Right-Wing Scammers Caught

Almost every popular right-wing radio talker, and especially Glenn Beck, attached their names to Goldline. And it turns out, Goldline has been scamming gullible listeners.

Conservative talker-endorsed precious metal retailer Goldline International agreed to a court order this week to repay defrauded customers $4.5 million and overhaul its business practices. The injunction, handed down by the Los Angeles County Superior Court, was obtained by the City Attorney of Santa Monica, California — where the company is based — who had filed 19 criminal counts of fraud and theft against the company last year. Those charges have now been dismissed.

Goldline’s entire business model was essentially a scam, the city attorney found. It was a bait-and-switch: Consumers wanted to buy gold bullion, but salespeople preyed on their fears — including falsely claiming that the government could seize bullion — and misled them into buying vastly overpriced gold coins instead. Consumers typically paid more than 55 percent above the actual value of the coins, which are much harder to sell down the road, instantly wiping out a large portion of their savings.

I have no sympathy for the victims of this crime. Instead of dittoing everything these former morning zoo disc jockeys say about politics and, in this case, gold, they should actually open a book and think for once.

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  • http://ninure.tk Ninure

    No, it was all Obama’s fault.

    • D_C_Wilson

      Of course. If only Obama wasn’t such an atheistpinkocommunistkenyanmuslimsocialistfascist ™, they would have developed such an irrational fear that he was going to seize their guns and bullion.

  • sandinbrick

    So right. If these people listen to right wing radio, with all it’s hate, why would they buy their gold.

  • Ned F

    The AM RW talk radio crowd is the perfect target audience for these things. Plays into the paranoid bunker mentality.

  • agrazingmoose

    “…wiping out a large portion of their savings”. Well, too bad they don’t like government safety nets.

  • http://twitter.com/SugaRazor Razor

    They’re just going to turn around and spend it on other stupid shit that’s advertised on talk radio, like food insurance and Vermont Teddy Bears.

  • http://twitter.com/JimmyAbra Jimmy Abraham

    Good thing the real world is not like their “free market” utopia with no laws or regulations and “tort reform” otherwise they would be SOL…Good thing there are laws to protect them…

  • http://www.drumsnwhistles.com/ Karoli

    It isn’t the first time. The Goldline execs bilked people in the 80s too. Same scam, even with the coins. Pretty pathetic. I wrote about them in 2010 when they were the only advertisers left on Glenn Beck’s show.

  • West_of_the_Cascades

    I don’t have any sympathy for the “victims” here, either, and I would note that they might have avoided this if there were, for example, more government regulation of the sale of gold and gold coins.

    Just sayin’