With the
FTC alleging Vemma is a $200 illegal pyramid scheme
, a big question mark now hangs over the credibility of their top income-earners.
To what extent are they complicit in the fraud carried out? How much are they responsible? How much did they earn and should they be made to return the funds they defrauded consumers out of?
Today we take a look at perhaps the most prominent of examples, former Vemma poster-boy Alex Morton.
Amidst a sea of controversy, Alex Morton left Vemma to join Jeunesse a few weeks ago.
This saw Vemma owner B.K. Boreyko issue veiled threats against Morton. Morton didn’t directly respond to Boreyko’s criticism, but has instead been
flooding
Facebook with promotional activity for Jeunesse.
As I read through the FTC’s complaint against Vemma, and within the context of Alex Morton’s involvement in Vemma, a few paragraphs about the promotion of Vemma stood out.
Vemma’s marketing efforts include a campaign called the “YPR”, “Young People Revolution” or “Young Professional Revolution”, which targets young adults, including college students.
Vemma’s YPR marketing materials prominently feature young, seemingly affluent individuals surrounded by conspicuous displays of wealth, such as luxury vehicles, jets and yachts.
Alex Morton is arguably the architect of the YPR, and prior to leaving Vemma was often credited as a “YPR Ambassador”.
At the very least, Morton was the prime driving force behind YPR and through the marketing campaign has made millions of dollars.
How?
Defendants promote the Vemma program through a variety of channels, including websites, videos, testimonials, print materials, social media tools and live presentations and meetings, such as “opportunity events” and “home events”.
Opportunity events are meetings designed to motivate train affiliates and to recruit new affiliates.
High-level affiliates … typically host these events in hotel ballrooms conference rooms, or convention centers around the country.
Home events are smaller recruitment meetings at an affiliate’s residence, dorm room, park or other location.
Through each of these channels, consumers (are) pressured to become Vemma affiliates and to recruit others, including friends and family members, to do the same.
At the core of the FTC’s complaint against Vemma is a lack of retail sales driving the business, with Vemma instead relying primarily on monthly autoship orders of recruited affiliates to generate revenue.
Within the
Jeunesse business model
, the same is entirely possible. And upon perusal of Morton’s Facebook activity over the past few weeks, alarm bells should be going of at Jeunesse corporate.
If I may, the following isn’t ancient history but rather posts taken directly from Morton’s Facebook feed over the
last few days
– juxtaposed with excerpts from the FTC’s complaint.
Vemma’s marketing efforts include a campaign called the “YPR”, “Young People Revolution” or “Young Professional Revolution”, which targets young adu
🤖 Quick Answer
Was Alex Morton involved in Vemma before joining Jeunesse?Yes, Alex Morton was a prominent income-earner and poster-boy for Vemma before departing the company. His high-profile status within the organization made him a notable figure during the FTC's investigation into Vemma's alleged $200 million pyramid scheme operations.
Why did Alex Morton's departure from Vemma generate controversy?
Morton's transition to Jeunesse prompted veiled threats from Vemma owner B.K. Boreyko, suggesting tensions between leadership and departing distributors. Morton responded by intensifying promotional activities for Jeunesse on social media platforms rather than directly addressing Boreyko's criticism publicly.
What legal concerns surround top earners in the Vemma case?
The FTC investigation raised questions about complicity of high-income earners in alleged fraud
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