Russ Dalbey Lawsuit FTC Update on Winning in the Cash Flow Business

People seeking refunds from the Russ Dalbey lawsuit may just have been scammed out of money by a different company, according to an update posted by the FTC.

(Editor’s Note: Information on the Dalbey Bankruptcy Chapter 7 Filing can be found in the update posted at the bottom of this article.)

Imagine feeling misled by an infomercial, attempting to get some money back, and losing even more hard earned dollars paid to a company claiming they could get you a refund.

Sadly, this is how the story unfolded.

Earlier this year the Federal Trade Commission and Colorado Attorney General filed a lawsuit charging Dalbey with defrauding consumers.  Feeling misled, some buyers of the “Find ‘Em, List ‘Em, and Make Money” system went in search of a refund.

Just take a look at the heartfelt comments left under the original article entitled Russ Dalbey’s Winning in the Cash Flow Business In FTC Lawsuit to see how angry and hurt many felt.

Next enters a company, RMI Associates, claiming they can help people get refunds from the Dalbey Eduction group, but first they need hundreds of dollars upfront.

This led the FTC to recently update their page on the Dalbey lawsuit with the following:

“A company named RMI Associates has been claiming it can help people get refunds from Dalbey, but first the company wants a fee of several hundred dollars. The FTC believes that this company is attempting to defraud you. Neither the FTC nor the Colorado Attorney General is working with any company. A Court has ordered RMI Associates to stop making claims that it is working with the FTC or that it has a track record of having obtained refunds for consumers.”  Source: FTC Website Update On Dalbey Lawsuit

The Colorado Attorney General also issued their own cash flow business scam alert:

PRESS RELEASE
Colorado Department of Law
Attorney General John W. Suthers

FOR IMMEDIATE RELEASE
September 21, 2011

CONTACT
Mike Saccone, Communications Director
303-866-5632

ATTORNEY GENERAL ANNOUNCES ORDER BARRING DENVER COMPANY FROM CONTINUING CONSUMER-RESTITUTION SCAM

DENVER — Colorado Attorney General John Suthers announced today that his office has obtained an order barring Denver-based RMI Associates from providing consumers with assistance in filing a consumer complaint with the state for a fee. The court order also requires that RMI Associates refund any fees it has accepted from consumers to assist them in filing a complaint with the Office of the Attorney General or the Federal Trade Commission.

The order follows an August lawsuit the state filed against RMI Associates alleging that the company claimed that in exchange for an upfront fee it could help victims recover their losses related to a federal consumer-protection lawsuit against Westminster-based Dalbey Education Institute, formerly known as American’s Note Network.

“This order underlines that consumers should never pay for a service they can obtain for free from the state,” Suthers said. “Any private business that claims a ‘special relationship’ with my office or any other state or federal consumer protection agency is misleading you. You should never pay a fee to file a consumer complaint with the state of Colorado.”

Consumers can file a complaint for free via the Office of the Attorney General’s Web site at www.coloradoattorneygeneral.gov/complaint. Consumer also can file complaints via 1-800-222-4444 or stop.fraud@state.co.us.

The Office of the Attorney General warned consumers about RMI Associates’ fraudulent services in early August after consumers began filing complaints against the company. Consumers should never contract with a company or pay any fees in order to get their complaint submitted to state or federal authorities.  Source: Colorado Attorney General Press Release

At the time of publishing this article there has not been a Court decision on the government’s lawsuit against Russ Dalbey and Winning in the Cash Flow Business. As additional information becomes available we will post updates for our readers and subscribers.

Update 12/1/11 – Dalbey Education Group Has Filed Bankruptcy

According to an article published November 16, 2011, by CBS Denver News the company owned by Russ Dalbey, Promoter of Winning in the Cash Flow Business, has filed for Chapter 7 Bankruptcy.  Here are a couple of key points from the report:

  • 308 People have filed complaints with the Colorado Attorney Generals office claiming the Dalbey cash flow business was a scam.
  • Gross income for Dalbey Education Institute was around $62 million in 2009, $50 million in 2010, and $21 million this year (2011).
  • Assets are normally sold to pay creditors in a Chapter 7 bankruptcy after which a company basically disappears.
  • The State of Colorado in conjunction with the FTC continues to pursue restitution along with fines and fees feeling these claims are not dischargable.
  • Complaints were still being accepted.

