MOBE Shut Down by FTC – Called a “Fraudulent” Business [UPDATED]
Finally… The truth is in… MOBE is officially a scam and has been shut down by the FTC. I have been waiting for this to happen for years and was starting to think that it might never happen. In fact, I was starting to think that there might even be a slim possibility that MOBE is actually legitimate.
I am very familiar with MOBE and their operations, having been making money online since 2015 myself. When you are involved in the online marketing world like I am, reviewing scams on a regular basis, you know a fair amount with what is going on.
The funny thing is that I always used to call MOBE a scam a while back and actually stopped from doing so, instead calling it “shady” rather than an outright scam to give the program the benefit of the doubt. What I do this? Well because, like I said, I was starting to think that there is a slim chance the business was more legitimate than I was giving it credit for being.
MOBE In a Nutshell
I am guessing you are already well aware of it, but in case you are unfamiliar with MOBE here is a brief overview for you:
MOBE is what you call a “high ticket” online business coaching program. Their business model is basically to lure people in with a modest $49 membership fee and then push them into extremely expensive up sells that cost thousands of dollars. Members would then be coached on how to resell these expensive memberships to other people. So pretty much people would be suckered in, forced to fork over tons of money, and trained to sucker others into the scheme while all of this is going on.
According to the FTC, most people that got involved with MOBE failed to even recoup their investments, some people investing as much as $60,000.
Out Of Control Promotional Material
The reason for the FTC shutting down the business is due to violation of Section 5(a) of the FTC Act, 15 U.S.C. § 45(a). Basically this section of Act 15 prohibits “unfair or deceptive acts or practices in or affecting commerce.”
The reason that the FTC has said that MOBE violates this act is because of the extremely misleading promotional material, which really misrepresent the opportunity that MOBE gave to members. You know… The promotional material about being “guaranteed” to make money and there being a “money back guarantee” if you didn’t… And even that ridiculous $500 guarantee that MOBE would personally give you if you were to not make any money with the system. These types of misleading claims.
Status Of MOBE (I’ll Keep This Updated)
June 4th is when the FTC first filed the civil suit against MOBE. calling it a “fraudulent business education program”.
Right now there is a TRO (temporary restraining order) in place that has halted the operations of MOBE but this is only temporary. Another court hearing on June 26th, 2018 will hopefully determine the fate of this business.
I will keep you posted with what happens in the hearing… whether or not they decide to let the business off the hulk or keep it shut down.
It is likely that MOBE will remain shut down for good. The FTC just doesn’t go around throwing TRO’s that businesses for no reason. For them to step in with a TRO and completely halt the operations of this business, that is a big deal. They likely have plenty of evidence against MOBE to keep it shut down in the TRO is just to give them a little extra time to prepare their case and to protect new consumers from being scammed.
Where Is Matt Lloyd?
So the question of “where is Matt Lloyd?” arises. In the answer is NO BODY KNOWS. Apparently Matt Lloyd has vanished off the face of the earth. They are asking anyone in contact with him to let him know what is going on and to have them contact the receiver of this civil lawsuit, but as far as I know he is still in hiding.
There is a good chance some of the top global affiliates for MOBE, who made millions promoting the system, are still in contact with him, but I do not know anything for sure.
One thing I do know is that his name is actually “Matt Lloyd McPhee” and not just Matt Lloyd, not that this matters or anything, but I found it somewhat interesting.
What Happens To Those Promoting MOBE?
Another big question is what happens to the people promoting MOBE? There are those like John Chow you have made millions from this scheme… So what happens to them?
Well, I am sure these high-level affiliates are not sleeping too well at night right about now. They are probably also wondering what is going to happen to them in the truth is no one really knows.
The might be forced to pay back some of the commissions they earn from luring people into this scam but there is definitely no guarantee that this will happen. I will also keep this section of the post updated if there are any updates to be made.
It Was Only a Matter of Time
The FTC is really bringing the hammer down on these different high ticket online business coaching programs that exist out there on the Internet. They started by first shutting down Digital Altitude (operated Aspire program), which was very similar to MOBE but had more of a MLM business model.
So who is next? There is Legendary Marketer, Jeff’s 6 Figure Business System, AWOL Academy, Super Affiliate Network, and so many others that employee very similar high ticket business coaching models. So are they going to get shut down to?
Well… I would not be surprised to see some others get shut down in the near future, but I am guessing that many of these programs that are still able to operate are going to be making some big changes to their business model to ensure that they do not get shut down.
We all knew this would happen eventually. I think even Matt Lloyd himself knew that it would come to an end but couldn’t walk away himself having been to addicted to the easy cash flow coming in.
Lucky for me I never got involved with any of these types of systems. I came close to joining a few of them a couple times, but never went through with it.
But anyways… I would love to hear everyone’s thoughts on MOBE getting shut down below. Leave any comments, questions, or concerns down there. I am sure they will benefit other readers and any questions that are asked I’ll get back to you at 🙂