vemma
( vemma) affiliates do not primarily earn bonuses for actual sales of vemma products .
conversely, (vemma) provide no guidance on where to market or sell vemma products .
vemma and the ftc reached a settlement in a lawsuit that claimed vemma was a pyramid scheme .
vemma nutrition' s product lineup included, from left, vemma, next verve and bod - e .
vemma preliminary injunction order... first take time for the industry and vemma to press the reset button
yeah, i think thompsons inclusion in the vemma team is to comfort the vemma affilates and keep them together .
meanwhile vultures are openly circling the official vemma fb fanclub page, pushing other mlm companies on shell shocked vemma reps .
instead, vemma rewards affiliates for personally purchasing vemma products to maintain bonus eligibility, and for recruiting others who likewise purchase vemma products to maintain bonus eligibility (qualifying for commissions) .
vemma’s compensation plan won’t change; they will just describe it differently in updated terms to better explain how vemma does business .
( vemma’s) sales and marketing activities and their compensation plan place little emphasis on sales to consumers outside of the vemma organization .
( vemma) emphasize (affiliate) recruitment over product sales and stress the importance of recruiting new participants into the vemma program .
vemma ceo and founder, benson keith
bk
boreyko, made 7, 500 times more than three - quarters of vemma affliates last year. (photo courtesy of vemma) read more .
alkazin presented himself and his family as an illustration of the lucrative income a vemma affiliate could supposedly earn from the vemma business opportunity .
in the warning pdf you reference i didn’t see vemma named specifically. was vemma mentioned in the email he sent out with the attachment ?
for example, beginning in january vemma will no longer call members a brand partner; instead, vemma will use the term
affiliate
.
tempe' s vemma settles with ftc; fined $ 238 million, admits no wrongdoing vemma and the ftc reached a settlement in a lawsuit that claimed vemma was a pyramid scheme. check out this story on urltoken urltoken
the complaint names vemma nutrition company, vemma international holdings, benson k. boreyko (b. k. boreyko) and tom alkazin as defendants .
in contrast to (vemma’s) numerous claims regarding profitability and the unlimited income potential associated with vemma, the vast majority of affiliates make no money .
this is exactly what is taking place with vemma at the moment. contrary to the rumor mill, vemma has not been shut down by the ftc !
all you have to do is share our premium, innovative vemma products with affiliates and customers who purchase products and help others create their own vemma businesses .
he said the websites and videos referenced by the ftc actually show
the emphasis on product sales at vemma, and the efforts by vemma to create in the minds of affiliates realistic income goals from the sale of vemma products .
vemma’s success also has sharpened the focus of consumer groups on its practices. some, noting the heavy emphasis on recruitment, have called vemma a pyramid scheme .
for more information on tina. org’s special investigation of vemma, click here .
rusching told urltoken that affiliates of vemma are also distributing products without proper licenses .
problem viewing this email? click here to view it on vemma. com .
i haven’t been up to date on vemma corporate for a number of years .
with thompson now representing vemma i doubt he’s going to spend time liveblogging it .
vemma ceo benson keith
bk
boreyko made roughly $ 12 million in 2013 — 7, 500 times more than three - quarters of vemma affiliates and distributors .
this decision arrives after several months of close cooperation between vemma and the antitrust authority. during this time, vemma has openly disclosed documents and information regarding its business .
if you’d like more info on vemma, or training on how to build your vemma business, be sure and subscribe to my email list and connect with me .
in numerous instances … defendants have failed to disclose, or disclose adequately, that vemma’s structure ensures that most consumers who become vemma affiliates will not earn substantial income .
again vemma was classified as a pyramid scheme for teaching and encouraging its members to recruit others to the program instead of teaching them how to ethically promote vemma products .
vemma is a private mlm company that sells health products, energy drinks, weight management products etc. vemma was founded in 2004 by benson k. lauren, and karen boreyko. vemma’s headquarters is located in tempe, arizona of the united states .
about vemma founded in 2004 by bk boreyko and his two sisters, karen and lauren, vemma nutrition company enjoyed $ 100 + million growth last year as one of the premier industry leaders specializing in premium liquid nutrition. every month, thousands of new customers experience the positive difference of the clinically studied vemma formula. the vemma brands include the clinically studied verve ® healthy energy drink and vemma bod - e ®, a weight loss line. vemma is headquartered in tempe, arizona, and distributes its products through global affiliate marketing. for more information, please visit vemma. com .
but a us consumer group critical of vemma and the mlm industry isn’t buying it .
only 27% of associates were eligible for bonuses by regularly ordering products from vemma .
for more information on the complaints received by the ftc regarding vemma, click here .
click here for more information on whether vemma should be calling its energy drink healthy .
to build a solid foundation for optimal health we developed the clinically studied vemma formula .
please click here for vemma' s contact information by country for brand partner services .
vemma corporate headquarters, 8322 e. hartford dr. , scottsdale, az 85255 usa
vemma’s changes were cited by tina as being mere window dressing. the watchdog group quoted vemma ceo benson k boreyko as saying, “vemma’s compensation plan won’t change; we’ll just describe it differently in updated terms to better explain how we do business. ” ​
on recruiting individuals to participate in vemma as affiliates and encouraging them to purchase vemma products in connection with such participation, rather than selling products to ultimate - user consumers .
since the ftc action against vemma was announced, i’ve been reading a lot of talk from the mlm world about how ridiculous it is to target vemma’s use of autoship .
m norway: “it’s a bump in the road”, according to some vemma supporters .
there is no motive for anyone to purchase vemma products except for the recruitment commissions .
