Keeping Up with Gary Cardone and Monica Eaton: Who Threw Who Under the Bus First?

After the US Federal Trade Commission and the State of Florida filed a lawsuit against Scientologists Gary Cardone, Monica Eaton, and their company Chargebacks911 for deceptive trade practices in April 2023, we wondered who would be the first of the defendants to throw the other under the bus.

A press release suggests to us that Scientology OTVIII boss babe Monica has thrown her ex-husband and fellow OTVIII Gary under the bus.

But did this happen after Monica was thrown under the bus by Gary? We ask because Gary Cardone “retired” as CEO of Chargebacks911 immediately after the company was sued by the FTC and Florida on April 12, 2023.

Chargebacks911 logo declares “Challenge the Status Quo.” However, the FTC and State of Florida say the Scientologist-owned company aids and abets internet scammers by engaging in deceptive and unfair trade practices.

A Chargebacks911 press release of April 24, 2023 announced Gary’s retirement and Monica’s promotion from COO to CEO.

Like the Kremlin press releases of the USSR period, this press contains a denouncement of Gary Cardone without mentioning him by name. The press release also spins a very serious lawsuit as “regulatory scrutiny”:

Chargebacks911 is shaking up its C-suite as the company faces regulatory scrutiny over its approach to chargebacks, which are triggered for a merchant when consumers return goods or services. The company behind that brand, and its sister brand Fi911, is TK Unlimited, a division of Global e-Services, according to its website.

According to Monica’s press release, the C-suite had to be shaken up, i,e. Gary Cardone needed to be exited out the backdoor — and likely headfirst as Scientology ethics handlings can be quite brutal.  We know of a Sea Org member, for example, who was literally ordered to dig his own grave in the hot California desert as a punishment.

The implication we read into this press release is that Monica is blaming Gary for the lawsuit. However, this is the corporate way: Always blame the previous person who held your new position for all the problems you inherited. We wonder if Monica told the remaining staff members that “Gary is just like his brother Grant Cardone! They’re both loose cannons!” Which would be true. Grant once blatantly lied to his investors and claimed he had gone bankrupt.

So did Gary Cardone get off the sinking and ship and into a lifeboat? Is so, this left Monica Eaton at the helm of company that had just taken two direct torpedo hits by the US Government and the State of Florida.

Or did Monica convince Gary to stepdown as CEO and then issue a press release which blamed him for the lawsuit, i.e. a shakeup in the C-suite was needed!

File this under “This story writes itself”: According to his an article published by Catalyst on April 18, 2023 Gary Cardone invested $3.5 million in crypto into a blockchain company just as he was abandoning ship at Chargebacks911:

Local fintech serial entrepreneur Gary Cardone is breaking into the blockchain space through his latest venture.

Cardone, the co-founder and former CEO of Clearwater-based fraud mitigation company Chargeback911, has recently injected $4 million into Node40, a New York-based company known for its suite of tools that manage blockchain nodes…

Cardone, who has funded and helped create multiple companies over three decades, said he will continue investing in Node40 and other blockchain companies through his new venture capital firm Card1Ventures….

In this article, Gary Cardone makes what seems to be a damning admission given the lawsuit against Chargebacks911 (emphasis ours):

“I’ve created a lot of companies over 35 years, and I’ve made lots of mistakes – underestimating values, not exiting correctly and issues with compliance. I want to correct those mistakes and bring my commercial knowledge.”

Admitting past issues with compliance is a bad statement to make in the context of things. This could come back to haunt Gary Cardone when a US prosecutor asks him about this particular statement at trial.

As if he is now doubling down on things, Cardone’s Node40 just advertised in Crypto Listy using this headline two days ago on August 12, 2023:

Did Gary Cardone get himself off one sinking ship only to clamber onto another vessel sailing in the shark-infested Crypto Sea which is patrolled by wolfpacks of IRS and Interpol U-Boats?

The IRS and the EU are after crypto traders to pay their taxes. A red flag for the IRS might be Node40 advertising tax reduction software in this manner. Maine Law on crypto losses and taxes.

In any case, Gary Cardone put $4 million into Node40 just days ahead of the drastic plunge in crypto in May 2023 in which crypto traders lost hundreds of millions of dollars. The crypto market was also slammed that month by scams, exploits, and hacking incidents. Bitcoin dropped to ~$27,500 off from its highest price ever of $69,000.

Gary Cardone exited the allegedly scammer-friendly Chargebacks911 and went into the equally scammer-laden crypto market. What next? Will Gary Cardone create a new company to help Dark Web merchants fight chargebacks on Chinese fentanyl deals gone wrong? That is definitely a market sector which needs a Chargebacks911 type of company. Gary is a big picture guy. He can see the Dark Web play here.

Gary Cardone seems to have lost his oracular Scientology OT super powers these days. CoinTelegraph on August 1, 2023 on the present state of the crypto market:

On Aug. 1, the crypto market’s net capitalization fell 2% to $1.16 trillion.

The move downward came a day after the Financial Times reported that the U.S. Securities and Exchange Commission (SEC) had told Coinbase, a U.S.-based crypto exchange, to delist all cryptocurrencies from its exchange barring Bitcoin (BTC).

However, Coinbase called the report inaccurate, explaining that the Financial Times omitted context regarding its conversations with the SEC.

The clarification did not help the crypto market recover, however, as Curve Finance’s $47 million hack over the weekend further strained its upside prospects. The market’s valuation has dropped by nearly 3.75%, or $43 billion, since the exploit.


1 reply »

  1. “I’ve created a lot of companies over 35 years, and I’ve made lots of mistakes – underestimating values, not exiting correctly and issues with compliance. I want to correct those mistakes and bring my commercial knowledge.”

    All that says to me is, “I’m a long time crook, scammer, con artist and racketeer and now it’s all caught up with me. Time to throw someone else under the bus while I attempt to move cash around all the while trying try to figure out how to disappear.”

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