Tag Archives: Kevin Trudeau

Judge approves refunds for buyers of Kevin Trudeau’s diet book

Oct 8, 2015 | WLSAM Staff

(CHICAGO) The Federal Trade Commission plans to start refunding customers duped into buying fraudster Kevin Trudeau’s diet book “as soon as possible” after a judge gave final approval to the plan, its lawyer said.

Calling it the “fairest way we can do this,” U.S. District Judge Robert Gettleman gave his blessing Wednesday to the FTC’s proposal to use $8 million of Trudeau’s fortune to begin compensating people who were conned through false infomercials into buying the TV pitchman’s book, the Chicago Sun-Times is reporting.

The book Trudeau promoted as “an easy weight-loss program” actually offered a 500 calorie-a-day diet, off-label injections of a fertility drug, frequent colonics and “extraordinary, lifelong” diet restrictions, according to the FTC.

Gettleman also shot down a counterproposal by Trudeau to send refunds only to people who have asked for one.

“The FTC’s proposed distribution will give a windfall to certain customers who will receive a check even though they were perfectly happy with Trudeau’s book and do not want a refund,” Kimball Anderson, an attorney for Trudeau, argued in a court filing last month.

FTC lawyer Jonathan Cohen said Wednesday the government agency will track down consumers who purchased Trudeau’s book. He said the refund checks should arrive in white envelopes from the FTC labeled “Refunds for people who bought The Weight Loss Curebook.”

Consumers won’t be getting a full refund on the book. The government agency’s lawyers have said the refunds could arrive in multiple checks to readers, and it’s “reasonable” for consumers to expect $11 total from the first two checks they get. Some variables are at play, including the number of consumers the FTC can track down and the percentage who actually cash their checks. The checks will be valid only for 60 days.

The FTC said more than 820,000 people bought Trudeau’s book, which has a list price of $24.95.

Trudeau is serving a 10-year prison sentence for criminal contempt after violating a court order and repeatedly lying about the contents of his diet book. He’s been accused by prosecutors of brazenly defying Chicago’s federal courts for more than a decade.

Robb Evans & Associates LLC, a firm tasked with tracking down Trudeau’s assets, found earlier this year that his vast business empire generated more than a half-billion dollars between 1999 and 2013. After Gettleman hit Trudeau with a $37.6 million fine in 2008, $30.6 million of that fortune went missing and Trudeau claimed to be “penniless.”

The firm found Trudeau pocketed at least $24 million of the $515 million collected by his various enterprises. It put its hands on $8 million while sorting through the infomercial king’s assets, and that money will be used to pay for the refunds.

Gettleman, who previously called Trudeau a liar who might have committed perjury, again noted Wednesday that Trudeau will have to answer for his fibs when he finishes his prison sentence. The judge said he’s not sure if he’ll still be on the bench when that day comes.

“I hope to be,” Gettleman said.

© Copyright 2015 Sun-Times Media, LLC. All rights reserved.

FTC wants to start handing out refunds for Kevin Trudeau’s diet book

Jul 10, 2015 | WLSAM Staff

(CHICAGO) More than $30 million may be missing from Kevin Trudeau’s empire.

But a firm tasked by a federal judge with tracking down the TV pitchman’s fortune put its hands on more than $8 million.

Now the Federal Trade Commission wants to use it to start refunding customers duped into buying Trudeau’s diet book by its “grossly deceptive marketing,” the Chicago Sun-Times is reporting. Jonathan Cohen, an attorney for the FTC’s enforcement division, said the $8 million belongs to the consumers.

“The court ordered that Trudeau repay consumers,” Cohen said. “He didn’t do it. But the money always belonged to consumers.”

Robb Evans & Associates LLC recently filed a long-awaited analysis of Trudeau’s finances, finding the infomercial king’s vast business empire collected more than a half-billion dollars in revenue between 1999 and 2013. Trudeau cried poor in the face of a $37.6 million fine, but Robb Evans said it couldn’t figure out what happened to $30.6 million generated by Trudeau-linked companies.

Trudeau attorney Kimball Anderson declined to comment on the report earlier this week. But the lawyer opposed Robb Evans & Associates’ request for payment in court Thursday, arguing the firm “found no evidence of any fraudulent transfer of assets despite capturing the entire universe of Trudeau entity records and subpoenaing every imaginable bank credit card company and vendor.”