… and the lawsuit does not mention how many millionaires vemma has created either. 🙂
included in bk boreyko' s (ceo vemma) video blog see - below is the first mention of vemma 2. 0 coming in january 2014 — an all - new way to describe and think about how vemma represents itself in the marketplace with increased transparency .
given defendant alkazin’s history of participating in vemma’s pyramid scheme and making deceptive income claims about vemma’s business opportunity, his involvement with a vemma - like marketing program poses potential economic harm to consumers and warrants the court’s placing him under an injunction to prevent future consumer harm .
another problem with vemma that i would like to bring to your attention is that vemma has had many complaints over the last few years and if you take a look at the screenshot from a trusted source urltoken you will realize that vemma is not a reliable company .
a plane flies over vemma headquaters in tempe, arizona. (click to enlarge images )
vemma prohibited from resuming normal operations; judge rules company will be supervised by federal monitor .
( in january, a key herbalife distributor, anthony powell left to join vemma. )
if you would like to submit a complaint to urltoken about vemma, use this form .
therefore, we have decided to transition our new vision business operations to vemma nutrition company .
alex morton, a former top earner in vemma, is not named in the lawsuit .
i believe with detailed communication between vemma legal and compliance teams, they should be able to present to the courts all the facts to show that vemma isn’t an illegal pyramid scheme .
oz: with thompson now representing vemma i doubt he’s going to spend time liveblogging it .
the main problem with vemma is that if you want to make any money with this program you need to pay for one of the packs vemma has to offer to its members .
i think instead of that vemma should teach their affiliates how to create quality content for their affiliate websites and by this they will be able to drive a good amount of people from search engines looking for vemma products. but it looks like it’s not in vemma’s focus .
vemma makes unrealistic claims and most of their members according to ftc don’t make any money .
these restrictions will follow boreyko around, regardless if he operates vemma or some other company .
vemma lawyers questioned bosley over her interpretation of the
ultimate user ,
suggesting that affiliates were buying the product just like other consumers. she admitted she did not interview vemma affiliates or review internal vemma financial documents before concluding the company operated as a pyramid scheme. bosley acknowledged she never requested financials from the ftc and based her conclusions on youtube videos of vemma
home events
sales meetings, internet presentations and materials obtained from vemma' s website .
is thrilled to congratulate brian mcmullen for advancing to one of the highest ranks in vemma: pinnacle! brian now joins vemma number - one income earners and star pinnacles, tom and bethany alkazin, as the only other person in vemma history to have hit this prestigious rank .
in response to recent criticisms about vemma, boreyko says the company simply needs to improve its messaging .
it honestly hurts because vemma’s like one of my kids ,
he says .
another consumer, lisa white, said her autistic son depends on vemma for nutrition. she said vemma has given her peace of mind and she wants the product back on the market .
this is considered an assault on the mlm industry as if vemma is taken out – other companies might do so as well. this is because many other businesses operate on vemma’s model as well. if vemma is removed it’ll set precedent to take out the other businesses as well .
no non - authorized health claims were reported on vemma’s products, packaging or website (cfr .
but keep warns that vemma’s marketing structure sends the wrong message to young adults. he said :
vemma offers no meaningful discounts or incentives to encourage retail sales ,
the ftc said .
signs promoting vemma hand outside the us airways center in phoenix. (click to enlarge images )
vemma founder and ceo benson k. boreyko in federal court in 2014 criticized the ftc investigation .
the ftc described the settlement as “dismantling the alleged pyramid at the center of vemma’s operation. ”
most vemma products contain the vemma formula, a blend of 12 essential vitamins, plant - sourced minerals, mangosteen superfruit, organic glyconutrient - rich aloe vera and green tea in every serving .
the ftc complaint against vemma was filed on the 17th of august in an arizona district court .
in truth and fact … consumers who become vemma affiliates are not likely to earn substantial income .
this additional information would be material to consumers in deciding whether to participate in the vemma program .
relief defendant bethany alkazin, has received … funds or other assets from (vemma) that are traceable to funds obtained from (vemma’s) customers through the deceptive acts or practices described herein .
to date i have not seen a response from b. k. boreyko or vemma corporate .
unfortunately dooly has not explained why he thinks vemma is not a product based recruiting pyramid scheme .
the legal team will have to show that the majority of vemma affiliates were not on autoship .
in 2013 vemma has started positioning itself as an affiliate marketing company. and like any other mlm program, vemma is mainly focused on recruiting young people as distributors through a high compensation plan .
at a minimum, vemma should press the reset button on its relationship with customers and distributors .
