Today at the Forum: Smiling Bob

Friday, February 22, 2008

Smiling Bob

Friday’s conviction of Berkeley Premium Nutraceuticals’ founder Steve Warshak should bring a smile to many faces.

Warshak scammed thousands with his worthless claims that the herbal supplements he sold could fix everything from insomnia to a poor sex life.

He was convicted in U.S. District Court on conspiracy, bank fraud and money laundering.
Warshak denied doing anything wrong. The defense he presented was that if mistakes were made in the way the company collected payments it was just because the company was growing so fast.

In reality, the company was growing so fast because the company made outlandish claims and then ran up unauthorized credit card charges on its gullible customers.

Enzyte, called a “natural male enhancement,” and advertised with a silent but always smiling “Bob” in a series of television ads, probably was Warshak’s best known product. This guy preyed on human weakness and capitalized on the victims’ embarrassment.

Warshak could be sentenced to 20 years in prison and his company could forfeit millions based on the convictions. “Smiling Bob,” is probably smiling no more.

35 Comments:

at 11:11 AM, February 23, 2008

Anonymous said...

David,
You are so spot on witht his commentary. I was employed with a bank/credit card company during the ascent of Berkeley. 2-3 times a week I personally would listen to customers complain about unauthorised debits from BPN and assist in resolving the disputes.
Several of my then colleagues were former BPN employees who were laid off. They explained in detail the sales tactics and expectations of BPN. Firtshand testimony to refute the lies of Warshak and his apologists.
Thanks to the court for validating what many have known for years. Justice for this corporate cockroach !

J Law

at 12:33 PM, February 23, 2008

Anonymous said...

Enzyte and “smiling Bob” are a perfect representation for what ails the USA today. Politicians (smiling Bob) offer and constituents demand an easy, quick, and unrealistic fix to our problems. Then, without critical examination, we are disappointed with the predictable results and blame “consumer fraud” on the politician.. Additionally, some of us are so stupid that we demand more of the same results and won’t change. We buy the same product and reelect the same lying politicians, representing the same corrupt political parties.

Often, we deserve what we get.

Per Wells, “This guy preyed on human weakness and capitalized on the victims’ embarrassment.” This could just as easily be restated, “Politicians prey on human weakness and capitalize on voting victims’ stupidity.”

at 4:29 PM, February 23, 2008

Anonymous said...

David, this is an unbelievable story of greed and corruption.

I hope all those who set out to scam and cheat the public take note.

So much for expensive Boston defense lawyers....

at 11:29 PM, February 23, 2008

Anonymous said...

Did the product work at all??

at 8:28 PM, February 24, 2008

Anonymous said...

I loved Smilin' Bob. He will be missed.

at 11:08 PM, February 24, 2008

Anonymous said...

About time putting this lying huckster and his cronies are convicted. Many have known for years about his dishonest business practices and illegal financial transactions.
Who's smilin' now ?

at 12:20 PM, February 25, 2008

Anonymous said...

"Smilin" Obama will be the next one gone

at 2:11 PM, February 25, 2008

Anonymous said...

I've been watching this story unfold since the beginning. I was a high level employee of BPN and I was there that day when the company was raided and we were all escorted off of the property by the FBI. Scariest day of my life. I resigned a few days later. I know this people personally. I hate that all of this has happened, but I knew it then that something was fishy about the company and I'm not surprised at all. Warshak is a snake, I know that first hand. My heart goes out to the rest of them who were following Warshaks' lead. Their greed destroyed them and their familes.

at 4:11 PM, February 25, 2008

Anonymous said...

He deserves everything that he gets. That Enzyte didn't do anything for my anatomy! I was disappointed and my wife was disappointed.

at 7:57 PM, February 25, 2008

Anonymous said...

i loved the smilin bob character and commercials. they were funny. the criminals got what they deserved perpetrating their misdeeds. the consumers got what they deserved for their stupidity. how is that 1+ years after Warshak's inditement, he was still able to run the obviously fraudulant commercials? the justice system is corrupted by the blood sucking lawyers delaying the onset of obvious justice.

at 9:15 AM, February 26, 2008

Anonymous said...

