Keep something long enough and you’ll find a use for it. When State Senator Andrew Brock, State Representative Bryan Holloway and businessman William Head debuted the 527 political committee in September known as WakeUpAmerica.com it really wasn’t anything new. It’s a marriage of anything-goes, tea party, town hall, histrionics combined with multi-level marketing (MLM). A For-Profit entity had been established by Head already in May ’09 called “Wake Up America Plan, LLC”. Even that isn’t new. It's all a re-manifestation of an ill-fated political MLM scheme begun in 2006 by William Head, Michael Smith and Nathan Tabor, known as PurgeCongress.com, previously reported here on BlueNC in 2006.
“Purge Congress 527” was established July ’06 as a political committee and “Purge Congress PAC” in October ’06 as a Federal PAC. The website PurgeCongress.com still exists and provides plenty of information to understand the current get-rich-quick scheme presented by Wake Up America.
Head explained Wake Up America to Metro Magazine August ’09 edition, before Brock and Holloway got on board:
Get Paid For Political Action
“Wakers,” according to Head — independent contractors who join Wake Up America — will earn commissions as they build their activist teams. “If it’s treated like a business and worked like a business, then people can get paid like a business … and one with a recurring revenue stream. That’s the glue,” says Head.
Wakers have access to a Web site featuring current news feeds, audio and video interviews, office systems, genealogy reports, and pay information. Wake Up America Radio, a 24/7 Internet radio channel, features daily nationwide opportunity meetings, training sessions and weekend seminars featuring thinkers and leaders are included in the package.
For a business plan, PowerPoint presentation and state founders’ licensing agreement, contact Will Head.
Purge Congress laid out essentially the same premise on the PurgeCongress.com website and in an online slide presentation called “Purging Pays”. By simply enrolling 3 “Purgers”, who enroll 3 more Purgers, and so on, through “9 levels” of Conservative hell, the example given lists an individual “Purge Pay Possibility” of $627,400. If it sounds too good to be true, well, let’s just say that Purge Congress never reported income.
For all the pizzazz and promise of Purge Congress, it never took hold and simply fizzled out. Purge Congress PAC never received contributions, nor made expenditures. After three half-yearly Notices of Failure to File, the PAC was relieved of its reporting obligation April ’08 subject to the absence of financial activity. Purge Congress 527 never received income and recorded just one expenditure.
The 527 last filed a report for Year-End 2006 listing an expenditure of $16,425 to Leith Lincoln Mercury of Raleigh in November ‘06. The Purpose of Expenditure was listed: “To provide transportation for employees”. In the previous Post-General report, it had been listed as “automobile for management”. The car was listed in Wake County tax records for 2007 as a 2004 LINC 4S, a used Lincoln 4-door sedan. There was no listing for 2008. The car reappeared in the records for 2009 tax purposes and the account is currently listed with a balance of $161.82 as “Delinquent. DMV Stop Present - Registration Renewal Blocked”.
All of this begs questions of State legislators Brock and Holloway. As one of the original 3 “Wakers” will they each be eligible for upwards of $600,000 when membership climbs 9 levels from them to 30,000? If so, will that be income or political contributions? Have they done due diligence to verify the current claims of Wake Up America’s “business plan and state founders’ licensing agreement” and compared it with the financial performance of “Purge Congress”? Are Brock and Holloway endorsing this MLM as an economic stimulus tool for their constituents?
The State Attorney General’s Office defines pyramid schemes:
The Law on Pyramid Schemes
Many companies that operate through network or multi-level marketing are in fact pyramid schemes. Promoters often claim that their program is legal because a product or service is offered. Under North Carolina law, a pyramid scheme is any plan in which a participant (1) pays money (2) for the chance to receive money (3) upon the introduction of new participants into the program.
I’m not saying it’s a pyramid scheme, but if it wakes like a duck and purges like a duck, it might just be a duck, driving a Lincoln.