Kannaway Crown Ambassador Randy Schroeder isn’t proud of BehindMLM reporting on TranzactCard.
In direction of the tip of a September 4th YouTube video, masking the identical TranzactCard updates we’ve reported on, Schroeder had a little bit of a meltdown.
Schroeder’s meltdown was precipitated by TranzactCard dropping entry to its US banking companies final week.
This main growth appears to have raised questions inside TranzactCard, which Schroder is evidently sick of answering.
I’ve had the dialog I’m about to have with you, I’ve had with a number of folks at the moment. And I assumed to myself you already know what, why not have it yet one more time, make a bit of YouTube video and ship it out to you all.
Sarcastically, Schroeder spends a lot of the video addressing TranzactCard dropping its US banking companies.
We noticed references that Stable had severed its relationship with TranzactCard.
When the connection with Stable was severed that, by its definition, severed the connection with the companion financial institution.
This in fact we already knew and reported on. One new bit of knowledge I’ll add is that Stable offers a useful uptime graph on its web site:
Apart from some minor delays on September third, Stable doesn’t report any disruptions to its companies. That is in direct distinction to what TranzactCard has informed its associates, which Schroeder repeats;
We wound up not solely disrupting our enterprise … it wasn’t simply our enterprise was being disrupted by this huge variety of new accounts, it’s that different shoppers of Stable can be negatively impacted by the overwhelming of the system, brought on by the beautiful development of this firm.
Once more, Stable’s uptime graphs reveal 100% uptime and really slight delays on just a few days. There doesn’t appear to be any “disruptive” exercise. Definitely to not the extent Stable’s backend was having bother coping.
In keeping with Schroeder, TranzactCard has already discovered a substitute for Stable and “contracts have been signed or can be signed”.
That’s nice to listen to and had Schroeder of stopped there, having achieved his acknowledged objective of answering questions in relation to the banking “severing”, I wouldn’t be placing collectively this text.
Including an replace to our article to notice TranzactCard has discovered substitute US banking companies is trivial.
However as an alternative Schroeder transitions right into a full-blown meltdown about BehindMLM’s reporting, on the identical banking points he simply completed addressing.
Now, there may be one other matter that I wish to talk about this night and that’s this; there’s a web site on the market referred to as BehindMLM.
And BehindMLM has determined the factor they need to do is write all types of adverse issues about TranzactCard.
And um, the very first thing I’d such as you all to do is ponder and take into account the supply of the knowledge.
For reference, out of the eight thousand 9 hundred and fourteen revealed articles on BehindMLM, six pertain to TranzactCard:
This text will make it seven.
As for our supply, for all the things besides the Obama, Trump & Lebron James endorsement article, it was TranzactCard itself.
The Obama, Trump & Lebron James article was based mostly on TranzactCard advertising pushed by an affiliate, which I’d obtained a number of enquiries from readers to look into.
I wasn’t in a position to set up whether or not TranzactCard itself was the supply of the nonsensical advertising claims, and so within the article I famous:
Whether or not TranzactCard endorses Mayes’ seemingly false advertising claims is unclear.
I’m certain Schroeder felt he had a degree taking a dig at BehindMLM’s supply materials for our TranzactCard articles. No matter it was although it’s misplaced on me.
Schroeder goes on diminish BehindMLM’s reporting, not due to its accuracy, however as a result of he feels it equates to “airing soiled laundry”.
Because the Editor and Chief right here at BehindMLM, I can verify whether or not one thing is “soiled laundry” or not isn’t an editorial concern. If it’s MLM associated, newsworthy and/or within the public curiosity, we’ll analysis and run the story.
What Schroeder’s actually upset about right here has in actual fact nothing to do with BehindMLM. He’s upset information about TranzactCard is being reported on in any respect, and this comes out in what he says subsequent;
And it’s about publishing whichever soiled laundry somebody pays them probably the most to publish.
It’s not one thing I feel, it’s one thing I do know. I’ve lived within the trade for a lot of, a few years and that’s really a trash rag.
Ouch.
It’s one factor to dislike precisely reported on information, however to aim to discredit a publication merely since you don’t like what they’re publishing… once more, that speaks extra to Schroeder than it does to BehindMLM.
Inside the context of MLM information and reporting, capturing the messenger isn’t due-diligence. It’s a tactic utilized by scammers once they can’t deal with the message.
The apparent? Since launching fourteen years in the past BehindMLM has by no means accepted fee or any type of compensation in trade for content material. Interval.
BehindMLM is fiercely unbiased. And as an unbiased journalist, I can’t think about something extra soul-crushing then having to pump out content material curated for the best bidder.
Merely put: Randy Schroeder is filled with shit. He’s publicly lied about BehindMLM to push TranzactCard and, such to the extent he had a reputable repute, has now destroyed it.
Schroder goes on to bemoan BehindMLM failing to “discover so many admirable issues to say about” TranzactCard. Not one of the examples offered by Schroder are precise information although, they’re simply advertising factors.
Oh and there was additionally this:
Are there some firms who could not discover pleasure in our success? Are there leaders who’re becoming a member of us from different firms?
Would possibly a few of these firms who’re advertisers on BehindMLM have a bit of bit to do with what’s occurring proper now and that individual publication’s selection of dialogue?
