Federal Trade Commission — Ecommerce Empire Builders

Decided by

Eastern District of Pennsylvania

Parties

Federal Trade Commission v. Empire Holdings Group LLC

Decision date

May 9, 2025

Remedy

The defendants agreed to a court order that permanently bans them from selling business opportunities and requires them to turn over assets to the FTC for consumer refunds.

Appeal

Appeal status not stated

Key holdings

1. The FTC charged Ecommerce Empire Builders with deceptive practices for falsely claiming consumers could build a profitable AI-powered ecommerce business.

   “The FTC has charged a business opportunity scheme with falsely claiming to help consumers build an “AI-powered Ecommerce Empire” by participating in its training programs” — Case Summary

2. The defendants agreed to a stipulated order banning them from selling business opportunities and requiring asset turnover to fund consumer refunds.

   “EEB and its owner, Peter Prusinowski (also known as Peter Pru), agreed to a court order that bans them from selling business opportunities and require them to turn over assets” — Case Summary

In plain English

The Federal Trade Commission brought enforcement proceedings against Empire Holdings Group LLC, doing business as Ecommerce Empire Builders and Storefunnels.net, along with its owner Peter Prusinowski, also known as Peter Pru. The FTC alleged that the defendants operated a deceptive business opportunity scheme that falsely claimed to assist consumers in building an AI-powered online ecommerce business. According to the FTC, the scheme marketed training programs costing almost $2,000 and done-for-you online storefronts costing tens of thousands of dollars while claiming consumers could potentially make millions of dollars, though those promised profits failed to materialize. Following the complaint filed in the United States District Court for the Eastern District of Pennsylvania, a federal court initially issued an order that temporarily halted the scheme and placed it under the control of a receiver. In May 2025, the FTC filed a Stipulated Order for Permanent Injunction, Monetary Judgment, and Other Relief dated May 9, 2025. Under this agreed court order, the defendants are permanently banned from selling business opportunities and are required to turn over assets to the FTC to provide refunds to affected consumers.