3. [ vemma encourages ] individual [ s ] [ to ] become an affiliate by purchasing an
affiliate pack ,
which costs approximately $ 500 or $ 600 and which contains a mixture of various vemma products, audio and video recordings, print materials, and vemma branded items .
one of the cornerstones of alkazin’s response is his lack of control over vemma. this, alakzin claims, means he should not be held as responsible as those who actually had control of vemma .
and if vemma goes down, expect a lot of collateral damage. bob proctor, pretty darn famous self - help speaker, has wife and daughter in vemma, pretty darn high level too, raking in at least 15k a month in commissions each. bob himself appeared at many vemma events .
vemma has agreed to eliminate several bonuses that required buying huge amounts of product and recruiting additional people .
ending the requirement that associates must enroll two associates into vemma to qualify for a “cycle bonus. ”
vemma, the high - flying company behind verve energy drinks, wants to stay off regulators’ radar .
feel the power of protein and kick start your day properly with the one and only vemma shake .
our # 2018 family portrait. what is your favorite # vemma product from the current lineup? urltoken
the science behind all vemma products is our highest priority. to ensure the best quality, we :
( vemma) opportunity events are meetings designed to motivate and train affiliates and to recruit new affiliates .
this one is all about retail folks, specifically the lack of it going on inside of vemma .
in numerous instances … defendants have represented … that individuals have earned substantial income from participation in the vemma program, and that any consumer who becomes a vemma affiliate has the ability to earn substantial income .
he says the ftc lawsuit does not mention the price, efficacy or science of vemma products which are excellent. further the lawsuit does not mention the consumer protection offered by the vemma buy back policy .
in his june 9th deposition with the ftc, alkazin claims to still hold his vemma affiliate position .
as you can see, jessica rich from ftc organization says that vemma is an illegal pyramid scheme .
testimony on tuesday revealed vemma has about 100 employees and up to 400, 000 active affiliates worldwide .
the ftc shut down vemma for being a pyramid scheme - - could herbalife ltd. be next ?
2. defendants repeatedly tout that vemma can provide anyone an easy path to financial freedom and independence .
to read the complaint and stipulated final order in ftc v. vemma nutrition company, click here .
ore than two months after news broke of a potential settlement, friday marked the release of the ftc’s final order against vemma and founder bk boreyko. despite some exacting standards, vemma’s ability to conduct business remains intact. what the settlement means for vemma’s long - term viability remains a mystery, but the ftc’s actions against herbalife and vemma indicate a shift to a new regulatory attitude: majority retail or death !
whether you’re just wanting to learn more about the vemma business opportunity, the vemma products, or you’re already a vemma brand partner and you’d like to know how to build your income bigger, better, and faster, you’re in the right place. i appreciate you stopping by and i’m happy to help .
judge forbids vemma to resume normal operations; company to be supervised by federal monitor vemma prohibited from resuming normal operations; judge rules company will be supervised by federal monitor. check out this story on urltoken urltoken
by furnishing vemma affiliates with promotional materials to be used in recruiting new participants that contain false and misleading representations, (vemma) have provided the means and instrumentalities for the commission of deceptive acts and practices .
the rest are mlm high flyers who is worried about the entire industry without understanding the implications, on how badly vemma reflects on the entire mlm industry, esp. because vemma is a part of dsa .
alkazin is is believed to have signed up as a xango affiliate after the ftc shut down vemma. our 2013 behindmlm review of xango identified concerns about a focus on affiliate autoship recruitment, not unlike vemma .
the ftc said vemma' s unlawful business practices affected consumers throughout the united states and 50 other countries .
the settlement in the vemma case is not a surprise. shortly after the ftc filed its case, the federal judge overseeing it held that the ftc would likely succeed in demonstrating that vemma operated a pyramid scheme .
real people. real results. brand partners share their inspiring stories of vemma bod•ē success! watch video .
if you join vemma, you will be exposed to a variety of ways to earn extra cash. urltoken
at the heart of the ftc complaint is the allegation that vemma has engaged in “deceptive and unlawful acts” .
oz: majority of revenue in vemma is / was sourced from monthly affiliate orders instead of retail sales .
on the 24th august 2015, the ftc shut down vemma under the tro, and seized all assets .
vemma: vemma didn’t have any distinction between sales leaders and non sales leaders. all distributors had the right to receive recruitment based rewards. they only had to pay for $ 150 worth of products each month .
anyone who thinks the ftc haven’t meticulously collected evidence (including data from vemma themselves) is kidding themselves .
