You are on page 1of 52

Case: 1:03-cv-03904 Document #: 834 Filed: 03/12/14 Page 1 of 3 PageID #:15246

GIN Network Truth (the smart group)


March 12, 2014

Dear Honorable Judge Gettleman: I humbly and respectfully submit this letter to you asking for your urgent help. I am desperate. As you know, in April 2010, approximately 3 years after you found that I committed civil contempt re the Weight Loss Cure book, you referred the case for criminal contempt prosecution (there was no grand jury and I was never indicted). Your order referring the case for criminal contempt prosecution (attached) specifically stated that if I was found guilty, my punishment would be no more than 6 months (maximum) incarceration. I proceeded to trial in that case in November 2013 before Judge Ronald A. Guzman and on November 12, 2013, I was found guilty of one count of criminal contempt. My bond was revoked and I was taken into custody the same day where I have remained since (MCC). Being incarcerated under these circumstances has been the most life changing experience in my life. It has been devastating to me, my wife, and my parents. Between the civil and criminal cases, and the Receiver, we have been wiped out financially, effectively homeless, and both my wife and parents have had major health breakdowns. We (my wife and I) have basically lost everything. I am to be sentenced March 17, 2014. Even though your original order stated a maximum of 6 months incarceration if I was found guilty, which we pointed out to the probation officer, the PSI report recommends a prison sentence of 235293 months (1924 years). The government has asked the court in its most recent filing for a sentence of at least 10 years. When I read the PSI report I was obviously shocked. I have felt all the emotions: fear, sadness, grief, powerlessness, shellshock, disbelief, depression, horror, guilt, remorse, and deep regret. I have been humbled beyond imagination. I am writing this letter to you in desperation. I am asking (praying) that you would consider interceding in some way with Judge Guzman on my behalf. Perhaps explaining why you thought in April 2010, after presiding over the entire civil contempt trial and having this specific case before you for approximately 7 years, that a maximum of 6 months incarceration was the fair and appropriate punishment if I was found guilty of criminal contempt. You obviously know the details of the case more than anyone. My counsel has submitted to Judge Guzman nearly 90 letters from people who have known me for many years (such as my closest friends, my parents, and my Rabbi). I

Case: 1:03-cv-03904 Document #: 834 Filed: 03/12/14 Page 2 of 3 PageID #:15247

GIN Network Truth (the smart group)

hope that you may have a chance to read some of them or to read the 3553(a) filing that my counsel prepared based on many of them. As I sit here at MCC, I am in a state of deep reflection and contemplation. I have taken 100% responsibility for all of this. I have seen where I must change and be a better person. I have the deepest, most sincere regret and remorse. I am sincerely sorry. I apologize to you personally, Judge Gettleman, to Judge Guzman, the FTC, the U.S. Attorneys office and all involved, as well as anyone who bought the book who was not happy with it. I simply, and humbly, ask for forgiveness, compassion, and mercy. I am sorry from the bottom of my heart. I see now that I have made many mistakes along the way, and that I alone have caused all the issues with both the civil case and criminal case. I have learned my lesson in more ways and at more levels than you can ever know. If I could do it all over again I would do things very, very differently. I am sitting here at MCC wondering if I have a future life. I wonder if I will spend a substantial portion of my life in prison. I do know that the past does not equal the future. I take responsibility for the past and also for my future. I have made a promise to myself, my wife, my parents, and God that the future will be different. My parents live in the Boston area. They are 87 and 88 years old. Their health is failing. They are constantly in and out of the hospital and need daily home care. They are too sick to travel. They need and want me to live with them. As I am now homeless, if I am allowed to leave prison, I will go and live with my parents (and with my wife if she regains her health and is able to travel) and we will take care of them in the time they have left. If I am given a lengthy prison term I will never see my parents alive again. My wife as you know has been in and out of the hospital (ICU) over the last 6 months. I have not spoken with her in over a month since she was last admitted to the hospital in Ukraine. I do not know how her health is at this moment. She is effectively homeless as well, living with friends and family. She has no money. She has been wiped out financially and emotionally (as have I). She has no income (and nor do I) and she cannot work due to her illness. We both have no health insurance (cancelled by the receiver) and her medical bills have drained her and her family of almost all their money. We are all now massively in debt. I have not seen her in over 7 months. We both have never had children and have wanted to start a family. If I am given a lengthy prison term we will never be able to start a family and I may never see my wife ever again (as she is still in her home country of Ukraine, and very ill). Your Honor, I am totally at the mercy of the Court. My life is in Judge Guzman's hands as he will sentence me and determine if I have a future life or not. I respectfully and with the deepest humility ask you to intervene with Judge Guzman in some way. Perhaps explain why you thought, when you referred this for criminal

