commiserations Jardan, can't say you weren't informed/warned. Hundreds of thousands quit their jobs for this and many will lose. Were not all 'skeptics' with tin foil hats on bro, some of us have been arround long enough.
Zeek Rewards A $600 Million Ponzi Scheme; Shut Down By U.S. SEC
August 17
When it comes to making money online, there are more scams than legitimate businesses, which can certainly make most people skeptical about any businesses that are online-only.
ZeekRewards.com is one such website which seemed too good to be true as it was a way for users of Zeekler.com, a penny auction site, to earn reward points which can be turned in to offer investors up to 50% of daily net profits.
Unfortunately for its investors, it was uncovered the website was actually a ponzi scheme as roughly 98% of revenue and net profits was coming from new investors. The way visitors of ZeekRewards would share in the company's profits was by paying subscription fees and becoming affiliates of the site.
ZeekRewards.com was said to be on the verge of collapse when The Securities and Exchange Commision accused Rex Venture Group, the parent company of ZeekRewards.com, of fraud charges totaling $600 million from more than 1 million of its customers from its start in 2011.
On Friday, SEC had acted quickly to freeze the company's assets before its inevitable collapse and was able to put a freeze on $225 million in investor funds located across 15 foreign and domestic financial institutes. Rex Venture head Paul Burks has agreed to settle the case with the SEC while not admitting or denying any crime was committed. Burks is expected to pay a $4 million penalty and no longer being the head of Rex Venture Group.
As of the time of this writing, both ZeekRewards.com and Zeekler.com are currently unavailable, but promises more information on both websites in the near future.
We hope you've learned a valuable lesson from this news piece, dear reader. Always be wary of penny auction sites and please remember if something seems too good to be true on the Internet, that's because it probably is.
