Investors in Lexington Ponzi scheme file lawsuit

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LEXINGTON, N.C. -- Ninety listed investors who lost money in the $600 million dollar ZeekRewards Ponzi scheme filed a class A action lawsuit Wednesday afternoon in Davidson County.

The lawsuit names Rex Venture Group, and Paul Burks, the owner of Rex Venture Group.

Cal Cunningham is the Lexington attorney representing the investors.

The people filing the suit come from various places including Davidson, Guilford and Forsyth counties and lost anywhere from $500 to $10,000. A Davidson County soldier deployed to Kuwait invested $3,000. Another investor is a senior pastor at a Baptist church who said he invested $10,000.

Jose and Sara Chavez said they invested their life savings of $7,000 to help pay for medical bills for their 7-year-old daughter who has leukemia.

"Everything was hers," Sara Chavez said. Her daughter, Sarahi, is going to be a first-grader next week and was diagnosed in 2009. "We checked it everyday and everything was good.  The last time was like $11,000."

Sara Chavez said the profits were to help pay for hospital trips, medicine, and doctors visits. 

"So it's a lot of money to spend on those trips and it was a good opportunity. We thought it would help us," she said.

Jose and Sara Chavez are the first two on the lawsuit list. 

"Real folks have been harmed by this and we will make sure their voice is being heard," Cunningham said. 

The Attorney General's Office has set up a hotline for ZeekRewards users and can be reached at (919) 716-6046.

Full coverage of ZeekRewards.