Massachusetts regulators have confirmed an active investigation into TelexFree, following earlier denials by company officials. Brian McNiff, speaking for Commonwealth Secretary William Galvin's office, told Patrick Pretty that an inquiry is underway. This confirmation comes after Alessandra Marques of the Acre Public Prosecutor's Office first stated in January that a US investigation was ongoing.

Despite Marques' earlier statement, Steve Labriola, TelexFree's International Marketing Director, publicly denied any investigation on January 15. Labriola claimed the company had not received any notice of an inquiry. He dismissed Marques' information, stating that he and TelexFree had "not heard of anything" regarding such claims.

Secretary Galvin's office has now issued subpoenas. These compel certain individuals to appear before the Massachusetts Securities Division on March 5 at 10 a.m. and 2 p.m. Separately, a federal agency has interviewed a person who may possess knowledge about TelexFree's operations, according to Pretty's reporting. The identities of those subpoenaed have not been publicly disclosed.

However, Carlos Wanzeler and James Merril, the owners of TelexFree, are widely expected to be among those served. Wanzeler and Merril reportedly fled to the United States after Brazilian authorities shut down the company. Labriola, given his prominent role, also seems a likely candidate for questioning by investigators.

Labriola previously assured TelexFree affiliate investors, stating, "if there's something going on we'll let you know." He and the rest of TelexFree's executive management are currently in Madrid. They hope to entice Spanish investors to contribute new funds into the scheme at a company convention this weekend.

If Labriola's earlier promise holds true, one would expect TelexFree to release an official statement concerning the Massachusetts investigation by Monday morning.