May 25, 2013 08:23

Zeek Rewards Update: Were US Based & International Terrorist Groups Laundering Money Through Zeek Rewards?

Sep 20 2012 in MLM News, Paul Burks, Zeek Rewards News, Zeekler, ZeekRewards by Troy Dooly

When you review Kenneth D. Bell’s background, trend some of the cyber-terrorism activity I have talked about early last year against Zeek Rewards through the credit card fraud, and realize that the majority of funds deposited by Rex Venture Group, came from overseas, some from the Mideast and other known terrorist locations, you start to get the picture that the appointment of Kenneth Bell was more than just a “political appointment.”

Here is a little more details about Mr. Kenneth D. Bell

Source: PR News Wire

White Collar Criminal Defense and Special Investigations Group Joins Litigation Practice at Hunton & Williams

[quote]“Ken is a superb litigator and has developed a strong network of white collar criminal defense lawyers,” added Tom Cottingham, managing partner of the Charlotte office. “His experience in high-stakes investigations-such as his role in the 2002 conviction of a Hezbollah cell in Charlotte-provides him an in-depth understanding of the challenges facing our clients.”

The white collar and special investigations practice at Hunton & Williams covers a broad spectrum of white collar cases, including environmental criminal and regulatory enforcement actions; health care fraud; internal and government investigations; public and private corruption, bribery, and kickback schemes; tax violations; money laundering; computer-related criminality; financial, banking, and securities laws violations; U.S. Customs investigations into dumping, undervaluation, high technology transfer, and smuggling; Foreign Corrupt Practice Act violations; international and domestic fraud schemes of every type; RICO proceedings; and espionage and terrorism cases.

Kenneth D. Bell focuses his practice on white collar criminal matters, internal and government investigations, including commercial and financial investigations and anti-money laundering, RICO and cases before the Fourth Circuit Court of Appeals. Before joining private practice, he served 17 years as a prosecutor in the U.S. Attorney’s Office in Charlotte, the last 10 as First Assistant United States Attorney overseeing prosecution of all federal criminal offenses and civil enforcement in 32 western counties. He has received awards and citations from the Department of Justice, FBI, DEA, U.S. Secret Service, U.S. Customs Service, Bureau of Alcohol, Tobacco, Firearms, and the IRS. Bell received his undergraduate and law degrees from Wake Forest University.

Bell gained national recognition for the 2002 conviction of a Hezbollah terrorist cell in Charlotte, uniquely obtaining convictions for providing support to a terrorist organization, RICO, money laundering and conspiracy. The ring, which sold $7.5 million in contraband cigarettes, also arranged for the delivery of military equipment, such as mine detection gear, blasting equipment and night-vision goggles, to Hezbollah. One of the defendants was sentenced in 2003 to 155 years in prison. Bell successfully introduced wire tap records from the Canadian Security Intelligence
Service, the first and only time such records have been used in a U.S. court. For his groundbreaking work, he was honored with the prestigious U.S. Attorney General John Marshall Award for Trial of Litigation and with
a special commendation from the Director of the Canadian Security Intelligence Service (CSIS). [/quote]

Kenneth D Bell
McGuire Woods

[quote]
Mr. Bell works in the firm’s rapidly growing Government, Regulatory and Criminal Investigations Department, where he represents clients on a variety of matters involving white collar crimes and business-related investigations. As part of his practice, he routinely represents Fortune 500 companies facing federal and state grand jury investigations.

Representative Matters

Representation of Speaker of the North Carolina House of Representatives during federal, state and regulatory investigations.

Representation of a Fortune 500 company in federal grand jury investigation and civil securities litigation related to allegations of stock option backdating.

Representation of a national property and casualty insurance company in federal grand jury and civil investigations regarding federally insured program.

Representation of a national home builder and mortgage company in class action civil litigation regarding sub-prime mortgage issues.

Representation of a Big Four accounting firm during investigation by state agency of tax planning strategies.
Conducted internal investigation for major financial institution regarding commission compensation practices.

Representation of a principal of a hedge fund regarding a federal grand jury investigation.

Representation of a national construction company during federal grand jury investigation of municipal water project.

Representation of accountants and medical professionals before licensing boards.

Representation of officers and directors of financial and commercial companies during federal grand jury investigations.

