Herbalife Ltd. (HLF): Activists Press For Conclusion Of Federal Probe

The following was just sent to us by Herbalife Illinois. There is a lot of important Herbalife related news today so please stay tuned…

Chicago, IL – Consumer and immigrant rights advocates from across the country traveled to Washington D.C., this month to demand that federal regulators conclude their investigation of Herbalife International, Inc., a multi-level marketing company accused of running an illegal pyramid scheme.

Herbalife Ltd. (HLF): Activists Press For Conclusion Of Federal Probe

Representatives from HACES (Hispanic American Community and Education Services), a Waukegan community organization, joined other national and local groups in meetings with the Federal Trade Commission (FTC) and congressional leaders to discuss why the investigation has taken so long. According to advocates, the FTC summoned dozens of victims to Washington to conduct interviews and gather testimony for its investigation.

In Illinois, Attorney General Lisa Madigan has also joined federal authorities in a state investigation of Herbalife. More than 100 victims from Illinois have filed complaints with the Attorney General and the FTC.

“It is the mission of the FTC and the Attorney General’s office to investigate claims of consumer fraud such as pyramid schemes, we ask that they conclude their investigation as quickly as possible to prevent more Illinois residents from becoming victims of Herbalife’s predatory business model. How much more time do they need?” said Maria Elena Jonas, HACES executive director.

Illinois resident testified against Herbalife

Illinois resident Rosa Montes was one of the victims that met with FTC investigators to testify regarding her involvement with Herbalife. As a single mother, Rosa decided to invest in Herbalife believing it would be her ticket to becoming a millionaire. After working Herbaife’s business model for three years, Rosa lost more than $62,000. She now uses her experience to help other victims come forward and seek legal assistance.

“Herbalife continues to profit by specifically targeting the Latino community,” said Rosa.  “And it will continue if state and federal regulators don’t take action quickly.”

Community leaders urge additional victims to come forward by calling the Illinois Herbalife Campaign hotline at (855) 701-5437.

Comments (14)

  • Steve

    Wasn’t there something fishy reported about that hotline number? Seems like part of a broader campaign to disparage the company and profit by shorting the stock…

    June 25, 2015 at 2:22 pm
  • Sam

    Im sorry, I firmly understand the basis behind a “predator” model. MLM is designed for you to network with people just like if you were to walk into a store and purchase products from them. To grow a networking business you must go out and talk to people. BUT YOU ARE RESPONSIBLE FOR YOUR MONEY!!!! Are you kidding me! 62,000 in WHAT! I am an Herbalife Distributor and my business may not be mega global or anything but if I sponsor someone that wants to be a distributor we have strict rules about how much you can purchase and when you can open a nutrition club. I feel like this is solely the responsibility of the individual not thinking properly and nothing to do with the company or the network of distributors that do their job correctly.

    June 25, 2015 at 2:23 pm
    • Jeff

      Maybe many of the individuals didn’t think properly because the company has been telling them they will be driving labos and making millions. HLF has been screaming we are legit for years, all the while trying to quietly make all the changes that they said weren’t an issue in the first place. Tim Ramey is wrong. The FTC will not extract a pound of flesh, they will take it all. As they should.

      June 25, 2015 at 3:15 pm
  • John Stricker

    a bunch of losers that get involved in this nonsense. get a life

    June 25, 2015 at 8:27 pm
  • Chad

    Network Marketing does work and lots of people make it..But there are alot of people that dont work it everyday, and think customers will just come to them..There are alot of people that just should not get involved with this type of Business unless you are comitted and have a good work ethic. Lazy people tend to go with these companies and never make it. Herbalife is a great company with great products.

    June 25, 2015 at 10:04 pm
  • Heidi Yu

    It’s better taking some time to do the investigation than jumping to conclusion without evidences. The Sino-Forest case in Canada is a mess, because the Canadian regulator (OSC) believed the U.S. short-seller Carson Block and jumped to the conclusion that Sino-Forest is a massive fraud, Ponzi scheme.

    The OSC alleged Sino-Forest of fraud, faking illegal contracts and ownership of forests, and there is no trees. However, more and more evidences are now found to prove that the trees are there and the contracts are legal. China’s court finds that the OSC’s allegations are groundless.

    Ned Goodman blamed the OSC for the collapse of Sino-Forest, revealing that the OSC hasn’t found any evidence for its allegations. So far, the OSC hasn’t publicized any evidence, and it has given up seeking any criminal charges, refuses to bring the case to court trial. Instead, the OSC is having a hearing of Sino-Forest case before its own panel to seek administrative penalty.

    Shareholders of Sino-Forest have already lost all investments for the stock has been cancelled after the restructuring let creditors take over all assets, 800,000 hectares trees plus manufacture plants, nursery gardens, office buildings and industrial lands in China.

