If you are among the many people invited to a “broker breakfast” with Mo Moss on Tuesday, we urge you to skip it.
It’s not that convicted felons have nothing to say about list selection—quite the contrary. But a reliable source has told us that all Mo plans to do at the breakfast is plug a useless—and probably illegal—membership list.
It all started a couple of years ago when Mo called to say that he had bought a call center outside of Scranton, PA. Normally, we are not interested in news about Mo unless it is comes from a public official—i.e., an attorney general or a bankruptcy judge—but it was a slow news day and so we ran the story.
Then one day, after many pleading phone calls from Mo, we found ourselves visiting the dreary place. Dozens of women dressed in overalls were selling a bottled water called Hackensack Gold, the supply of which Mo had cornered.
“Sell!” Mo exhorted as he walked along the aisles. “Sell water, girls!”
When Mo’s antiquated dialing system got someone on the phone, the telerep would ask, “Would you be interested in a free sample of America’s healthiest spring water?”
Some people were. The caller just needed a little information—age, occupation and credit card number. There was a $2 processing charge for the free sample.
The problem was that anyone who even remained awake during the call found themselves enrolled in a lifetime membership in the “Water for Life” club. There was a $75 sign-up fee plus $100 a month for the service, all debited automatically. Then they started getting billed for ancillary products like paper cups.
But it all fell apart pretty quickly, as is usually the case with Mo. First, the few people who actually wanted the water noticed that it took months to arrive, and Mo was slapped with violations of the FTC 30-day rule. Then a doctor who received a bottle found that it contained large traces of industrial sediment, which may have accounted for its rusty color. (They didn’t call it Hackensack Gold for nothing.)
The total fines by the time Mo got done with the FTC, the FDA and about 24 AG’s? About $6.9 million, which Mo avoided paying by filing Chapter 7.
Here’s one piece of advice: Rent the list if you must. But if you go to the breakfast, don’t drink the water.