Representation of major financial institutions, accounting firms and large corporations in matters of government and internal investigations.

Counsel of record for more than 100 cases before the U.S. Circuit Court of Appeals for the 4th Circuit.

Primary trial responsibility in more than 200 federal cases, with more than 75 jury trials.

Government investigations regarding commercial and financial frauds, Foreign Corrupt Practices Act, money laundering, public corruption, healthcare fraud, RICO, tax, terrorism, and environmental crimes.

Troy Dooly

Troy Dooly is recognized internationally as an influencer in the areas of personal branding, leadership development, marketing campaigns, organizational expansion, and corporate launch strategies. Dooly is a speaker, results coach, and radio host. He is a founding member, show host (Beachside CEO) and News Director of the Home Business Radio Network. He is a founding member, and currently serves on the Board of the Association of Network Marketing Professionals

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47 Comments »

  • anonymous

    Laundrying?

  • http://Russia Dmitry

    Troy has already agreed on terrorists)) instead of protecting the interests of millions of two partners from around the world who have come honestly to earn their money!

  • Chris Bailey

    Personally, I think it’s more likely that terrorist groups run some of the HYIP’s than play the ponzi game in hopes of winning, but stranger things have happened.

    It will be interesting to see how the Zeek supporters handle your speculation.

    Good luck with that.

    • Troy Dooly

      @Chris,

      I can see your point. But, from dealing with several situations in the 80s I also know how easy it is to run money through “legit” business deals through money orders and certified funds and eWallets.

      But, again this has more to do with the flow of the money both here at home and internationally, and the expertise of Kenneth Bell to be able to figure out if the money was all from legit folks or any illegal activity. True speculation without a doubt.

  • Neal

    You have officially lost all credibility with me due to these knee jerk assumptions. I suppose that since Michael Jordan went to North Carolina then he too is a terrorist. Come on, lets report on facts.

    • Troy Dooly

      @Neal,

      Hmmm… Why would you feel this is a knee jerk reaction? This is not the first time I have shared info on this very subject. But I am willing to listen to your thoughts.

      • Neal

        Troy, I apologize for only posting negative. I appreciate your efforts and I understand most of what and why you report. However the RVG situation is a VERY sensitive matter due to the legality and due to the affiliates who had their dreams crushed.
        Therefore, I think I speak for many that people are weary of the RVG roller coaster. I have followed your postings very close. I just feel that news good and bad has been posted too quickly in most cases. So many things are unknown and if they aren’t facts then they are assumptions.
        I know people are starving for information in regards to this matter but when emotions are so raw, extra sensitivity is needed in such a terrible situation as RVG. Your article regarding terrorists groups may be accurate, but it may not be…..I guess that is my point.
        Thanks for all of your efforts.

        • Troy Dooly

          @Neal,

          Thank you, and you are correct, it does seem far fetched. If you review the title, you see a “?” at the end.

          The article was not about RVG directly, but more about the Receiver, and the fact he is an expert at following the trail of money when getting to the truth. Since 70% of the affiliates are international, and earlier this year a cyber-crime organization did hit Zeek from the outside which was in part why they lost their credit card processing, I posted the article.

          Add to that, the chatter around the net that Kenneth Bell was only appointed as a political favor, I felt the affiliates needed to better understand Kenneth Bells background and the overall complexity of this case. There are without a doubt many agendas right now in play in the Zeek Rewards situation. Most folks just want their money back, while others are fighting to keep theirs. My goal was to provide some info about the Receiver, and it seems folks did not get that due to my use of Terrorist. I will be more careful in the future in my choice of words, and information so not to cause more issues.

    • http://amlmskeptic.blogspot.com K. Chang

      If I had to take a guess, I’d say he was referring to your previous theory about ‘international Ponzi ring”.

      I agree terrorist groups sounds more ominous.

      I don’t think that’s a very likely explanation though. :)

  • Distributors Rights Respected

    It appears the regulators are not disclosing all the known facts to the distributors at this point in time…

    Many who read the SEC report disagree with their evaluation of the program.

    Zeek rewards affiliates need the chosen lawyer to act on their behalf promptly.

    This situation should go back to court…to be fair to all parties.

    We live in a democratic society…our case needs to be heard, before more of our legal rights are taken away.