FTC lawyers will seek permission July 21 from U.S. District Judge Robert Gettleman to begin refunding customers. In a motion filed Thursday, they indicated the refunds could arrive in multiple distributions, and it’s “reasonable” for consumers to expect $11 total from the first two.

But several variables are at play, including whether the judge will approve the plan. Cohen said the refund amounts could also depend on the number of consumers the FTC can track down and the percentage who actually cash their checks.

The FTC laid out in its motion plans to track down consumers who bought Trudeau’s book as well as how to engage in “consumer-friendly communications using plain language to explain the process.”

More than 820,000 people bought Trudeau’s book, according to the FTC.

— Chicago Sun-Times

© Copyright 2015 Sun-Times Media, LLC. All rights reserved.

Judge tries to shut down Trudeau fight over taxes

May 22, 2015 | WLSAM Staff

(CHICAGO) A judge sought to end the snit Thursday between TV pitchman Kevin Trudeau and a receiver put in charge of Trudeau’s assets nearly two years ago, the Chicago Sun-Times is reporting.

Trudeau, who is in prison in Alabama, has complained through his attorneys that the court-appointed receiver had failed to file tax returns for Trudeau, his wife or 19 of Trudeau’s purported businesses. But the receiver countered that Trudeau had refused to turn over control of those businesses, claiming “he either lacked control over them or the entities were empty shells with nothing to turn over.”

U.S. District Judge Robert Gettleman shot down a Trudeau motion Thursday that sought to force the receiver to file the tax returns.

“The receiver can only file returns for those assets it has in its possession,” Gettleman said.

And as for Trudeau’s personal tax returns, the judge later added, “if he had assets or income that he didn’t report, that’s his problem, not mine or the receiver’s.”

The self-improvement guru has been accused of defying Chicago’s federal courts for more than a decade. U.S. District Judge Ronald Guzman called Trudeau “deceitful to the very core” when he sentenced Trudeau last year to 10 years in prison after a contempt conviction.

Gettleman also noted Thursday that, “Mr. Trudeau’s income was not exactly an easy thing to track down.”

— Chicago Sun-Times

© Copyright 2015 Sun-Times Media, LLC. All rights reserved.

TV pitchman Kevin Trudeau picking a fight with receiver over taxes

May 13, 2015 | WLSAM Staff

(CHICAGO) TV pitchman Kevin Trudeau claims he is being put in a “trick box” and is picking a fight with the receiver a federal judge put in charge of his assets nearly two years ago, the Chicago Sun-Times is reporting.

Trudeau, who was sentenced to 10 years in prison last year after a contempt conviction, complained through his attorneys in court papers last month that the receiver had not filed tax returns for Trudeau, his wife or 19 of Trudeau’s purported businesses.

The receiver countered that Trudeau had refused to turn over control of those businesses, claiming “he either lacked control over them or the entities were empty shells with nothing to turn over.” Rather, the receiver pointed to claims that they were part of a scheme to put Trudeau’s assets beyond the reach of the Federal Trade Commission.

But Tuesday, Trudeau’s attorneys said the receiver had complete access to his records for nearly two years.

“By now, it is too late for the receiver to complain about its apparent inability to do its job,” they wrote. “The bottom line is the receiver has failed to identify any specific Trudeau assets that have not been turned over to the receiver.”

They said Trudeau is faced with the choice to either violate his legal obligation to pay taxes or violate a court order preventing him from personally paying money to the IRS.

The squabble is expected to spill into U.S. District Judge Robert Gettleman’s courtroom May 21.

Prosecutors have accused the self-improvement guru of brazenly defying Chicago’s federal courts for more than a decade. As he handed down Trudeau’s 10-year sentence in March 2014, U.S. District Judge Ronald Guzman called Trudeau “deceitful to the very core.” He pointed to a litany of previous fraud and contempt charges and convictions cited by prosecutors.

But Trudeau said at the time he’d undergone a “personal transformation.”

“I have been stripped of all ego, arrogance, defiance and pride and for this I am very thankful, as it has made me a better person,” Trudeau said.

— Chicago Sun-Times

© Copyright 2015 Sun-Times Media, LLC. All rights reserved.

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