LEXINGTON, North Carolina — The checks are in the mail for those who lost money with Zeek Rewards.
The Dispatch of Lexington reported (http://bit.ly/1oyQUUS) that the receiver said Tuesday checks are being mailed to more than 90,000 people who lost money in the alleged Ponzi scheme.
Receiver Kenneth Bell said the first checks equal about 40 percent of the allowed claims.
The U.S. Securities and Exchange Commission shut down Lexington-based Zeek Rewards and its parent company, Rex Venture Group, in 2012 after the company raised about $850 million. The money mostly came from "affiliates" looking to buy into the potentially profitable program touted as the advertising division of the penny auction website zeekler.com.
Federal authorities say most of the money and payouts came from attracting new investors, not from legitimate retail sales.
Information from: The Dispatch, http://www.the-dispatch.com
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