Everest College Fraud in Milwaukee?

Today I got a call from Everest University, asking if my company needed any interns. I let them know that I was aware of the Everest College fraud, that we are fraud investigators, and that no, we would not do any business with them. What am I talking about?

The State of Wisconsin has sued Corinthian Colleges Inc. for defrauding students in an effort to enroll them in their for-profit schools. For-profit colleges and universities tend to prey on young adults who are unsophisticated financially. They talk the students into taking out loans to pay outrageous tuition (high tuition, poor quality education). The students are happy because they have a chance to get a degree without paying much out of  pocket now, not realizing that the crappy degree will never pay for itself (they will never earn enough at a job in their field to pay off the loans).

The complaint in this case provides interesting information on how Everest College ran its scam:

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Avon is NOT a “Good” MLM

avon-mlmLast week I wrote about Good MLMs Versus Bad MLMs. The truth is that there is no such thing as a “good” multi-level marketing company. Oh sure… MLM supporters will tell you that some “direct sales” companies are doing it right, and some are doing it wrong. They will tell you that every company has “bad apples,” but that you have to look past those and see the good people.

These arguments are all false. Companies call themselves “direct selling” in order to direct attention away from the fact that they are recruiting schemes. MLMs are all endless chain recruitment schemes in which 99% of participants are guaranteed to lose money. That is not a business… it is a game rigging in favor of the owners of the company, and participants are guaranteed to lose no matter how hard they try. Promoting this as a “business opportunity” is unethical and immoral.

It therefore follows that if the company and the opportunity are unethical and are not a business, the people promoting the company and opportunity cannot be good. A horrible, deceitful “opportunity” does not change into something right, moral, and ethical, no matter how “good” the person promoting it is.

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Why Products Offered by Multi-Level Marketing Companies Are So Expensive

usana-health-sciences-chinaMulti-level marketing companies (MLMs) are nothing but legalized scams. Make no mistake… they are pyramid schemes, but the government allows them to operate. Why are these obvious Ponzi schemes (which, by the way, the MLMs will swear up and down they are not… thou doth protest too much) allowed to operate? Who knows why the government will not crack down on this massive consumer fraud. The best thing we can do is educate consumers about the evils of multi-level marketing so they can avoid these companies… that means NOT becoming a distributor and NOT buying any of their products.

MLMs use products to make their companies look legitimate. They can’t be a scam if they are selling an actual product, right? WRONG. They absolutely can be a scam, because the product is simply a “front” for the scheme they are running. The product is meant to make the company look legitimate and hide the fraud.

The products from nearly every MLM are overpriced. That is, they cost more than comparable products available through legitimate channels (i.e. real retailers). The distributors will tell you it is because the products are very high quality!!! The magic juice has vitamins that are more bio-available! The make-up has better ingredients! The clothes are made better! The pills have super secret magical powers that cure all illnesses! These are all lies. The products are not better.

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Cary Spivak Working With Elite Protection Specialists

Cary Spivak, investigative reporter at the Milwaukee Journal Sentinel, joined Elite Protection Specialists earlier this year. While he is still employed with the newspaper full time, he is working as a private investigator part time and building his client base. Spivak is doing background investigations, and a press release from the company notes the importance … Read more Cary Spivak Working With Elite Protection Specialists