    I only hope the Mr Bell would communicate to the Distributors Lawyers, rather than the distributors directly

    • http://amlmskeptic.blogspot.com K. Chang

      Why? Ken Bell’s job is to return money to affiliates who lost money.

      Only people who have GAINED MONEY AND DO NOT WANT TO GIVE THEM UP would really have reason to hate Ken Bell.

      it’s also interesting you’re trying to appeal to “the American way” legal rights and all that.

      How about justice? Getting back what’s yours?

  • Tony

    I love that you report the news no filter give us the information and let us decide, but saying things like some Zeek affiliates were terrorist can grow legs of it’s own whether you caveat it with this may not be true or not. I don’t think you should talk about every single rumor that comes across your desk. This type of drama can propagate quickly and create misinformation that will only serve to hurt the whole situation.

    • Troy Dooly

      @Tony,

      Never said they were, just made it clear Kenneth Bell’s background lends itself to investigate the trail of the money…

      • Say What?

        So Troy do you think that the banks, the stock market, or the government should be shut down at a drop of a hat when some INDIVIDUALS are money laundering OR suspected of money laundering through these types companies?

        Seeing how you say you believe Paul Burks is a patriot, why do you think Zeekrewards needed to be shut down rather then go after the suspects????

        Suppose someone at MLMhelpdesk is money laundering do you want Ken Bell to shut it and you down?

        • Troy Dooly

          @Say What?

          First of all based on the court docs, Zeek was not “shut down at a drop of a hat.” The investigation had been going on for months.

          A better question might be “Why NOW?”

          Shutting down Zeek may be how the SEC is going after the suspects.

          Now as for laundering money at MLM Help Desk. We don’t take money. We do sell an ad here or there for a few bucks, and we do have a $10 membership. But, we do not pay anyone back with new money.

  • Peg Hyland

    Hullo Troy,
    Thak you from an Australian affiliate for your commentary on Zeek over the past few weeks. I suspect you could well be right in your current speculation. The world is not the place most of would like to think it is. Our greatest risk in surviving in all spheres at the present time is not that people think or speculate too much but rather that the do not do either enough.
    Keep thinking, keep searching and keep speculating. The Bible tells us to “speak the truth in love” and that “iniquity is purged by mercy and truth”. It seems from this distance that you endeavour to speak truthfully, lovingly and and with mercy.
    I assume you know and hear more than you ever put into print or video so we will watch with interest what develops.
    Peg

    • Troy Dooly

      @Peg,

      Thank you for these kind words. There are many times when I report knowing that down the road more specific info will surface that I am not at liberty to talk about at the time. Thank you for noticing this little item.

      • Peg Hyland

        Thanks Troy.Take care.Peg

  • Tony

    I can assume that by placing a header like this it is really going to genetrate a lot of traffic. Troy I did have a lot of respect for you but lately I see that you have gone really looney on this. Based your articles on fact not assumptions mate.
    Before you a were a number one advocate for Zeek but now you have gone the other way just to please most of your followers and to spike up more traffic.

    • Troy Dooly

      @Tony,

      Never have figured out why folks always think everything is about traffic, that is so old school thinking. If we posted just at the blog that might have merit. But since our social footprint is far larger than our blog has ever been, that just doesn’t work.

      Folks should be careful what they assume. And since you just mentioned the header, and not the content, maybe you did not read about Kenneth Bell and his expertise. But, when it comes to money laundrying, he is one of the best. Especially when it comes to international money laundrying. Add that to the amount of sealed documents, and some other movement that has been taking place and what you think is loony, might not turn out too loony. Heck thinking a terrorist group would be working out of Charlotte, North Carolina seems loony but it happened.

      From your last statement it seems you really did not listen to the video… I have been very clear, I still do not feel Zeek was formed or was operated as a ponzi. Now as for advocate… I do advocate for the truth, and for providing distributors and affiliates with facts, editorials and information as it comes forth. And like so many I want all the facts to be weighed in a Court of Law so all the facts and evidence can be seen.

      Thanks for taking time to share.

      • Troy, please walk away

        Troy you are a JOKE!! Anyone whom relies on you is looking and asking to get played. I hope you find another proffesion before you cause even more hurt and damage to the MLM community. Please do us all a favor and throw in the towel. You are worst than esquire magazines with your loads of steer manure.

