Advocare International
May 5, 2022
The Federal Trade Commission said it was returning more than 149 million dollars to AdvoCare distributors who lost money in what the agency alleged was an illegal pyramid scheme. Payments were going to more than 224,000 consumers by check and PayPal.
The FTC sued AdvoCare in 2019, alleging the Texas-based multi-level marketer and others deceived consumers with exaggerated income claims and a compensation structure that pushed recruiting over retail sales. The commission said the refunds came from settlements entered before a 2021 Supreme Court ruling that limited the FTC's ability to seek monetary relief under Section 13(b).