Case: 1:03-cv-03904 Document #: 834 Filed: 03/12/14 Page 3 of 3 PageID #:15248

GIN Network Truth (the smart group)

prosecution, that the maximum punishment for me would be 6 months incarceration if I was found guilty, and why you never thought that I should be incarcerated for 1924 years (effectively a life sentence) or for 10 years. I pray that Judge Guzman gives me a sentence in line with your original show cause order (maximum 6 months incarceration). Thank you from the bottom of my heart for your time and consideration. I know you are a fair and compassionate man. I ask for mercy and leniency. My parents, my wife, and all my friends and supporters thank you as well. I can promise you, no matter how I am sentenced, I am a changed, more enlightened person who has a new path for my life. This experience with the civil and criminal cases have shaken me to the core and changed me for the better. I have learned a lesson of a lifetime. Thank you again. Sincerely, Kevin Trudeau

Case: Case: 1:03-cv-03904 1:03-cv-03904 Document Document #:#: 834-1 339 Filed: Filed: 04/16/10 03/12/14 Page Page 1 1 of of 2 2 PageID PageID #:5653 #:15249

IN THE UNITED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF ILLINOIS EASTERN DIVISION FEDERAL TRADE COMMISSION, Plaintiff, v. KEVIN TRUDEAU, Defendant. ) ) ) ) ) ) ) )

No. 03 C 3904 Judge Robert W. Gettleman

ORDER This court has found, and the Seventh Circuit has affirmed, that defendant Kevin Trudeau committed civil contempt of this courts September 2, 2004 Consent Order. See, FTC v. Trudeau, 572 F. Supp.2d 919 (N.D. Ill. 2008); affd in part, 579 F.3d 754 (7th Cir. 2009); Memorandum Opinion and Order dated April 16, 2010. In addition to the civil sanctions addressed in those opinions, the court finds that, as noted by the Court of Appeals, defendant may be subject to punishment for criminal contempt pursuant to Fed. R. Crim. P. 42. (See, FTC v. Trudeau, 579 F.3d at 776, 779.) Accordingly, it is hereby ordered: Defendant Kevin Trudeau is directed to appear in courtroom 1703, Dirksen Courthouse, 219 South Dearborn Street, Chicago, Illinois, on April 28, 2010, at 11:00 a.m., to show cause why he should not be prosecuted for and held in criminal contempt of this courts September 2, 2004 Consent Order. Specifically, defendant will personally be given notice, pursuant to Rule 42(a)(1), that this court will consider imposing a term of imprisonment not to exceed six months for defendants producing and broadcasting deceptive infomercials that misrepresented the contents of defendants book entitled The Weight Loss Cure They Dont Want You to Know About between December 2006 and November 2007, in direct and willful violation of this

Case: Case: 1:03-cv-03904 1:03-cv-03904 Document Document #:#: 834-1 339 Filed: Filed: 04/16/10 03/12/14 Page Page 2 2 of of 2 2 PageID PageID #:5654 #:15250

courts order of September 2, 2004, prohibiting defendant from misrepresenting the content of any book authored by defendant. At the April 28 hearing, the court will set a date for the trial of this matter, allowing defendant a reasonable time to prepare a defense. The court, pursuant to Fed. R. Crim. P. 42(a)(2), hereby requests that the United States Attorney for the Northern District of Illinois prosecute defendant Kevin Trudeau for criminal contempt of the September 2, 2004 Consent Order. The United States Attorney, or an Assistant United States Attorney acting at his direction, is directed to appear at the April 28 hearing.

ENTER:

April 16, 2010

__________________________________________ Robert W. Gettleman United States District Judge

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 1 of 47 PageID #:4514

GIN Network Truth (the smart group)


UNITED STATES DISTRICT COURT NORTHERN DISTRICT OF ILLINOIS EASTERN DIVISION

UNITED STATES OF AMERICA, v.

