According to the Federal Trade Commission (FTC) in the USA, Vemma is an illegal Pyramid Scheme and the company fight in court to this – to be proven – allegation.
Temporary Vemma was forced to close down operations, the assets are frozen, basically a $200 million company is taken out in an hour by the FTC.
A first hearing in court is set for the second week of September.
Founded in 2004 by CEO – BK Boreyko and his two sisters, Karen and Lauren, Vemma Nutrition Company has become known as one of the premier industry leaders specializing in premium liquid nutrition.
Vemma has done over $1 billion in revenue since 2004, has clinical proven products, is a long standing member of the Direct Selling Organisation, and is open in 50+ countries all over the
Tag Archive for Vemma
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Where The FTC Went Right — And Where It Went Wrong
by Tina Williams • • 0 Comments
If Amway could make it out of the problems they had and come out the strongest network marketing company in the world, there’s a strong chance that Vemma can make it out of this as well — and probably better for it.
Whether you agree with the FTC or not about their reasons, it’s still an organization Americans need to understand and respect if they want to stay off the FTC radar.
The recent allegations against Vemma by the FTC are strong, to say the least. But what isn’t strong, is network marketing’s response to it. True to fashion, the response has been a retalliation against the allegations, disregarding the accusations. It is doubtful that most network marketers have read the details of the report.
In a nutshell, Vemma is in trouble because some time
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BK Boreyko – Vemma CEO Statement on FTC Pyramid Charges Case
by Ted Nuyten • • 0 Comments
BK Boreyko, Vemma CEO stated today on his Facebook:
“Hello Vemma faithful:
Just wanted to clear up a couple of phone calls I’ve received about moving to other companies. Although I know there’s panic out there, I want you to hear it from me…hang tight.
We have a hearing scheduled for September 3rd.
I think we’ll win. Until then, I know you want to do the best for your teams and that’s a sign of great leadership.
I will and have always complied with the court’s order in this matter. I’m the kind of guy that would never violate the terms of that order. If you hear anything different, tell them you talked to me and I said buckle up because there’s great things ahead for Vemma!
About Vemma
Founded in 2004 by BK Boreyko and
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Vemma Might Be In Business After 3 September
by Ted Nuyten • • 0 Comments
According to Kevin Thompson – the MLM attorney, in below video, there is a fair chance Vemma will be again in business next week.
Kevin Thompson is the leading Network marketing top attorney in the USA.
He stated: “It’s my opinion that the FTC got this one wrong. Vemma, with a long history of product value and a A+ rating with the BBB (a near impossible feat), does not fit the “pyramid scheme” mold. This is an important case”.
He also stated that he believes the Injuction (a court order to stop business) will be lifted after the hearing, the first meeting in front of the judge, between Vemma and the FTC.
He also believes the lack of regulation in the MLM – Network marketing industry has triggered this lawsuit, basically the FTC can
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FTC: Vemma Temporarily Shut Down For Running Pyramid Scheme
by Tina Williams • • 0 Comments
AP Reports: The Federal Trade Commission said Wednesday that Vemma Nutrition has been temporarily shut down for operating a pyramid scheme that promised college students riches if they sold its nutritional drinks, but most ended up losing money.
The consumer protection agency said that Vemma told recruits that they could make as much as $50,000 per week selling its nutritional beverage Vemma, energy drink Verge or protein shake Bod-e. An initial investment of $600 was paid for products and business tools and $150 in Vemma products had to be bought each month to receive bonuses. The FTC said Vemma provided little help on how to sell its products and instead rewarded them for recruiting more people.
Vemma earned $200 million a year in 2013 and 2014, according to the FTC.
A representative from Vemma, which is based in
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Could Herbalife Be Next? ValueWalk Speculates
by Tina Williams • • 0 Comments
ValueWalk reports: Herbalife Ltd. (NYSE:HLF) is one of Wall Street’s favorite controversies, and now it seems like there could be another problem on the company’s plate. Although it isn’t directly impacting Herbalife right now, it could at some point in the future, as the company has admitted to being under investigation by the Federal Trade Commission.
