UPDATE: Call In Which Frederick Mann Told JSS/JBP Members That ‘Opportunity’ Was Paying Them With Funds From ‘New Members’ Goes Missing From Website
UPDATED 7:44 A.M. EDT (U.S.A.). A potentially damning audio recording of a March 15 conference call in which Frederick Mann told JSS Tripler/JustBeenPaid members that the “opportunity” was paying them with money from “new members” has gone missing from the JSS/JBP website.
The precise date on which the recording was removed was not immediately clear. But the removal occurred after JSS/JBP also had removed recordings of conference calls featuring Carl Pearson, a pitchman for the “opportunity” and its purported COO.
Mann, whose name appeared in 2008 promos as a pitchman for AdSurfDaily, is the purported operator of JSS/JBP. The U.S. Secret Service seized tens of millions of dollars tied to ASD in 2008, amid allegations it was conducting an international Ponzi scheme over the Internet.
ASD President Andy Bowdoin was charged criminally in 2010. He now faces a May 8 bond-review hearing amid allegations that he continued to scam the public even after the August 2008 seizure of $65.8 million from his 10 personal bank accounts and even after his December 2010 arrest in Florida on ASD-related Ponzi charges of wire fraud, securities fraud and selling unregistered securities.
“I (Frederick Mann) have been with ASD since January 07,” remarks attributed to Mann on a site known as BigBooster read on May 14, 2008. “Past performance indicates a strong probablility (sic) that ASD will continue to perform as advertised. (By early May 2008, I had received 14 payments totalling over $6,000!”)
The U.S. Secret Service conducted a Ponzi raid of ASD less than three months later. Despite the Ponzi allegations against Bowdoin and ASD, Mann purportedly went on to launch JSS/JBP, which purports to pay members a return of 2 percent a day — double the purported return of ASD.
In January 2012, JSS/JBP-related claims came under the lens of CONSOB, the Italian securities regulator. The agency banned promos for the “opportunity” last month after earlier announcing a 90-day suspension.
Just days before CONSOB’s April 23 announcement of the ban — on April 17 — U.S. federal prosecutors sent a letter to Bowdoin’s defense attorney in the ASD Ponzi case. The letter informed the attorney — Charles A. Murray — that the government intended to introduce evidence that Bowdoin continued to commit crimes after the August 2008 ASD seizure and after Bowdoin’s subsequent indictment on charges that could put him behind bars for 125 years if he is convicted on all counts.
Prosecutors said they had tied Bowdoin to AdViewGlobal (AVG), an autosurf that collapsed in 2009. They also said Bowdoin had emerged as a pitchman for a “fraudulent scheme” known as OneX that — in ASD-like fashion — “simply re-distributes funds among participants.”
Online Ponzi schemes are infamous for morphing into new forms. Serial scammers who populate Ponzi boards such as TalkGold and MoneyMakerGroup drive business to the purported “opportunities,” which often advertise MLM-style, tiered recruitment “commissions” on top of preposterous rates of return.
ASD, AVG, OneX and JSS/JBP all have (or had) a presence on the Ponzi boards. Serial apologists for JSS/JBP have pooh-poohed the CONSOB developments.
In the now-missing March 15 recording, a caller purportedly from “San Francisco” asked Mann where “JustBeenPaid get[s] the money to pay that kind of interest.”
The reference was to the advertised return of 2 percent a day, which corresponds to a precompounding, annualized return of 730 percent — a figure that would make Bernard Madoff blush.
“Well, first of all, JBP or JSS Tripler is a revenue-sharing program, so that means some of the money comes from new members buying positions,” Mann responded to the caller. “Then, we are in the process of developing additional income streams, so that’s relevant. And eventually the additional income streams may be sufficient to pay the 2 percent — maybe not.”