Earlier this month we reported on the FTC reaching settlements with several Digital Income Systems defendants.
On May 26th the FTC filed notices of settlement approval for defendants Jennifer Hedrick (aka Jennifer Maurer), Derek Jones Foley and William Foley, Christopher Brandon Frye and Kaitlyn Scott.
The respective defendants settlements will see monetary judgments entered against the Foleys and Hedrick:
- William and Derek Foley – $2,606,074
- Brendan Frye – $600,000
- Jennifer Hedrick – $217,426
- Kaitlyn Scott – $171,500
The framing of the judgment is $3,595,000 against the Foleys, with the above amounts joint liabilities with Frye, Hedrick and Scott.
Frye’s and Scott’s judgments have been settled via payment of default judgments entered against them last month.
The Foley’s and Hedrick’s judgement will be satisfied by
- cleaning out various bank and payment processor accounts;
- the liquidation of William Foley’s 2016 Lexus IS 250 and 2018 Toyota Highlander;
- cleaning out a Robinhood trading account balance; and
- liquidation of Derek Foley’s 2017 Land Rover SUV.
The FTC has agreed to suspension of the remaining judgment balance.
As a result of the settlements, the FTC’s allegations against the Digital Income Systems defendants “will be taken as true”.
Each of the Digital Income Systems defendants are banned from marketing business and/or investment opportunities.
They must also retain business records and report to the FTC for ten to twenty years after the date of their respective settlements.
The last step is the court signing off on the settlement agreements, after which the case will come to a close.