we will attend the vemma – ftc hearing in phoenix on september 3. maybe periscope the whole case .
the vemma case doesn’t have similar elements (e. g. multiple agencies against multiple reorganizing experts) .
also, there is no any evidence that vemma’s products are super products and can actually improve your health .
vemma ceo and founder benson boreyko sat alongside more than a half - dozen lawyers representing various company officials .
the database also includes four other videos of the ceo: in one he states that vemma pm helps relieve pain (before saying he can’t say that); in two others (1, 2) boreyko says that some vemma products can help slow down the aging process; and in the fourth video he is pictured on stage at a large vemma event reading the testimonial of a man who claims vemma helped treat his lupus .
the ftc’s settlement with vemma marks the 26th pyramid scheme case filed by the agency in the last 40 years .
under the ftc agreement, vemma companies and ceo benson k. boreyko are banned from operating any business that :
when zac fischl talks about the controversial sales company vemma, he speaks with the fervor of a true believer .
product excellence, from concept to consumption, is what makes vemma ® an industry leader specializing in premium nutrition .
i sure hope the ftc drop the case or vemma find more evidence that they are compliant. thanks for sharing
people are saying that darik alexander, another vemma high level, joined morton over at jeunesse a while back .
my cell phone is blowing up with the news of vemma shutting down. first, take a deep breath .
on august 21, 2015, a court froze the assets of vemma and appointed a temporary receiver over the business pending a trial. as of 2014, vemma earned over $ 200 million in global sales, the ftc said .
boreyko said norway and italy were
a little bit difficult
when it came to approving vemma’s products for consumption or the company’s compensation plan for its affiliates. colombia, the newest market, had required changes on vemma’s labels .
vemma founder and ceo bk boreyko shared at 2013 “all in” convention that brian started out as a customer and just enjoyed the products for five years. then, something changed and he caught the vision of the vemma business opportunity .
vemma executives fight ftc to reopen their tempe energy - drink company vemma officials were in federal court tuesday to end a government takeover of the company on allegations they are running a pyramid scheme. check out this story on urltoken urltoken
italy’s competition and markets authority fined vemma about $ 140, 000 as part of the ruling in march, which the company is appealing. vemma’s founder, bk boreyko, said the arizona - based company is still operating in italy .
the ftc won' t say if it is launching a formal investigation into vemma, but told nbc news it takes every complaint seriously. meanwhile, vemma continues to grow, bringing in $ 221 million in revenue last year alone .
vemma’s compensation plan won’t change; we’ll just describe it differently in updated terms to better explain how we do business .
practice, vemma' s commercial practice does not constitute any violation. » (cfr. par. 67 of the
more than 97 percent of vemma’s affiliates earned $ 12, 000 a year or less, according to the ftc .
vemma launched in 2004 but struggled for years before becoming a social - media sensation. in 2008, vemma partnered with the phoenix suns to sponsor a lounge at the us airways center. in 2011 and 2012, vemma, started zeroing in on millennials with its so - called young people’s revolution, a recruiting effort known in twitterspeak as # ypr .
a truck, left, outside vemma headquarters, right, in tempe, arizona. (click to enlarge images )
“vemma wants to focus on rebuilding its business, ” the statement read, “not proving the ftc is wrong. ”
thought we’d have to wait for friday for this, but the ftc complaint against vemma has now been made public .
vemma’s compensation plan and its corresponding marketing activities dictate that at any particular time, the majority of affiliates lose money .
a hearing on the permanent injunction is scheduled for september 3rd, 2015, and vemma will state its case then .
it is possible that the hearing scheduled for september 3rd be postponed, if vemma asks for more time to prepare .
obviously, vemma and herbalife are different companies, but the similarities between the two should at least be enough to give investors pause. those interested in herbalife should keep a close eye on vemma as its case with the ftc develops .
in determining that vemma is a pyramid scheme, the agcm analyzed data from vemma’s italian operations for the period september 2012 to june 2013. while the agcm didn’t divulge all the data because of confidentiality considerations, it revealed that it found :
carlucci said after leaving the company, he was insulted on facebook and in texts by vemma affiliates who called him a failure. what he didn’t know is that a very small percentage of vemma affiliates actually make any money. he said ,
vemma fans have been quick to dismiss the ftc’s concerns online, with one salesman posting a video on twitter denouncing the agency as “so dumb” and “slow - moving” as he drank a bod - e burn, one of vemma’s energy drinks .
in summary, while defendant alkazin may not have had final control over vemma’s compensation or marketing operations, he participated significantly by leveraging his success and credibility as vemma’s top earner to promote the pyramid scheme and train others to do the same .
also, another problem with vemma company and their entire approach to business is that vemma does promise high payouts to its affiliates but can’t deliver on the promises. they show luxury cars bought by some of their affiliates like on this image .
