, as soon as we are permitted to do so. ASD Management.

Rod Cook - Editors Note: Wild one - Account Freeze by U.S. Attorney's office out of D.C. (the big boys) usually these type cases are handled by regional offices. Astounded me when Agents inquiry calls started coming out of D.C. instead of Florida!  I guess the threatened lawsuit by ASD against the MLM WatchDog is a mute point.


Ed. Note: It is my opinion that a lot of people are going to get burned in this AD SURF DAILY auto - ad surf deal.  There are 3 ways.  (1) Lose money because you are already too late to get in on the top of the scam.  (2) The government always grabs the database has been nailing top money earners and being mean because they turn names over to the IRS.  (3) Your name gets added to those secret government databases of people to "watch."   You notice the giveaway in paragraph 5 and the $ talked about.  Your editor got 10 emails and all said about the same.  I also listened to 2 conferences.  This deal has a good disguise on the front end.... but is going to end up on the rocks!  Run!  Rod

Ad Cash Generator - Sample Recruiting Emails (Dumb)
see red paragraphs below


July  2008 - A Warm Up!

Gene's story:   good friend of mine told me about ASD last December but I promptly ignored it.  When I spoke with him 3 months later and in the course of our conversation I asked how his new business was going and he said he was making $1400 a DAY, and it took him about six minutes a day to do the required surfing...HE GOT MY ATTENTION!!!

I immediately purchased $2000 worth of advertising.  That went so well I decided to purchase another $5000. I didn't mention what I was doing to anyone except my daughter for nearly 3 months.  We were doing so well I decided to attend a meeting being held in Las Vegas before I shared it with others.

There were so many people at that Las Vegas meeting that they had to hold two meetings instead of the planned one meeting...everyone I spoke to was beyond happy with the passive income they are making.   So I decided to purchase another $10,000 worth of advertising. 

I've withdrawn $13,500.  I'm making nearly $1000 a day and growing.  If I'd of believed then what I know now I'd have purchased all the advertising in the beginning instead of doing it a little bit at a time.   Click now and enroll https://www.asdcashgenerator.cum     


Therapuetic Hush

July 7 2008 - Read the hotlines in red below!

Hey Lucille,

Come join this with me!  It's a REAL advertising business and you can advertise your business for FREE and it will be sent out to thousands of people around the country and soon to be in China!    There are bunches of heavy hitter MLMers jumping in on this. Here's a story a friend told me that convinced him to join: Here's a true story my friend told me that convinced him about it:

"Hi Karin -- I personally called Larry in Burpton, ID. Here is what I learned. Larry's wife was diagnosed with cancer around 4 years ago and was told she had 3 months to live. They went to many treatment centers which ended up bankrupting them, then 3 years later he lost his wife and his farm. Larry said he was of the age that looking for a job was not an option.

Larry, on Mar. 8th 2007 purchased $13 of ad CASH packages. Then Nov. of 2007 he decided to get serious and borrowed $1500 from his brother-in-law that he put into ad packages. Today he is surfing with over $400,000.00 working capital in his account. I can confirm this by a 3-way with this person and you. He has access to daily cash that can be trans- ferred to his bank account, or mailed to him of $4,500.00, plus or minus.

My sponsor Diana, purchased $200 of ad packages in mid January 08 then shared it with 3 people. Her working capital today is over $45,000.00 and has access up to $450 per day. I have known and met Diana a few years ago. My cash account shows right around $3996 with my ad package right at $5620. It is on the verge of growing very rapidly.

How do Larry and Diana do it? They earn 1 percent compounded daily by surfing just 12 sites, 15 seconds each. Free members surf 24 site daily to earn free credits. ASD has been in business around 2 years.

What makes this business model so attractive, the corporate world will soon beat a path to our door to advertise to a captive audience who can spend money on their products. EXCITING !
ABSOLUTELY.  The signup is free, plus you get 50 free credits without purchasing a thing.  Here are the sites to signup on, ENGLISH;  (I put my site instead of his!)  There is also a site in SPANISH. Why not both, I did. You get 50 free credits with the free membership.

Who is behind this company? He started his sales career working with the Dale Carnegie Courses in the early sixties and later worked with the Napoleon Hill Leadership Program.  Andy has trained thousands of sales people during his career and started several companies. He expanded a 60-minute dry cleaning franchise throughout the Southeast and Midwest.  He developed a company that sold wireless communication franchises throughout the U.S. and then started a company to market credit card processing for merchants. In 1999, Andy did research and discovered a need for GPS Tracking for fleet vehicles and GPS Tech was created.

In 2006, Andy Bowdoin again saw a new opportunity - the need for a new way to deliver advertising to the masses and AdSurfDaily was born. He quickly assembled a team of 100+ associates who have joined with him to create what will become the largest Internet Advertising Company in history. Here is a web room, sometimes a live meeting, other times it is a recorded session; "  (It's a public chat and there is also a recorded call with good info there).  At least do a free sign up and see what it's all about!  Nothing to lose here! In case it doesn't go to my info, my member number is Sucker and my last name is McLead.

Have a great day!


PS: I just clicked on info about the company! Look at this headline!


Hello Rod,

Thank you for shedding light, and exposing the ASD fraud.

Although I was an ASD member (joined in May), it wasn't long after, that I, too, among a few others started to see that everything was wrong with this program: a website that just never functioned properly (even with the promises of upgrading -- I never believed it); non-existent customer service (when I contacted them for help or to have my money returned, I was met with resistance or no reply); web sessions that were spotty and buggy, at best, wih vague and incomplete information; a hands-off sponsor/upline; website information that was confusing and inconsistent.

