A second $5 billion putative class action has been lodged against TelexFree, a Massachusetts-based company that federal authorities allege created a $1 billion international Ponzi scheme that rooked in at least 700,000 creditors who became members in a program that supposedly allowed people to make unlimited international phone calls.
In Ferguson et al v. Telexelectric, LLLP, filed on June 5 in U.S. District Court for the Eastern District of North Carolina, the plaintiffs allege that TelexFree operated a pyramid scheme in which participants, for an investment of $289 or $1,375, would reap a 200 percent return. All they were required to do was to post pre-written ads to certain websites, the complaint alleges.
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
LexisNexis® and Bloomberg Law are third party online distributors of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® and Bloomberg Law customers are able to access and use ALM's content, including content from the National Law Journal, The American Lawyer, Legaltech News, The New York Law Journal, and Corporate Counsel, as well as other sources of legal information.
For questions call 1-877-256-2472 or contact us at [email protected]