KEVIN TRUDEAU

) ) ) ) ) ) )

No. 10 CR 886 Hon. Ronald A. Guzman

SUBMISSION IN AID OF SENTENCING AND WITH RESPECT TO SENTENCING FACTORS SET FORTH IN 18 U.S.C. 3553

CAROLYN P. GURLAND 2731 North Mildred Ave. Chicago, IL 60614 (312) 420-9263 cgurland@comcast.net

THOMAS L. KIRSCH II WINSTON & STRAWN 35 West Wacker Drive Chicago, IL 60601 tkirsch@winson.com

Attorneys for Defendant

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 2 of 47 PageID #:4515

GIN Network Truth (the smart group)


I. Background. Kevin Trudeau comes before this Court for sentencing for one count of criminal contempt in violation of 18 U.S.C. 401(3) based the offense of having violated Judge Gettlemans September 2, 2004 Order by misrepresenting the contents of his Weight Loss Cure book in infomercials for that book. That contempt violation, and not a $37.6 million fraud, which has never been charged or adjudicated, is the conduct that is being punished in this case. In Judge Gettlemans April 16, 2010 Order referring Trudeaus contempt case for criminal prosecution, he included the provision that the punishment was to be a maximum of six months of prison time. As of April 2010, Judge Gettleman had been presiding over Trudeaus case for 7 years. He was the Judge who heard the civil contempt case that was based on identical facts as the criminal case. He was the Judge whose September 2, 2004 Order formed the basis of the contempt prosecution. The governments recommended sentence of no less than 10 years (Government Sentencing Memorandum Gov. Sen. Mem. At p. 2) is wildly at variance with the prison term Judge Gettleman determined was appropriate1 based on his intimate familiarity with Trudeaus case, not to mention the stratospheric advisory guideline range in the PSI. One thing that is abundantly clear is that this case requires a sense of proportionality so that the punishment to be meted out corresponds to the conduct being punished.

In the Gov. Sen. Mem. p 39 fn. 14, the government argues that the six month term set forth in Judge Gettlemans April 2010 order was arrived upon without the benefit of the PSR or of the history of proceedings in the civil fraud case over the course of the last 4 years. First, the PSI contains nothing more than a recitation of all of the events and circumstances of Trudeaus case with which Judge Gettleman had intimate familiarity (except for convictions from 15 years ago). Second, while Judge Gettleman might now conclude that the history of the civil contempt case warrants some measure of additional punishment, it is difficult if not impossible to fathom that he would conclude that it would warrant nine and a half years of additional punishment.

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 3 of 47 PageID #:4516

GIN Network Truth (the smart group)


In the Defendants Objections To Presentence Investigation Report filed with the Court on March 4, 2014, Trudeau set forth his position on the advisory sentencing guidelines calculation that he should not be punished based on the civil damage figure when the government has not established loss under the federal sentencing guidelines in that amount. This filing will not repeat those arguments, but rather, discuss the First, the nature and the

sentencing factors set forth in 18 U.S.C. 3553(a).

circumstances of the offense are that this is a contempt case based on misrepresenting the content of a book. Trudeau promoted and sold a weight loss book for either $29.95 or $14.952. Consumers who sought to purchase a book received a book. For those

consumers who can properly be viewed as victims of Trudeaus infomercial representations, the harm is that they would not have wanted the book if they had known information about the weight loss protocol that differed from the infomercial description. This is not a case in which people were bilked out of their savings by false promises and phony investment opportunities, as is the case in the typical fraud prosecution. In

addition, since the harm to any one person in this case would generally be limited to less than $30.00, it is not possible to assert, as it is in many fraud cases, that the defendants actions shattered lives and ruined economic security. Second, the history and characteristics of the defendant reveal that Trudeau is an individual who has made self-help speeches, tapes, and books his lifes work. And the fact of the matter, as revealed by the letters submitted to the Court on Trudeaus behalf in this case, is that Trudeau changed lives for the better in a significant number of cases. Accepting this principle does not depend upon liking or agreeing with anything Trudeau
2

Two of the infomercials at issue in the case promoted The Weight Loss Cure book for $29.95. The third offered to book for $14.95.

