LAS VEGAS (KLAS) — A federal complaint was filed by the Federal Trade Commission and the Nevada Attorney General against an online company for defrauding more than $1.2 billion from consumers over the past seven years.
The complaint refers to IYOVA, which also uses the names IM Mastery Academy, iMarketsLive, and IM Academy, as a business venture scam that entices consumers, usually young people, to buy its educational materials and take courses on financial topics and investments by using false or baseless claims about the earnings they can make.
According to the complaint, IML instructors teach consumers how to make significant income trading in the foreign exchange, cryptocurrency, and stock markets, but mostly it encourages people to join IML as salespeople who will earn a commission by selling its training services to other people and encouraging those people to be salespeople.
“The breadth of this scam is remarkable, from brazen earnings claims to the fact that their so-called investment trainers are often nothing more than salespeople,” Christopher Mufarrige, director of the FTC’s Bureau of Consumer Protection said. “The harm to consumers—especially young people seeking to earn a living—is immense, ongoing, and we are glad to work with our partners in Nevada to bring it to an end.”
The company focuses its marketing on young adults by posting to college social media pages. “Marketing included claims about retiring in their 20s; salespeople flaunting luxury travel and products; and claims about making money “in minutes” or “in your sleep,” according to the FTC news release.