MXI CHOCOLATE INVESTIGATED BY AUSTRALIA “FTC” GETS "CLEAN BILL"
CONSUMER AWARNESS INSTITUTE FRAUDULENT ATTACK AGAINST MLM! THIS MLM CHOCOLATE COMPANY & MLM INDUSTRY...... YOUR COMPANY IS NEXT!

SEE THREE QUESTIONS AT BOTTOM ON PROTECTING MXI MLM DISTRIBUTORS
2 OUT OF 3 ANSWERED SEE PDF'S BELOW!

ATTACK #1 By SYDNEY MORNING HERALD - Sydney Morning Hearald writer Debra Jopson went to The Australia Fair Trading Minister, Linda Burney, who said her office would investigate whether the MXI - Xocai operation was a pyramid-selling scheme.  She looked then she gave MXI chocolate a clean bill of health as a legtimate MLM - Network Marketing Company.  The WatchDog notifying her of fraud (by CAI above) and also the Sydney Morning Herald newspaper that one of their reporters got taken hook line and sinker by the Consumer Awareness Institute (fraud by omission)
http://www.smh.com.au/news/national/chocolate-wheel-of-fortune/2008/08/01/1217097533876.html?page=2

ATTACK #2 By SYDNEY MORNING HERALD -  Writer Debra Jopson went to The Australia Therapeutic Goods Administration: Bill of NO Action from the Administration.  WatchDog is notifying them of fraud and also the Sydney Morning Herald newspaper that their reporter got taken hook line and sinker by CAI (fraud by omission). http://www.smh.com.au/news/national/ripoff-victims-unprotected/2008/08/03/1217701853629.html

WatchDog Editor's Opinion Note BEFORE INVESTIGATION:  I assumed the Sydney Morning Herald articles with information by Debra Jopson above was at least half way correct it turns out the Jon Taylor PhD of the Consumer Awareness Institute had conned the reporter above into coming to the U.S. and went with her to MXI office after feeding her the CAI lies that all MLM Companies are illegal.  WHO PAID FOR THE AIRLINE TICKET?
YOUR COMPANY IS NEXT!

KEEP READING, YOUR INPUT ASKED BELOW

XOCAI OWNERS HISTORY  (Not false information from MLM Nightmares website)
Jeanette was a teacher - Teachers make some of the very best selling Network Marketers because they can “duplicate.”  In 1982 Jeanette started Yurika Foods out of Michigan.  Jeanette was V.P. of Marketing.  The Company was an MLM Boomer.  Yurika abruptly filed bankruptcy in 1985 with 40,000 creditors (WatchDog note: the majority were distributors) and a debt of $5 million. Jeanettes two senior partners, unknown to her put the money into an offshore money scam (The Cayman Islands) and lost it.  In an Interview with Mrs. Brooks she said, "I got a very hard lesson in accounting and trusting partners!"

Before Investigation WatchDog Editor's Opinion: That was one reason for the birth of the MLM WatchDog in 1985.  A friend of mine was in Yurika Foods while it was booming.    In 1985 (after the crash) we were using his motor home and doing motor home rallies to sell left over Yurika foods and Slick 50.  The good thing about Yurika it tasted good.  After Investigation: Jeanette's partners spent the $5 million.   Later the Brooks (they met and married as a result of the Yurika fiasco) paid off the the creditors in the Bankruptcy above 85 cents on the dollar.  As Bankruptcies go that is a good settlement rate!

In 1988, Jeanette and Martin Brooks founded Phoenix International Corporation, another boomer MLM company out of Sparks, Nevada.  It is still a legend because the products were sold as weight loss and they tasted good.   In May of 1990, the FDA notified Phoenix International Marketing Corp. that its products were in violation of federal laws because marketing materials (bootleg printing by a distributor in Alabama) with the Phoenix Cookie weight loss “made unsubstantiated medical claims.”  In an unusual move, the FDA tested just one batch of (there were six plants making them) the cookies and noticed they more calories and more fat than shown on the label.  Several TV exposes really hit the “Cookie Diet” hard -Like the television special aired and replayed "The Phoenix Cookie". NBC, May 9, 1990 etc.  FDA Report here: http://www.fda.gov/bbs/topics/ENFORCE/ENF00028.html distributors bailed (like me) and gradually over the next 3 years the Company faded away.  The Company DID NOT GO BANKRUPT as fraudulently reported elsewhere on the Internet - such as MLM - Nightmares.  The Phoenix Cookie Company just faded away after all the bad press.

