TelexFree Owner Appears to Have Left the US
Federal and Massachusetts regulators sued and froze TelexFree's assets last month, alleging that it was a pyramid scheme. A criminal grand jury in Boston is investigating the case.
On Wednesday, a federal bankruptcy judge in Las Vegas moved TelesFree's case to Massachusetts after the Securities and Exchange Commission argued that there were no grounds to file the case in Las Vegas. TelexFree's lawyers said the company filed for bankruptcy protection in Nevada so that it can reorganize the business. The SEC said there is nothing to reorganize, as the company had no meaningful business to speak of.
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TelexFree President Sentenced
James Merrill, former president of TelexFree, was sentenced on March 22 to six years in prison and three years of probation. Merrill pleaded guilty last October to one count of wire fraud conspiracy and eight counts of wire fraud.Merrill founded TelexFree with business partner Carlos Wanzel... Read More...
Agents Seize Approximately 20 Million in Scheme to Launder TelexFree Funds
January 26, 2017(Boston)--Approximately $20 million in cash hidden inside a box spring in a Westborough, Massachusetts, apartment was seized late yesterday, and a Brazilian man was arrested in connection with conspiring to launder proceeds of the massive TelexFree pyramid scheme.Cleber Rene ... Read More...
TelexFree President Pleads Guilty
Worcester, MA - October 25, 2016 -- James Merrill, president of TelexFree, pleaded guilty to one count of wire fraud conspiracy and eight counts of wire fraud in U.S. District Court. Prosecutors called TelexFree one of the largest Ponzi schemes in history, with nearly 1 million people losing close ... Read More...TelexFree Exec Requests Suppression of Evidence
An attorney for James Merrill has requested suppression of evidence seized during a raid of TelexFree's offices in April 2014. In a court filing, Robert Goldstein said the document seizure was "unconstitutionally overbroad" and that his client "respectfully submits that all evidence seized pursuant... Read More...
