Utah-based ‘Zurixx’ to pay back $12 million for real estate training
SALT LAKE CITY — Daniel Burgner and his wife paid $53,000 to learn real estate investing from Zurixx.
Then there was another $180.00 from his IRA that he lost paying off all the lines of credit he was told to open.
“It was originally my retirement account,” Burgner said Wednesday. “I went down to about $4,000 or so.”
On Wednesday, the Utah Department of Commerce and the Federal Trade Commission announced a $12 million settlement with Zurixx to reimburse consumers. It is believed to be the largest consumer protection settlement in Utah history.
The two agencies say Zurixx actually cost consumers $111 million, but the company is in receivership. The $12 million seems like all the thousands of victims will be split.
“Zurixx and its executives used high-pressure sales tactics to convince thousands of different customers to participate in what we would truly consider a classic get-rich-quick scheme,” said Margaret Woolley Busse, director of the commerce department. from Utah. during a press conference.
Burgner and his wife said they attended their first Zurixx seminar in 2014.
“There was a real estate investing seminar with Tarek, then Christina, then El Moussa,” Burgner said.
The then-married couple had home repair shows on television.
The first seminar was free, but, Burgner said, Zurixx pressured him and his wife to attend more seminars that cost thousands of dollars. These trainings encouraged Burgner to apply for new credit cards and use them and other lines of credit to invest in real estate.
Celebrities are not part of the settlement. Burgner had a message for them on Wednesday.
“Shame on you!” he said.
Anyone who has lost money to Zurixx can request a refund by filing a report here.