        • Troy Dooly

          @Troy, Please Walk Away,

          I find your comment interesting as you did not detail exactly what you are referring. Of course it is easy to see that based on where your comment is located, you feel there is something about this editorial you seem to disagree with. However, since you did nto point out exactly what it is, how about taking a few seconds and sharing?

          If you feel I missed something and you have additional info, I have not been provided, then place add some value.

        • Frank Saunby

          Yes Please, this is ridiculous and I am sure you know Zeek was a ponzi scheme all along.

    • http://amlmskeptic.blogspot.com K. Chang

      People ALWAYS say that when they read something they don’t like…

      Oz, I, and now Mr. Dooly have been on the receiving end of that baseless accusation for YEARS.

  • Taylor Cornish

    Oh, so you’re a reporter now, Troy? Well here are a couple more leads for you to follow. I heard that several people who worked at the ZeekRewards home office in Lexington, NC (which is 59 miles from where Ken Bell lives in Charlotte but I’m sure that couldn’t have anything to do with why he was hired) — several of these people who worked at Zeek had dogs in their homes. This probably means they ran a bestiality ring, don’t you think? Also, what about the affiliates who lived in Colombia? Doesn’t that mean that cocaine trafficking surely played a part? We look forward to your findings.

    • Troy Dooly

      @Taylor Cornish,

      I am not sure what your comment has to do with this editorial. You seem to have either missed something in the video. Let me see if i can claer up a couple of items for you.

      1. Rex Venture Group, isn’t the issue, it is the flow of the cash. Which is always the issue when regulators get involved. Kenneth Bell is one of the experts in the USA for unraveling the flow of money to determine if it is from all legit organizations or individuals.

      2. Since there were NO W-8s collected on any of the international organizations or individuals, like there were W-9s on the US organizations and individuals, this will make following the flow of certified funds this does open a door to any international issues, which is far more serious than any US based issues which can be easily tracked.

      Now I am sure you are ignorant to how funds are laundered and how the flow of funds offshore flow through the USA through innocent companies. If you get some time and it is important to you, then do a little due diligence.

      Here are a couple of examples of well known companies which had this very issue happen to them. And in Zeek’s case there internal audit controls were not near as sophisticated and created to catch this type of situation.

      HSBC Helped Terrorists, Iran, Mexican Drug Cartels Launder Money, Senate Report Says

      Some big banks eyed in drug, terror money laundering

      Now you take that, and add it to the information on this very subject from the USA Patriot Act and it is far easier to see where my subjective thoughts, of why Kenneth D. Bell was retained as the Receiver closer to a finite conclusion. Of course you might not have read all the court documents or wondered what is under the sealed documents.

      “Anti Money Laundering programs and strategy Source Wikipedia
      Two sections in subtitle B deal with the U.S. government’s anti-money laundering programs and strategy. The BSA was amended by section 352 [31] to make financial institutions implement anti money laundering programs. Institutions must implement, at a minimum, the development of internal policies, procedures, and controls; the designation of a compliance officer; an ongoing employee training program; and an independent audit function to test programs. The Secretary of the Treasury is given authority to set minimum standards of these programs but may exempt from the application of those standards any financial institution that is not subject to the provisions of the rules contained in part 103 of title 31, of the Code of Federal Regulations.[32] The section also orders the Secretary of Treasury to produce regulations “commensurate with the size, location, and activities of the financial institutions to which such regulations apply”. These regulations were jointly produced by FinCEN and U.S. Treasury as 31 C.F.R. 103.137 on December 5, 2001 and largely focus on requiring insurance companies to form anti-money laundering programs — depository institutions were not targeted because the Bank Secrecy Act already requires them to have anti-money laundering programs.[33]

      The BSA specifies that “the President, acting through the Secretary and in consultation with the Attorney General, shall develop a national strategy for combating money laundering and related financial crimes.”.[34] In the development of that strategy, the legislation gives a list of areas that address any area the President, acting through the Secretary and in consultation with the Attorney General, considers appropriate.[35] Section 354 added a new area to be addressed in the strategy: “Data concerning money laundering efforts related to the funding of acts of international terrorism, and efforts directed at the prevention, detection, and prosecution of such funding”.

