Family of Eagles
Gold Coin Pyramid Scam

The Family of Eagles gold coin pyramid scam was a popular scam in the mid-1990s and may no longer be around or may have re-organized under a different name due to numerous complaints and lawsuits over the practices of the organizers of this scam.

Essentially the Family of Eagles plan called for individuals to buy 1/10-oz. American Gold Eagle coins as an investment and to also recruit others into the plan.

The coins being sold were authentic American Gold Eagle coins, however, the prices being charged were grossly overinflated well beyond prices charged by reputable dealers nationwide.

Prices charged for the coins averaged at about $72 per coin. The gold content in these coins are currently less than $30 per coin, less than half the price being charged. The typical markup for these coins by most dealers is only a few dollars over daily gold spot price. Currently these coins sell for an average between $35 and $40 each.

The following news release from the Pennsylvania Office of the Attorney General is a further testament to the unfair and illegal practices of the Family of Eagles scam:

PA. OFFICE OF ATTORNEY GENERAL

NEWS RELEASE ISSUED

November 12, 1997

CONTACT: Press Office 717-787-5211

Fisher Reaches Agreement With National Coin Seller

HARRISBURG --State Attorney General Mike Fisher announced today that a national gold coin seller will pay $8,000 to settle allegations that it engaged in unfair and deceptive sales practices.

The settlement follows a May 1997 lawsuit filed against Family of Eagles, Ltd., of Cedar Hill, Texas, for allegedly operating an illegal referral scheme that promised rewards to coin buyers who, in turn, recruited others to buy the products. The suit also alleged the company misled consumers by implying that the purchase of coins or jewelry would have a substantial effect on reducing the National Debt.

Fisher said Family of Eagles has voluntarily changed its sales and advertising practices since the lawsuit was filed. The company has agreed as part of this settlement to comply with all provisions of the Unfair Trade Practices and Consumer Protection Law in the future.

The agreement also requires the company to pay $8,000 for the costs of investigation, plus submit an annual report to the Commonwealth stating its gross sales for the fiscal year and how much money it donates to the United States Treasury to reduce the National Debt.

In the settlement, Family of Eagles, Ltd., admits no wrongdoing and agrees this action settles a prior court action filed by the company regarding the legality of its sales plan.

Family of Eagles sells uncirculated 1/10 ounce American Eagle Gold Coins and National Debt Reduction Jewelry throughout the United States, including Pennsylvania.

The consent agreement was filed in Commonwealth Court by Deputy Attorney General Michele L. Kondrad from Fisher's Bureau of Consumer Protection Office in Pittsburgh.

The following links take you to additional information regarding the Family of Eagles:

Coin Connesuier
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