Colorado Attorney General John Suthers and the Federal Trade Commission have filed a joint lawsuit against Dalbey Education Institute on suspicion that it engaged in deceptive trade practices and misleading infomercials.
The complaint was filed in the U.S. District Court for Colorado and alleges that the company and its principals created and marketed an infomercial called “Winning in the Cash Flow Business,” that led consumers to believe they could get rich by dealing seller-financed promissory notes or cash flow notes.
The infomercials ran across the U.S. and Canada and sold materials for prices ranging form $39.95 to $159. Consumers were also offered thousands of dollars in additional products to help with the business and were told they could make tens of thousands in a matter of days by purchasing the materials.
According to the complaint, very few consumers ever broke into the promissory notes business and most never earned any money as a result of the purchasing the company’s materials.