      • jason chu

        Troy,

        Thank you for you information and explaination. I come to understant that no matter whom is a zeekreward affileate should file W8s or W9s as zeek is a USA company dealing with domestic and international business. Thank you again for you great info!

      • Lane

        But would they wait 90 days to start drawing down a portion of what they had put in and do that for a couple hundred accounts with 10,000 in them? I would think they would find a faster way to get their money cleaned so to speak. They would need to be high up in the Zeek offices to move money through any other way right? Affiliates could only draw a percentage after 90 days and not great sums since the cap was 10,000.

        • Troy Dooly

          @Lane,

          That is a good question. If the program was solid enough and they felt there was room to pull down, then maybe. Remember millions were involved, and some countries were closed down. Although it is just a theory, who would have thought terrorists would be operating in Charlotte North Carolina?

  • http://www.going2work.net DOUGLAS WILLIAMS

    Please help the Affiliates WORLD wide Organize we have a Z team but THE EGOS are hurt so many talk bad cause of personal agenda
    im really really hope some people can PUT AWAY the EGOS have a round table meeting and spearhead the actions for the Affiliates top one or last one all are hurt pleas please please find a team of lawyers for us so CORRECT REP> can happen

    OJ Simpson had his lawyers M Jackson had his Lawyers Where is zeek affiliates Lawyers

    • http://amlmskeptic.blogspot.com K. Chang

      The receiver Ken Bell is your lawyer. He’s busy clawing back your money to be given back to you. He’s only your enemy if you PROFITED from this ponzi scheme.

      • Anthony Rivera

        He’s not our lawyer, you know darn well we won’t see any money from the SEC. They will use it all up for the work they are doing. Hence the 5 year paid for the domain “zeekrewardsrecievership.com”

        They will take as long as they want at what 200 – 500 bucks an hour ? Were only victims from the SEC not Zeek and never heard anyone being a victim while zeek was operating.

        • Troy Dooly

          @Anthony,

          You will more than likely see most if not all of your money back. At least the ones who are owed refunds. Even in the ASD case the victims have received their money back. Now how long it will be is up in the air until October 8th when the Receiver releases the Liquidation Plan.

        • baiyun99

          The most important thing we have to clearly know is who pay money to Mr. Ken Bell. Where is the money come from?If the money is coming from that Mr. Bell collected from Zeek’s pool, then the case will become more doubtful.

  • rodon

    Forgive me, but I doubt that crime, and that serious people would risk a major financial dubious internet projects, this is ridiculous. This information can be confusing just stupid people. Sincerely Russia. You do not have democracy, as well as in Russia.

  • http://vip047332271@twitter Henry Alvarez

    Sorry but you should know all people when the govertment , screws up an investigation, their will never admit that their screw up, and tell you all the shit in the word you will listen too , as terrorist, he may had and done some work as an Distric Attorney, again terrorist but, this got nothing to do with Zeek , is just Bull Shit in part of the goverment. Is lots of Money and their want to make sure to get something out of this, just tell them to give us our Money back, and stop the nonsense.

  • http://amlmskeptic.blogspot.com K. Chang

    My personal view is the chance of foreign forces (terrorist or criminal gangs) using US business to launder money is minimal.

    Why? it’s much easier to do it elsewhere… Cyprus, Malta, those little islands known for being tax havens and whatnot. Remember, Cyprus used to launder money for the Russian Mafia, and Al Qaeda is rumored to operate the “Al Qaeda Navy” through front corps on Cyprus. (And the TVI Express scam also had registered in Cyprus)

    • “J’

      K.Chang,,,why do YOU think no ones butt has been arrested at RVG..Paul,Dawn,DD…no one…they made milions and nothing….im a little pissed about it,4 million was no problem for Burks…must be nice.

      • Troy Dooly

        @J,

        The criminal investigation i still going on, and may go on for many more months. The SEC is not the criminal division, and the FBI and Secret Service have yet to state what they have or have not found. WHen they do, then the US DOJ will issue the charges and warrants.

