On June 17, 2026, the Federal Trade Commission (FTC) announced that, at its request, a federal court temporarily halted a sprawling enterprise of alleged deceptive subscription schemes, comprising 15 corporations and eight individuals, from continuing to deceive consumers with hidden costs and recurring charges, while failing to provide simple mechanisms to cancel subscriptions. The FTC filed its complaint in the U.S. District Court for the Northern District of California on a 2-0 commission vote.

The FTC alleges that the Genesis Tech enterprise, its founder-CEOs, and various individuals built and operated a broad portfolio of misleading internet-based subscriptions. The products range from fitness and nutrition apps (MadMuscles, Harna, and Unimeal), to an ADHD and productivity self-help course (Wisey), PDF editing tools (PDF Guru and PDF Master), fashion consulting (Lumi), and horoscope readings and psychic chats (Nebula). Across five of these products alone, the complaint alleges nearly a quarter-billion dollars in global revenue from early 2023 to mid-2025.

According to the complaint, the defendants deceptively marketed subscriptions to consumers and billed them without their permission, resulting in consumers worldwide being defrauded. The FTC further alleges the enterprise operated as a common enterprise through a network of entities it controls, including affiliates incorporated in Cyprus and operating in Ukraine, which market to U.S. consumers and access U.S. payment processing through counterparts incorporated in Delaware. The FTC alleges that Genesis Tech and its subsidiaries continually launched new deceptive product offerings, registered new corporate identities, and opened new merchant accounts to hide their true identities from consumers and attempted to hide their assets by channeling ill-gotten gains through cross-border transfers among corporate affiliates. The agency contends these practices violate the FTC Act and the Restore Online Shoppers’ Confidence Act (ROSCA).

Why It Matters

This action signals continued, aggressive FTC enforcement against negative-option and subscription billing practices under ROSCA. As FTC Bureau of Consumer Protection Director Christopher Mufarrige stated, “The Trump-Vance FTC is engaged in robust enforcement to address deception and illegal subscription offerings,” adding that the case “illustrates the benefits and importance of the Bureau’s reinvigorated anti-fraud program.” Businesses using auto-renewal or recurring-charge models should ensure material terms are disclosed clearly and conspicuously, that charges are made only with express consent, and that simple cancellation mechanisms are provided — the precise areas the FTC is targeting.