Federation Network has been identified as a risky opportunity by Intelligence Commissioner users. It is similar to Plus5 club. We’ve received over 3 complaints against Federation Network.
Federation Network, an online investing platform, lacks important ownership information, raising concerns about its legitimacy. Despite listing Sarah Cohen as CEO, her presence appears to be limited to marketing materials. Suspicions rise when an actor playing Cohen speaks French and is tied to a Ponzi scheme. False insurance claims and shell company associations further erode trust. Without regulation, investors face tremendous risks and few options. Proceed with caution and thorough investigation.
Get Your Money Back From These Scammers!
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Key Takeaways
Is Federation Network Regulated? Do They Have a License?
Federation Network, an online platform ostensibly promoting investment opportunities, fails to publish critical ownership or executive information on its website. The lack of transparency raises questions about the company’s credibility.
Despite being identified as the CEO in a marketing presentation on Federation Network’s website, Sarah Cohen’s presence is limited to the platform’s promotional materials. The lack of any verified presence outside of the company’s advertisements calls into question the validity of her employment.
Further suspicion is raised when it is learned that the actor impersonating Sarah Cohen in a commercial film speaks French. The video is hosted by Halan Nelson, a key figure in the defunct Mainet Ponzi scheme. This association calls into doubt the credibility of Federation Network and its affiliates.
Federation Network seeks to improve its reputation by claiming a $50 million insurance arrangement with Prudential Financial in the United States. However, investigations have revealed that this certificate is counterfeit and has nothing to do with Prudential Financial. The company’s deceptive claim of insurance coverage weakens its credibility.
Federation Network maintains business addresses in the United Kingdom and Hong Kong on its website, although investigations indicate that these locations are unrelated to the company’s operations. This difference in corporate information undermines confidence in Federation Network’s validity.
FDRTN Management Limited, a Hong Kong-based shell firm, is attached to the addresses mentioned. However, the simplicity with which scammers can construct such corporations with fake information renders shell company certifications useless in determining genuineness.
The lack of regulation or the presence of poor regulation is a huge red flag. It means Federation Network is a scam and most likely, an illegal operation.
Companies offering investment services or opportunities without having a license can vanish without leaving a trace. Furthermore, the lack of a regulatory license allows them to get away with it and face no legal consequences.
That’s why it’s vital for you to always check a company’s regulation status as well as its license information. The presence of a license allows consumers to reach out to an authority if something goes wrong.
In the case of Federation Network, victims have nowhere to go due to the absence of a watchdog or license.
You should ask yourself the following questions when you come across a new investment firm or opportunity:
- Does the investment provider maintain transparency about its CEO?
- Do they have a license from a renowned regulatory authority?
- If the need arises, can I reach out to an authority to report this company as a scam?
Trading Conditions and Deposit/Withdrawal Methods at Federation Network
Federation Network does not sell any retail products or services, raising questions about the economic model’s long-term viability. Affiliates are only incentivized to promote Federation Network subscriptions, indicating a possible pyramid scheme structure.
Investment-Based Returns
Federation Network’s compensation model is based on affiliate investors depositing monies in exchange for promised returns. The tiered investment scheme provides varied daily returns dependent on the amount invested, a feature common to Ponzi schemes.
Affiliates are reimbursed primarily for bringing new investors into the network, rather than for selling legal products or services. This emphasis on recruitment implies a dependency on fresh investments to maintain payouts, which is typical of Ponzi schemes.
Unsubstantiated Revenue Generation Claims.
Alleged Real Estate Investments
Federation Network promises to create external money through real-estate investments, but can not present clear data or facts to back up this claim. The lack of openness surrounding revenue sources raises concerns about the integrity of the platform’s commercial activities.
Questionable Banking Partnerships
The portal lists numerous respectable banks as banking partners, but without confirmation from these organizations, the credibility of these ties is questionable. The lack of confirmed partnerships further diminishes Federation Network’s legitimacy.
A search of the SEC’s Edgar database finds that neither Federation Network nor its affiliated firm, FDRTN Management Limited, is registered. This failure to meet regulatory criteria shows that securities fraud may have occurred.
However, it’s worth noting that many scammers disable their payment channels before shutting down their operations.