  • ishtiaq

    troy its their lamb excuses to get away all the money showing zeek terrisest support

  • ishtiaq

    if they are serious and want to save victm money let open the zeek site in their look after bann on purchasing and let them to withdraw who had fresh deposits and who have lost, if no we know first of all receivership will fill their pockets with our money and remining will go to attorney and america govt all is this play and chet wwith affiliates, just cheat

  • Jim

    I agree with K. Chang, and besides Burkes is the one who handed over zeek to the SEC, I am hoping Ken Bell gets my 10k back I put in, in June. I never took a dime out, and any one who did profit from it, just as in any ponzi scheme, should pay it back. The profiteers will fight with everything they have to keep from paying it back and a few years or even 10 years could go by, but eventually the U.S. Gov’t will just wear you down, they have endless means to do so. I’m not smart enough to know if ZEEK was a ponzi scheme or not, but the U.S. Gov’t says it was, and if you have the balls, time and money to fight them? Well goodluck, cause I sure don’t lol

  • ishtiaq

    its easy for sec that gve some days open site and ask people to withdraw their money back in this way they can got easy but they know in this way they will not get a singal penny in their pocket they r making so diffcult process to collect info simple open give option

    • qasim

      How can I give my money back what I do ?reply

      • Troy Dooly

        @Qasim,

        If you read the above editorial, the Receiver stated that as soon as the Judge approves the Claims Form it will go live.

  • Gregg

    Troy,

    I wish you’d quit building the internet myth that “most of RVG funds came from overseas.” I have some documents that show that in fact, only 7% of the funds received by RVG were from outside North America. You’re once again getting an idea in your head from somewhere and regardless of the source or the common sense of it you just accept it as true and then go blasting it to the world. Well, you’re wrong. Wrong on the money being from overseas, wrong on some international terrorist/money laundering conspiracy and wrong on thinking Zeek was a legit company that made a series of innocent mistakes leading to the end result fraud.
    Zeek Rewards was a ponzi scheme from the first day, it didn’t get co-opted by criminals it was founded by a low level criminal.

    • Troy Dooly

      @Gregg,

      Thank you for stopping by and commenting.

      This article is close to a week or two old. Since I know you read the article and have heard the chatter on the net, you know several folks have made it clear they thought Kenneth Bell was appointed based on political favors. This article really has more to do with his credentials, and his ability to unravel the trail of money in situations like this, and the fact that many times organizations operating right under our noses, can go unnoticed when we do not expect it.

      So, I hope you can fully understand where I am coming from in this editorial, and the fact since it is clear based on SEC documents and my own personal information that over 70% of the 2 million people are outside the USA, and that they may not have all the info, they need to be well aware of who Kenneth Bell is and the fact, this company is not raising from the dead.

      So, not sure where you get conspiracy at, or how you know what is in my head, but the fact of what Kenneth Bell is an expert at, and the fact, the money that has flowed into and out of Rex Venture Group, has come from overseas and locally is neither a conspiracy or a lack of common sense.

      As for being wrong… I asked a question, I never made a statement. I did cover Kenneth Bell’s background, and since the source of that info came from press releases from his firms, I am not sure how that can be wrong.

      I do appreciate your expertise on things, and that you have documents showing I am wrong for asking the question. Hopefully as we read more documents, and the Sealed documents are eventually opened, I will be shown to be wrong, and you will be right.

      Personally, all I care about is the truth comes and out and these folks get their money back.

      Now as for the low level criminal statement… Can you produce documents to show Paul Burks was a criminal? I could not find anything but a traffic ticket?

      And from what I have seen and was told, Paul was not the “mastermind” running things or even the one who came up with the idea of “penny auctions”, ad copy, or compensation plan. He was the “mastermind” of The Exact Marketing System, which he had written about for years. But that was not a comp plan, that was a marketing method.

      So in closing let’s make sure we are on the same page.

      1. I asked a question, I did not make a statement.

      2. Kenneth Bell is known for following the money trail no matter where it leads or who it leads too.

      3. There is chatter on the net about Kenneth Bell just being a political appointee, instead of working on behalf of the former Zeek Rewards Affiliates, and I do not believe that is correct.

      4. There are many who would love to get folks to think Zeek Rewards will reopen and they should donate to heir cause… This is also false.

      5. I did NOT state that Zeek was being used to launder money, I did raise the question that it could have been used as such, based on the convoluted financial issues.

      As always thank you sir!

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