Infomercial King / Central Florida Real Estate Tycoon Under Investigation By Atty. General
Usually, reporter Michelle Meredith of WESH 2 News in Orlando is the one who hunts people down in search of the truth, but this time, all she had to do was turn on her TV.
Many people have seen those infomercials claiming that anyone — even you — can get wealthy through real estate investing. One such tycoon recently came to Central Florida, and as would probably be expected, his pitch was full of surprises.
Meredith wanted to experience the latest get-rich-quick seminar first-hand, to see if she could really turn $1,000 into $4.7 million in 18 months, as Russ Whitney claims. Whitney is the latest star of the real estate talk circuit, and the subject of an investigation by the Florida Attorney General. He has been accused of deceptive advertising, with over 50 filed complaints against him from consumers to date.
The first thing Meredith learned at the free seminar she attended was that Whitney is not there to fraternize with. He’s all over the place in cardboard, but it’s his son doing all the talking. The primary goal of the seminar is to sell a three-day workshop with his billionaire dad that comes with a hefty price tag of nearly $3,000.
“Does anyone here know what job stands for? Just over broke,” Russ Whitney Jr. said to a captive audience, each member of which left with a free Russ Whitney CD and a number of interesting business strategies, such as borrowing $1,000 from five different banks if you need a down payment of $5,000. While that advice may leave you scratching your head, it had the opposite effect on the crowd — especially when the price of the workshop miraculously fell to $995. There was no holding them back at that point.
“Why did we sign up? Because it’s a business, and if you expect to go anywhere in this life, you’ve got to take a chance now and then,” Bill Gray said.
When Meredith asked another audience member, point blank, if she believed in the legitimacy of Whitney’s program, Michelle Maddy replied “absolutely.” Maddy said she took a chance, dropping $50,000 into similar workshops and turning that into $1 million. By learning the techniques and investing in Florida real estate, it’s been worth every dime to her. It was then that Whitney Jr. himself walked over to Meredith, prompting the following exchange:
MEREDITH: “The Attorney General’s office is investigating your company.”
WHITNEY: “Hasn’t somebody complained about Channel 2 before?”
MEREDITH: “Yes, but the Attorney General’s office is not investigating Channel 2. They’re investigating your company though.”
WHITNEY: “It doesn’t matter. You’re getting really worked up over no reason — over a little minute detail of what’s going on.”
What’s really going on, though? The sale of a dream, that much is for sure. A dream of financial independence, albeit one that uses techniques that few have the discipline (or the capital) to pull off. Some say they don’t teach you anything other than why you should buy the program, which the common individual can’t afford.
The Florida Attorney General’s office has filed no charges at this time, and says that Whitney has given some refunds and indicated a willingness to give more. Whitney was also under investigated by the Tennessee Attorney General’s office back in 1997, in a case that was settled out of court. A representative in that office had the following piece of advice — people do not give away secrets of quick and easy riches if they are truly quick and easy.Sage advice. Whitney may not be a criminal, but he is not going to get you rich. Neither is watching Donald Trump on TV. The best way to ensure modest success in the Florida real estate market is to invest conservatively and long-term. Low-interest Florida home loans should be available throughout this year, and if you are willing to hold on to your property for several years (rather than flipping condos), you will set yourself up for significant returns on your investment.