They might give you multiple reasons including:
- A technical error
- A glitch in their system
- Banking issues
- A “hacking attack”
And many others.
But in 9/10 cases, the scammers stop making payments and keep the money to themselves. Hence, the payment methods we discussed here might not work.
If you want to get your money back from a scammer, you’d need to file a chargeback.
Federation Network Customer Service: Do They Handle Complaints Well?
When it comes to scammers, you should only measure the quality of their customer service if they respond to your complaint.
In the beginning, scammers tend to remain very accessible.
This means their representatives will keep calling you until you invest with them. Furthermore, they will act friendly and make it seem as if you’re one of their most valuable consumers.
However, they do all this just to win your trust.
Scammers understand that to convince someone to give them a large sum, they will need to seem like a friend.
Nevertheless, when you have invested a considerable amount of money and need to get it back, their customer support will become inaccessible.
All of a sudden, their numbers would either stop responding or become unavailable.
Still, they might remain accessible to convince you to invest further. Also, they might begin by making a few excuses regarding your payment.
However, in the end, customer support won’t resolve your issues and become increasingly unavailable.
If you have information on a scam or criminal operation, you can get access to 40+ investigative journalists & news outlets for free. Send us a detailed report here and if you qualify, we will forward your case ahead.
Federation Network Reviews: What Do Others Say?
It’s worth noting that many scammers tend to purchase fake reviews. Buying fake reviews has become extremely easy and it’s a multi-million dollar industry.
Scammers like Federation Network tend to purchase fake reviews for their online profiles to make themselves seem more credible.
TIME Magazine investigated the fake review industry and estimated it to be worth more than $150 million. Certainly, there are a ton of scammers who want to seem legitimate and a bunch of fake reviews is the most effective way to do so.
That’s why you shouldn’t trust Federation Network reviews easily.
It’s easy to identify fake reviews as well. You should look out for 5-star reviews posted by temporary accounts (profiles that only posted 1 or 2 reviews on the platform). Also, you should see if the positive reviews share any detailed information about their experience with the firm or not.
In the case of Federation Network, chances are, you wouldn’t find many legitimate reviews.
Another prominent way scammers like Federation Network enhance their credibility is by burying negative reviews and complaints under a lot of fake reviews.
This way, when you’ll look up “Federation Network reviews”, you might not find many complaints. Or, you might find them buried within numerous reviews praising Federation Network.
You should always look out for consumer complaints. In the case of Federation Network, the most common complaints I found were about:
- Poor customer support
- Delays in payments
- High fees
- Lack of transparency regarding their leadership team
- Aggressive sales staff
Do you have a similar complaint about Federation Network? You can share your complaint in the comment section or submit an anonymous tip.
Is Federation Network Legit Or a Scam?
Federation Network’s business strategy, which relies on new investments to pay existing affiliates, resembles the structure of a Ponzi scheme. Such schemes are unsustainable and will inevitably fail, resulting in severe financial losses for participants.
The Federation Network’s lack of openness, deceptive claims, and unethical business practices raise serious questions about its authenticity. The platform’s recruitment-driven pay structure, unsupported income growth claims, and possible involvement in securities fraud and Ponzi schemes highlight the risks of participating in such initiatives.
Potential investors should exercise caution and conduct full due diligence before engaging with Federation Network or similar businesses.
Federation Network is an unregulated entity. Although they might fall under the jurisdiction of a watchdog, they don’t have the license to offer financial services to consumers.
The lack of a license means they are not answerable to any regulatory authority. As a result, the people behind Federation Network can run away with your money without any prior notice. It would help if you were extremely cautious when dealing with an unregulated service provider.
The absence of a watchdog also means you cannot report to them to anyone.
Also, due to the absence of specific regulations, there is no provision protecting you from the insolvency of this entity. If they go bankrupt, you won’t be able to do anything about it.
Can You Trust Federation Network?
All the evidence suggests that Federation Network is a scam. If you have lost money to them, there is still a chance you can get it back.
To recover your funds, you’d need to file a chargeback.
Frequently Asked Questions
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How The Federation Network Online Scam Works
Intelligence Commissioner investigates & reviews online money-making opportunities. We strive to provide critically helpful information to our readers and assist them in identifying scams. 