MLM Watchdog advance opinion theory:  Someone with great grief about Martin and Jeanette Brooks put up the MLM Nightmares website - The Dr. Frank & Stephen Cherniske in the lawsuit below?  Another theory is that it's the owner of another MLM Company who had top distributors make a mass move to MXI Chocolate. 

KEVIN MIRCH BELOW WHO BROUGHT ACTIONS BELOW AGAINST THE BROOKS IS NOW DISBARRED.
The State Bar of Nevada recommended to the state Supreme Court that Mirch be disbarred, an action stemming from a lawsuit deemed frivolous Mirch filed in 2002 against a Reno law firm that was defending a company ordered to pay his clients millions of dollars.
Nevada Law Journal on disbarment of Kevin Mirch   PDF on Mirch if link disabled.
                                                                                             News article on the same

CASES AGAINST THE BROOKS BOUGHT BY KEVIN MIRCH ABOVE: On March 20, 1995 a judgment for breach of contract, fraudulent misrepresentation, fraudulent inducement and unfair competition, was entered in the United States District Court for the District of Nevada against Martin J. Brooks and Jeanette Brooks, among others, in a case titled Universal Sales, Inc. v Advanced Physicians Product, Inc. et al., Case No. CV-N-91-375-ECR. That judgment was in the amount of a little over $3 million plus applicable interest. This amount was amended on October 4, 2000, down to a little over $2 million plus interest in an appellate decision.  On April 4, 2004, a complaint and jury demand was filed by Asset Protection & Recoveries (out of business as far as the WatchDog can find)  Case now settled see link below.
Case Above Cleared legal letter:

Editor's Opinion Note: The WatchDog could NOT find this supposed FDA warning letter To Jeanette Brooks Pur3 De-lite on the FDA website for 2004 – 2008.  This proved to be a Fraud Statement on a Fraud website MLM Night Mares website lied that the Pure De-lite Chocolate owned by Jeanette Brooks was hit by the FDA.  Investigation proved that the entire low carb food Industry got the same letter not just Pure De-lite Products Inc.  So the Negative information you see in other places on MLM Nightmares..... unless it says that over 300+ companies got the same FDA letter which was a mass mailing by the FDA on carbohydraes and labeling. The Fraud statement about the FDA warning letter is just part of the unscrupulous fraudulent attack on MXI chocolate.  Don't repeat it or the WatchDog may show up at your trial to testify that you posted fraudulent information on the web to damage MXI Xocai chocolate.

QUESTIONS: WATCHDOG WANTS TO SEE DOCUMENTS = 1 &2 ANSWERED = GOOD!
1.  IS THIS CLEANED UP? - Current bankruptcy court records?  On February 13, 2002, Martin Brooks and Jeanette Brooks filed for Chapter 11 bankruptcy.  How much is left?  Is it a threat to MXI, the MLM company?  Can we get a lawyer familiar with these cases to state that if it isn't in writing, meaning that if he makes a mistake or lies, he can be sued and disbarred?
2.  HOW are MXI DISTIBUTORS PROTECTED? (a.) Included in the $47 million claims registry are claims filed by the IRS totaling $7,909,470, and in October 2006, a federal tax lien was filed against the Brooks' property.  Is this cleaned up?  Otherwise 3rd party verification with the 3rd party liable for lies or mistakes! (b.) Canada Customs & Revenue Agency Ministry of National Revenue are claiming $347,623 for unpaid taxes. Can we get a lawyer familiar with these cases to state there is no threat to the company.  Meaning that if he makes a mistake or lies, he can be sued and disbarred?  Otherwise 3rd party verification with the 3rd party liable for lies or mistakes!

LETTER FROM LAW OFFICES OF ALAN R. SMITH
CLEARING QUESTIONS 1 & 2 ABOVE CLICK HERE

3.  IS MXI COMMITTED TO 3RD PARTY PRODUCT TESTING?  With the past history of getting whacked by the FDA for improper ingredients is MXI committed to doing a complete NO COMPANY INVOLVEMENT 3rd party ingredient testing.

LEN CLEMENTS MARKETWAVE DOING PRODUCT TESTING





YOUR INFORMATION INPUT TO THE MLM WATCHDOG
ENTER HERE
http://www.mlmwatchdog.com/Reporters.html



Tags: MXI corporation, Xocai, chocolate, Ocarina product, Jeanette, Martin, Brooks, Phoenix Cookie, Yurika Foods, Australia Fair Trade,  Australia Therapeutic Goods Administration.



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