Where is zeek rewards based

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.

The ZeekRewards program collapsed under the pressure of rapid growth from more than 57, distinct users after the first year to 1.

Federal investigators said earlier investors were paid with money coming from new investors as in a classic Ponzi scheme. Please enter email address to continue. Please enter valid email address to continue.

Chrome Safari Continue. 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? A limited number of non-U. Because of logistical challenges and cost efficiencies, these funds will be provided along with the final distribution at the close of the Receivership.

I hope that placing these additional funds in the hands of claimants earlier than anticipated provides many of you a well-needed measure of relief in this time of financial hardship.

I intend to make one final, smaller distribution at the close of the Receivership. This timing depends on when we are able to complete the remaining litigation, which may continue beyond the end of this year. Thank you for your continued support. I wish everyone the very best as you endure these challenging times.

I announced last month that the Court had approved my plan to make an additional partial, interim distribution to claimants with allowed and payable claims. The Receiver Team has been working diligently to execute this distribution, which requires significant work by multiple vendors and extensive correspondence with the bank. I have received many inquiries from claimants regarding the timing of this distribution.

While I cannot provide a specific date by which we will begin making the payments, I hope that we will be able to begin sending the checks in the next thirty days. I understand this is a trying time for all claimants and that many of you are likely facing financial difficulties because of the ongoing COVID health crisis and resulting impact on the economy.

Please know that the Receiver Team will continue to work toward providing this interim distribution as soon as possible. I am pleased to announce that after additional consideration, I have decided to make one additional interim, partial distribution before the Receivership closes. On February 10, , the Court approved the Motion. In the past, we have considered making an additional interim partial distribution; however, the expenses associated with making such distribution counseled against it.

After considering the potential for continued and protracted litigation with Victoriabank of Moldova, which is now on appeal for the second time, I did not find it reasonable to wait to make another distribution until the litigation ends, which may potentially be a year or more. I appreciate your patience throughout this process. We do not have authority to accept new claims and are not considering further requests to amend previously allowed claims.

The time to file claims or to amend claims passed long ago. As previously announced, United States District Judge Graham Mullen issued an order approving the sale of the vast majority of the judgments entered against net-winners in the Net-Winner Class Action case.

There was a significant delay in the sale that occurred due to an appeal by the net-winners to the United States Supreme Court. Recently, the United States Supreme Court denied the request of the net-winners to have their appeal heard. As such, the sale was permitted to move forward. On December 17, , pursuant to that Order, the sale of these judgments closed pursuant to the terms of the approved purchase agreement as amended.

Pursuant to that sale, all rights, title, and interest in the judgments against these net-winners has been transferred from the Receivership Estate to Nationwide Judgment Recovery, Inc. Because the judgment against these net winners was transferred to Nationwide, neither McGuireWoods LLP nor I are able to address any inquiries, settle or otherwise undertake any collections regarding the judgments sold.

Any inquiries regarding any of these sold judgments should be directed to Nationwide and not to me or the Receivership team. Nationwide is located at Katella Avenue, Stanton, California Their telephone number is They can be located online at www.

Their email address is zeek nationwidejudgmentrecovery. All communications regarding any of the sold judgments must be to Nationwide. The Receivership team is no longer able to assist you. There are still approximately U. Net Winners for whom we do not yet have a final judgment amount determined. These pending judgments were not included in the sale, and the Receivership team is working to finalize those remaining judgments in the coming months.

We anticipate selling those judgments in a similar fashion. Since beginning my term as Successor Receiver, I have continued the analysis of how to best monetize the judgements we have obtained to-date in the Net-Winner Class Action.

The options were to either 1 sell these judgments in a lump sum to obtain funds to pay to the victims of the Zeek Scheme; or 2 seek to collect the judgments and make a final distribution after such collection efforts have ceased. After discussions with counsel at numerous debt collection law firms and an external process to seek potential purchasers of the judgments, I ultimately determined that it would be in the best interests of the Receivership Estate and the victims of the ZeekRewards Scheme to sell the judgments.

This moves us one step closer to a final distribution to claimants once the remaining litigation matters have concluded. The process of selecting a potential purchaser of the judgments occurred over several months. After receiving multiple smaller offers, we received an increased offer from Big Sky Research Bureau, Inc. I believe that the sale of the judgments to Big Sky is in the best interests of the Receivership Estate. The agreement does, however, allow other potential purchasers to make higher offers, subject to a right of first refusal by Big Sky.

I will consider any additional offers to purchase the Judgments I receive before the Court enters an Order on the Motion to approve the sale of judgments. In addition, I have requested that the Court allow a day period to pass before entering an Order on the Motion so that interested parties, if any, have a meaningful opportunity to make a higher offer.

If anyone wishes to make a higher offer to purchase the Judgments, they may contact Shawn Fox at sfox mcguirewoods. The relevant filings are available in the Case Documents section of this website, and also at the following links:. Motion to Approve the Sale of Judgments. Notice of Motion to Approve Sale of Judgments.

Bell as a United States District Judge. I would like to congratulate Judge Bell on his confirmation and thank him for his tireless dedication to maximizing the recovery for the victims of the ZeekRewards scheme. Now that the confirmation has occurred, I have begun my term as the Successor Receiver. I have worked as a close advisor to Judge Bell since the beginning of the ZeekRewards Receivership, and I intend to see this Receivership through to its end. There are two main areas of litigation we need to complete before making a final distribution to claimants.

First, we must resolve the disputes with net winners who have challenged the dollar value of the judgments against them. This will involve filing a motion for summary judgment, and potentially litigating some claims in hearings before the Special Master appointed in this matter.

Like the previous Receiver, I have considered the possibility of making another partial, interim distribution to claimants prior to the resolution of the litigation, and I have reached the same conclusion that the substantial costs of making such a distribution would reduce the amount ultimately paid out to claimants.

While we hope to be able to file the Final Distribution Plan and make a final distribution before this date, it will depend on the timing of the litigation that I have discussed. We thank you for your continued patience. The decision of the Court of Appeals means that all judgments of liability against the defendant class members are now final. Based on this decision, I will now move forward to pursue collection of the Judgments or their sale to a third party.

This leaves only approximately net winners against whom the Receivership has not yet sought but intends to seek a final Judgment. That effort will proceed this summer, and all net winners who initially challenged the amount of their net winnings in the process for determining the amount of net winnings are encouraged to communicate with the Receivership at NetWinningsResponse zeeknetwinnerclass.

This favorable ruling moves us one step closer to a final distribution to claimants. Those claims must be completed before a final distribution occurs.