Co-founder of Rochester-based marketing firm gets prison
ROCHESTER, N.Y. (AP) — A co-founder of a multi-level marketing firm has been sentenced to seven months in prison for his role in a $2 million fraud.
According to the Democrat and Chronicle in Rochester, the judge said on Wednesday that Jason Guck had not been as significantly involved in 5Linx financing as his two co-defendants. They previously got 14-month sentences.
Prosecutors say the co-founders failed to distribute money they received from a vendor to the company’s stockholders.
Guck told the court that he was “deeply embarrassed.”
U.S. District Judge David Larimer said 5Linx was once one of Rochester’s fastest growing businesses.
The company uses “independent contractors” to sell products and recruit others into the sales force.
Through the years, 5Linx has sold products ranging from internet-based TV to coffee to health supplements.
Information from: Rochester Democrat and Chronicle, http://www.democratandchronicle.com