Wednesday, October 22, 2014

Federal Guru Probe Widens


All these facts come from a reliable and informed source.

The current Federal law enforcement probe of the real estate gurus and the bogus home study courses and seminars they sell has led to "at least" three arrests and indictments including guru Randy Poulson who was arrested in June 2014 on a variety of fraud charges.

The probe is now "widening" due to "new evidence" being discovered "fairly easily as more people cooperate."  Gurus themselves are turning on each other to "cut deals" before "their information goes stale."

A grand jury is "almost certain" to be empaneled to investigate the get-rich-quick real estate information industry with "at least a dozen or more" gurus targeted for scrutiny.  "There is fraud everywhere" is how the industry is being described.

"At least two" real estate investment associations ("REIAs") have voluntarily turned over documents to Federal officials.  REIAs are "likely" targets for "collusion" as part of this investigation.  Some REIAs are suspending operations and at least one REIA linked to a real estate guru has ceased to exist in recent months in part due to this ongoing Federal probe.

I use the term "guru" to describe these charlatans.  The official Federal term is "self professed real estate investment experts."  I like the Fed's description better.

More later.