I am the wife of one of the executives and relations to others who pled guilty. Greed is a powerful thing. Warshak was the devil. He promised you whatever dream your heart desired, money, children, fancy cars and houses. There was a huge price to pay. It doesn't seem possible, that all of this happened and here we are. So many lives destroyed.My family has been torn apart. We lived so high on the hog once and something never felt right, it doesn't buy happiness. I am happy with my old car now and clipping coupons and making an honest modest living.

at 9:53 AM, February 27, 2008

Anonymous said...

Deals with the devil are never free nor without consequences.

at 11:35 AM, March 01, 2008

Anonymous said...

Whatever happened to the addage, "buyer beware"? Do we always need government intervention, protecting us from buying products that could be useless? Do we need to be told what is ok to buy, what is not, and how to spend our money? Government control is just that, control. Why arent we controlling gas prices, since the major oil companies are showing record profits? Am I the only person that questions this? Does amount of profit determine the degree of misdeed? We must buy gasonline, or ride a bike, but no one forced these peaple to order products.

at 12:49 PM, March 01, 2008

Anonymous said...

I met and worked with Steve Warshak on another business venture of his in the midst of all that BPN craziness. He's a marketing genius and all you people who say negative things about him are full of it. You took the money for your jobs...didn't you? The idiots that bought that dream from Enzyte and believed in "bigger, better penises' and erections," are no different than the idiots who may buy a wrinkle cream and believe the wrinkles would or will go away. And the government doesn't go after those cosmetics companies, do they?

Everyone is jealous, nasty and SMALL in your uptight, small town little thinking.

Steve will rise again like the marketing phoenix he is and you people will still be small thinking, small town idiots.

at 9:34 AM, March 02, 2008

Anonymous said...

What's truly sad is that this guy ever had customers at all.

Gentlemen, your brain is located about 4 feet higher. And your heart is about 3 feet higher. Raise the bar, please; and perhaps your relationships will work out better for you.

at 10:54 AM, March 02, 2008

Anonymous said...

Folks are you overlooking the minor issue of credit card fraud? A supplier is not permitted to run up unauthorized charges against 100,000+ credit card holders. Its caused a federal crime of theft.

at 12:51 PM, March 02, 2008

Anonymous said...

David,
I am really glad that he was found guilty,but it is said to see that people are going to lose their jobs because of the greed of him Steve Warshak and his Mother. The best thing for the company to do is to go out of businees i have been following the story for a long time and know people that work there. They still report that they are double dinging customers. I am really glad that justice was served and the millions of people that were ripped off are smiling last. I live by the saying of what goes around comes around and sometimes twice as hard. Laugh now Steve. Was it really worth it?

at 11:47 AM, March 03, 2008

Anonymous said...

Steve Warshak deserves everything that he gets. I was subpoened on more than one occasion. Alot of people who worked for Steve are suffering from this. All of them have children. They are the ones that suffer the most. Warshak knew exactly what he was doing and was a part of every aspect of that company. He is a liar and a thief as far as I'm concerned. 20 years isn't long enough for him to serve for what he did. Good Riddons Steve.

at 5:42 PM, March 04, 2008

Anonymous said...

You guys couldn't be more wrong about this company or the owner.

at 8:09 PM, March 04, 2008

David Wells said...

BPN Supporter: You mean Bob actually has a reason to smile?

at 10:59 PM, March 04, 2008

Anonymous said...

My husband has worked for Berkeley for the past 5 years. He believes in this company and believes in his boss.I have never seen a man so dedicated to his job like my husband is. Mr Warshak has a heart of gold.He is very loyal to his employees. I am sorry of the outcome of the trial for him, his wonderful mother and the others. I hope Berkeley can continue to stay open. And one day be back running strong.

at 2:36 AM, March 05, 2008

Anonymous said...