Is it doable, do you suppose, that rivals are a way answerable for what’s occurring?
I’ll inform you it’s not solely doable, in my thoughts it’s altogether seemingly. It’s just about a certainty.
Placing apart the truth that BehindMLM has no direct advertisers, what precisely would these unnamed rivals be answerable for?
The one events concerned in Stable closing down TranzactCard’s US financial institution accounts are Stable and TranzactCard. TranzactCard disclosed these occasions of their newsletters, which BehindMLM reported on.
What on Earth is Schroeder speaking about?
Imagine me, had one other MLM firm pressured Stable into dumping TranzactCard – you may wager that’s a narrative we’d be working.
I feel a serious downside right here is Schroeder complicated purchased and paid for advertising with unbiased journalism. Whether or not that’s intentional or not, who’s to say.
The very last thing I wish to deal with is why BehindMLM is maintaining a extra nearer eye on TranzactCard, than we’d usually do for an MLM firm in prelaunch.
To greatest clarify, let me flip it over to… *checks notes* …Randy Schroeder.
The 12 months was 2012 and a large proportion of the US-based MLM trade had fallen for Paul Burks’ Ponzi scheme.
In what was a uncommon occasion of somebody in an govt place talking up, Randy Schroeder, then President of MonaVie, publicly referred to as out Zeek Rewards.
Zeek Rewards (is) an organization that “comes alongside and sweeps folks right into a path that turns right into a path of devastation”.
Zeek Rewards is “unlawful, a pyramid scheme (and) most likely a Ponzi scheme”.
If reminiscence serves, the fast backlash Schroeder confronted was intense. Schroeder, if anybody, has first-hand expertise of what being on the frontlines of factual reporting can really feel like.
And that is one thing I identified in BehindMLM’s protection eleven years in the past;
Little doubt efforts can be made to easily brush off Schroeder’s feedback as “jealousy”, “negativity” or different dismissive labels, nonetheless little may be mentioned to refute his claims.
Given this, Schroeder’s baseless private assaults on BehindMLM over TranzactCard are all of the extra disappointing. However, I digress.
What I need you to remove from Schroeder’s remarks on Zeek Rewards being a Ponzi scheme is that this:
Top-of-the-line methods to foretell the longer term is to rigorously and critically examine the previous.
Once more, these are Schroeder’s personal phrases. However they exactly tie into why BehindMLM is intently following TranzactCard within the lead as much as its November launch.
TranzactCard is run by Richard Smith. Right here’s his previous:
Between 2003 and 2007 Smith launched Ascendus and FFCF, two Ponzi schemes that defrauded customers out of round $10.9 million {dollars}.
In 2010 Smith was criminally charged with securities fraud. I attempted to analysis the result of this case however didn’t discover something definitive.
The perfect I’ve is the case might need been dismissed after the State of Utah didn’t make an look at a scheduling convention.
That is from a Supreme Court docket of Utah submitting with respect to Smith’s confederate, Roger Edward Taylor;
On August 13, 2010, the State filed an data charging Mr. Taylor with two counts of securities fraud and one depend of abuse, neglect, or exploitation of the aged.
One 12 months later, on August 30, 2011, the State amended the knowledge.
Lower than one month later, when the State failed to look at a scheduling convention, the district courtroom dismissed the case with out prejudice.
In November 2012 a court-appointed FFCF Receiver secured a $3.2 million default judgment in opposition to Smith.
In late 2013 Smith resurfaced as co-founder of WakeUpNow.
WakeUpNow collapsed in 2015, producing tens of tens of millions in {dollars} in shopper losses.
In 2016 Smith resurfaced as co-founder of Divvee.
Divvee’s unique enterprise mannequin collapsed in 2017, prompting the MLM firm to delve into securities fraud.
That didn’t final. Divvee collapsed by the tip of 2017, as soon as once more producing widespread shopper losses.
In late 2017 Divvee rebranded as Nui. In some unspecified time in the future Smith cashed out and quietly disappeared.
In 2019 Smith resurfaced because the founding father of R Community. R Community strung associates alongside on a unending prelaunch.
By early 2021 R Community had collapsed, as soon as once more producing widespread customers losses.
In March 2021, Smith cashed out and bought what was left of R Community to to iX World. Final month the SEC sued iX World for $49 million in securities fraud.
In 2023 Smith resurfaced as founding father of TranzactCard.
Is it any marvel BehindMLM is intently monitoring TranzactCard’s prelaunch? Something much less can be a disservice to our readers and shopper consciousness at massive.
To be clear, in BehindMLM’s revealed TranzactCard overview we recognized a possible pyramid scheme. This got here down as to whether the vast majority of TranzactCard’s income was being generated from its associates over retail prospects.
Fortunately we didn’t discover a Ponzi scheme or any definitive proof of securities fraud. Smith’s previous was famous however was not a significant factor within the conclusions drawn within the overview.
Randy Schroeder won’t like what BehindMLM experiences on, and he would possibly even search to discredit us by deception…
…however there may be nothing on this article that isn’t factual or of public curiosity to anybody in and/or following the MLM trade.
BehindMLM has no vested curiosity in whether or not TranzactCard launches on November twelfth or not. Within the pursuits of public due-diligence and shopper consciousness, we’ll proceed to report on any important updates.
