First. mKrongel and Pace are out of their depth as network affiliate managers. They may understand slightly and hear the rumors what happened, but hardly know how deep this rabbit hole goes. I know because I have spoken to the lawyers involved, the merchant banks, processors, chargeback consultants, and everyone else involved. Bottom line there is enough in emails if there was legal discovery for some people to go to jail for a while. I don’t think anyone wants to step up and push it because just about everyone or people they know would be implicated in some way.
Second. Here’s the real story w/ BPG and Bryan B. Bryan was @ Visa for years through of 2009, and magically stood up BPG starting in 2010. He’s not the entrepreneur, Dee is. He’s on Dee’s payroll, and with his Visa credibility, Bryan basically convinced Epic/Azoogle, CX, and Copeac that they would help regulate the space. The reality is, Dee had to clean up his campaigns due to FTC scrutiny. He figured he would level the playing field. BPG sent out a series of checklists and regulations to all the major merchant processors, spoke with banks, and even the risk depts at MasterCard. Apparently when speaking with many of the banks and processors, they knew Bryan from Visa, and misrepresented himself. They then obviously took his word on who’s bad and who’s good (they have no idea anything about this space). Dee then could effectively monitor every single player in the space, run all pages through them (hence the pixel to monitor), and then use Bryan’s connections and misrepresentations to shut down competitive merchants (berry and colon slingers and the like). First, they started at the beginning of 2010, and then 2 separate waves of merchant account shut downs in February and March. Bryan and Dee were able to throw enough water on the fire, all these offers and merchants ran out of the space. Now, Dee still runs and controls the space, lowered all his payouts, and apparently isn’t even paying out networks (In $XX,XXX,XXX amounts). There’s a lot more bullshit, but bottom line this guy is bad news. Anytime he’s involved it’s a race to the bottom.
