Alovea, a Texas-based company, emerged in 2020 from a rebranding of Evolv Health, an earlier multi-level marketing venture. The transition followed a series of legal and regulatory actions against founder Sam Caster, who paid a $1 million civil penalty in 2009 related to an illegal marketing scheme. His involvement in Alovea continues a pattern of businesses that have drawn official scrutiny.
Alovea states on its website it operates as a "Public Benefit Corporation," founded by two international not-for-profit organizations. Nations Changer Movement Network, owned by Sungun Hong and Mijin Kim, and MannaRelief, owned by Sam and Linda Caster, are cited as owners. Evolv Health is listed as a "collaborating partner," despite its website domain now redirecting to Alovea, suggesting a more direct reboot than a partnership. Nations Changer Movement Network, based in Korea, does not feature Alovea on its website, indicating limited day-to-day involvement.
Sam Caster, also known as Samuel L. Caster, built his reputation in the MLM industry as the founder of Mannatech. He served as Mannatech's CEO until his resignation in 2007. His departure occurred amidst escalating legal and regulatory controversies. Larry A. Jobe, a Mannatech board member, stated Caster suggested his own resignation to concentrate on company marketing, though Jobe acknowledged the lawsuits caused "a lot of concern" among board members. Securities and Exchange Commission filings indicated Caster and the board of directors disagreed on the reasons for his resignation.
A class-action lawsuit filed in 2005 against Mannatech by shareholders alleged the company made a series of material misrepresentations. Specifically, the lawsuit claimed Mannatech failed to control its sales associates, who made false claims about product efficacy. The Texas Attorney General, following an investigation initiated in October 2006, charged Mannatech and Sam Caster in July 2007 with operating an illegal marketing scheme in violation of state law.
Mannatech settled the civil complaint on February 26, 2009, agreeing to pay $4 million in restitution to product purchasers and $2 million to the state for its costs. Caster personally agreed to pay a $1 million civil penalty. The Texas Attorney General also barred Caster from serving as a director, officer, or employee of Mannatech for five years, from February 2009 until February 2014. He was also prohibited from taking a role in any other multi-level marketing programs during that period.
This was not Caster's first encounter with the Texas Attorney General. His initial two major business ventures had also attracted regulatory attention. Eagle Shield, Caster's first major product, was an insulation material claiming to use NASA technology and promised up to 40% reduction in heating and cooling costs. The Texas Attorney General concluded the technology predated NASA and did not deliver the advertised savings.
His second product, the "Electrocat," sold as a pest control device, purportedly emitted pulsed vibrations to repel various pests. In January 1991, the Texas Attorney General investigated the Electrocat, finding it emitted no vibrations. The Attorney General declared it "a hoax" with the same scientific basis as a perpetual motion machine.
After his resignation from Mannatech, Caster continued as an "independent consultant" to the company. Mannatech experienced multiple CEO changes and significant financial declines in the years that followed. Profits of $32 million in 2006 and $6.6 million in 2007 turned into losses of $12.6 million in 2008, $17.3 million in 2009, and $10.6 million in 2010. By mid-2010, Mannatech's sales had dropped by a quarter. The company's market capitalization fell, leading S&P Indices to remove it from the S&P 600 Index. Recruiting efforts continued to decline in 2011, widening losses to $20.6 million.
Mannatech's fortunes began to reverse around 2013, reporting a net income of $3.2 million, compared to a $1.4 million loss in 2012. This recovery was largely driven by increased affiliate recruitment in Asia and Europe, and net sales increases across Asia, the US, and Europe. Net sales for Asia/Pacific climbed 16.4% to $20.6 million in the fourth quarter of 2013, fueled by a 21.8% increase in active associates and members. North American net sales rose 5.9% to $21.7 million, with revenue per active associate increasing by 13.7%. Europe, the Middle East, and Africa saw a 2.4% increase in net sales to $4.2 million, primarily due to a 13.9% rise in active associates.
In March 2014, one month after his MLM ban expired, Caster began appearing in Mannatech promotional videos as the company's "founder and visionary." Simultaneously, Mannatech announced it was parting ways with Caster. Later in 2014, Caster launched EMSquared, a short-lived program described as a pyramid scheme that leveraged charity as a marketing tool.
The precise date Caster became CEO of Evolv Health remains unclear. A 2016 article mentioned Sam and Linda Caster, founders of MannaRelief, joining the "Evolv Health HOPE Movement." Google searches suggest Caster began to appear as CEO from 2019. Whether Caster, through MannaRelief or other means, held an ownership stake in Evolv Health before the 2020 Alovea rebranding has not been publicly clarified.
Alovea's product line consists of nutritional supplements centered on aloe vera. Examples include Alovea Swirlz, a sugar-free vanilla and chocolate taffy with Acemannan, retailing at $20 for 14 candies. Alovea Hope Pops, described as all-natural, sugar-free, immune-building treats, sell for $21 per 109-gram bag. Alovea Cell-a-brate, formulated to support immune health, retails at $73.99 per bottle.
