Scammers who ran a sweepstakes that promised $3 million in prizes but in reality delivered no prizes whatsoever, were charged in Federal Court by the Federal Trade Commission.

According to the complaint filed by the FTC in the US District Court for the District of Nevada, the fraudulent sweepstakes involved sending personalized letters to millions of consumers nationwide, advising them falsely that they had won a substantial cash prize. The letters requested that the consumers respond by sending $20 in order to receive their prize. Some other mailings stated that “unawarded money” had been “located and documented” in the name of the addressee.

However, instead of winning a prize, consumers were sent a newsletter telling them how to enter sweepstakes or requests for more money, suggesting that the consumer had won other prizes.

Defendants named in the case are:
National Prize Information Group Corp (NPIGC) and John Rincorn, individually and as an offcicer of NIPGC;
Prize Search Express;
Department of Unclaimed Awards;
United States Sweepstakes Advisory;
United States of America Patriotism Awards;
National Bureau of Prize Information;
and Lapham, Vargas and Cornell

For more information on sweepstakes scams, visit the FTC website.

Scott Alan McDonald is not a lucky man. If he had been, he wouldn’t have lost $181,500 gambling – money that he was given by friends and co-workers – money he was supposed to invest for them.

Despite winning $47,000 on the TV game show Wheel of Fortune, McDonald is still not a lucky man. First, the winnings will only come to about $26,000 after taxes; and second, the Denver, CO DA’s office is looking for a way to seize the winnings to repay his victims. According to his sentence, he has 12 years to repay the debt.

It makes sense here to state that if you want to invest, then dealing with a reputable broker is probably a better way to go than with a co-worker or friend. On the Wheel of Fortune, you could end up at BANKRUPT.