MLM Fraud -- Dr. Anthony Kleinsmith Fraud

Multi-Level Marketing (MLM) Fraud

Having been caught in lie after lie to health food stores, Tony has largely failed to convince them to carry his newest products. So now Tony is looking for fresh new victims. And he's back to his classic MLM sceme founded on lies and deceipt.

Let's look at Anthony's business history, particularly as it has to do with network marketing.

Anthony claims he has owned many successful businesses over the past sixteen years. In fact, he has been an owner or director of at least nine entities selling health products. The fact is that 8 of the 9 "successful" businesses have been shut down for a variety of reasons: financial failure, lawsuits, to avoid contractual commitments, etc. The average life span of a Kleinsmith business over the past 12 years is about 18 months. Only the business he started January of this year survives.

Anthony has been drawing people into his network marketing schemes for a decade. Notice that he cannot provide a single reference of anyone who has made a successful living selling his products. You would think over this number of years, he would have at least one or two loyal distributors who would be anxious to sell for him. The fact is that every major distributor who sold products for Anthony prior to this latest start-up (2010) will have nothing to do with the man. Their anger stems from a variety of tactics Anthony has used in the past to take advantage of loyal, hardworking distributors:

Moving hard-won but successful recruits out of a distributor's tree
"Firing" distributors (i.e., reneging on their contract) for alleged violations
Closing his company and starting under a new name
Encouraging distributors to sell to commercial accounts and then converting the customer to a "house account"
Cutting out the distributor by selling directly to accounts in his/her tree

As recently as June 8, 2010, Anthony sent out a mass e-mail to everyone who had bought from distributors in his last network marketing company, stating: "Anthony Kleinsmith here, some of you know me personally and some don't, I am the formulator of the products you have been using. I have now cut out the middleman to save you money or to help you earn more!" The "middlemen" he "cut out" were the same hard working distributors he recruited with the same type of promises he is making to you. How long will Anthony go this time before cannibalizing your customer list?

Think carefully before you get involved with this guy's newest MLM, DockofHealth. Read through this web site to learn of the various frauds Anthony has perpetrated. Do your own homework. Look up the references for yourself. Unfortunately, ohers before you saw the warning signs and still got involved with Anthony, only to experience devestation and regret. Some of their experiences are below.

Written Victim Statements

MLM Victim #1 wrote:

"Several distributors that Tony had "used or abused"...[were] trying to stop him from being successful at starting another company" but Anthony brushed them off as "just disgruntled ex-distributors...Tony abruptly kicked me out of the company and stopped paying me - after all the hard work, time and money I invested. Tony Kleinsmith parasitically thrives on the knowledge, talents, finances, resources, and generosity of other people for his financial gain. Tony Kleinsmith is a person that cannot be trusted. In my opinion, he has never accepted responsibility for his actions or inactions; he always blames others. I think he shows sociopathic tendencies because he continues to use and manipulate others. I am willing to testify in court."

MLM Victim #2 wrote:

"I should sue him for breach of contract, loss of income and future income, stealing my downline, and many other things...[but] he says that no one can touch him because everything he has is either off-shore or in someone else's name...There are many, many more things I could say and if needed, I will take the stand against Anthony Kleinsmith...I would like to see him stopped from hurting others....He is despicable....There has to be a way to stop this man."

MLM Victim #3 wrote:

"Mistakes were being made in TWIs favor that wasnt paying me according to their comp plan rules." When confronted, Tony refused to fix the mistakes.

MLM Victim #4 wrote:

"Anthony Kleinsmith changes the company name and/or website every time his sales force is owed too much residual compensation. The top earning distributors are not transferred to the new company. However, the sales organization which they built is moved to the new company. Anthony Kleinsmith profits by depriving his hardest workers of their immediate compensation and their residual income. "Dr." Anthony Kleinsmith has hurt many people and caused them financial losses while he profited. He must be stopped... We thank you for your time as do all his victims, known and unknown."

MLM Victim #5 wrote in 2005:

Anthony Kleinsmith,

As of September 15th, 2005 if I have not been compensated under the terms of Our Written Contract I will authorize an unleashing of multiple actions ... PLEASE BE ADVISED that I am prepared to pursue both Criminal and Civil Charges against You and Your Company.

Under a Civil Suit, I will demand payment under the terms of Our Contract for the PER BOTTLE SOLD overrides I am due on ALL Bottles sold both here in the US and Worldwide (including Korea) as per Our Written Agreement. To date, I have received not one penny You Owe ME for My Overrides. ... Also, there is the matter of taking my Contractual # 1 position in the Genealogy and locking me out and then moving it and placing it in someone else's name - I have not been compensated for that either...

1). You as a stockholder in a Public Company used that position to entice me to do business with you saying that the Public Company would later Purchase the Private Company and My Stock would then be worth a minimum of 9,000,000.00 ($9 Million)...

2). You took a position that was MINE (not yours) and locked me out of my back office - Illegally and Without Notice which you still to this day have NOT provided -- because you can't, it was and still is mine under Our Written Contract which states the position Cannot be terminated by the Company for Any Reason. That Contract ALSO states the Company Cannot be closed or sold without MY Written Permission. I will Gladly provide you with a copy of that agreement if You have forgotten its content. This is Criminal THEFT.

3). You advertised on the website and assured me that you had $1 Million of inventory on hand -- ready to ship. I have proof. ... I was shocked! YOU boldly lied about your inventory and also used that to entice me to contract with you. This is a Despicable Act!

Criminally, this is Theft by Deception, Attempt to Defraud, Conspiracy to Commit Fraud and Internet Fraud. The latter of which will send You to JAIL for Years because you advertised it as fact on the Internet. This WAS the inducement for Many people who bought products.

Also, because you have involved Your Wife Trish - I am going to pursue Criminal Charges against her as well as a Coconspirator...

I will provide you my New Mailing Address so you can send payment. I will also provide Anyone else receiving this e-mail a copy of my signed and notarized contract with you - ALL they have to do is e-mail me requesting a copy...

September 15th is YOUR DEADLINE.

[SIGNATURE BLOCK REDACTED FOR PRIVACY OF THE VICTIM]