Lexington, NC-- The Zeek Rewards Ponzi Scheme case has taken another turn. This time affiliates were given an ultimatum.
Zeek Rewards receiver Kenneth Bell, is urging winners to reach a settlement with him. If not, he'll take them to court.
There's a good chance you know someone who was affected by Zeek Rewards. If you go to Lexington, there's a really good chance.
Wanda Stafford works at a nearby lumber shop across the street from the building where Zeek Rewards used to be headquartered. She knows plenty of people who lost money.
"The lines would wrap around the building and people would just be standing out in groups and huddled and it would be before daylight the lines would start," said Stafford.
At one time, the doors didn't close at the Zeek Rewards building on Center Street in Lexington. That all changed in August when the SEC filed a complaint alleging that Zeek Rewards led by Paul Burks was a $600 million pyramid scheme.
A representative for receiver, Kenneth Bell told us that so far they've recovered $312 million since August. We'll know more the end of April, when a new report is released.
On Monday, the receiver issued a message to people who made money by investing in Zeek Rewards.
Investors who profited from what's being called one of the largest ponzi schemes in US history will have to pay up.
Investors have until May 31st to negotiate a settlement with Kenneth Bell. If they don't contact him, Bell will take them to court.
Zeek Rewards attracted one million investors including nearly 50,000 just from North Carolina.
News 2 went to Paul Burks' home in Lexington on Monday. Last time we were there in August, there was a security guard out front. On Monday, no one answered the door and a "for sale" sign was on the front lawn.
Previous Zeek Reward Stories:
ZeekRewards scam leaves N.C. town millions poorer
Receiver Reaches Out To Winners In Zeek Rewards Scam
Receiver Recovers $312 Million In Zeek Rewards Ponzi Scheme
Receiver Files More Documents In Zeek Rewards Case
Zeek Rewards Goes After Winners
Zeek Rewards' Receiver: Still Working Out Details
Judge Extends Deadline For Zeek Rewards Receiver
WFMY News 2