Amid Wire Flap, AdViewGlobal Pitches Mind-Boggling, 250 Percent Match; Members Question Surf’s Management Practices
Signs of the apocalypse? Some members of the AdViewGlobal autosurf are openly fretting that the company’s behavior could be a signal that all is not well.
But one AVG loyalist insists things are just fine and that AVG’s problems are being caused by the “greed” of people who know that the surf poses “a threat to their income stream.”
AdSurfDaily made a similar claim last summer, just prior to the federal seizure of its assets.
Just this morning, an AVG forum operated by some of the Mods and members of the Pro-AdSurfDaily Surf’s Up forum went on a delete-fest, nuking posts in which members purportedly shared information AVG deemed private.
On May 4, AVG, which also is known as AVGA, announced it had a deal with an offshore bank to accept member deposits for the purchase of â€œadvertising.â€
Three days later, one of the companies AVG said was facilitating the transfers to The Bank of N.T. Butterfield and Son Ltd., issued a public denial that it had any business relationship with AVG and said it believed it had been targeted in a scam.
AVG did not inform members of the denial by KINGZ Capital Management Corp., instead explaining the sudden removal of a wire facility it had just announced was a result of failed negotiations.
KINGZ, however, said it had never discussed business with AVG, but had discussed business with a Florida company known as Living Legacy One LLC. Living Legacy One lists its managing member as Gerald Castor, whom AVG once identified as a member of its “Compliance” department.
The implication of KINGZ’ claim was that AVG tried to create a backdoor route to funnel money to AVG through Living Legacy One. KINGZ said it acted immediately to prevent AVG from receiving any money via wire through its systems.
â€œNothing has ever been accepted from [AVG], nothing has been â€” and nothing will be,â€ said Michael P. Krywenky, president and chief executive officer of KINGZ. â€œWe are very shocked, and weâ€™re appalled [by the AVG claims].â€
AVG’s claims were “extremely bizarre,â€ Krywenky said, adding that the company had started an investigation and was consulting with its attorneys.
New, Matching Bonus Program
Last night, AVG announced that it was offering an astonishing, 250-percent, matching- bonus program. The program also provides a mind-boggling, 200-percent match for sponsors. Under the math of the program, a member who paid AVG $1,000 would be credited with a purchase (and the earning power) of $2,500, and the member’s sponsor would be credited with a purchase (and the earning power) of $2,000.
Although the company said the program was implemented to celebrate the upcoming launch of a new website, some AVG members now are openly questioning whether the firm is having cash-flow problems and is trying to raise money quickly to forestall a disaster.
AVG’s move came on the heels of reports that it paid out higher-than-normal paper profits over the weekend, a possible indication that it was trying to paint a picture that all was well so members would be more inclined to throw money at the surf when the new, matching-bonus program was announced.
The surf simultaneously is promoting an “80/20″ program. Such programs are designed to minimize cash outflows and keep money in the system.
An explanation of the company’s behavior left at this Blog yesterday by a member named “Chris” sounded very much like defenses for AdSurfDaily that populated websites last summer.
Here is part of what what Chris said:
“We do have outside revenue and therefore we do not need to use members money to pay for the incentives,” Chris said.
“Kingz Corp stopped all realtionships (sic) with us because they were being threatened with bad publicity if they continued. Now this cannot be proven and I know that is what your (sic) going to say, but their (sic) are those who do not like our advertising model and they want to see us shut down.
“The reason they want us shut down is because of greed!” Chris said. “They know we are a threat to their income stream and they donâ€™t like it.”
People who questioned AVG management were hurting the company, Chris said.
“The truth is ASD was doing very well before they were shut down and now we are doing well and you can continue to battle us thatâ€™s ok, we can take it! We are not going to give up the fight! Google can make millions every day and no one bats an eye lash (sic).”
Chris said the fact ASD President Andy Bowdoin is not in jail demonstrates the government has nothing on him.
“Why is it that Andy is not in jail right now?” Chris inquired. “Mr. Maddoff (sic) is heading there. Why donâ€™t they arrest Mr Bowdoin if he indeed has done a ponzi and taken peoples money? Why? Please explain that to me? I will tell you why, because they canâ€™t. They can take the money and possessions but not Andy becuase (sic) they donâ€™t have evidence of a ponzi scheme plot, people were getting paid, money was being distributed slowly but getting to the people nonetheless.”
Read Chris’ full remarks here.