FTC moves against Vemma Nutrition
The FTC is now seeking an injunction against Vemma Nutrition, another multi-level marketing company which sells some products that are similar to those sold by Herbalife. Unfortunately for Herbalife, its business practices (some past and some present) seem to be in some ways similar to Vemma’s practices. ValueWalk contacted a pyramid scheme expert who found three areas of concern for Herbalife in the case filed against Vemma.
Court documents reviewed by ValueWalk (Hat tip to Quoth the Raven)
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FTC Charges Vemma To Be An $200 Million iIlegal Pyramid Scheme
by Ted Nuyten • • 0 Comments
The FTC lawsuit against Vemma has been published and this are the allegations: illigal pyramid scheme, Income claims, Failure to disclose, Means and instrumentalities, Relief defendent.
The FTC was granted a court order to freeze the company’s and CEO B.K. Boreyko’s assets as well as a temporary restraining order.
“Defendants are running a global pyramid scheme that has likely victimized hundreds of thousands or millions of consumers” the FTC said in court filings released to the public Tuesday.
It is a direct attack on the MLM – network marketing industry. If Vemma is closed down, a lot of network marketing companies with a simular model in the USA are in deep trouble.
The FTC names Vemma Nutrition Company, Vemma International Holdings, B. K. Boreyko, and Tom Alkazin as defendants.Tom Alkazin’s wife, Bethany Alkazin is named as a
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FTC Attacks MLM Autoship Programs, Vemma Served With Complaint
by Ted Nuyten • • 0 Comments
Vemma was served with a complaint by the FTC on 25 August in the USA, for their autoship program. Vemma affiliates Back Office is temporarily unavailable.
Autoships are huge. Most companies with solid products will see anywhere from 40% to 75% of all revenues come from the monthly reorder of their products.
The FTC – Federal Trade Commission – is a powerfull USA government organization and its mission is “Protecting USA customers”.
This is not a Vemma issue, this is an attack on the Industry. Vemma has the bad luck to be the guinea pig, and it will cost the company and CEO BK Boreyko, huge amounts of time and money to defend them against this FTC investigation.
In VEMMA the auto ship is optional, so apparently this investigation is based on an “old” complaint and
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Veteran Colombia Entrepreneur Embraces Vemma® Vision And Skyrockets To Ambassador
by Tina Williams • • 0 Comments
Efrain Sarmiento is a veteran in the affiliate marketing industry. With 18 years of experience, the native Colombian has seen affiliate marketing companies come and go in the country, but none has offered an opportunity or a vision like Vemma.
“People claim they have the smartest people or the best-looking people or the best compensation plan,” explains Efrain. “The biggest difference (about Vemma) was meeting Vemma Founder & CEO BK Boreyko. I saw the vision he had, and it was unlike anything I’d ever seen in any other company. He enrolled me in his vision.”
The Vision
Since joining Vemma about a year ago, Efrain has set to work building a bigger vision with team members such as Juan Diego Cepeda and Darío Lado, who want to grow the “Latino Revolución Profesional” (#LRP) not only
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David And Debbie Reeder – Vemma Hit Royal Ambassador
by Ted Nuyten • • 0 Comments
Six years ago, David and Debbie Reeder decided to leave Vemma to seek out another opportunity. “We were distracted,” admits Debbie, reflecting on the four-year season. “You don’t know what you have until it’s gone.” Exactly 26 months ago, the pair returned, but this time, they were different people with a different level of commitment.
“We made a decision to be committed. It wasn’t ‘we’ll try this and see what it’s like in six months,’” explains David. “If you want to be successful in this business, you have to have resolve. You’ll find reasons to leave and shiny things that come along will take your focus off of what you want to accomplish.”
That self-described “tenacious” nature has paid off this time around as the couple has diligently focused, built deep and continued to