KTVQ

Posted: Mar 16, 2010 7:45 AM

GREAT FALLS - Montana Commissioner of Securities and Insurance Monica Lindeen announced on Monday the issuance of a cease and desist order and notice of proposed agency action against Fortune Hi-Tech Marketing, Inc. for allegedly operating a pyramid scheme.

The actions allege that Fortune Hi-Tech Marketing (FHTM) recruited thousands of Montanans with deceptive claims that members could earn huge sums of money through the recruitment of new participants and through the sale of discounted services.

Lindeen said, "Pyramid schemes make a few individuals wealthy, by exploiting a large number of hard-working people with promise of income that can't possibly materialize. Today I decided to shut down Fortune Hi-Tech Marketing, Inc. and its representatives because I believe it is an illegal operation and it needs to end before more people lose money."

Lindeen charges that Fortune Hi-Tech Marketing is conducting an illegal pyramid scheme that benefits members only if they recruit new members to join the scam. The actions further allege that FHTM lures new members by claiming it offers huge income opportunities through partnerships with large companies including Dish Network, Travelocity, General Electric and The Home Depot.

When contacted by the Commissioner's Office, Dish Network, Travelocity, General Electric and The Home Depot all stated there were no partnership arrangements with Fortune Hi-Tech Marketing, Inc. and General Electric thanked the Commissioner's Office "for bringing the inappropriate use of the GE trademark to our attention."

According to Fortune Hi-Tech's records, between the period July 2006 and June 2009, the Company has received at least $1,868,659 from at least 1,295 Montana participants.

FHTM posted the following announcement on its website:

NOTICE TO ALL FHTM REPRESENTATIVES IN MONTANA:

Dear FHTM Reps,
Complaints have been made to the State Auditor’s office in Montana about the manner in which our business is being conducted in that state. We respect the right of the Auditor’s office to oversee the conduct of companies doing business in Montana. While we are in discussions with them, you must not engage in your Fortune business there. We hope that this matter will be resolved as quickly as possible, but in order for us to be able to obtain a positive result, we must honor this requirement until you hear from us.
Thank you for all that you do for Fortune. We look forward to communicating with you again soon.

(signed) Tom Mills

People who believe that they have been scammed by Fortune Hi-Tech Marketing, Inc. should contact the Securities Division of the Office of the Commissioner of Securities and Insurance at (800) 332-6148.