On September 11, 2025, Bradley Boyle and TTAN LLC filed a lawsuit in Idaho’s U.S. District Court (Case No. 1:2025cv00458) against Hassan Mahmoud and Noa Techs – FZCO, accusing Mahmoud of embezzling funds from Jifu, raiding its affiliate network, and engaging in “legally risky business practices” that may violate FTC guidelines, per Justia Dockets. Boyle, a co-founder and former CEO, claims Mahmoud, while serving as President, squeezed him out and transferred Jifu assets to Dubai-based Noa for a below-market $21M deal, potentially under FTC and Nevada investigation for pyramid-like activities, per the complaint. Mahmoud filed a motion to dismiss on October 29, 2025, claiming a “hostile takeover,” but no counter-suit has been filed, per.
Jifu, launched in 2019 as an MLM offering travel, health, and education services, operates through Illinois-based Jifu LLC and Utah-based Mango-Jifu LLC, per BBB Programs. Boyle alleges Mahmoud’s “product loading”—encouraging affiliates to buy large inventory (e.g., 37 cases) to qualify for commissions—violates FTC MLM guidance on earnings claims, as it bases compensation on recruitment rather than retail sales, per. A March 2025 DSSRC inquiry (Case #205-2025) criticized Jifu’s “unrealistic earnings claims” lacking empirical evidence, aligning with FTC standards for MLMs, per BBB Programs. Boyle claims these practices, discussed in a “Jifu Directors+” chat, expose the company to “severe regulatory scrutiny,” with FTC and Nevada probes ongoing since 2021, per the complaint. X posts from @CryptoScamsWatch highlight similar concerns, noting Jifu’s resemblance to investigated schemes like iGenius, per.
The lawsuit lists 10 causes, including breach of contract, fraud, intentional interference, and unjust enrichment, seeking damages and injunctions, per Justia. A motion for default judgment against Jifu was filed October 9, 2025, opposed October 30, with arbitration compelled October 17, per. Jifu’s undisclosed ownership violates FTC transparency rules, and its innovation may be stifled by probes, per. BTC ($113,234) and ETH ($4,070) unaffected, per CoinMarketCap, but MLM fraud erodes trust. Diversify into USDC or ETH with stop-losses below BTC’s $112,000, per TradingView. Follow @TheBlock__ on X for updates. A settlement may resolve this, but FTC/Nevada actions could lead to shutdowns in 2026, per.