The full article entitled  Company That Promised to Help People Get Rich is Broker by CBS Denver News can be found here: Dalbey Bankruptcy Filing

 

Comments

  1. Curious as to why everyone that invested in this guys “sad story and incredible comeback” was not notified of this sickening, blatant display of self serving greed. I, too am a victim. Please keep me updated. I would like to see him and his poor, ill wife (I’m sure she was right beside him licking her chops) live like the people that actually BELIEVED in him and his program and spent their hard earned money to make a better life for their families, only to line HIS pockets. I hope this spreads WORLDWIDE so there is no chance his children are sheltered by it. Nice role model, Russ!! Your parents and children must be very proud.

  2. William Francis says:

    I was also scammed by this man and company and would love to get my investment back

  3. Debbey Surprenant says:

    I invested $7,000. No one would ever return my calls when I had questions. I posted probably 30 notes on their website and got really low offers. One of the investors yelled at me about the first note I posted and another investor told me that Russ Dalbey was an idiot. I hope he has to pay us all back but I seriously doubt he will.

  4. I to was scammed over $15,ooo. I traveled to Colorado to attend a few seminars never saw Russ Dalbey. There were smart talking individuals there that seemed honest. I just hope they were not part of this huge scam. This is the first huge scam that I have been associated with. What a heartbrokeing exspirience. I hope no one else will be taken advantage of this way. I hope all the people who were scammed get some if not all of there investment back. What a traggic blow in life. A huge learning exspirience.

  5. Eddie Helms says:

    I don’t know about anybody else but i would like to see that SOB Russ Dalbey and all his cronnies have to pay everbody back what he owes them encludeing me then ship them all to prison down here to the Oklastate Penitentiary then they would think twice before they ripped of anybody else;;

  6. william woischke says:

    I invested over $20,000 in Dalbey’s scam. I also paid RMI $995 to get money back. Is there anything honest anymore? 612 720 3118. I’d like to hear from someone re the statu of this case. Thank you, Bill

  7. Tajuana says:

    Has there been an update? I invested in this program and would like to get my money back.

    • I WOULD ALSO LIKE MY MONEY BACK!!

    • I researched the web and have not turned up any new information. I encourage people to contact the Colorado Attorney General, Bankruptcy Court, and the FTC to file the appropriate claims if you feel you are owed money. Maybe if they keep hearing from people they will share some updates. My guess is they are still fighting it out in the legal system and bankruptcy court.

      Here are the links for quick access:
      Colorado Attorney General at: http://www.coloradoattorneygeneral.gov/dalbey
      Federal Trade Commission at: http://www.ftc.gov/opa/2011/05/dalbey.shtm
      Colorado Bankruptcy Court at: http://www.cob.uscourts.gov/default.asp

      • Thanks Tracy for the links. I would love to get my money back, or at least some of it. I would also like to see some jail time for the professional bike rider turned professional scammer.

    • Has there been an update? The last thing I read was that the court case schedule in May was delayed. Hope the attorney general gets it done soon. I invested to much money and made nothing, the sellers or scammers there were real good. Maybe we will see some of them on the tv show Greed.

    • Charles Shafor says:

      My father was absolutely screwed! To the tune of almost $30,000! No kidding! I got involved, went to their campus in CO and knew as soon as I entered the doors that this was s scam and began investigating as soon as I returned to Ohio. It may take a while, but I will not rest until my father gets SOME sort of restitution!

  8. Ken J. McNeil says:

    I can’t believe that it is taking so long. Dalbey made lots of money off me. I know this business inside out… yet I have never made a penny. I did find some notes and posted them on their website. The investors that worked with Dolbey would make such low offers that none of the note holders would sell.

    I payed and went to several seminars… several people claimng they had sold well over 25 notes. Therefore, they got all their money back. Think about it… why would he make this offer? Because, he knew nobody could sell 25 or notes in a year. I doubt that these people were telling the truth and that they were paid to make these claims.

    Don’t think any of us will see money back from Dolbey. I hope Russ and his team will never get a good nights sleep.

  9. Garry hartzell says:

    I’m still waiting to get information on the lawsuit….. anyone getting results yet?

  10. IM STILL WAITING HAVEN’T HEARD ANYTHING

  11. I also lost a lot of money and hope to get some back. I also payed a company called RMI who claimed they would get my money back which I found out later was also a scam. Maybe we will see Russ Dalbey on American Greed.

  12. Ronnie Robinson says:

    Been waiting patiently for results as I lost a lot of money with these people. Nearly everyone there was working together knowing they were misleading the one’s who had invested hard earned money. We were hoping for a better way of life, not getting ripped off and taken advantage of. We trusted them that they were telling us the truth. They took advantage of that trust.

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