Steven Labriola has agreed to return $98,963 to victims of the TelexFree Ponzi scheme. The settlement, filed on July 3rd, resolves claims brought against Labriola by the Securities and Exchange Commission (SEC) following the collapse of the multi-level marketing operation.

Labriola, who publicly represented TelexFree, was a named defendant in the SEC's April 2014 complaint. He was tasked with addressing investors when the company faltered. At the time of TelexFree’s bankruptcy filing in early 2014, Labriola famously described the collapse as "the most awesome thing." While company owners James Merrill and Carlos Wanzeler absconded, Labriola was left to confront angry investors.

Despite his public role, Labriola was reportedly paid less than $100,000 for his involvement. This starkly contrasts with the millions earned by TelexFree's owners and top investors, who profited from the $3 billion fraud. The SEC's agreement with Labriola includes a disgorgement payment of $98,963. A $25,453 civil penalty was waived, based on Labriola's representations about his current financial status.

The payment plan requires Labriola to liquidate certain bank accounts. He must then pay $20,727 in quarterly installments over five years. Labriola has also consented to waive his rights to a jury trial and an appeal as part of the agreement. The SEC judgment does not preclude potential future criminal charges from the Department of Justice, though such action is considered unlikely.

The Final Judgment agreement was dated June 7th and filed on July 5th. Judge Gorton had not yet approved the agreement at the time of publication. Labriola was previously reported to be working as a night shift manager at Domino’s Pizza. On July 13th, Judge Gorton formally approved the Final Judgment against Steven Labriola.