the ceo of vemma is benson k. boreyko better known as bk. the company was found back in 2004. vemma has grossed over $ 221 million in revenue since 2013. the company has been under investigation and shut down a few times due to the company operating under an injunction which restricts certain marketing activity and compensation methods. vemma primarily focuses on recruiting college aged people as distributors which the federal trade commission has received dozens of complaints about vemma from parents and college organizations .
vemma nutrition company is a privately held multi - level marketing company that sells energy drinks, nutritional beverages and weight management products. vemma, which calls itself an affiliate marketing company, is based in tempe, arizona. it was founded in 2004 by benson k. boreyko and his sisters. vemma is an acronym for vitamins, essential minerals, mangosteen and aloe .
several vemma supporters said this week that they should be able to get the product regardless of the outcome of the case .
it is people thinking that can get rich tomorrow with no work and no effort that quit and call vemma a scam .
all i hear (from vemma) are success stories but i haven’t seen it with my own two eyes .
even colleges — once vemma’s turf — are fighting back: last summer, dean william keep at the college of new jersey was notified of vemma recruiters on campus from a student who had discovered stockpiles of energy drinks in his friend’s dorm room .
boreyko acknowledges that the changes at vemma, with revenues last year of about $ 200 million, could hurt sales initially .
then in late 2004, vemma was born. a streamlined single product focus, with a simple 2 line pay plan .
my sisters and i founded vemma in 2004, and it is rapidly growing as one of the premier industry leaders specializing in premium liquid nutrition. operating in over 50 countries, vemma is positioned for abundant growth with a strong product line and an unparalleled business opportunity. we know our parents would be proud to combine the new vision legacy with vemma’s progressive approach. and, like new vision, vemma is focused on helping people live a better quality of life, both physically and financially .
in numerous instances in connection with the advertising, marketing, promotion, offering for sale, or sale of the right to participate in the vemma program, defendants have represented … that consumers who become vemma affiliates are likely to earn substantial income .
consumer have suffered and will continue to suffer substantial injury as a result of (vemma’s) violations of the ftc act .
well, neither did vemma at the time this complaint went down. infact the ftc complaint doesn’t even mention mandatory autoship .
there is no real demand for the vemma product either inside or outside the compensation plan with no genuine ultimate - users .
hi all. hope everyone is well. hate to burst vemma’s bubble, but they can’t live - broadcast the hearing .
marketing materials touting defendant alkazin’s income and his status as top earner for the company were integral to vemma’s pitch to consumers .
more generally, defendant alkazin was well familiar with vemma’s compensation plan. he taught it to other affiliates on many occasions .
many people spend close to $ 1000 or even more with vemma while they can’t make any money and feel completely frustrated .
update 7 / 21 / 15: vemma notified urltoken that it had terminated dr. john edward’s distributorship on july 15 .
tom alkazin, the architect of the “roadmap to success” training booklet for vemma distributors and frequent speaker at vemma events, has been promoting xango, a utah - based mlm (for which brad is a distributor). according to the ftc, which is seeking an injunction precluding alkazin from engaging in illegal activity, xango’s business model “shares certain similarities” with vemma’s past model .
a consumer group, truthinadvertising. org, criticized vemma’s promotion of its affiliation with the nba’s phoenix suns and tv health expert dr. mehmet oz. some young salesmen told the post those two affiliations proves vemma is on the up - and - up. but neither the team nor oz endorse the company. vemma donated money to an oz charity, according to truthinadvertising. org, which said many consumers have complained to the ftc that vemma is a pyramid scheme targeting high school and college students .
the ftc called the structure “a classic pyramid scheme that compensated participants mainly for enrolling others in the network, rather than for retail sales based on legitimate consumer demand for vemma’s beverages ,
and received an injunction to shut down vemma' s operations .
more than a year later, the two sides reached an agreement. vemma said in a statement said the settlement contained no admission of fault or proof of a pyramid scheme. vemma settled, it said, because fighting the complaint was too distracting .
we, as an industry, don’t yet know the repercussions of ftc v. vemma. we can’t know which, if any, of the new restrictions placed on vemma will become industry standards, nor whether this case is even about industry standards .
1. [ vemma ] targets young adults, including college students... vemma' s... marketing materials prominently feature young, seemingly affluent individuals surrounded by conspicuous displays of wealth, such as luxury vehicles, jets, and yachts .
unilateral measures were implemented to take into account the authority' s specific concerns, including changes and simplification of vemma’s compensation plan .
