Another Major YouTube and Amazon FBA Scammer, Kevin David, Gets Shut Down By the FTC

Mark Hake

On Nov. 16, the Federal Trade Commission (FTC) announced that it had taken action to shut down Kevin David. He promoted YouTube scams relating to Amazon FBA (Fulfilled by Amazon) business and cryptocurrency schemes.

The FTC fined Kevin David $2.6 million, whose actual name is Kevin David Hulse, but who used his first two names online and on YouTube. This was down from the total monetary judgment of $53 million, which was partially suspended due to an "inability to pay." In other words, Kevin David Hulse is now out of money. In fact, if the FTC finds out he has more money the whole $53 million will be reinstated.

https://img.particlenews.com/image.php?url=29irv9_0jP3h5Ve00
Scott Shafer - YouTube video on Kevin DavidPhoto byScott Shafer

A YouTube commentator, Scott Shafer, pointed out in his video on the Kevin David scams that other YouTubers like Graham Stephan, Meet Kevin, and Shelby Church previously promoted Kevin David in their own videos. Scott says in his YouTube video that these other YouTubers still have their Kevin David promotions up on their YouTube sites.

Apparently, Amazon FBA, which involves selling products online with Amazon, can be promoted by YouTube scammers. Here are some of the scams that the FTC said Kevin David and his company DK Automation did:

" and its owners made multiple claims about the supposed huge profits consumers could make with their programs, using testimonials that did not reflect the experience of any consumer in the FTC’s investigation.
When they included disclaimers, the complaint alleges that they were in such small type or removed from the claims that they were essentially useless to consumers."
In many cases, the company manipulated online reviews by falsifying positive reviews and flagging negative reviews that resulted in their removal.
In addition, the company agreed to provide refunds to consumers on the condition they remove their complaints.
Finally, the FTC charged that defendants threatened to sue a dissatisfied consumer who spoke about his negative experience with the company and added language to their contracts to prevent consumers from leaving negative reviews.

The Enforcement

In case Kevin David decides to go back into YouTube and do the same thing again, the FTC says he must now back up his scheme's money-making earnings claims to consumers that are deceptive, and he must have information in writing to back up his claims.

In addition, he has to stop deceiving consumers and is prohibited from misleading consumers about the nature of any good or service he sells, including the likelihood of profits, whether testimonials are reflective of a normal consumer’s experience, or any other key information.

Here is another thing that could affect how other YouTubers operate. Kevin David can no longer interfere with reviews or complaints. He cannot take actions that restrict consumers’ ability to file complaints or leave negative reviews, including requiring consumers to sign contracts that limit their ability to complain.

Lastly, the $2.6 million that Kevin David has to pay is destined for refunds to his former customers. If you think you were a scammed customer of Kevin David Hulse, you can contact the FTC to get on the refund list.

This is also likely to be a pretty shocking turn of events for many YouTubers who are pushing money-making schemes. If you feel you know about one of these guaranteed money-making schemes, you should contact the FTC at ReportFraud.ftc.gov.

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Mark R. Hake, CFA, writes articles on national and local news, stocks, and market events at InvestorPlace.com, Barchart.com, Medium.com, and Newsbreak.com as well as TalkMarkets.

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Mark Hake is a financial analyst, investor, and Chartered Financial Analyst (CFA). He writes about US and foreign stocks as well as cryptos, hedge funds, and private equity. He previously ran his own hedge fund, investment research firm, and acted as CFO for a fintech startup. He focuses on finding value, arbitrage, and hidden asset opportunities.

Phoenix, AZ
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