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 4 of 47 PageID #:4517

GIN Network Truth (the smart group)


has written or said. It is a fact that is born out in the real life experiences of numerous individuals. These people describe not only how their lives were changed for the better because of Trudeau, but also how the improvements they saw in their mental state and outlook had extensive positive repercussions for their friends, families and the members of the community they served through their work. In addition, Trudeaus personal

characteristics, as related by those who know him well, include kindness, patience, generosity and a commitment to serving people in need. Third, consideration of just punishment for the offense must take into account the effects that Trudeau has already suffered in connection with this case. He has, since November 12, 2014, been incarcerated at the Metropolitan Correctional Center. He has seen his businesses turned over to a receiver and all of his assets taken over. He has lost his and his wifes home. He is unable to see his parents who are elderly and ill. He is unable to see or to assist his wife who is also suffering from physical and mental infirmity in the Ukraine. His ability to continue on in the self-help profession has been drawn into serious question. He has, in effect, lost everything. Finally, in terms of the 3553(a) factor of avoidance of unwarranted sentencing disparities, it is important to place this case in the context of contempt cases based on the sale and marketing of products rather than in the context of fraud schemes. Viewed in this light, Trudeaus case is not one in which a lengthy term of imprisonment is just or appropriate.

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 5 of 47 PageID #:4518

GIN Network Truth (the smart group)


II. The Factors Set Forth In 18 U.S.C 3553(a) Establish That A Sentence Of Less Than 15-22 Months Is A Just And Appropriate Sentence In The Unique Circumstances Of This Case. Title 18 U.S.C. 3553(a) provides the framework for the imposition of federal sentences. See Gall v. United States, 552 U.S. 38 (2007); United States v. Booker, 543 U.S. 220 (2005). The statutory factors set forth in 18 U.S.C. 3553(a) are intended to assist the Court in arriving at a just sentence, sufficient but not greater than necessary to achieve the purposes of sentencing. The law that has developed since Booker makes clear that the Guidelines are only advisory and are not the only consideration at sentencing. Gall, 552 U.S. at 49. Rather, the Guidelines provide a starting point that Courts must consider. Courts should not, however, presume that the Guideline range is reasonable and need not find extraordinary circumstances to justify a sentence outside the Guideline range. Id. at 47. In the place of a mechanical application of the guidelines, Courts are to conduct an individual assessment of each case based on the applicability of the factors set forth in 3553(a), which correspond to the purposes of sentencing. In its most recent statement on the topic of the proper consideration to be given to 3553(a) factors, the Supreme Court, in Pepper v. United States, reaffirmed the principle that the sentencing courts are to give due consideration to the individual being sentenced. 131 S. Ct. 1229, 1235 (2011) ( Highly relevant if not essential to the selection of an appropriate sentence is the possession of the fullest information possible concerning the defendants life and characteristics.); see also United States v. Robertson, 662 F.3d 871 (7th Cir. 2011).

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 6 of 47 PageID #:4519

GIN Network Truth (the smart group)


In this case, a thorough consideration of the 3553(a) factors yields the conclusion that a sentence of less than the 15-22 months properly calculated advisory sentence would be the just result. A. Nature And Circumstances Of The Offense: 18 U.S.C. 3553(a)(1)

Set forth in the Defendants Version Of The Offense submitted to the probation department on December 9, 2013, is a recitation of many of the salient facts of this investigation and prosecution. That detailed recitation need not be repeated in this filing. For purposes of this submission, the fact of Trudeaus conviction is not disputed or challenged. In this section, however, several pertinent facts about the case are

highlighted and discussed. The information is presented not to argue against the instant conviction, but, rather, to evaluate Trudeaus conduct that is to be punished in this case. 1. This Is A Contempt Case, Not A Fraud Case

A critical fact in this case is that the prosecution was for contempt. That means that the conduct that should be the focus of the punishment is Trudeaus failure to comply with Judge Gettlemans September 2, 2004 order and, specifically, with the provision that forbade him from misrepresenting his books in infomercials for those books. With respect to one infomercial and book combination, that of The Weight Loss Cure book, Trudeau was found not to have complied with the terms of that order. It should be noted in this regard that Trudeau produced numerous of infomercials for numerous of products both before and after The Weight Loss Cure infomercial with which there were no issues. Trudeau has not been charged with, much less convicted of, orchestrating a fraud scheme to steal money from the purchasers of his books. He sold tangible items of intrinsic value in the form of The Weight Loss Cure books. Indeed, with every sale of

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 7 of 47 PageID #:4520

GIN Network Truth (the smart group)


