As a part of TranzactCard’s launch occasions, co-founder Richard Smith has reportedly resigned as CEO.
One would assume a co-founder stepping down warrant an official announcement, however so far as I can inform TranzactCard hasn’t made one.
As an alternative, we flip to social media. On FaceBook yesterday, TranzactCard DBO Victoria Nichole Doula claimed Smith
resigned from his board place tonight in the course of the launch and is changing into a DBO like us.
Smith’s resignation is purportedly attributable to BehindMLM’s reporting and due-diligence into TranzactCard and Smith.
Individuals assume (TranzactCard is) a rip-off due to Richard Smith and his failed funding alternatives.
He’s uninterested in the corporate getting badmouthed because of him, so he’s not concerned.
So all of the individuals throwing round these BehindMLM articles trash speaking Tranzact due to Richard don’t have a leg to face on now lol.
We’re undecided why Doula categorized factual reporting and due-diligence into TranzactCard and Smith as “trash speaking”.
BehindMLM revealed its TranzactCard overview in June 2023. TranzactCard was primarily a continuation of Smith’s MLM flops, spanning 2016 to 2021 throughout Divvee, Nui, The Digital Vault, RevvCard and R Community.
We additionally reported on Smith (proper)being criminally charged with securities fraud in Utah again in 2010.
The fees pertained to Smith working two Ponzi schemes, which authorities declare Smith defrauded customers out of ~$10.9 million {dollars} by.
Smith pled responsible to at least one rely of Sample of Illegal Conduct (web page 3), a second diploma felony, in 2017.
In September 2023, BehindMLM reported TranzactCard had misplaced its US banking companies. There was additionally the false superstar endorsements, unfold by Smith himself.
The one confirmed “superstar” endorsement TranzactCard has secured is disgraced pillow salesman Mike Lindell.
Lindell is a defendant in a number of defamation lawsuits (at the least one is a billion {dollars} plus). The fits pertain to false claims Lindell made pertaining to alleged voter fraud within the US 2020 Presidential election.
As of October 2023, Lindell is reported to be in monetary misery.
Smith’s background is essential due diligence into TranzactCard that anybody concerned in or pondering of getting concerned in ought to concentrate on. And to be clear, BehindMLM isn’t liable for Smith working a Ponzi scheme or his previous MLM failures, Smith and Smith alone is.
Nonetheless, the narrative that BehindMLM’s reporting is the rationale Smith resigned has attracted the ire of TranzactCard distributors. It’s not the primary time.
Fe Marie Murphy (aka Felisha Rodriguez), is a TranzactCard distributor from Florida. Along with TranzactCard, Murphy can also be selling BFF Crowdfunding.
As reviewed on BehindMLM final month, BFF Crowdfunding is a 400% ROI MLM Ponzi cycler.
I may very well be unsuitable however I believe Smith resigning is tied to TranzactCard unable to safe US banking companies with Smith on the books.
“As a DBO” Smith will nonetheless unofficially run the corporate as a co-founder, however his identify gained’t seem on any service provider purposes (such to the extent this was being prevented already).
TranzactCard additionally formally launched its Z-Membership platform.
Z-Membership’s web site source-code reveals it’s been outsourced to BigCommerce.
I had a take a look at a few of the CPUs within the “computer systems” part, and pricing seems to be larger than Amazon ($100+ in some situations).
One of many earlier TranzactCard advertising claims was that card customers would be capable of use Z-Bucks to purchase Nike sneakers at 50% off.
At launch there are not any Nike merchandise listed on Z-Membership:
Personally I don’t assume Amazon or every other main ecommerce retailer has something to fret about.
Potential crimson flags with TranzactCard’s launch are nonetheless no phrase on whether or not TranzactCard does actually have verifiable new US banking companies. Ditto information on the marketed “Energy Save Account”.
Lastly when you’re questioning why TranzactCard failing to launch as marketed again in June is an enormous deal, it circles again to due-diligence on Smith.
Smith has a historical past of promoting guarantees he constantly fails to ship on. R Community dragged on for years earlier than what was left was finally bought on.
From an MLM due-diligence perspective, it’s naive to disregard crimson flags we’ve seen earlier than from the identical particular person.
Pending any additional Tranzact Card launch updates, keep tuned…