Why zeek rewards

The government has requested Mr. Bell be appointed as Special Master in part because he is already tasked with the powers of a Receiver pursuant to 18 U. Click here to view the Zeek Rewards Receivership website.

The SEC alleges that Rex Venture and Burks fraudulently offered and sold securities in an unregistered offering as part of a combined Ponzi and pyramid scheme. On August 17, , Judge Graham C. Mullen issued an Order appointing Kenneth D.

The August 17th order directs the Receiver to, among other things, take control and possession of and to operate the Receivership Estate, and to perform all acts necessary to conserve, hold, manage and preserve the value of the Receivership Estate. On May 8, , Judge Graham C. Pursuant to that order, the claims filing period opened May 15, and closed September 5, You are here U. United States v.

Download Paul Burks Indictment. Download Daniel Olivares Plea Agreement. Download Order on Victim Notification Procedures. Download Motion to Appoint Special Master. Was this page helpful? District Court Judge Max O. Cogburn, Jr. Paul Burks, 70, of Lexington, N. A federal jury convicted Burks in July of wire and mail fraud conspiracy, wire and mail fraud, and tax fraud conspiracy following a three-week trial.

Burks and his conspirators induced more than , victims — including over 1, victims in the Charlotte area — to invest in their fraudulent scheme, by falsely representing that Zeekler was generating massive retail profits from its penny auctions, and that the public could share in such profits through investment in ZeekRewards. Burks and his conspirators did not keep books and records needed to calculate such daily figures.

In addition to promising massive returns on investments, Burks and his conspirators used a number of ways to promote Zeek to current and potential investors. The Securities and Exchange Commission shut down ZeekRewards about 20 months later, calling it a Ponzi scheme on the verge of collapse.

Burks' former chief operating officer, Dawn Olivares, and her tech-savvy stepson have made plea deals with prosecutors and are expected to testify against him. Olivares became friends and worked with Burks on multilevel marketing companies since in the s.

He was a former county music disc jockey and performed as a magician in nursing homes in the s and '90s. After Burks' company was shut down, federal investigators found a massive country music memorabilia collection that has since been auctioned off to refund investors. Defense attorneys counter that Burks didn't misrepresent the ZeekRewards program and didn't mastermind a Ponzi or pyramid scheme.

The parent company behind Burks' operations sold actual products -- bids for the penny auction site or stakes in ZeekRewards, defense attorneys wrote in summing up expected trial arguments.