From time to time BehindMLM gets enquiries as to the status of victim claims, as well as payments issued by the Receive to Zeek Rewards victims.

Obviously the Receivership themselves are too, with the Receiver publishing a
June 18th update
to clear up some of the confusion.

First the big news, with victims of Zeek Rewards set to be issued a second distribution payment.

I am pleased to announce that we will be making a second partial interim distribution to all Affiliates who hold Allowed Claims on the next Court authorized distribution date (July 31, 2015).

This second payment will bring the amount returned to Zeek Rewards victims to 60% of funds invested.

Second, some additional information as to the “rising tide” method use to calculate distribution payments:

The rising tide method of loss calculation is designed to make every recognized claimant equally whole (as a percentage of their investment).

Take for example two recognized claimants, each of whom invested $10,000 into the Zeek Rewards Ponzi scheme. The first claimant received nothing back from Zeek Rewards while the scheme was operating.

The second claimant received $4,000 out of Zeek Rewards before it was shut down. Under the rising tide method, the second claimant is deemed to have already received 40% of her investment back, while the first claimant has received nothing back.

When we made the first partial interim distribution of 40% the first claimant received $4,000, but the second claimant did not receive a distribution check.

When the second interim partial distribution is made, the first claimant will receive an additional $2,000, and the second claimant (who did not get a first distribution) will receive $2,000.

This will ensure that both claimants have received 60% of the amounts they invested.

According to the Receiver, and somewhat surprisingly, some Zeek investors have complained about this method of calculation.

While some Affiliates have complained about the rising tide method, I believe it is the most fair way to make the Zeek Rewards victims equally whole; two investors put $10,000 into the scheme and each will receive $6,000 total, whether it was received from the scheme itself, or from distributions from the receivership, or a combination of both.

How on Earth is that 
not 
fair?

An investor perhaps putting themselves on a pedestal and wishing to screw over everyone else for their own benefit aside, everybody getting back an equal share of what they put in (there’s only so much seized funds to go around), seems pretty legit fair to me.

Third we have clarification on the quarter payment schedule, namely that these aren’t scheduled quarterly distributions, but rather the timeframes within which distributions can be made on existing claims.

There also has been some confusion about our quarterly distributions. Some mistakenly believe that they will receive a distribution every quarter. There was a first partial interim distribution and will soon be a sec

🤖 Quick Answer

When will Zeek Rewards victims receive their second payment?
The Receiver announced that a second partial interim distribution will be issued on July 31, 2015, to all Affiliates holding Allowed Claims. This payment will bring the total amount returned to victims to 60% of their original invested funds.

What method is used to calculate distribution payments to Zeek Rewards victims?
The Receiver employs the "rising tide" method to calculate distribution payments. This methodology ensures equitable allocation of recovered funds among eligible claimants based on their verified investment amounts and claim status.

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