The Weight Loss Cure book, he also included the Natural Cures books, which have never been charged to violate the September 2, 2004 order. The harm in this case, then, is that some purchasers of The Weight Loss Cure book who: 1) watched the infomercial for the book; 2) saw the portion of the infomercial containing a misrepresentation; 3) bought the book based on that misrepresentation; 4) did not derive any value from the book because it was not what they expected it to be; 5) derived zero value from the two Natural Cures books and website subscription which were included for no extra cost except shipping and which have not been the subject of litigation; and 6) did not seek a refund for their purchase -- lost either $29.95 or $14.95 (depending on whether they ordered from the first two or the last infomercial). Without attempting to denigrate the frustration of the loss for the people who fall into this category, it is important to keep the offense conduct in perspective. It is also important to consider that however aggravating the purchase of The Weight Loss Cure book was for people who relied on Trudeaus infomercial statements that have been determined to have misrepresented the book, the economic loss was capped at about $30 and that figure would discount to zero any value the purchaser derived from the non-offending materials included Natural Cures books and website subscription. In many fraud cases, the United States Attorneys Office rightfully, in the context of a criminal sentencing, reminds the Court of all the life-shattering harm caused by the defendants theft of funds from his or her victims. It is appropriate in this case then, without in any way minimizing the fact of the harm to people who felt misled by Trudeaus infomercials, to consider that this was not a case in which anyones life was significantly altered, much less destroyed, by their purchase of The Weight Loss Cure

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 8 of 47 PageID #:4521

GIN Network Truth (the smart group)


Book. The Governments Sentencing Memorandum recognizes this factor as one which may cause the advisory guideline range to overstate the seriousness of the harm. (Gov. Sen. Mem. at p. 13-14.) By the same token, it is fitting to consider the fact that numerous people, many of whom have written to the Court in connection with Trudeaus sentencing were not at all disappointed by The Weight Loss Cure book. Indeed, many people have attested to the fact that the book changed their bodies, their health, and their lives. Even for people that bought the book and decided, for whatever reason, not to follow the weight loss protocol, the book held value to them as an expression of Trudeaus ideas that they found interesting or as a reference tool. One does not have to like or agree with a single word in The Weight Loss Cure book to recognize the fact, as born out by the dozens of letters submitted to the Court on Trudeaus behalf, that there were a significant number of people whose reaction to the book was entirely positive and, in many cases, effusive.3 Kevin Trudeau was convicted of making representations about The Weight Loss Cure book that were inconsistent with the books content. Specifically, although the book itself made many of the same statements as had been made in the infomercial (such as the protocol being easy to do and not including hunger or deprivation) the protocol itself was found by the jury to be inconsistent with those claims. As anyone with a

glancing familiarity with advertising recognizes, it is not at all uncommon for a


3

The government calls the arguments that loss should be reduced to account for people who derived value from The Weight Loss Cure book or who did not rely on the misrepresentation or misrepresentations of which Trudeau was convicted to buy the book meritless (Gov. Sen. Mem. p. 4) yet does not explain how the government can satisfy its burden of establishing a loss figure by a preponderance of the evidence without accounting or even attempting to account for this information. The governments characterization that all purchasers must have been defrauded because the government thinks that the infomercial representations were bald-faced lies is not dispositive, of course, because it is the experience of the purchaser of the book rather than the governments opinion about the book that establishes if a purchaser was indeed a victim.

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 9 of 47 PageID #:4522

GIN Network Truth (the smart group)


commercial, a print ad, or, especially, an infomercial, to make claims about products with which many purchasers of the products might vehemently disagree. The difference for Trudeau was that he made those representations after already having a history of conflict with the FTC (although without any finding or admission of wrongdoing) that caused him to enter into an order forbidding him from misrepresenting his books in his infomercials. What is being punished in this case, then, is not the sale of The Weight Loss Cure books per se, but, rather, the fact that Trudeau had a history of civil litigation with the FTC and ran afoul of a provision in a negotiated settlement order. There is no question that Trudeau was obligated to follow the September 2,2004 court order or that the jury found that he failed to follow that order. But that does not make this case one about bilking retirees out of their life savings or selling fake investments to separate people from their retirement accounts. Trudeau wrote and sold a controversial book and, in filming the infomercial to sell the book, he was found to have overstated and otherwise misrepresented the contents. That is the conduct on which it is appropriate to focus in this case and that conduct, no matter what one thinks about Trudeau, his book, or his ideas, simply does not warrant a substantial prison term. 2. Many Of Trudeaus Actions Evidence Respect For The September 2, 2004 Order And The Effort To Comply With It. It is clear that a defendant cannot avoid liability for instances of misconduct by presenting evidence of appropriate conduct in other circumstances. In assessing the nature and circumstances of the offense pursuant to 18 U.S.C. 3553(a), however, it is appropriate for the Court to consider all of the circumstances surrounding Trudeaus negotiation of and attitude toward the September 2, 2004 Order that was the subject of the criminal case. That is because just as a history of noncompliance with the Order

