Back to craigslist scams main page
10/20/2009
Next Day, w/ Interview:
Sat through an hour-long lecture on how success is earned and everyone here can become
wealthy with very little work.
At end of lecture, Mr. Martin left the room, stating that he will be conducting personal interviews at his desk in the front and that we should wait our turn. Eligible considerations will be notified via telephone by 9:00PM that night and everyone who wanted this would be interviewed.
Mr. Martin interviewed everyone, and instead of phoning his considerations, he simply told them not to expect a phone call and that we were to return the next day at 12:00PM for Day 1 Training (this is how he would avoid any confrontation from those he didn't want- they would go home and sit and wait for a phone call they would not receive).
We were instructed to wear business-professional attire.
10/21/2009
Day 1 Training (12pm to 6pm):
15 of us 'made the cut'.
We sat and listened attentively to a sales pitch to become the newest members of a salesforce in a successful company that was in 41 countries and had been in business for over 81 years.
We were told that we were to be trained to sell the product but that other opportunities existed, still at the hourly rate of $15/hr.
We were told about Profit Sharing, that we would be paid hourly plus commission, and an average workweek was 30 hours. They got this number by multiplying 15 scheduled appointments/sales by the average of 2 hours it would take to complete one of them.
We were told that we would have access to full medical benefits including dental and vision.
We were told that 30 hours was considered full time in this company.
We were told that if we just stuck it out we could have a 'comma' on our paychecks. (Actually, I can write a check with a comma in the amount-field; but wouldn't that check then be worth zero dollars? Just asking!).
We were told that we would work only when we wanted, and that our hourly rate would quickly become insignificant because comissions were 15% after the first 90 days and the products would sell for $2,000 plus.
We were told that we would have a paycheck by then end of the next week and that this training was unpaid but we would earn our check before next Friday.
We learned about the company we were to be working 'with' (not 'for' lol), and the products they manufactured and sold (or used us to push). The company was 'HMI', formerly known as Health-Mor, Incorporated, and was based in Strongsville near Cleveland. These products were an air-purifier called the Defender 360 and a sweeper (not a vacuum!) called the Majestic 360SS.
We learned about Mr. Martin's past and he gave us a great sob-story about being homeless and this company being his savior.
We learned about the 'EDGE-SUCCESS' program, which looking back just describes the many levels of this pyramid they have for a business model. The levels start with what we currently were on Day 1: 'Indoor Air Quality System Recruit', proceed to Apprentice after 3 days of training and practice presentations to friends and family (see Day 3 below), move through a 'Jump Start' program the next week to a promotion to 'Technician', then to 'Senior Technician', 'Specialist', and finally to 'Regional Distributor'. All these levels had sales-quotas and various promises attached to them.
We were told that this company manufactured an FDA Class II Medical Device (Majestic 360SS) and learned the basics of what the FDA was and what the different levels of classification meant.
We learned about other air cleaning solutions (H.E.P.A. and Ionizers), about Indoor Air Pollution (their sources and how it can be many times worse than what is outdoors), and how we wouldn't eat dirty food, or drink dirty water but we breath dirty air indoors.
We broke off into groups (3 with 5 each) and went over our notes together. We then played a trivia game which had about 20 questions. The loser group had to stand up and sing 'I'm a Little Teapot' in front of the class. I was not in this group!
Towards the end of Day 1 we were indoctrinated for lack of a better term to believe that a salesperson had to exist in every corner of a successful company. Everything made sense and so I started letting my guard down.
Mr. Martin instructed us all to come back the next day, that we had all made that next level, and we could wear business-casual attire now.
Mr. Martin instructed us to return with a written paper called a 'Vision Quest', which was to describe where we wanted to be in 5 years, and how we planned on getting there. I complied and wrote a paper, to return on Day 2 and read aloud in front of everyone.
We were told we would learn more about getting paid the following day.
10/22/2009
Day 2 Training (10am to 5pm):
On Day 2 we learned more about the air purifiers we were to be selling.
We watched part one of a three-part Sales Presentation Video with a supposed salesman named Dan Dugan, 'in an actual customer's home'.
