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Fortune Hi Tech Marketing Shut Down In Montana As Pyramid Scheme

Posted on 16. Mar, 2010 by Ty Tribble.

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Fortune Hi Tech Marketing has been ordered to cease and desist operating in the State of Montana according to a report from the AP:

HELENA, Mont. (AP) - Montana has ordered a Lexington, Ky.-based company to cease operations in the state, accusing it of running a pyramid scheme.

Monica J. Lindeen, the state Commissioner of Securities and Insurance, says Fortune Hi-Tech Marketing took nearly $1.9 million from at least 1,295 Montana participants between July 2006 and June 2009.

Lindeen says the company lures new members with income opportunities with companies such as Dish Network and General Electric. But, she says, members only benefit if they recruit others to join in the alleged scam.

Here is a copy of the Montana Complaint Against Fortune Hi Tech Marketing.

Here is a link to the FHTM Statement to Montana Reps.

This action comes on the heals of North Dakota taking similar action back in December where the State Attorney General files a Cease and Desist against FHTM.

Attorney General Wayne Stenehjem has issued a Cease & Desist Order against Fortune Hi-Tech Marketing of Lexington, KY and its principals Paul C. Oberson, Jeff Oberson, and Thomas A. Mills for violations of North Dakota transient merchant, consumer fraud, and home solicitation sales laws. The Order was filed late yesterday, December 10, 2009.

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Attorney General Files Cease and Desist Against Fortune Hi-Tech Marketing

Posted on 14. Dec, 2009 by Ty Tribble.

Fortune Hi-Tech Marketing of Lexington, KY has been ordered to stop doing business in North Dakota. The company claims to offer consumers a “business and compensation plan designed to yield income through network marketing.”

Here is the official statement from the Attorney General.

Here is the cease and desist order.

Here is an article from KSJB radio:

BISMARCK – Attorney General Wayne Stenehjem has issued a Cease & Desist Order against Fortune Hi-Tech Marketing of Lexington, KY and its principals Paul C. Oberson, Jeff Oberson, and Thomas A. Mills for violations of North Dakota transient merchant, consumer fraud, and home solicitation sales laws. The Order was filed late yesterday, December 10, 2009.

Fortune Hi-Tech Marketing claims to offer consumers a “business and compensation plan designed to yield income through network marketing.” According to Stenehjem Fortune Hi-Tech continued its business activities in North Dakota even after being told it could not do so without the required Transient Merchant license. “This business blatantly disregarded our effort to ensure compliance with North Dakota law,” Stenehjem said. “This is not the typical response from a legitimate company and its actions must have consequences.”

The Consumer Protection Division is reviewing Fortune Hi-Tech’s activities and it appears there also may be violations of the consumer fraud and home solicitation sales laws. “I’m concerned about this assortment of violations,” said Stenehjem. Stenehjem has requested information about the extent of the company’s business transactions in North Dakota including dates of transactions, customers, and payments received.

In addition to these violations, Stenehjem asked the Consumer Protection Division to review whether this company is engaged in any violations of North Dakota’s pyramid law. North Dakota law prohibits promotional pyramid schemes in which the participant pays for the opportunity to receive income primarily from the recruitment of other participants rather than the sale of goods or services.

According to Stenehjem there certainly are legitimate network marketing companies, but consumers should be wary of any compensation plans that appear to emphasize recruitment of other participants, as opposed to sales of legitimate products or services. “We are skeptical of these claims to “make money while you sleep.” Stenehjem said.

North Dakota consumers with questions or complaints about Fortune Hi-Tech Marketing should contact the Consumer Protection Division toll-free at 1-800-472-2600

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