A group of family and friends has threatened to sue popular social media influencer Israel “Markos” Mark for an alleged fraudulent pyramid scheme.
Lawyers Joseph Sookoo and Kamini Ramraj representing Kavita Ragoonanan, Kumar and Asha Seegulam, Vitra Maraj, and Kavita, Satesh, and Savitra Maharaj made the threat in a pre-action protocol letter sent to Mark earlier this month.
Ramraj claimed that on April 13 last year, Ragoonanan met Mark after being referred by a friend.
“The opportunity had been described to her, both by her friend and by the intended defendant, as a means of sustainable, no-risk wealth creation which had been, up to that point, successful for the said friend,” he said.
Ramraj said Ragoonanan was invited to enter into contractual “membership” in an “exclusive social club” called “Moolah Caribbean”. The terms of membership included payment of an initial $25,000 “contribution” and Ragoonanan was promised a variety of services including professional consultancy, protective services, currency exchange, vehicle importing, luxury charters, and public relations services.
“However, the primary benefit of this membership was a monthly cashback of ten per cent of the “membership value”, with such cashback being payable at the end of every calendar month,” she said.
“Further, by the said membership, the member was entitled upon its termination to receive the full payment of all sums paid under the membership within 15 days thereafter.”
Attracted by the cash-back feature, Ragoonanan signed up and made the initial payment.
Ramraj said her client received a $2,500 payment a month after joining and was invited to join a WhatsApp group with other members, where she learned of a “referral” programme under which members would be paid $10,000 for every four new members they recruited.
Ragoonanan made an additional $75,000 and recruited her family and friends named in the legal letter. Some of her family and friends made the initial payment while others paid $100,000. In total, Ragoonanan and the persons she recruited paid $550,000.
Ramraj claimed Ragoonanan and her recruits never received the cash-back payment.
She alleged that in July 2023, Mark sent two letters indicating that the company was being investigated by an unnamed party and might enter into a partnership or be purchased by another third party.
“By the said correspondences, the intended defendant suggested that ‘banks may seize Moolah Caribbean’s funds, and that this partnership/purchase may better “secure the return of your investments’,” Ramraj said.
The Whatsapp group was eventually closed by Mark in August last year.
“By this time, he complained that certain parties in the group had disclosed their complaints on social media platforms and jeopardised not only the alleged partnership/purchase of Moolah Caribbean but also prevented him from taking the steps required to rectify the complaints regarding payment,” Ramraj said.
Ragoonanan and her recruits made official requests for repayment which went unanswered.
Ramraj claimed her clients subsequently saw Mark’s alias being used to advertise a similar investment scheme named “Marksman Finance”.
Ramraj accused Mark of using deliberate misrepresentations to defraud her clients.
“Further, they also hold the view that you created and used a variety of incorporated and unincorporated bodies to clothe the fraudulent and unethical nature of your scheme in a veneer of respectability,” she said.
Ramraj gave Mark 28 days to respond to the legal threat and repay the group’s investments before they filed a lawsuit over the issue. Attached to the letter were documents signed by the group and their payment receipts.
Ramraj did not receive a response up to late yesterday.