Jeanette and Andrew Brooks founded MXI Corp in 2005 in Nevada, launching Xocai chocolate through a multilevel marketing scheme. Just three years prior, the pair faced over $36 million in claims from 25 entities during bankruptcy proceedings in Reno.

The couple had abandoned creditors 15 years earlier by fleeing to Canada. They later returned to Nevada. There, they operate from new headquarters. Court documents examined by the Brisbane Herald show their previous four diet and health product companies tangled with litigation and bankruptcy across Nevada, Utah, Alabama, two Canadian provinces, and the Cayman Islands.

Andrew Brooks, MXI's chief executive, faced arrest in Montana 15 years ago. He had illegally transferred funds to the Cayman Islands. He pleaded guilty. The following year, he and his wife agreed to a civil judgment for fraud worth approximately $600,000.

Before MXI, Jeanette Brooks ran Pure De-Lite, a non-MLM chocolate company. She marketed it to retail chains. Brooks claimed $300 million in retail sales and promoted herself as a millionaire at 29. Pure De-Lite ended up in receivership. The company's main product, a low-carb chocolate bar, violated federal law. It was not sugar-free as advertised. Its carbohydrate content was significantly understated.

The Federal Drug Administration flagged another previous product, the Phoenix Fiber Cookie, for false health claims. The Brookses' unpaid creditors included both U.S. and Canadian tax offices. Business partners and angry distributors also held claims after the product was pulled from the market.

MXI Corp continues operating. The company's Xocai chocolate line, pronounced "sho-tsai," combines dark chocolate with acai and blueberries. Distributors purchase inventory to sell directly to consumers. This structure generates income as much from recruitment as from product sales.

The pattern remains clear for potential recruits. The Brookses have spent two decades launching health and diet ventures. They collect lawsuits and regulatory violations along the way, then move to the next product and the next group of distributors. The bankruptcy claims, fraud judgments, and FDA violations are not isolated incidents. They form a cycle that repeats with each new venture.

The operation continued in 2012.