“i believe vemma’s going to come out of this, and vemma’s going to be fine as a company, ” said salesman brad sarver in his video. “the federal government does not like free enterprise. they do not like health and wellness companies. ”
for high school sophomore and vemma brand partner ben arend, vemma came along at just the right time. “my parents had been telling me i had to get a job. vemma’s a great opportunity for young people. they agreed to support me with vemma, and i appreciate the flexibility of running my own business. sure, it’s hard sometimes when your friends want to hang out on a friday night, but it’s worth it. stick to your priorities. hard work pays off. ” ben has progressed rapidly with vemma, becoming the youngest diamond in the history of the company. he’s on track to hitting platinum this month !
learn how you can make an extra $ 500 a month or more with the vemma opportunity. best network marketing company today .
vemma products are independently tested by third - party laboratories for label claim verification, nsf / banned substances, purity and potency .
on the other hand, mlm companies like vemma, encourage all affiliates to go on autoship, making them a product based recruitment scheme. you will most probably find that over 90% of vemma affiliates will be on autoship in order to earn commissions .
it would have been rather meaningles to describe it as “vemma shutdown, a $ 200 million lack of retail sale scheme”. 🙂
the regulator maintains that alkazin’s role in vemma ‘ meets the legal threshold of participation under section 5 of the ftc act ‘ .
he was also aware of numerous news articles and publications that accused vemma of being a pyramid scheme well before the ftc’s action .
as you can see, vemma’s products are not cheap and there is no guarantee that you will be able to sell them .
vemma officials were in federal court tuesday to end a government takeover of the company on allegations they are running a pyramid scheme .
the ftc shut down vemma for being a pyramid scheme - - could herbalife ltd. be next? - - the motley fool
the ftc is accusing vemma of tricking young people into thinking they can make an income with vemma. the reasoning behind it is that the ftc accuses vemma of focusing only on recruiters and not selling products. the “usual” model is to hire recruits to sell your company’s products. then, these recruits sell the company’s products and they hire their own recruits to sell products for them .
in a different, but parallel fashion, the courts concluded in both burnlounge and vemma that purchases were incidental to the opportunity .
when we shared park' s sales pitch with vemma corporate, the company suspended him, telling nbc news that his statements were
inaccurate and not representative of the company .
vemma says it recently started to
overhaul and improve
its compliance program .
what he has forgotten to mention in his article is that linville’s vemma declaration, in support of the tro, clearly points out that italy found vemma sales to be tied to joining packages and autoship sales, with no emphasis on sale of products to consumers .
as i said above, very few people experience success with programs like vemma and it very well applies to most mlm programs that i’ve come across so far. according to vemma’s official report, close to 80% of their members never make any real money .
a few bucks at best. they can’t even return their initial investment. and approx. 1% of their members do alright with vemma program. all this means that vemma is by far not the best or even recommended program for earning an income online .
vemma nutrition company ceo benson k. boreyko said the company is appealing the italian decision. in an email to urltoken boreyko said :
vemma officials were in federal court on tuesday to end a government takeover of the company on allegations they are running a pyramid scheme .
during its campaign against herbalife pershing square released a study of anthony powell, a top distributor, who has since defected to vemma .
vemma urges consumers to make an initial investment of at least $ 500 for an
affiliate pack
of products and business tools, according to the ftc complaint. affiliates also are pushed to buy $ 150 in vemma products each month to remain eligible for bonuses .
vemma, which sells energy drinks such as verve and bod - e burn, was the focus of an enquirer investigation last year .
although new vision will cease its operations, the same great pricing will be available on the most popular new vision products through vemma .
this is the chief grouse of the us ftc too, and makes the mention of the vemma, italian court finding completely relevant .
6. during company events and conventions, vemma presents the select few top earners with large checks representing their yearly or lifetime earnings .
the net result, opined the court, was that vemma forfeited its right to rely on personal use for qualification and commission purposes .
“i had bariatric surgery several years ago, ” vemma consumer rachel ulibarri said in an e - mail. “vemma liquid multivitamin has made all the difference in the world to me. my body absorbs the vitamin right away and i have been healthy as a result. ”
vemma’s ceo and founder, benson keith
bk
boreyko, insists that vemma is not a pyramid scheme and that the same charge could be leveled at
any corporation in america… [ which are all ] shaped like a pyramid. it doesn’t mean its illegal .
he is pretty sure that vemma can get the tro reversed, and be allowed by the court to continue it’s business while the lawsuit gets sorted out. he believes if the tro is reversed it will give vemma a strong footing to negotiate a settlement with the ftc .
just last week, vemma was the number 1 trending story on facebook. not quite the way i thought we’d get there, but an epic stage has been set for us to defend vemma, this amazing industry and the millions that count on it along with myself .
clearly sensing that its business structure could be determined fundamentally flawed, vemma proposed on july 29, november 26 and december 23, 2013 radical changes in italy to its compensation plan. specifically, vemma proposed 10 changes to appease the agcm. most notably, the company proposed :
this is a dynamic partnership that really blazes a new trail of strategic marketing for both organizations ,
said vemma ceo bk boreyko .
but what often resulted was affiliates with refrigerators and dorm rooms full of vemma products, and few options left to expand their recruitment chain .
vemma appealed, and a ruling from u. s. district judge john tuchi forced vemma to stop its multilevel marketing operations in september 2015. the company was prohibited from paying commissions, recruiting new members and offering rewards from purchases, but could continue other parts of business .
michelle barnes, vemma’s “lady boss” and top earner, is now at modere, a utah - based personal care and household products mlm .
