Back in February the FTC
sued serial MLM scam promoters Thomas Dluca, Louis Gatto, Eric Pinkston and Scott Chandler
.

On March 12th an ex-parte Temporary Restraining Order was granted, freezing Dluca, Louis, Pinkston and Chandler’s assets.

On March 21st a “show cause” hearing was held, giving the defendants an opportunity to argue why a preliminary injunction shouldn’t be entered against them.

Despite all four defendants being made aware of the hearing, none of them showed.

The day after the hearing Magistrate Snow recommended the preliminary injunction be granted, but also gave the defendants until April 5th to object.

In the meantime the current TRO has been extended until April 9th, or earlier if a preliminary injunction is granted.

Update 18th April 2018 – 
On April 16th
a preliminary injunction was granted
against defendants Scott Chandler, Louis Gatto and Thomas Dluca.

A decision on Eric Pinkston is pending.


🤖 Quick Answer

What legal action did the FTC take against Thomas Dluca, Louis Gatto, Eric Pinkston and Scott Chandler?
The FTC filed a lawsuit against these four individuals in February, alleging involvement in serial multilevel marketing scams. A temporary restraining order was granted on March 12th, freezing their assets pending court proceedings and preliminary injunction hearings.

What happened at the March 21st hearing?
A show cause hearing was held, allowing defendants to present arguments against the preliminary injunction. However, despite receiving proper notice, none of the four defendants appeared in court to defend themselves.

What was the status of the case by mid-April 2018?
Magistrate Snow recommended granting the preliminary injunction on March 22nd, extending the temporary restraining order until April 9th. The defendants had until April 5th to file objections to the preliminary injunction


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