We learned some basic selling techniques such as building personal credibility, adding value to your product, and how to outline problems and then sell solutions.
We watched a demo of the unit in the customer's home. After part 1 was over, Mr. Martin stopped the tape and told us that vaporizers had been outlawed in 2 states (WI and MN) and that they were bad for one's health. Vaporizers, it turns out, make the problem worse by creating a warm moist environment and typically they are used in dark rooms so bacteria will breed everywhere you put one.
Mr. Martin showed us a Defender 360, and how it works. He powered one on and let it run for a few minutes. It worked and we were all impressed.
We then learned that clean air was only half the solution and that we were selling another product which functioned also as a sweeper system (don't ever call it a vacuum!!) called Majestic 360SS. This product used the same filtration technology as the Defender, but was also a heavy duty sweeper with suction, and could double as a medical device.
These products were amazing and great, etc. but unfortunately the way Health-Mor is selling them and generally doing business is borderline unethical in my opinion.
We were instructed to make a list of 10 people we could give practice presentations to over the weekend and bring in the lists the next day.
We were told about all the great perks we had coming to us if we just hung in there.
We were told we would learn more about pay the next day.
10/23/2009
Day 3 Training (10am to 5pm)
On Day 3 only 14 of us returned and we were down to 9 after lunch. A lot of us
apparently realized what we were being trained for and wised up.
Right at the start of this day, we started class by filling out some forms. One was a form that effectively made us all independent contractors and therefore ineligible for benefits. Another was one more to do with payroll, and required a Social Security Number. We all filled these forms out and it was then that a girl rose her hand to make a point that she didn't want to put down her SSN. She said that she was still skeptical. Mr. Martin responded to this by telling her to get up and leave. She did so and then Mr. Martin decided to take a few minutes to deride and poke fun at her reaction, 'we dont want your information or identity'.
We watched the rest of the Sales Video, learning more about the products but more importantly how to sell them.
We broke off into groups again to study and to practice the presentations we were to give our unsuspecting friends/family.
At the end of this 'final' day we were instructed to hand out 'prizes' to our practice-customers. These included 100-gallon-gascards, $500 in groceries (coupons which added up to $500+ anyway) and a chance to win an exciting vacation to any one of 91 destinations worldwide! Actually, think about this for a second: 100 gallons of gas is going to fluctuate in price sometimes throughout the day; how can you get a card worth 100 gallons if the price changes? And $500 in coupons is good only if you're spending much more than that in the first place. Of course, the vacations seem legit but if you gave me enough time I could come up with a list of 91 places I'd rather not go lol. The bottom line is this: these 'prizes' were given to our 'customers' as an incentive to generate more leads for the company. When confronted with this realization, Mr. Martin responded, 'where did you think the leads came from?'.
Practice Training Weekend...
10/24/2009
Saturday:
I did a practice run for a friend over the weekend.
I did my best and followed every instruction given.
I called in at the end and my friend was presented with an opportunity to purchase the system.
There was no sale, and my friend then spoke directly with a company representative named Randy on my cell phone; a survey was given and the company made no sale.
I was encouraged to get more leads, get more leads!
I spent Saturday night researching this company on google, and doing more extensive searches using names and product information this time. I learned a lot this night.
10/25/2009
Sunday:
By Sunday I was thoroughly convinced that this company was indeed a scam.
I called my last two 'leads' (my father and my girlfriend's father) to tell them the news. Needless to say neither of them was too surprised but like me they were disappointed. They both advised me to just stop doing any work at all for this company and return everything to them, then get my information and paperwork back.
Sunday at around 1:00PM (the time of my first scheduled presentation), I called and told Randy that I had cancelled this appointment.
The final presentation was to be at around 6:00PM, but it was 7:00PM when my girlfriend and I drove to the store to exchange property.