    June 26, 2015 at 12:41 pm
    • herbalife scam

      Heidi Yu,
      out of respect, The Sino-Forest case has nothing to do with Herbalife. These two cases are two very different things. Unlike the Sino-Forest case, as you mentioned, there has been a complete probe into herbalife and there has been countless hours of video evidence and presentations that explain herbalife’s pyramid scheme. Evidence that suggest millions and millions of people worldwide are buying into a business opportunity and participating in illegal business practices, and misleading thousands of people in order to make profits. convincing people to put up their own money only to realize that the business is an eventual deception is part of herbalife’s marketing strategy, but of course, try pitching it that way and see how many sales you make!. There is no other entity other than “Pershing Square” (that i know of) has done more due diligence in their probe against herbalife, i.e gathering the facts, and providing it to the public. hours and hours of video presentation explaining herbalife’s pyramid, products, and tactics are all there for everyone to see. and these are just the facts, anything else outside of that would be herbalife “marketing”.

      June 26, 2015 at 10:04 pm
      • Heidi Yu

        I am just saying that you both sides of Herbalife should be patient and happy for that the U.S regulator is unbiased, since both the company and the short-sellers are being investigated. Unlike in our Sino-Forest case, the Canadian regulator has completely ignored the request to investigate Muddy Waters and the hedge funds.

        It takes time to collect evidences. The OSC jumped to the conclusion and halted trading of Sino-Forest stocks only 2 months after short-seller’s report, issued formal Statement of Allegations 9 months later, and since then has spent 3 years trying to find evidence for its allegations.

        It is predictable that Sino-Forest wouldn’t be able to survive that long halting of trading, and it is impossible for the company to get a fair sale price since the regulator issued the formal allegations of massive fraud.

        Do you think it is fair to the shareholders, that only the shareholders lose everything, but no one will be in jail or even be charged for those crimes, because the regulator does not have any evidence?

        June 26, 2015 at 10:20 pm
  • Steve

    Herbalife Scam,
    Not that your name reveals any biases (JK), but you seem to be one of the thousands of people that have been paid or incentivized by some unscrupulous short-sellers to go out and disparage the company. Sounds like an interesting gig. In the meantime, Herbalife continues to be a great company victimized by a BS crew of short-sellers looking to Bear Raid the company out of business and profit by destroying the company…

    June 26, 2015 at 2:31 pm
    • herbalife scam


      If anyone comes out to talk the truth about the company, or yet even exposes the company through personal experience you wouldn’t even know it, you would just claim they are all people “getting paid by short sellers or being incentivized by people who want to disparage the company” for “personal profit”. Your unfounded reasoning doesn’t surprise me. I acknowledge that you are not getting the full picture, you write pointless biases in your comments and make insignificant statements with distinction! you want to talk about short sellers, lets talk about how herbalife misleads people and go out to make a profit off the backs of millions of latinos. lets talk about herbalife insiders like Stephan Gratziani and CEO Michael O. Johnson who admit the Herbalife business opportunity is a scam. lets talk about why there is little opportunity for genuine retail demand for Herbalife’s overpriced commodity products, why herbalife distributors cant get or retain loyal retail customers, why herbalife depends on endless recruitment of a few people focused on bringing other people into their recruiting business. most of the people who are attracted to this industry are attracted because of the promise of Residual Income. the endless recruitment of new distributors, and how herbalifes uses intentional deceptive “buisiness tactics” really is a reflection of that. herbalife is a great buisiness, with a great share of their total profits and commissions going to the top 1% and leaving the rest competing against eachother believing they can get rich.
      you want to talk about my username, any defender of herbalife typically is an herbalife distributor or an herbalife supporter (dont have to read a username like “steve” to catch that!). howcome you havent told everyone you are an herbalife distributor yet? thats what i wanna know! and even if you say you werent, i would find that very hard to believe considering the remarks you make.

      June 26, 2015 at 9:17 pm
  • Steve

    I can say whatever I want – you don’t control this board. The facts are that there were reports in the NY Times and other sources that a lot of these phone numbers trying to recruit and incentivize people to come forward with complaints had been tied to short sellers looking to drum up media by launching a huge web campaign making false claims about Herbalife.

    June 26, 2015 at 2:34 pm
  • tex2

    Herbalife operates very similar to Amway, the world’s largest MLM scam. Read about both of them here: http://www.StopTheAmwayToolScam.wordpress.com and forward this message to every non-Amway person you know, so they don’t get scammed.

    June 28, 2015 at 8:00 pm
  • murc229

    herbalife scam

    Would you briefly discuss Herbalife’s full disclosure of success rates and typical earnings for new distributors and please don’t include members the 73% that signup for product discount for self consumption.

    June 29, 2015 at 6:48 am
  • murc229

    So why are you including members not doing the business or just trying to sell enough to get their products for free?
    All sales result in a percentage of profit in cash, you know this right?
    The commission from herbalife is in addition to cash profit.
    Do you claim to somehow know every ones intention.

    June 29, 2015 at 9:09 pm


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