BlueHippo Pockets $15 million
BlueHippo, a financial company, is suppose to help you get a new computer for a low monthly price has had their funds seized by its bank and is now facing bankruptcy. Good for BlueHippo, finally getting what they deserve, a good kick in the butt for the 15 million dollars that they robbed out of people last year. This so called financial company is suppose to send you a free computer when you sign up with them to get financial help, well they lied. All they did is pocket your money and leave you with no computer. It is reported that out of the 15 million dollars that they robbed out of people, exactly zero people got a computer. So here was the deal on how you were suppose to get a computer:
Buyers put up $99 to $124 in down payments, then make regular payments of $36 to $88. After 13 of these payments, the company says it will send out a computer, while the payments continue until the balance is paid off. Well guess what, it was a lie, in 2008 FTC (Federal Trade Commission) they smelled a scam and ordered BlueHippo to pay 5 million dollars to the people who they burned. Back in April the FTC took BlueHippo to court again. A federal judge ruled that because of BlueHippo’s lack of trustworthiness and they almost all of their clients never met the minimum requirements to reciece a computer and BlueHippo also failed to file FTC reports, so this the judge ordered the company to pay $2,500 a day until the report was filed; it took the company five days, resulting in a $12,500 sanction. But the report didn’t please the judge, who took a look at it and then “imposed an additional daily sanction of $5,000 per dayâ€¦ for BlueHippo’s continued failure to provide responsive information to the FTC.” After another $20,000 in fines, BlueHippo finally turned over the detailed information in question. But now, because of all the fines and their careless spending of money, BlueHippo is seeing red and they are going bankrupt. The FTC has also noted that companies who try to follow in BlueHippo’s will get taken down hard.