Workers of Iniquity in the Internet Marketing Cesspool

If you’ve ever wanted proof that the guys running boiler rooms are workers of iniquity, look no further than John Paul Raygoza of PushTraffic.

The short version:

  • Raygoza and his thugs scammed people in desperate financial straits in amounts ranging from $4,200 to $58,000.
  • They manipulated “marks” through false promises of financial gain, then denied refunds.
  • They used deceptive means to capture credit card info, then charged credit cards without permission.
  • They intentionally targeted and preyed upon the elderly and those with physical and learning disabilities.

It’s apparent that John Paul Raygoza was running a criminal enterprise. That’s why he got slapped with a class action lawsuit accusing his company of racketeering and RICO violations.

Fraud, false advertising, unfair competition, elder abuse, negligence… these are just a few of the items listed in the lawsuit.

“Defrauded, Lied to & Cruelly Manipulated”

Quoting from the lawsuit…

The plaintiffs are a diverse group living on four different continents united by several common factors:

(1) They all sought out a legitimate home based Internet business due to disability, retirement, unemployment or other good reasons;

(2) All were defrauded, lied to, cruelly manipulated, and deceived by defendants who promised massive returns on their investments;

(3) Not a single plaintiff earned a return on their money despite the services that may have been provided by defendants;

(4) Plaintiffs lost well over $600,000, almost all of which was financed by credit card;

(5) Plaintiffs were approached multiple times and resold on the same program often masquerading under various trade names controlled by the same group of defendants;

(6) Defendants utilized strong arm sales tactics and made unauthorized charges on credit cards;

(7) Defendants, even during the pendency of this lawsuit continue to contact plaintiffs in an attempt to sell the same bogus services yet again under yet another program name.

As mentioned above, Raygoza et al targeted people who were especially vulnerable:

Extravagant promises were made to plaintiffs by the Criminal Enterprise’s salesmen including Raygoza, Sipes, Molina, and Denton in order to gain access to their credit card and debit card accounts. Promises varied by individual but all of which falsely promised guaranteed returns on their investment. High pressure sales tactics were utilized and the elderly, ill and unsophisticated plaintiffs were targeted especially.”

A Full-On Money-Sucking Operation

This wasn’t just a boiler room… it was a full-on money-sucking operation designed to string victims along until they’d been sucked dry.

The operation was was quite successful (by monetary standards) for two or three years.

Naturally, Raygoza got drunk on his own “success,” so he decided to host a $4,997 workshop to reveal how he became a millionaire and how others could (allegedly) do the same. He recorded the seminar and sold the DVDs first for $497, then for $147.

Here’s the headline from that seminar/DVD sales letter:

Raygoza's "Truth"

A few sentences later, another equally awful headline/subhead appears:

Raygoza Says You Can Make $3 Million

This second one is actually really funny. I mean, “finally”… I’ve been waiting for months and months and months for Raygoza to break his vow of silence and show me how to make $3 million this year.

Last but not least, Raygoza makes a blatant attempt to convince you that he’s not a professional con man. (FYI: If somebody is working hard to convince you he’s not a con man, he almost certainly is.)

Professional Con Men

Read the copy above carefully. In case you didn’t notice…

Raygoza Is Actually Revealing His True Character!

He is basically telling you that he’s selling you a “get-rich-quick piece of shit” and that he’s a professional con man who’s out to suck you dry.

You know what they say, “Out of the mouths of con men come the most ridiculous blabberings.” Or something like that.

Anyway, Raygoza lost the lawsuit and, as Salty Droid reports, a $1 million default judgement has been entered against him.

But Raygoza’s bad behavior did not start (nor did it end) with his boiler room scamming.

A History of Criminal Behavior

Raygoza’s racketeering is not his only criminal experience. In fact, he has already been convicted of:

  • Battery resulting in serious injury
  • Drunk driving

Both of these convictions ought to be enough to cause any normal person pause. Drunk driving is a crime of stupidity, not necessarily malice. But battery resulting in serious injury? That doesn’t happen by accident.

But I guess Raygoza isn’t yet satisfied with the length of his rap sheet. He’s now been charged with the following (serious) crimes:

  • Kidnapping with intent to ransom or extort
  • False imprisonment
  • Robbery
  • Witness tampering
  • Possession of a gun after being convicted of a felony and/or while addicted to a narcotic drug

I don’t know the story behind all these charges, otherwise I would share it here.

Now, here’s my point, which I’ve been a long time coming around to…

Internet Marketing Is a Cesspool!

You might be tempted to think Raygoza is the exception to the rule, but you’d be wrong.

Raygoza is the rule.

It took me a long time to see this because most of the “gurus” go to great lengths to make sure you never see what goes on behind the scenes.

Unfortunately, ignorance demands a steep price, especially in the Internet marketing space.

That’s why I’ve written this post as well as some others that detail the criminal and unethical activities that happen online.

Get educated. Be skeptical. Always do your due diligence.

It could save you from making some very expensive mistakes.

It might even save your life.

-Ryan M. Healy

P.S. Mike Filsaime heartily endorsed John Paul Raygoza back in December 2008.

In his email, he encouraged his subscribers to buy Raygoza’s “The Truth DVD Series.” Mike claimed, “[Raygoza] doesn’t leave any stones unturned in this DVD course.”

Ironically, the one stone he DID leave unturned was the stone called “truth.”

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Ryan Healy

Ryan Healy is a freelance copywriter, list manager, and the author of Speed Writing for Nonfiction Writers. Since 2002, he has worked with scores of clients, including Agora Financial, Lombardi Publishing, and Contrarian Profits. He writes a popular blog about copywriting, advertising, and business growth, has been featured in publications like Feed Front magazine, and has been published on sites like WordStream.com, SmallBizClub.com, and MarketingForSuccess.com.

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