Robert E. Lane, Wealth Pools International, Inc., and Recruit for Wealth, Inc.

On December 6, 2007, the SEC obtained an asset freeze and other relief against Robert E. Lane, and his companies, Wealth Pools International, Inc., and Recruit For Wealth, Inc., in connection with an alleged massive pyramid scheme that affected at least 70,000 victims in 64 countries.  According to the complaint, the defendants began in 2005 to fraudulently offer and sell unregistered securities in the form of “Associate” memberships in Wealth Pools and raised, as claimed by the defendants, more than $132 million in 2007 alone. 

The SEC alleged that Wealth Pools purported to be a multi-level marketing company primarily selling an English and Spanish language tutorial DVD through a network of sales associates around the world.  In reality, the SEC alleged the DVD was a front for Wealth Pools' true product - an investment in one or more “pools” that offered investors an opportunity to receive passive income through the efforts of others to recruit new investors.  According to the complaint, the defendants enticed investors to purchase thousands of DVDs by falsely promising them that they would earn income for life with no further effort, and failed to disclose, among other things, that each new investor diluted all investors’ returns and that Lane's previous attempt at a similar scheme resulted in bankruptcy. 

The SEC also obtained assets freezes against relief defendants Julia Lane, Richard Lane, Renee Becker, T-N-T Education, Inc., Mundo Trade, Inc. and First Fiduciary Business Trust. 

For more information about the SEC’s action, you can read Litigation Release No. 20393 (Dec. 11, 2007) and SEC Press Release No. 2007-258.

The Court also appointed Denise D. Dell-Powell as the Receiver for Wealth Pools and Recruit For Wealth, Inc.  For more information about the Receivership, you may visit the Receiver’s website or call the Receiver at (866) 204-4801.

http://www.sec.gov/divisions/enforce/claims/wealthpools.htm