Im with you BPN supporter, I still work at Berkeley and have a great time at my job every day! This company has provided many jobs and a great working environment to good people. If all I knew was what I read in the papers I may think some of the same things. However I talk to the many men that order enzyte that aren't victims at all and talk to many that re order enzyte over and over. I enjoy my place of employment. I am thankful to Steve and his family and I believe Berkeley will make it through this.

at 4:55 AM, March 06, 2008

Anonymous said...

I'm with you as well BPN supporters. I work at Berkeley as well and will continue to work here. Our doors are open, phones are ringing, commericals are still airing, and well will get through this. I've been here the last two years and there is a big part of this country who believes in our product and conitnues to places orders daily despite all the bad media. You can't always believe what you hear on the news or in papers.. I wish nothing but the best for Steve and his Family, as well at the BPN family.

at 4:59 PM, March 06, 2008

Anonymous said...

Starting a small business is never easy...unless that is you commit fraud and continuously charge people's credit card and make it virtually impossible to stop those charges. (This is the bottom line people. Nothing else you Berkeley supporters can say to change this fact.)

Warshak is a nice guy...I'm sure Jim Jones was too, until he made everyone drink the Kool-Aid. And I'm sure he'll rise like the Phoenix in 20 or so years.

The company doesn't fraud people now...but they would be if they didn't get caught!

I feel sorry for a handful of employees...I don't want you to lose your incomes.

But management...good luck finding jobs in the real world. Berkeley doesn't carry a stigma with it at all...it wasn't brought up in every single one of my interviews or anything. But I'm sure your college degrees....I mean sparkling personalities will get you a good high paying job.

at 8:57 PM, March 06, 2008

Anonymous said...

Thank you to all the recent BPN support posts. Steve is a relative of mine, and I can tell you that he is a good person. While you may be right to condemn the sin, do not condemn the sinner.

at 12:17 PM, March 07, 2008

Anonymous said...

The sinner condemned himself in this case and a handful of others who sadly followed this man's lead. Not only that, he has condemned many to the unemployment lines. He has condemned mothers and fathers who rely on Berkeley to support their families to a time of hardship. I don't know if you care or not, but the job market isn't exactly at its peak right now. Its going to be tough for everyone to find a suitable job. So, don't stand there and scold me for condemning a man who has done plenty of that for all of us.

at 3:41 PM, March 07, 2008

Anonymous said...

While there is much to blame Warshak for in this ugly situation, I don't think you can place the blame totally on him for the hardships some of BPN employees are experiencing.

It seem very obvious from some of the articles and comments that most of his employees knew that the company's practices were shady - why stay working there then??? I'm not sure that I could get up every day and go to a company that I knew was behaving immorally & illegally.

While the job market may be pretty poor now, it seems that people stayed on board for one reason - Warshak paid them well. In my opinion, if you choose to take good money from an employer that you know is acting as BPN did, then you lose your right to complain about the boss and company when they implode. It's not as if this conviction was sudden and out of the blue - they process started 3 years ago. Why go along for the ride; are there no other companies in the Cincinnati area that could use your skill set? Or could it be that since BPN paid well, it was worth the risk?

Just as an employer needs to check out past references on perspective employees, people need to know who they are going to work for before accepting a position. If you decide to take a job with a company involved in illegal activity because they'll pay you well, then you do so at your own risk

at 10:25 AM, March 08, 2008

Anonymous said...

Not only did Mr. Warshak abuse his customers, he also abused his suppliers. He caused a local printing company to close its doors by not paying nearly $400,000 that he owed them. He also failed to give Aflac insurance monies that he had deducted from employee wages. He tried to stiff UPS out of nearlt $2 million. And so on.

He needs a good 20 years in jail to take a good look at himself, and what he has done to so many.

at 6:53 PM, March 10, 2008

Anonymous said...

