FTC deconstruct all aspects of Digital Altitude’s “fraudulent operation”

As of yet I don’t have any news on the outcome of the scheduled preliminary injunction hearing today.

As per the
FTC vs. Digital Altitude
case docket over the past week or so though, here’s what we do know.

Defendants Alan Moore, Sean Brown and Morgan Johnson have consented to the entry of a preliminary injunction against them.

The consented preliminary injunctions stipulate the permanent appointment of the Digital Altitude Receiver and maintaining the current asset freeze.

Digital Altitude
, Michael Force and Mary Dee are fighting the injunction and filed a Memorandum in Opposition on February 27th.

In response to the memorandum the FTC maintain

Digital Altitude operation took millions of dollars from consumers with false promises of substantial earnings and effective business coaching.

Since this Court issued the Temporary Restraining Order (“TRO”), the Federal Trade Commission (“FTC”) has amassed substantial additional evidence that Defendants violated the FTC Act.

The evidence shows that Digital Altitude was a pernicious scheme to part consumers from their money, for the enrichment of a few high-level Digital Altitude members.

The FTC claim Digital Altitude’s opposition

contains no evidence to the contrary, and does not show cause why a preliminary injunction should not (be) issue(d).

The FTC “raid” on Digital Altitude’s offices

Presented as “facts and evidence” in support of a preliminary injunction, the FTC’s reply to Digital Altitude’s opposition begins by detailing a “raid”o on the company’s offices.

On February 5, 2018, the Temporary Receiver, his attorney, members of his staff, and FTC staff, with the permission of the Temporary Receiver, accessed Digital Altitude’s offices in Lindon, UT.

The offices, which the previous owner had used as a snake breeding facility that was shut down after being raided by the FBI, still contained a large reptile enclosure and other accoutrements of a reptile breeding facility.

I’m not 100% sure if “previous owner” refers to Michael Force
after
the Receiver was appointed or the owner(s) before Force.

Either way, why the breeding equipment was still in Digital Altitude’s offices is unclear.

Also unclear is why Digital Altitude seemingly lied about the nature of the FTC’s visit to the company’s offices.

In their filed opposition, Digital Altitude claimed ‘
the FTC stormed into their offices, armed officers in tow
‘.

According to the FTC however,

the Receiver and the FTC were not accompanied by any law enforcement officers when they entered the Defendants’ call center.

The Receiver, alone, spoke with the owner of the property, who accompanied the receiver to the “offices.”

The Receiver invited the FTC in after several minutes.

Inside the Digital Altitude offices the FTC found

numerous cubicles, at which several of Digital Altitude’s employees were engaged in telemarketing to consumers.

Several of Digital Altitude’s employees’ computers had access to Digital Altitude’s corporate Go

🤖 Quick Answer

What allegations does the FTC make against Digital Altitude's business model?

Who among the defendants consented to the preliminary injunction?
Defendants Alan Moore, Sean Brown, and Morgan Johnson consented to the preliminary injunction entry, which mandates permanent appointment of a Digital Altitude Receiver and maintenance of asset freeze measures.

What is Digital Altitude's response to the FTC's legal action?
Digital Altitude, alongside Michael Force and Mary Dee, actively contested the injunction by filing a Memorandum in Opposition on February 27th, refusing to accept the FTC's allegations and proposed remedies.

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