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BIG HIT FTC + 3 STATES CLOBBER FORTUNE HIGH TECH MARKETING! HERE IS WHY!
Jan 30, 2013 -UR editor bets that in the future you will see the case law developed by these four law enforcement entities USED IN OTHER ATTACKS ON COMPANIES USING THE CAB BONUS COMPLAN. THAT IS THE REASON ALL FOUR OF THESE AGENCIES JUMPED IN… TO SET FEDERAL CASE PRECEDENCE AND TO KILL ALL CAB PAY PLANS.

Fortune Hi Tech Marketing has been shut down by the FTC and three state attorneys general.  The U.S. Federal District Court of Northern Illinois gave the go ahead... “At the request of the Federal Trade Commission and the states of Illinois, Kentucky, and North Carolina, a federal court has halted an allegedly illegal pyramid scheme pending trial."

The WatchDog reported that FHTM came under fire back in 2010 with North Dakota and Montana. The WatchDog talked to the owner Paul Orbinson and told him that since they were using the CAB bonus plan they should ensure that when a distributor complained about the amount of money he spent – give them their money back fast, via overnight FedEx or wire transfer.

The court also froze Fortune Hi Tech’s assets.  The receiver appointed by the U.S. District Court of Northern Illinois raided the headquarters and warehouse in Lexington, Kentucky and seized FHTM Property.

FTC NEWS RELEASE “At the request of the Federal Trade Commission and the states of Illinois, Kentucky, and North Carolina, a federal court has halted an allegedly illegal pyramid scheme pending trial.  The FTC and the state attorneys general seek to stop the allegedly illegal practices of the Fortune Hi-Tech Marketing (FHTM) operation, which claimed consumers would make substantial income by joining the scheme.  The operation affected more than 100,000 consumers throughout the United States, including Puerto Rico,

You can read the full complaint here.


IGNITE/STREAM ENERGY ATTACK PERCEIVED ENEMIES
MOMENTUS AND NORTH AMERICAN POWER
June 13, 2012 -Today’s developments down at the George Allen Courthouse Building in Dallas encompass two installments. 

Towards reminding yet another mistaken soul of their past but standing commitments to Ignite & Stream Energy, we today expanded the existing action against certain former Ignite associates who have chosen to affiliate with North American Power.

Distributors leaving Ignite Energy for North American Power and Momentis power hit with
TEMPORARY RESTRAINING ORDER
As foreshadowed previously, the second installment of today’s update concerning our defense of your Ignite businesses involves the expansion of our recent target focus.  In addition to the existing action involving former Igniters that have illicitly associated with North American Power, we today filed an action in the Dallas County District Court against other Ignite leaders that have affiliated with the Momentis networking effort: but in violation of their past commitments to Ignite and Stream Energy.

RESTRAINING ORDER PAGE 1

ALL ABOVE IS IGNITE PLAYING WITH FIRE?

THE TEXAS ATTORNEY GENERAL DOESN'T LIKE
CUSTOMER ACQUISITION BONUSES AS SEEN IN THE FORTUNE HIGH TECH CASE!
Better be nice to those terminated Ignite Distributors! They could go to the Texas AG!
TEXAS AG HITS FORTUNE HI TECH MARKETING FOR PYRAMID ACTIVITY



AMBIT ENERGY HIT WITH BILLION-DOLLAR CLASS ACTION LAWSUIT
CAB BONUS COMPLANS UNDER ATTACK
25 May 2011 – A Distributor has filed a suit against Ambit alleging breach of contract, and Ambit's multi-level marketing network is a "pyramid scheme" contrary to law. To date, no suit alleging that multi-level energy marketing is prohibited by federal law has been sustained, though there are pending lawsuits. The suit alleges that Ambit's form of multi-level marketing is a "pyramid scheme which makes false and misleading statements that constitute deceptive acts or practices in violation of Section 5(a) of the Federal Trade Commission Act."
MORE DETAILS
http://www.energychoicematters.com/stories/20110525f.html

STREAM ENERGY – ELECTRICAL – PYRAMID SCHEME CHARGES TOSSED.
11 Nov 2009 - A federal judge  tossed out a lawsuit Monday that alleged Dallas electricity retailer Stream Energy is operating a pyramid scheme.  In Houston, U.S. District Judge Kenneth Hoyt agreed with Stream; former sales representatives for the company are required by the contract they signed to settle disputes by arbitration rather than a lawsuit against Stream Energy.

The Ex – MLM reps argued Stream, an MLM Network-Marketing company, charges sales associate’s $329 to sell electricity, broke the law because Stream failed to produce goods or services in tangible goods or services.  Stream energy argued that its strategy is legal and similar to Mary K, the skincare company.

Scott Clearman, the Houston lawyer who filed the suit, was also seeking class-action status.  These hopes were dashed when the judge ruled the sales associates had agreed when they signed their contract with Stream Energy Electrical to submit any complaints to arbitration.  There is an open question if the sales associates will appeal the decision to the 5th U.S. Court of Appeals in New Orleans.

Editors Note: There were phone calls I got about another Texas MLM electrical company setting this up to destroy competition.  No evidence was forth coming that it was true, but the WatchDog is still wondering..... where there is a little smoke sometimes a big fire follows!

CLASS ACTION LAWYERS AFTER STREAM ENERGY
Class Action  Federal Lawsuit Against Stream Energy, Executives, Alleging Unlawful Pyramid Scheme

2 July 2009 HOUSTON — Attorneys from the Clearman Law Firm announced a federal class action lawsuit filed yesterday under the Racketeer Influenced Corrupt Organizations Act against Dallas-based Stream Gas & Electric, Ltd., Ignite Holdings, Ltd., their related companies and affiliated individuals.