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 10 of 47 PageID #:4523

GIN Network Truth (the smart group)


would have been an aggravating factor for the court to consider, a track record of attempted compliance with the Order, as was the case here, is a mitigating factor. Trudeau Sought And Obtained A Model For How To Comply With The Order In The Natural Cures Book And Infomercial. Evidence in the civil case establishes that Trudeau and his counsel considered, discussed, and depended upon FTC approval of the Natural Cures book and infomercial as a model by which Trudeau would be able to pattern future conduct to comply with the September 2, 2004 Order. Indeed, the Seventh Circuit recognized that Trudeau sought and obtained FTC approval of the Natural Cures book in the context of negotiating the September 2, 2004 order that was the subject of this case. The Court wrote; In connection with the 2004 Consent Order Trudeau submitted to the FTC an infomercial for his Natural Cures book. Trudeau claimed that this infomercial merely quoted and paraphrased the book and gave his personal opinions about topics in the book. The FTC viewed the infomercial and didnt object to it being put on the air FTC v. Trudeau, 579 F.3d 754, 758 (7th Cir. 2009). It is not disputed that the FTC approved of the manner in which the Natural Cures infomercial represented the Natural Cures book. Nor is it questioned that Trudeaus counsel provided the FTC with copies of the manuscript of Trudeaus Natural Cures book as well as Trudeaus infomercial for the book in July 2004. By email of July 23, the FTC informed Trudeaus counsel that the FTC did not object to the dissemination of the Natural Cures infomercial pursuant to the preliminary injunction. (Defense Vol. II. Ex. O.) With the understanding that the FTC was not objecting to the manner in which the Natural Cures infomercial promoted the Natural Cures book in mind, Trudeau and his counsel proceeded to negotiate the terms of the September 2, 2004 Order with lawyers

10

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 11 of 47 PageID #:4524

GIN Network Truth (the smart group)


from the FTC. In a court hearing on September 2, 2004 before Judge Gettleman, at which Trudeau was present, the parties discussed their understandings of the terms of the Order. Trudeaus counsel told the Court: It is generally Mr. Trudeaus intention and consistent with the order that he intends to get out of the business of selling product and focus on becoming an author, which is permitted under the order; a potentially producer of television talk show format or otherwise hosting talk shows; and/or that he can engage as a profession in being a consumer critic or advocate. (September 2, 2004 Hearing Transcript at p. 11.) Importantly, Trudeaus counsel

explained to the Court the fact and significance of the FTCs approval of the Natural Cures infomercial and book. Trudeaus counsel stated: Then a further understanding was Mr. Trudeau did complete what referred to as The Natural Cures Book. He has developed an infomercial for that Natural Cures book. This has been provided to the FTC. And they have no objection to the dissemination of the book and infomercial in its current format. This I think falls within the book exception that we had talked about previously. So we have the first tangible example of something that is acceptable under that provision. (Id. at p. 10 (emphasis supplied).) In explaining the FTCs view of the terms of the Order, counsel for the FTC described the FTCs understanding of the Order and the limits to the prohibitions of the Order when it came to Trudeaus ability to write books. The FTC stated: [W]e really do have a meeting of the minds actuallyIts an order that we worked hard to achieve. Mr. Trudeau has agreed to two bans that we realize are going to have a large impact on his ability to do business in the future and sort of form what hes able to do going forward. The first is a ban on producing or participating making or assisting others in making infomercials, and that term is defined in the order as two minutes or longer type of advertisement on any type of television or radio media. And there is an exception to this which is for what we both have agreed is an area where he has more First Amendment protections in his interest in putting forward advertisements that deal with basically fully protected speech, which would be his ability to write a book or other informational materials

