Before the pandemic, Mark King labored in advertising for huge firms, however the Los Angeles man dreamed of working for himself.
Then a buddy instructed him a few Maryland man nicknamed “Mr. 50K A Day,” who allegedly made huge bucks by affiliate internet marketing on-line. That man, Greg Davis, claimed he might train others the way to earn cash by selling different individuals’s merchandise on-line, too.
King stated he employed Davis in early 2020, anticipating he would design an affiliate internet marketing marketing campaign for him that would generate as a lot as $10,000 a day inside six months. The price for his providers wasn’t low cost — nearly $70,000 — and got here with a one-year a refund assure.
“He was the affiliate internet marketing guru,” King stated, including, “His assurances have been: ‘We’re going to begin creating wealth shortly.’”
But after hiring Davis, whose firm is known as the Legin Group, King stated issues went south.
He stated not solely did he not make a revenue, however greater than a yr and a half later, Davis has did not return his almost $70,000 funding as their contract requires.
“I really feel prefer it shouldn’t have occurred,” King stated. “I’ve made no cash throughout this entire course of. This was a complete failure.”
The News4 I-Team discovered King isn’t the one one who employed “Mr. 50K A Day” to assist launch an affiliate internet marketing profession solely to return up empty-handed. Through courtroom information, on-line evaluations and interviews, the I-Team discovered a number of individuals who stated they paid Davis hundreds of {dollars} for teaching and to assist arrange an affiliate internet marketing enterprise, solely to obtain little or nothing in return.
In an interview with the I-Team, the person behind the “Mr. 50K A Day” moniker acknowledged owing King and “fairly just a few” different individuals cash, however insisted he plans on repaying them.
“I really feel dangerous. I do not, you recognize, need individuals to not have their cash … I do not be ok with that in any respect,” Davis stated.
The Prince George’s County man blamed his monetary issues on the pandemic, saying his enterprise tanked final yr as a result of his “principal marketing campaign” was centered on selling auto insurance coverage, which he stated suffered as Americans went into lockdown. He stated he’s nonetheless digging out of the backlog.
“If the pandemic hadn’t occurred, none of this could’ve occurred. We wouldn’t be speaking,” he stated.
But the I-Team discovered a number of individuals who say they misplaced cash to Davis previous to the pandemic, together with Floyd Garner, of Maryland, who employed Davis in late 2017.
Asked what he anticipated to study from Davis’s teaching, Garner stated, “What I used to be alleged to be studying was the enterprise, however as a substitute, I received the enterprise.”
Records present Garner initially paid Davis $15,000 for a three-month on-line coaching course in affiliate internet marketing and later paid greater than $6,000 in extra fees associated to promoting campaigns. But Garner stated Davis by no means offered teaching providers or proof of a advertising marketing campaign.
“There have been earnings promised, and this was nothing however a loss,” Garner instructed News4.
Garner sued Davis for breach of contract, intentional misrepresentation and fraud in 2019 and received his case, however information present it took additional authorized filings earlier than he was repaid.
Jon Petreeko, of Florida, instructed the I-Team he employed Davis for $20,000 in March 2019 to launch an affiliate internet marketing enterprise that Petreeko would finally take over.
Instead, Petreeko stated he was offered a “pipe dream.”
“He by no means received the enterprise to the purpose the place I can truly take it over,” Petreeko stated. “He by no means had a bodily product and even digital product that I might even see or go, ‘All proper, I can get on board with this.’ He simply put excuses after excuses.”
Petreeko stated Davis has repaid greater than $15,000 of his funding, together with in cryptocurrency, however he’s nonetheless awaiting the remaining.
Though Davis acknowledges he owes many individuals cash, he stated he’s had “lots of” of purchasers and that many have benefited from his teaching.
He despatched the I-Team various video testimonials from former purchasers he stated have made as a lot as six and 7 figures. News4 tried to succeed in lots of them.
Lamont Price, of Baltimore, wrote in a message to News4 that “Greg’s program labored very properly” for him and was “definitely worth the funding.”
Reached by the I-Team, John Gray stated he spent round $2,000 a number of years in the past to take one in every of Davis’ programs on cost-per-acquisition advertising – one thing he stated helped launch his present profession in electronic mail advertising.
But requested if he’s earned “seven figures” in consequence, as Davis instructed the I-Team, Gray laughed and stated, “No, no, no, and my tax returns would show that.”
Before getting into into any sort of teaching settlement, shopper regulation lawyer Michael Ostroff suggested individuals to find out whether or not the service is a shopper, private or enterprise transaction, as that stipulates the kind of protections out there ought to the deal go sideways.
Ostroff, who represented Garner in his case towards Davis, additionally stated would-be purchasers ought to ask myriad questions on what they’re buying and ensure to not pay for all providers upfront.
“The extra you ask questions earlier than you get into it, the extra you have got a written contract, the extra you perceive what’s anticipated of not solely you however the different occasion, the higher off you are going to be,” he stated.
The Federal Trade Commission, which tracks on-line teaching applications gone incorrect, declined to touch upon this story.
But Andrew Smith, the FTC’s former director of the Bureau of Consumer Protection, instructed the I-Team he “isn’t shocked” by the extent of losses individuals like King have reported.
Smith wouldn’t remark particularly about Davis’ enterprise however stated, relating to investigating wrongdoing, “From the FTC or the regulation enforcement perspective, what makes the distinction is fake or unsubstantiated earnings or life-style claims.”
Though former purchasers together with King and Garner stated Davis gave them assurances they’d flip earnings by hiring him as their coach, Davis refuted that and stated he discloses to his purchasers that not everybody will make huge bucks.
“I didn’t essentially assure that they’d earn cash. I simply stated that, like, in the event that they hadn’t made their a refund inside 12 months, then I might, you recognize, refund them,” he stated.
Asked about King’s allegation that the advertising marketing campaign Davis was creating for him might yield as much as $10,000 a day inside six months, Davis stated, “That was not a promise. It was a goal.”
Still, an arbitrator overseeing King’s case towards Davis with the American Arbitration Association wrote Davis “deliberately misrepresented that he made $50,000.00 per day and thousands and thousands in whole by affiliate internet marketing” and that “he would offer providers that may instantly generate earnings.”
In September, a Prince George’s County decide additionally ordered Davis to repay King’s $70,000 funding, plus extra prices.
King stated Davis not too long ago indicated he’ll repay him however hasn’t but performed so.
Meanwhile, Davis instructed the I-Team he’s contemplating shifting on from affiliate internet marketing teaching and is now instructing others the way to put money into cryptocurrency.
Reported by Susan Hogan, produced by Katie Leslie, and shot and edited by Lance Ing. NBCLA I-Team reporter Randy McIlwain contributed to this report.
