The Federal Trade Commission is sending more than $960,000 in refunds to consumers who paid a job scheme known as “The Sales Mentor” that, according to the FTC, falsely promised consumers that they would make big money from telemarketing sales.
The FTC sued the defendants who ran the scheme in December 2023. The complaint charged them with deceiving consumers to get them to pay hundreds or even thousands of dollars for supposed telemarketing training programs that rarely, if ever, delivered on what was promised. In addition, the FTC said the defendants continued to make deceptive earnings claims even after they received the FTC’s Notices of Penalty Offenses on Money-Making Opportunities and Endorsements and Testimonials, which warned the defendants that such conduct is illegal.
The defendants agreed to a settlement order that prohibits them from making earnings claims that are misleading or unsubstantiated and from any misrepresentation in selling any goods or services. They were also required to pay money to compensate affected consumers.
The FTC is sending PayPal payments to 8,174 consumers. Recipients should redeem their payment within 30 days. Consumers who have questions about their payment should contact the refund administrator, JND Legal Administration, at 877-930-1733, or visit the FTC website to view frequently asked questions about the refund process. The Commission never requires people to pay money or provide account information to get a refund.
The Commission’s interactive dashboards for refund data provide a state-by-state breakdown of refunds in FTC cases. In 2023, FTC actions led to $330 million in refunds to consumers across the country.