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our european customers can once again enjoy delicious and nutritious supplementation courtesy of the original vemma, verve, and the one and only burn .
thank you for your understanding and continued business. we’re excited about the future and we’re confident that you will love the transition to vemma !
in addition, during company events and conventions, vemma presents the select few top earners with large checks representing their yearly or lifetime earnings .
while the figures contained in (vemma’s) disclosure statements are somewhat revealing, they nonetheless do not show the whole picture and are misleading .
a permanent injunction against vemma, b. k. boreyko and tom alkazin, which will prohibit them committing future violations of the ftc act
unless there is some critical flaw in the ftc’s complaint or their understanding of facts supporting it i would expect other company owners to help vemma fund a “dream team” style defense. if vemma goes down on these charges ~ almost ~ none of the other companies will be safe .
but the problem is also that the ftc is refusing to regard the self consumption of vemma affiliates as bonafide sales to ultimate user consumers .
this could be jeunesse. they operate very similar. strange that they would go after vemma and not jeunesse. who will be next ?
tina [ truth in advertising ] has a article out explaining the long and short of the ftc case against vemma and the characters involved .
after the 2 & go plan was finalized, he promoted it at vemma’s june 2015 convention that was videotaped and disseminated to its affiliates .
the direct selling industry is pondering the impact of the september 18, 2015 preliminary injunction order in ftc v. vemma [ pdf ] .
last month, the federal trade commission shut down vemma, seizing its assets and stopping its operations. vemma' s owners insist that the company is a legitimate multi - level marketing firm, but ftc regulators allege that it' s an illegal pyramid scheme. vemma' s fate will depend on the outcome of a trial, but if it were a publicly traded company, its shares probably would' ve plummeted .
last april, an italian watchdog agency ruled that vemma, an mlm which bills itself as an affiliate marketing company, was operating a pyramid scheme and prohibited the supplement company from spreading or continuing its unfair business practices in the country. vemma’s appeal of that ruling is still pending .
vemma ceo benson k. boreyko said the company is not “aware of any judicial proceedings facing vemma in austria or switzerland” nor has it “received any communication from switzerland’s state secretariat for economic affairs regarding any legal matter nor austria’s voralberg chamber of labor consumer protection division regarding the same. ”
in another report about vemma aired on april 21 by report muenchen on germany’s ard, daniela krehl, nutrition expert at the consumer advice center in bavaria, said the amount of vitamins in the vemma products are “dangerous” and that the products should not be allowed on the german market .
anthony powell, whose move from herbalife to vemma with his team was heralded with much fanfare, has also left vemma and started his own mlm. his linkedin page states he is an “affiliate marketing legend” for zyndio, an arizona - based mlm, which also promises luxury lifestyles .
vemma’s main product is a beverage called verve, which is a blend of vitamins, minerals, mangosteen juice and aloe juice. the product has received a positive review on the dr oz show, though vemma marketing materials strongly warn affiliates from claiming that oz has endorsed the product .
“rather than focusing on selling products, vemma uses false promises of high income potential to convince consumers to pay money to join their organization, ” said jessica rich, director of the ftc’s bureau of consumer protection. “we are also alleging that vemma is an illegal pyramid scheme. ”
the defendants are vemma nutrition company, vemma international holdings inc. , tom alkazin, and benson k. boreyko, who is under a 1999 court order after settling with the ftc for his involvement with new vision international inc. , a multilevel marketing company that sold nutritional supplements .
vemma is the maker of the popular energy drink verve, which it markets primarily through affiliates. the company also sells nutritional supplements and vitamin drinks under the vemma name, meal replacement shakes and weight - loss products called bod - e and a nutrient blend for children called next .
the ftc determined that vemma is a scam according to their own metrics because of what they see as misleading marketing to young individuals. many claims were made about how much money can be made if you worked with vemma. according to the agency, “most participants lost money. ”
but, because vemma was selling consumer products and not sales tools, some redemption was possible, albeit requiring vemma to market in a fashion that is not competitive with the rest of the industry and in a restricted approach not consistent with the state of the law on personal use .
the evidence before the court leaves little doubt that the ftc will ultimately succeed on the merits in demonstrating that vemma is operating a pyramid scheme .
vemma is going to begin branding its compensation program with more affiliate marketing terms than network marketing terms, to better describe our advanced business model .
boreyko said he is
not aware of all the details
but that he
wouldn’t say vemma had nothing to do with it .
while boreyko churns up customers for vemma’s “comeback trail, ” top distributors, including alkazin, his wife bethany (who was also named in the ftc complaint as a relief defendant) and their son brad — a leader in the vemma ypr movement — have moved on to other ventures .
in august 2015, the ftc brought a federal court action against vemma nutrition company, vemma international holdings, inc. , ceo benson k. boreyko and top affiliate tom alkazin. the companies’ “young people revolution” campaign targeted college students and other young adults with materials that presented vemma as a profitable alternative to traditional employment and depicted young affiliates surrounded by conspicuous displays of wealth, such as luxury automobiles and yachts. vemma allegedly failed to disclose that the program’s structure ensured that most participants would not earn substantial income, and provided affiliates with false and misleading materials for recruiting others .
see how marla brady’s life has been transformed by vemma bod•ē — her confidence, enthusiasm, and sincerity all come shining through. watch video .
