John Stefanchik

Also known as: Stefanchik Program.

The FTC alleged that John Stefanchik and Beringer Corporation falsely claimed their program could teach consumers to earn substantial income by trading privately held mortgages. A settlement modified a prior judgment, and the FTC later issued refunds.

2Official actions
$900KRedress ordered

Resolved. Refunded, settled, ceased operating, or the claim did not hold up. Kept for the record.

Identity

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Registrations
FTC v. John Stefanchik, individually and as an officer and director of Beringer Corporation, et al. (FTC case 022-3246, 2004)
Jurisdictions
United States (federal)

A settlement modified a prior money judgment

The FTC sued John Stefanchik and Beringer Corporation in 2004 over a wealth-building program about buying and selling privately held mortgages. The agency alleged that Stefanchik falsely claimed the program would teach consumers to earn substantial income in a short time. A federal court imposed a $17.8 million judgment in 2007, and the Ninth Circuit Court of Appeals upheld it in 2009.

While seeking to collect that judgment, the FTC filed a bankruptcy complaint in December 2009 against Stefanchik, his wife, and Warwick Properties LLC. The agency charged that they had tried to shelter assets from the judgment. A later settlement resolved the bankruptcy complaint and modified the earlier judgment.

Under the settlement, Stefanchik agreed to pay the FTC $900,000, plus proceeds from the sale of his house and substantially all of his personal property. The $17.8 million judgment would be suspended after those transfers, but would become due if he was found to have misrepresented his or his wife’s financial condition. The ban on false and misleading conduct by Stefanchik and Beringer remained in effect.

In August 2012, the FTC mailed 9,282 refund checks totaling more than $855,000 to buyers of the Stefanchik Program. Each payment was $92.16. The FTC said most consumers made no money and described the refunds as the result of the court settlement resolving the money judgment.

Sources

Every claim above rests on one of these. Open them and check.

  1. Enforcement action March 18, 2011
    Money-Making Scam Owner Will Pay Almost $1 Million and Sell House and Personal Property to Settle Prior FTC Judgment
  2. Enforcement action August 10, 2012
    FTC Sends Refunds to Consumers Lured by Money-Making Scam

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First recorded March 18, 2011 · Last updated August 10, 2012