When their president, Andy Bowdoin allegedly "received" the infamous medal, I did my own research and found out that the entire circumstance was fabricated (The White House Press Office disavowed any such presentation sanctioned by The White House).  The ASD website and a great many of the company's member constituency had everyone believing that Bowdoin was personally invited by President Bush and Vice President Cheney for a singular White House presentation of a medal for Andy's visionary contributions to the business world and community, at large. HOGWASH! NEVER HAPPENED! He was given a medal at an NRCC event for his monetary contributions to the Republican Party. That's all! When I posted these findings, together with contact names, I was ridiculed by members.

What's really sad and pathetic is that there's still room out there, today, for "charismatic leaders" to blindly lead entire masses to destruction. From my understanding, many people mortgaged off their houses and threw their life savings at this character. Incredible.

Thanks again.

Best wishes for continued success,




ED NOTE: What is the Value of the product.  Definition a Pyramid scheme in this case is a Ponzi Scheme with salesmen.  Later money is used to pay earlier position entries.  Middle to Last guys = Screwed!  See the 12 Daily Pay SEC hit below.

Robert Krimm WAS a self-proclaimed multimillion dollar CEO based in Florida. He once ran at least half-dozen autosurfing Web sites.  In court papers one victim said, “He’s ripped me off for close to $80,000.  He and 100's of others got involved with Krimm and his autosurfing company, Tri-Star Media, Inc., last fall.

SEC Charges Operators of Web Site With Conducting a Massive Internet Ponzi Scheme
WatchDog Report

The SEC (Securities and Exchange Commission) filed fraud charges against the operators of an Internet-based Ponzi scheme that took over $41 million in just four months from more than 20,000 suckers worldwide.  Ed. Note: The disguise these guys used for the scam was that the money suckers put in was for advertising to build your business. The last people in the scheme lost the missing $5 million below.  Over 300 of the top earning distributors had their information turned over the Internal Revenue Service.

An SEC representative reported, “Paid autosurf programs based on ads (as a disguise) have become an enormous industry on the Internet. In this case and others however, paid autosurf programs have been exposed as Ponzi schemes.  Ponzi schemes depend on pulling in new members in to pay money to existing members. Unwary investors world wide should remember: ‘If it looks too good to be true, it is.’ In reality, double-digit returns in a matter of days or weeks are virtually impossible and the investors should be wary.” Ed Note: The first people to get money are the "rat pack" insiders that jump in when the Ponzi starts.  By the time the public hears about this "fabulous deal" the "rat pack insiders" already made off with the loot and you are going to be left holding the bag.

The SEC’s action, filed in Federal U.S. District Court in L.A. says that, all four defendants operated a Web site — — that offered investors a 120% return in just eight days on investments ranging from $8 to $6,000 in a purported “traffic exchange program.”  Ed. Note: The 120% is impossible to do legally, that should be a training point!

A great summary from the FTC said, “The program had to collapse because it needed new investors to pay earlier investors. The SEC cautions investors about ‘get-rich quick’ schemes offered on the Internet. Ed Note: Although this release talks mainly about Autosurf programs, High Yield Investment Programs (HYIP) operate the same without the advertising disguise.

The Commission’s complaint against Jonathan W. Mikula, 21, of Athens, GA, Gabriel J. Frankewich, 29, of Byron, GA., New Millenium Entrepreneurs, LLC, and alleged that:

1.  investors had to purchase advertising. This was the scam "fig leaf" to disguise it!
2. view at least 15 web pages of advertising per day during the eight-day period.

The SEC reported the suspects operated primarily as a pure Ponzi scheme — using new investor funds from suckers to pay the promised returns to the first investors. The complaint alleges that the defendants paid investors $36.7 million, almost all of which came from advertising purchases from new investments in the scheme.  Ed. Note: Again, the advertising purchases were a “Fig Leaf” to try to disguise the scam.

Ed Note: To see the original press release please go to

Editor Note: We have received four complaints on the AutoSurf programs below.  One reporter estimates that $30 million flowed through these AutoSurf programs (not HYIP’s).

WatchDog Reporter (TB) Question: Will the SEC finally go after Bob Krimm of Tri-Star (15HitsDaily, 24SurfPro, Treo-Surf, Tri-Star Moneychangers)?  He collapsed his surf deals and went with some guys that were starting an MLM Umbrella marketing program.  No doubt Krimm walked with millions and is now collecting money on the MLM deal that will probably collapse like most Umbrella MLM’s.  That is not a question.... it is a statement!


Mar 2006 – For researchers and students... here is how the Feds freeze scammer's money when they are caught doing a Ponzi scheme.  Randall Lee, Regional Director for the Securities and Exchange Commission in Los Angeles said, "It was almost a pure Ponzi!" Lee  oversaw investigators who filed the original complaint with Federal Judge Manella and got the order  to appointment  a receiver. The Court appointed Tom Lennon as receiver over 12 Daily Pro. Lennon, who's accounting business is based in Southern California, is already in Charlotte, North Carolina.  With the judge's order now in hand, he can take control of all aspects of the Internet venture and start tracking down money. The largest amount of investor's money may be held by Storm Pay.  SEC news release:
The Lawsuit itself:

Mar 2006 – For those of you that ignored the MLM WatchDog – you lost!  The 12 Daily Pay Ponzi, based on page view clicks, cost late coming suckers millions.  At the same time, the State of Tennessee is investigating Storm Pay who was the 12 Daily Pay payment processor.  Look for Feds to seize money there too.  Your chance of getting any money back?  About .00001 cents on the dollar!

web tags: ponzi, pyramid, scams, surf, sec, pramids, ASD, ADSURFDAILY, AD SURF DAILY


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