‘Cash Flow Institute’ a Fraud, Texas AG Says

HOUSTON (CN) - A company that calls itself the American Cash Flow Institute is defrauding Texans by offering "free workshops" on how to win government contracts, and using them to push a $4,995 program it promotes by seeding the workshop with employees masquerading as students, who claim they got rich from the program, the Texas attorney general says.

B2G Venture dba the American Cash Flow Institute advertises itself in newspapers throughout Texas, Attorney General Greg Abbott says in Harris County Court. The company gives the false impression that winning government contracts is easy: "Just a phone call could win you a contract for up to $200,000," one ad claims.

The company uses the workshop as a forum to sell its $4,995 program, using "employees" to represent themselves as students, and give testimonials about how easily they made money, Abbott says.

During its workshops B2G also use the tactic of "taking a few attendees aside to convince others," Abbott says. "This is accomplished by an 'employee' of the defendants asking for volunteers, taking those few volunteers out into the hallway, and showing them the process in a simplified manner on the computer. The consumers then return to the group relating to others that the process is fast and easy."

Abbott wants an injunction, disgorgement and penalties of up to $20,000 for each violation of deceptive trade laws.

Here are the defendants: American Cash Flow Corp., American Cash Flow Institute, American Cash Flow Association, John Bledsoe (of Carrollton, Texas), Business Skills Corporation fka Dynetech Training and Simulation, B2G Institute fka B2G Group Inc. dba B2G, B2G Venture, Fred Steinburg (of Boca Raton, Fla.), and Anthony Vergopia (of Longwood, Fla.)

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