Wednesday, January 3, 2007

Larry Klein Shuts the Doors on NF Communications, Jeopardizes Credibility of the CRFA Designation -- Part II

Aside from Ray Ohlson, other Klein customers have responded angrily. And apparently, unbeknownst to Mr. Ohlson, Klein did notify some of his customers. Normally forums and blogs are not the most reliable source, but after dozens upon dozens of entries pop up overnight by disgruntled acquaintances and employees, we think they are worth mentioning.
First, here’s a forum entry posted on Registered, December 21, 2006, topic “NF Communications”:
“Has anyone else bought one of their marketing/seminar systems? I fell into the trap because of the 90 day "guarantee".
I just received an email from Larry Klein, president of NFCom, saying they've closed their doors and fired everyone. He says there's no one to talk to about refunds or guarantees. Luckily, we've stopped payment on our credit card and put the payment into dispute.
Has anyone else gotten duped by these clowns?
PS- I think I remember seeing posts from Larry Klein on this forum in the past. I hope he shows his face here again...”
Former NF Communications employees have certainly been the most vociferous of everyone upset by Klein. Here is just one from
“Shame on you Larry! You are not a man but a sad cartoon of an unconsciously incompetent huckster trying to screw people. How can you guide the people who work for you now further into your deep pit of deception? Now you have crossed the line with outright fraud to keep a failed business alive by:
- Debiting advisor credit cards fraudently with bogus leads that you're selling for $18.
- Telling existing employees that you are not collecting a salary (implying no income)when mysteriously you are cashing NFCom checks after it's supposed demise to clear your personal debts.
- Ditching and dodging NFCom creditors selectively to use NFCom assets to set-up Javelin.
You don't need a law degree to figure out you're really screwing real people with businesses of their own with those practices and putting your existing Javelin employees in jeopardy as being accessories to committing fraud in front of the IRS, SEC and the State of California.
The NASD was set-up exactly for the purposes of identifying and ousting guys like you. You are sliding down a slippery slope to extinction!"
Insurance professionals associated with Klein’s materials should be wary. In the insurance business, reputation is everything. And right now, the insurance industry is struggling with its reputation.
Day by day, more and more articles on the topic of fraudulent investment schemes by so-called advisors preying on the ignorance of seniors are cropping up. More and more, the NASD and SEC are putting these schemers out of business.
Once a prominent name, Klein has become a “Where’s Waldo” candidate, having vanished off the map as of December 15, 2006. Once connected with some of the biggest companies and top personnel in our industry, he is now a ghost advisor, leaving a trail of broken promises from today all the way back to the doors of his closed business.
Klein’s designation, the CRFA, has also come under fire. With his recent disappearing act, what will come of the credibility of the CRFA?
According to a Wall Street Journal article dated September 24, 2006, Beware the Huckster in Adviser’s Clothing, “There has been an increase in the number of organizations that offer designations such as Certified Wealth Preservation Planner or Certified Retirement Financial Advisor™. Regulators say that while such titles might sound impressive, investors should question how much of the associated training is focused on sales tactics instead of education.”

Larry Klein Shuts the Doors on NF Communications, Jeopardizes Credibility of the CRFA Designation

as reported by:

by Rob Billingham

One of Larry Klein’s books is entitled 400 Greatest Financial Jokes, and it appears that his reputation might become joke number 401.

On December 15, 2006, Klein shut the doors on NF Communications, a company that packaged “top marketing systems of producers” and provided them to agents and brokers. Klein ended operations without warning and without notifying some of his customers.

Klein, now former president of NF Communications, is well-known in the industry for his senior marketing system. His books such as Marketing Financial Services to Seniors and How to Become a Million Dollar Producer: A Change in Your Paradigm have gained national attention and popularity.

Nobody knows exactly why he closed down, but he certainly left his customers, employees and acquaintances stranded. It is possible that the closing may be linked to Klein’s connection to the current proliferation of circumspect senior designations. Or even worse, fraudulence.

Klein founded the Certified Retirement Financial Advisor (CRFA) designation, which joins a group of senior-focused certifications strongly criticized by The American College, the media and others.

In response to the news, one of Klein’s customers, Ray Ohlson, president of the Ohlson Group said, “I’ve known Larry a long time. We’ve been good business acquaintances. We’ve promoted his marketing seminar to our producers. I am surprised that he closed his doors and I am disappointed that an e-mail did not go out to his customers. The day before I found out that NF Communications shut down, I was still promoting his marketing seminar to my producers. Now we are left in an awkward situation.”

Clicking on any link to NF Communications, or any of Klein’s book titles, will lead you to a page that reads:

NF Communications has ceased operations.

There are no longer employees or managers as the company has dissolved.
There is no way to contact anyone from NF Communications, as all personnel have been terminated.
We are sorry for the inconvenience this causes and regret that the organization can no longer serve you.

If you have interest in programs and tools that help financial advisors grow their business, please click here.

When users click on the link, they are directed to “Javelin Marketing,” a suspicious company that showcases ads for marketing systems similar to those promoted by NF Communications. It appears that as one business dissolved, the other is trying to pick up the pieces.

Neither Klein, nor anybody else at NF Communications or Javelin Marketing, was available by phone on repeated attempts. Callers are told that “email correspondence is preferred.”

For those of you not familiar with Klein, here’s how he positioned himself to our industry:

Mr. Klein claims to have assisted, "...10,000 financial professionals to increase their clients and income. He offers his marketing programs, tested in his own practice, and practices of top producers to financial advisors throughout the United States." Mr. Klein started his career as a CPA with a "big eight" accounting firm and moved into advising retail clients as a Vice President of Investments at Great Western Financial Securities and then as a First Vice-President and branch manager with Prudential Securities (where he was in the top 5% of producers, nationally).

Mr. Klein claims to be a CPA/PFS, a Certified Senior Advisor (one of 8,000 in the US), and holds an MBA from Harvard Business School as do his "alter egos, Bob Roberts and Bob Callis".

Larry has been an invited speaker at leading venues such as the Charles Schwab Advisor Conference, the NAIFA Financial Advisors Forum and the Million Dollar Round Table.

Klein claims to have been interviewed on CNNfn and in industry publications including On Wall Street, Registered Representative Magazine, The Agents Sales Journal, Research Magazine, and Financial Advisor Pro and writes columns for Financial Services Journal Online, Horsesmouth, and on Wall Street Online. In these industry publications, he counsels financial services professionals how to use smart and efficient seminars, direct mail and direct response marketing to obtain substantial increases in their income.

Sunday, December 31, 2006

Thank you Internet Archive For Exposing More of Larry Klein's "Javelin Gambit"

Check Out These Two Pages

The first page is NF Communications' lead page from April of 2006 as provided by the Internet Archive Wayback Machine (thank you Alexa)!
The second is a screen shot taken just just minutes ago as it appears RIGHT NOW. Clearly showing that all Larry, Barry and Jason managed to do was change a logo, the phone number from the "dissolved" NF Communications to Javelin's and update the links.
All of the testimonials are bogus. As they also are on the new Javelin site.
Let's talk "truth in advertising". Clearly, Larry and the Javelin staff are perpetrating fraud by using "testimonials" from a "dissolved" company for a product that that Javelin has never delivered.