Glenn Beck-backed gold dealer charged with fraud
NOVEMBER 02, 2011
A California company that sponsored conservative talk show host Glenn Beck’s radio program has been charged with fraud in a 19-count criminal complaint in Santa Monica.
The company, Goldline, is accused of using Fox News’ Beck and other conservative spokespeople in a bait-and-switch operation to sell overpriced gold coins, according to a report on the Santa Monica Daily Press website.
Goldline’s salespeople supposedly lured money from customers with a promise of delivering gold bullion, with the intent of later switching the sale to the coins.
“At the heart of the complaint is the suggestion that Goldline profits not so much by selling pure gold bullion, but by persuading customers who want to capitalize on the rising value of gold to purchase collectable coins,” according to an ABC News Radio report on the case. “The coins are subject to a significant mark-up in price, and several Goldline customers told ABC News that they found it difficult or impossible to resell those coins without taking a loss.”
Beck is planning to move the headquarters and studio of his Mercury Radio Arts to Southlake in North Texas.