Let's set the record straight. Edge Graphics went out of business because is was poorly run. Most of us in the printing business wondered how they stayed in business when we knew the prices they were quoting wouldn't even cover the costs of materials. They assigned their accounts receivables to their creditors several years before they finaly went under. Berkeley has helped and paid millions to local companies for products and services.

at 9:03 PM, March 11, 2008

Anonymous said...

Unlike some people who have posted comments on this blog I do not speak on things I don't know about first hand. And I'm certainly not naive enough to believe everything the media says or writes. I have worked - and continue to work - for Berkeley for five years. It is by far; the best, most rewarding job I've ever had. I can only hope to be there for a very long time. I have the pleasure of working with professionals everyday who do everything in their power to make Berkeley the best nutraceutical company. We are continually making strides to have the best sales and customer service departments around. Throughout my employment I have not come across a single person who has a criminal bone in their body. This is a huge injustice. I will continue to seek the justice Mr Warshak and every employee of Berkeley deserves.

at 4:17 AM, March 15, 2008

Anonymous said...

Im with you BPN supporter! I'll see you at work!

at 5:42 PM, March 18, 2008

Anonymous said...

i bet you won't be seeing much of each other at work now that every phone agent has been LAID OFF! i bet that'd be a hoot to watch people like holley and shannon and darryl take calls

at 10:52 AM, March 25, 2008

Anonymous said...

As far as employees on the sales floor goes I was the heart of it all. I was the most loved person at Berkeley. I was one of the top salesmen. I practically worked in every dept. I was the biggest(no pun intended) Berkeley fan!! No one could tell me nothng negative about the company, the products, the employees, the owner. As far as the charges on credit cards go people refused to listen to the disclaimer given, as far as returning products people refused to listen to the 60 day return policy, as far as the claims on size 1 or 2 inches more ain't bad, but everyones results are different. The product is intended for maximum performance anytime, after it builds up and is continued to be used daily. Guys want a quick fix instead of putting in the work so they won't be so quick. The product stresses on stamina and endurance like an athlete who builds up endurance by running, enzyte can do the same in time.Only problem I had with bpn is they treated the salesmen like slaves. Hard work no benefits slow to promote people to management. They put some men in charge who had more attitude then females and if you don't suck up you get fired. That's what happened to me. To all the women who are left at BPN u already know, to the fellas in the hot phone rooms u already know, to Mr. D. Richards u already know, and Michael I want to thank you for firing me because I now live in Beautiful Florida.(And I heard u got fired for blowing the whistle.) I am a manager for an Insurance company who's main investor is warren Buffett the 2nd richest man in the U.S. When and not if, but when I become Branch Manager I'll be making in essence or above $600,000 a year with annual residuals, when I become vested in the company in ten years i can retire a millionaire several times over good luck at 5/3rd bank. I am prayin for all BPN employees and if u wondering who's blog is this u already know Grelo

at 9:16 AM, April 28, 2008

Anonymous said...

Hey Grelo, I was layed off-not fired and you were far from the best or most loved employee at BPN. Much success to you in your land of make believe. Those that deserved to be promoted were.

at 7:38 PM, May 18, 2008

Anonymous said...

Grelo--- some things you said are true and others arent. They are not slow to promote.. maybe just slow to promote you. I worked at Berkeley for almost 2 years, and left as a mananger.. I was fired not laid off .. but looking back on it .. it was the best thing that ever happened.. I now work for a company that is very prosperous and has stability and truly cares about their employees...

I don't have any hard for feelings for the company or anyone in management there.. They did what they had to do and that's ok..

I just feel bad for some employees that are still there and how they are affected I'm extremely close to a few... I just hope he doesn't have to pat the $450(or whatever the figure is in the papers) I know many people depend on that income and much as the BPN supporters think they are going to stayed employed...Hey we all thought he was going to win at trial and he LOST so why do you think it will make it through this time?.. so BPN supporters.. you guys need to be looking for a new job soon... I will see if to be really difficult to do after that...

Previous Posts

Friday, February 22, 2008

Smiling Bob

35 Comments: