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KSPR Problem Solvers: Sales Company May Be a Rip-Off

By Michelle Sherwood

The company sells software that allows people to start their own online business. Watch the story by clicking on the picture.

The company's known as StoresOnline, and it's marketing to hundreds of people in the Ozarks right now. But a KSPR investigation found complaints and legal woes may have some people second-guessing the company's credibility.

Several people receive a mailer, inviting them to go to a seminar that lets people know how others are cashing in on the internet. They're enticed by a free meal and a MP3 player. However, when KSPR started looking into this company's history, we found another side to the company they'd like to keep quiet.

The chance to work at home sounds great in these tough economic times. So when we got an invitiation to do just that, we called. In a few short minutes, we reserved our spot to go to a conference by a company called StoresOnline. The phone operator told us to make sure we showed up on time.

When we arrived at the University Plaza's Convention Center, there were men waiting at the door. At least 150 people were inside, waiting to see what the company had to offer.

"We're good at what we do, and we're confident of that," said the speaker. Then he went on to tell us how the company sells software to help people set up an online business. He said dentists and surgeons don't even have a secure way of making money, but the richest, smartest people invest. They told us we could invest in ourselves for do just $199-- but we were about to get a deal. "Instead of $199, it's just $50 and as a bonus," said the speaker.

"I think i have no use for it and it was a rip off," said Lindsey Warner. She said the offer of an MP3 player enticed her to attend the conference. Not everyone was buying it, but there were plenty others who were. Lines were long, and the men selling the packages were moving fast. But what these would-be customers didn't know is what other customers have learned the hard way.

When KSPR started looking into the company, we discovered there were at least 570 complaints filed against them with the Better Business Bureau, plus a number of government actions taken against them for things like misleading in consumers, not giving customers their money back, and giving them inoperable software.

"Nine attorney generals have sued the company because they have violated consumer protection laws," said Judy Mills, Springfield BBB president. She says it appears this company has seminars all over because it requires a lot of action to get the attention of any state's top cop.

We couldn't find any action taken against the company in Missouri, even under its other former names like Galaxy Mall or Galaxy Enterprises. Since they brought their sales pitch to Springfield, we decided to go back to a second seminar and get our questions answered.

We were asked to leave the conference, but we spoke to the company's vice president, Jeffrey Korn, by telephone.

He dismisses the allegations from the other states, including North Carolina, Utah, Texas, Illinois, Indiana, Connecticut, Wisconsin, and Oregon. There has even been a government action from Australia's Competition and Consumer Commission.

"I'm telling you, they're not correct," said Korn. "The software is not defective and frankly, can't be defective."

"I was sold because they didn't really pressure you," said Jerry Williams of Strafford. He paid the $50 to start marketing his greeting card business that he started with his wife. However, after hearing our conversation with the company's vice president over the speakerphone, Williams decided he wanted a refund.

"The word is slick," said Williams. "I had never even heard of this company before."

What about the Better Business Bureau?

"Absolutely," said Williams. "I believe in them unequivocally, and KSPR's here so that's just icing on the cake. I'm going to go get my money."

The company says the number of complaints compared to its customers is still a record that any company would want. The vice president also says the company has never been found of any wrongdoing and will even give us the software to test it out for ourselves.

However, if you have already bought the company's software, you may return it within three days. The BBB recommends that you send them a cancellation request through certified mail. The company will be in the Ozarks until Saturday, August 30th.

To see the Better Business Bureau's full report, click here.

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