A retail electricity and gas provider in Texas and Georgia, Stream has grown in only three years to become the 29th largest private company in the Dallas/Fort Worth area based on revenues of more than $800 million in 2008. Stream’s marketing division, Ignite, has fueled Stream’s growth through what the company calls a “multilevel marketing program.”

The 89-page federal complaint alleges that Stream- Ignite’s multilevel marketing program is actually an unlawful pyramid scheme. Pyramid schemes are inherently doomed programs in which investors recruit people to pay money to those above them in a first-come-first-served hierarchy with the expectation that they will get payments from other investors who enter the program later. When the number of newly recruited investors eventually dwindles, the payment structure collapses.

Specifically, the lawsuit filed in the U.S. District Court for the Southern District of Texas in Houston alleges that Stream and Ignite induced the plaintiffs and others to invest in the “Ignite Services Program” at a cost of $329 and purchase an “Ignite Homesite” web page for a charge of $29 per month. The lawsuit claims that a large portion of the $329 is paid to those higher in the pyramid.

“Some of the individuals at the top of the Stream and Ignite pyramid earn millions of dollars a year, while most of those that are now joining the scheme will likely never recover their investment,” says Scott Clearman of the Clearman Law Firm, lead counsel for the plaintiffs. “Stream promises recruits that they can make vast sums of money, but the fact is that most will lose their money.”

In addition to Stream and Ignite, individual defendants named in the complaint include Ignite founders Chris Domhoff, Rob Snyder and Pierre Koshakj [sic], as well as several Stream employees. Additional defendants include Donny Anderson, Steve Fisher, Randy Hedge, Logan Stout and Presley Swagerty, all of whom are near the top of the alleged pyramid.
CLEARMAN LAW FIRM SHOOT OUT WITH IGNITE


THE MLM ELECTRIC - ELECTRICITY WARS
TEXAS - U.S. THE HOME OF MLM ELECTRIC COMPANIES!

Update: Jan 2009 - Zurvita founder Mark Jarvis is being sued by Ameriplan because he was one of the top dogs at Ameriplan and is charged with pulling Ameriplan Distribtuors over to Zurvita under the new Dental Plan backed by Amacore Group who is the backend to Zurvita.  Amacore Group OTC BB: ACGI),

Update: Jan 2009 - Ambit Energy was busted by Shell Oil for claiming that Shell was their backer.  Shell was upset because Ambit used thier logo as a partner  See Ambit below.

Deregulated Energy What MLM Electric Providers to go With?
See chart below Ignite beats Ambit

There are over 50 different electric companies in Texas. This hot dry summer of 2008 over 5 different Non- MLM electric companies went out of business like Blu Power, Etricity, PreBuy Electric, National Power Company, and Riverway Power.  Texas is always an MLM favored state has started really spinning off new energy companies.

AFFORDABLE ENERGY NEW KID
Starting after after Ignite & Ambit Energy Afordable Energy has had a running start backed by Affordable Power Plan, LP, a Retail Electric Provider, PUCT #10105.  Affordable Power has a big credit line (confirmed at $7 million) provided by Shell Oil Company so that puts the Network Marketing Company with great staying power.  They lead with a super lube that lowers the cost of operating air conditioning (and heat pumps).  If the FTC comes investigating this part of the Energy Market the solid goods Affordable Energy (out of Houston, Tx) sells will give Affordable Energy safety the others don't have (the "Burnlounge" shutdown).

AMBIT ENERGY SECOND TO JUMP IN
AMBIT BUSTED SEE BELOW: Following after Ignite Ambit Energy company has also snagged several executives from the bankrupt Excel.  Ambit Energy Dallas started with a little hotter complan and jumped ahead of Ignite but at this time has lost some ground.  Ambit snagged several Ignite Energy leaders. Every thing said about Ignite below applies to Ambit.  Editors Note: Ambit was doing MLM opportunity presentations claiming that Shell Oil was their partner.  For some reason Shell did not like and slammed Ambit to the ground!  Graphic coming from Shell?


IGNITE ENERGY THE FIRST
Ignite Energy started in the "Dallas Infomart" E. Ross Perot's Crystal Palace. Great showcase job.  Ignite Energy was the first electricity MLM  and was hot in Texas after Excel telephone went broke. The Ignite Energy company picked up some Excel top leaders and MLM sales reps to jump start their new electricity company in Texas. The deregulation of Texas electricity allowed Excel distributors to jump out of phone service over to electric energy. 

Both of the last two companies have Ex Excel reps in their works.  The sales pitch is not different from telephone in regards to the ease of selling electric energy.  Electricity is something  needs and uses and the billing systems are very similar. The sales pitch among Excel representatives used to be "get paid everytime someone picks up the phone"  Now they say: “Get paid everytime someone turns on the lights!”  That is great!
ZURVITA
Amacore Group's Zurvita is competing (also other products besides energy) with Ambit Energy and Ignite Energy. Some big money here - but often that causes problems as much as it helps.   For energy they contracted with MXEnergy already in multiple deregulated states. Zurvita Energy can sell electric service in Texas, Georgia, Ohio, New York, New Jersey, Michigan, and Massachusetts. Texas and Massachusetts gives them more markets to build MLM dowlines in. Zurvita can also sell natural gas in states that are deregulated to switch between natural gas providers, but there is not much money in gas.



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Traffic By Website Visits - Ignite Wins End of July


NEWER SMALLER MLM ELECTRIC/ENERGY COMPANIES

Cirro Energy
Izagg Energy
Lite Up Texas = competition to MLM Energy Companies
Texpo formation stage
I


Probably there are some more that we haven't been solicited about!  There is a lot of MLM - Network Marketing competition in the Texas’ deregulated energy - electricity market which will carry over to other states.

















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