Sources at the scene today reported to MLM.com that Zeek Rewards has closed its doors in Lexington, North Carolina.
August 16, 12:32 P.M. MST — Only
hours after a headline in the Lexington Post-Dispatch reported "Users
tout Zeek's programs...," the MLM marketing arm of the Zeekler penny
auction site has put "Closed" signs in its windows.
The North Carolina Attorney General had reported "we have concerns
about...and have asked the companies to provide us with documents so we
can examine their business practices." The investigation appears to have
resulted from 8 consumer complaints. And a spokesperson for the North
Carolina AG said, "The complaints generally seek refunds." Zeek Rewards
reportedly had responded to the complaints, had resolved 7 of the 8
complaints, and the 8th complaint was in process of being resolved at
the time of the closure.
At this time there is no confirmed report as to the reason for the
closure or the agency or agencies that may be involved in the action,
although the North Carolina Attorney General's office had not mentioned
to the Post-Dispatch any action beyond its investigation. Sources close
to the company speculate the closure is voluntary.
Zeek Rewards was reported to have had banking challenges early on,
but banking difficulties frequently are reported by MLM start-ups, the
growth of which can be alarming to financial institutions. And the
growth of Zeek Rewards—that was signing up customers and Affiliates
around the world—may prove to have broken even the records of mega-MLMs
like Mona Vie. The Post-Dispatch reported that after less than a year
in business, Zeek Rewards already had more than 200,000 customers...and
the number may be many times more than that, perhaps in the millions.
However disappointed the Independent Affiliates of Zeek Rewards are
likely to be when the cause of the closure is known—an announcement is
anticipated before the weekend—the merchants of Lexington, North
Carolina, are likely to be even more so: the growth of Zeek Rewards in
that regionally depressed economy had been a boon to the business
community.
As it was to tens of thousands of Zeek Rewards Independent
Affiliates, one of whom told MLM.com, "I really needed this. You get so
many that you just can't make any money in, and everybody I know is
making money in Zeek Rewards!"
But not anymore. The questions now being asked by Affiliates is
whether or not Zeek Rewards will make its commission payments. Or will
the reportedly cash-rich company even be permitted to pay commissions?
Marcus Brewer
515-803-6539
Skype Id: pastorbrewer
