Multilevel marketer FHTM members due fee refunds

— -- Texas members of the multilevel marketing company FHTM have until Monday to apply for a refund of the fees they paid to the firm, under a settlement with the Texas Attorney General.

Under the settlement, FHTM, also known as Fortune Hi-Tech Marketing, must repay $1.3 million to Texas residents to settle allegations that the firm engaged in "deceptive trade practices," including that it "operated as an illegal pyramid scheme," according to a release issued by Attorney General Greg Abbott.

In its release, the attorney general's office noted that "in a typical illegal pyramid scheme, a purchaser or investor pays a fee for the opportunity to receive profits in the future. Those payments are primarily derived by inducing others to join the operation and pay a fee — rather than from the sale of an actual product or service."

USA TODAY wrote about FHTM members' claims about payments for recruiting others in February and October 2010.

Fortune Hi-Tech's customers complained that the defendant falsely represented the earnings they would achieve if they became one of the defendant's independent representatives, according to the attorney general's office.

FHTM is prohibited from engaging in deceptive trade practices in the future under the terms of the settlement agreement.

Forms to apply for refunds of up to $299 are available at texasattorneygeneral.gov. They must be received by Lexington, Ky.-based FHTM by Monday.