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ZeekRewards Receiver To Send Some Affiliates Subpoenas

5:42 PM, Nov 1, 2012   |    comments
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Greensboro, NC -- Hundreds of people who made money off the ZeekRewards website will soon receive subpoenas from the man charged with trying to recoup millions of dollars for duped investors.

In an update posted on the receivership website, Kenneth Bell said "1,200 affiliates who profited most from" the ZeekRewards site will begin receiving subpoenas that ask for their financial information. Bell said the subpoenas will also include a letter asking for a "voluntary surrender of profits" made from the penny auction site because that money belongs to other victims of what the SEC is calling a Ponzi and pyramid scheme.

Should people choose not to voluntarily return their profits, Bell said legal action could follow. In total, he estimates there are 100,000 user IDs that belong to people who made more money than they put in.

More than 800,000 people put in more money than they took out of ZeekRewards' parent company, Rex Venture Group LLC, Bell said. Losses will total an estimated $500 to $600 million. So far, the receivership has recovered more than $300 million.

"I can't tell you we will recover enough to make all victims 100 percent whole," Bell wrote, "but it we don't, it won't be for lack of trying."

Bell also hopes to have an official claim form available on the receivership website, but that won't happen until it's finalized and legally approved. "This will unfortunately take quite a while," he wrote.

WFMY News 2

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