BREAKING NEWS: Massachusetts formally charged TelexFree with being a 1 BILLION dollar fraud (UPDATED)

It's now official: US Government has acted on TelexFree, a long suspected fraud. Commonwealth (state) of Massachusetts, home of TelexFree, has charged TelexFree of being a 1.2 billion dollar fraud (90 million in Massachusetts alone), and also stated that the company is declaring a bankruptcy to PREVENT the authorities from securing victim's money.

“They clearly are responding to the fact that an investigation was underway,’’ Galvin said in an interview. “Now the thing is to act promptly and get whatever we can for these people.’’

http://www.bostonglobe.com/business/2014/04/15/secretary-galvin-charges-marlborough-phone-service-company-with-million-fraud/RSaSTWvJpnOjo8Ryh8stpN/story.html

Jordon "Ponzitracker" Maglich has covered this in Forbes:

http://www.forbes.com/sites/jordanmaglich/2014/04/15/massachusetts-regulators-allege-telexfree-is-1-billion-ponzi-scheme/

Expect Massachusetts lawyers filing complaint with Nevada to stop the bankruptcy filing at once, and a more formal cease, desist, and account freeze put in its place instead.

Stay tuned, folks. This will get ugly FAST. Expect the Feds to jump in any second.

P.S. News has already reached Brazil

http://translate.google.com/translate?hl=en&sl=auto&tl=en&u=http%3A%2F%2Feconomia.ig.com.br%2F2014-04-15%2Ftelexfree-e-piramide-diz-autoridade-dos-eua.html

Editor's note: Updated with the correct figure, previously the newspaper quoted only 90 million.