The federal lawsuit that alleges former USC football star Rob DeBoer was involved in the pyramid scheme is in the hands of a judge.Testimony recently ended in the case over Burnlounge, a New York online music store operator that attracted many investors from the Columbia area.
The Federal Trade Commission sued Burnlounge executives and top recruiters, claiming the business was a pyramid scheme that rewarded investors for recruiting more people into the business, not selling music.
Federal officials have said DeBoer was Burnlounge’s top recruiter.
A federal judge in Los Angles is awaiting legal opinions from federal regulators and the defendants, said David Fix, an FTC attorney. A decision in the case could come later this month, he said.