We went inside, and Randy soon came to the front. I explained very succinctly that we wanted all my information and paperwork back, and that I no longer would be employed here. Randy told us he couldn't give us original copies of anything. I insisted that he hand over all signed documents, and my girlfriend told him to make it easy on himself. Randy complied but told us he hadn't done anything to us; I agreed stating simply that I wanted my property returned- NOW. He said as soon as he gets his equipment back the papers would be returned. I asked my girlfriend to start bringing in the boxes and told Randy to please get my papers together. I was given back all the paperwork and we left the store.
Conclusion:
I've learned to be a little less trusting of others because of Mr. Martin and his
'company'. I've learned that even a 'man saved by God' can be a wolf in sheep's
clothing, and that the love of money probably is the root of all evil, to borrow some
phrases from Mr. Martin's good book. I've learned that when something seems too good
to be true, it very likely is. If you are ever faced with the 'opportunity' to work
for Health-Mor, Incorporated, N.E.O. Environmental/North East Ohio Environmental, or even
see Mr. Scott Martin, just turn around and walk away. Trust me, I just lost a good
week I could've been looking for real work to this scam.
I guess the fact that this 'business' was being run out of an old check-cashing store should've been the red flag for me to see but live and learn...
Mr. Martin doesn't realize that he is in the middle, no matter where he came from (sales, or recruited straight for his seminar speeches) and will in all likelihood never rise to the very top, and therefore will most likely always be in the middle. There is very little room at the top of a pyramid- it's all supported by the weakest pieces at the bottom, which collectively hold the entire weight. I know this and this is why I feel so disappointed in what I allowed myself to fall for.
Update 10/26/2009:
I have filed complaints with the Ohio Attorney General. They have many
existing complaints on file concerning this company.
I have also filed a complaint with the Ohio Health Dept. No-Smoking Law.
The Ohio Secretary Of State has no record of any variation of North East Ohio Environmental.
The A.G. is sending me a letter and form which I am to return to them filled out. I will post updates as they happen.
Update 10/30/2009:
E-mailed Joe Pagonakis at WEWS Newschannel 5 in Cleveland for his assistance.
Hopefully we can get this company shut down, or at least put them on TV showing
just what they are!
(I'm still writing this, but I want to get it online ASAP for others)
Links and Sources
Confessions of a Sales Trainer: The Training Days
RipoffReport:
Scott Martin
Google Results: Scott Martin Health Mor
Google Results: Health-Mor scam
My Craigslist Posts
http://akroncanton.craigslist.org/csr/1437622803.html
http://akroncanton.craigslist.org/csr/1439681228.html
http://akroncanton.craigslist.org/csr/1444863857.html
http://akroncanton.craigslist.org/csr/1447766533.html
http://akroncanton.craigslist.org/lab/1447789329.html
http://akroncanton.craigslist.org/ofc/1448019817.html
http://akroncanton.craigslist.org/csr/1456510368.html
http://akroncanton.craigslist.org/csr/1456691616.html
Other
http://www.manta.com/coms2/dnbcompany_4h163
http://www.mystatelist.com/classified.php?n=1155
http://www.gypsybug.com/viewresult.php?id=30720&page=4&locationtype=state&locationname=&radius=
Google will index this search using the following keywords:
Health-Mor Incorporated, HMI, North East Ohio Environmental, N.E.O. Environmental, Canton, Ohio, Meyers Lake Plaza, craigslist scam, 330-546-7024, 330-546-7054, First America Cash Advance, 1430 Whipple Ave. NW, Filter Queen, Defender 360, Majestic 360SS, Vacuum, Sweeper, Air Purifier, FDA Class II, Indoor Air Quality Specialist Recruit, I.A.Q.S.R., Top Gun, Top Gun of Guns, Edge Success Program, Jump Start, Pyramid Scheme, MLM, MTM, Multi-Level-Marketing, Multi-Tiered-Marketing, Scott Martin, David Martin, D.S. Martin, D. Scott Martin, David S. Martin, David Scott Martin, Scott Martin Canton Ohio, John Givens, John Glomb, John Glumb, John Glom, John Glum, Jon Givens, Jon Glomb, Jon Glumb, Jon Glom, Jon Glum, Dan Dugan, Cleveland, Strongsville, Pittsburgh, Pre-BMI Workshop, Eckerd College