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how much of each mineral is in the vemma ionic? the individual minerals found in the vemma mineral blend are in trace and ultra - trace amounts. the levels are similar to what one would find in unprocessed plant based foods grown in mineral rich soil. these levels vary from batch to batch; therefore we do not quantify exact amounts. each 1 oz serving of vemma ionic contains 956 mg of the total mineral blend .
instead, (vemma) teach affiliates to give away the products as samples and to concentrate their efforts on recruiting new participants (affiliates) .
consumer losses are inevitable because vemma is an illegal pyramid scheme that rewards affiliates for recruiting participants rather than for selling products, the ftc alleges .
vemma’s headquarters is open, customer service reps are taking phone calls, websites are operational, orders are taking place and being processed, etc .
if you don’t have any experience in mlm business, most likely you won’t be successful with it although some people are making money with vemma .
i created vemma as a way of keeping families healthy through clinically tested, doctor - formulated wellness products ,
he wrote in the declaration .
vemma has focused its products and business plan on the three megatrends in the world today: wellness, energy and weight management .
like vemma, herbalife sells prospective distributors start - up packs. to herbalife' s credit, its member packs are considerably cheaper than vemma' s (just $ 60. 70 or $ 94. 10) but largely serve the same purpose and contain the same sort of materials .
8. vemma' s compensation plan includes many confusing and convoluted rules and requirements, and some bonuses or rewards impose additional restrictions or limitations .
the ftc on wednesday announced its efforts to stop the operation called vemma, which earned more than $ 200 million annually in 2013 and 2014. the agency said that vemma is an illegal pyramid scheme that has affected consumers throughout the u. s. and in more than 50 other countries.
vemma ( / ˈviːmə / ) nutrition company is a privately held multi-level marketing company that sells energy drinks , nutritional beverages and weight management products . the company , based in tempe , arizona , was founded in 2004 by benson k. , lauren , and karen boreyko . in 2013 , the company reported us$ 221 million in revenue . most distributors are in their twenties . the company has frequently been accused of being a pyramid scheme by u.s. media , business analysts , and former distributors , and was fined by the italian government . in august 2015 , the u.s. federal trade commission filed a lawsuit against vemma , accusing the company of operating an illegal pyramid scheme . the company was placed under an injunction which restricts certain marketing activity and compensation methods , and a monitor was appointed by the court to assure compliance with these restrictions . in december 2016 , vemma reached a $ 238 million settlement with the ftc , which also banned the company , its ceo , and top distributors from recruitment-focused business ventures , deceptive income claims , and unsubstantiated health claims . 
vemma (/ ˈviːmə /) nutrition company is a privately held multi-level marketing company that sells energy drinks, nutritional beverages and weight management products. the company, based in tempe, arizona, was founded in 2004 by benson k., lauren, and karen boreyko. in 2013, the company reported us$ 221 million in revenue. most distributors are in their twenties. the company has frequently been accused of being a pyramid scheme by u.s. media, business analysts, and former distributors, and was fined by the italian government. in august 2015, the u.s. federal trade commission filed a lawsuit against vemma, accusing the company of operating an illegal pyramid scheme. the company was placed under an injunction which restricts certain marketing activity and compensation methods, and a monitor was appointed by the court to assure compliance with these restrictions. in december 2016, vemma reached a $ 238 million settlement with the ftc, which also banned the company, its ceo, and top distributors from recruitment-focused business ventures, deceptive income claims, and unsubstantiated health claims.
vemma (/ ˈviːmə /) nutrition company is a privately held multi-level marketing company that sells energy drinks, nutritional beverages and weight management products. the company, based in tempe, arizona, was founded in 2004 by benson k., lauren, and karen boreyko. in 2013, the company reported us$ 221 million in revenue. most distributors are in their twenties. the company has frequently been accused of being a pyramid scheme by u.s. media, business analysts, and former distributors, and was fined by the italian government. in august 2015, the u.s. federal trade commission filed a lawsuit against vemma, accusing the company of operating an illegal pyramid scheme. the company was placed under an injunction which restricts certain marketing activity and compensation methods, and a monitor was appointed by the court to assure compliance with these restrictions. in december 2016, vemma reached a $ 238 million settlement with the ftc, which also banned the company, its ceo, and top distributors from recruitment-focused business ventures, deceptive income claims, and unsubstantiated health claims.