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Equinox fraud victims
to receive claim forms

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By Russ Lynch
Star-Bulletin

More than 11,000 Hawaii victims of the Equinox International Corp. pyramid scheme are getting their chance to make claims against an asset pool worth $35 million to $40 million, but the state says it may be several months before any of them are paid.

The state Department of Commerce & Consumer Affairs today advised victims to file formal claims to a receiver in Las Vegas.

Claim forms are being mailed to those who lost money investing in what they thought was a legitimate multilevel marketing business. The forms must be returned Robb Evans, Receiver, Equinox International, P.O. Box 81017, Las Vegas, NV 89180-10127.

"Refunds will be paid after what will likely be months of accounting and liquidations proceedings," a DCCA statement said.

The receiver's Web site, www.equinoxinternational.com, says victims who meet the Dec. 7 deadline for mailing the forms should not expect to receive anything until after February.

Those who were defrauded in the scheme but don't get claim forms in the mail can also get a copy of the claim form from the Web site.

Equinox said it was in the business of selling air and water filtration systems, household cleaners and other products through independent distributors and representatives.

Authorities said, however, that it really was a typical pyramid scheme in which the main aim was to generate money by recruiting distributors.

The State of Hawaii, seven other states and the Federal Trade Commission, filed suit against Las Vegas-based Equinox in August 1999.

The result was a settlement that banned Equinox founder Bill Gouldd from participating in multilevel marketing for life and developed a pool of assets for claims.

For more information call the DCCA securities enforcement unit at 586-2740 or send a fax to the receiver at (702) 252-5232.