11

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 12 of 47 PageID #:4525

GIN Network Truth (the smart group)


that are not related in a commercial setting to the sale of a product or program or service, buy merely provides his views and opinions on various topics. (Id. at p. 3.) While the manner in which the Natural Cures infomercial represented the Natural Cures book is not identical to the manner in which The Weight Loss Cure infomercial represented that book, there most certainly exist close parallels between the two. In the transcript for the Natural Cures infomercial provided to the FTC by Trudeaus counsel on July 20, 2004, Trudeau represented, among other things, that the natural cures in the book did not cost a lot (Defense Vol. 7 Ex. GGG, Tr. p. 3) and that they were simple. (Id., Tr. at p. 24.) The Natural Cures book did not provide any cures for diseases. Instead, it gave a comprehensive list of 111 separate recommendations to improve ones health. The list contained many recommendations that could not properly be viewed as either simple of inexpensive. Examples include seeing a natural health care provider on a regular basis (Natural Cures at p. 110), cessation of all prescription and non-prescription drugs, (id. at p. 110, Item 2), energetic rebalancing,4 (id. at p. 111) and abstaining from eating anything in a box jar or package. (Id. at p. 127.) Dozens of the items in the Natural Cures list are the exact same items as appeared in the list of recommendations in The Weight Loss Cure book. Some of these included the recommendation to eat organic fruits and vegetables (id. at p. 112), to do a candida cleanse, (id. at p. 113) to do a colon cleanse, (id. at p. 114), to take coral calcium, (id. at p. 115), to take a whole food supplement, (id. at p. 115) to get colonics, (id. at p. 120) and to eliminate aspartame and monosodium glutamate (id. at p. 123).
4

The Natural Cures book explains that this is done by way of machines that are outlawed by the FDA.

12

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 13 of 47 PageID #:4526

GIN Network Truth (the smart group)


Comparing the list of items in the Natural Cures book with the list of items in The Weight Loss Cure book reveals that Trudeau followed a similar pattern in the two books promoting a program that was simple and inexpensive in his infomercial and then providing a very comprehensive list of options in his book, some of which were simple and inexpensive, and some of which were not. Comparing the content of the two books also reveals that Trudeau had a consistently expressed vision about the manner in which people could improve their health and well-being. His thesis was that people could improve their health by ingesting natural rather than man-made substances and by rejecting items that were mass marketed by large food companies. The fact that Trudeau sought and obtained FTC approval of the Natural Cures model in the context of negotiating the September 2, 2004 order demonstrates that at the time he entered into the Order, his goal and intention was to comply with that order. That fact should appropriately be considered by the Court. In addition, the similarities

between the manner in which the FTC-approved Natural Cures infomercial represented that book and the representations in The Weight Loss Cure infomercial suggest that while a jury has determined that The Weight Loss Cure infomercial representations were over the line, Trudeau had some basis for the thought that his infomercial would be in compliance with the Order. Trudeaus Dealings With The FTC After He Entered Into The Order Likewise Evidence His Effort To Remain In Compliance With The Order. The record in the civil trial consisted of volumes of letters, emails, and other correspondence between Trudeaus counsel and counsel for the FTC. For long stretches of time in the weeks and months following Trudeaus entering into the September 2,

13

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 14 of 47 PageID #:4527

GIN Network Truth (the smart group)


2004 order, his counsel was in almost daily contact with lawyers from the FTC. Trudeau may not have been copied on every piece of correspondence (although he was indeed copied on many), but he was the client who authorized and paid for the work. He was also the individual who, in instances too numerous to describe, agreed with his counsel that if the FTC took issue with some anticipated course of action (whether or not Trudeau and his counsel agreed with the FTCs position) that Trudeau would not pursue that course of action. In each of these instances, Trudeau and his counsel capitulated to the FTCs interpretation of the September 2, 2004 order and Trudeau altered his behavior to insure his compliance with the Order. Trudeaus documented history of working diligently through counsel to remain in compliance with the Order should appropriately be considered by the court in assessing his conduct in this case. 3. The FTCs Year-And-A-Half Of Inaction With Respect To The Weight Loss Cure Book And Infomercial Is A Mitigating Fact In This Case.

The Weight Loss Cure infomercials ran in December 2006, January 2007, and July 2007. During this period of time, Trudeau and his counsel were in constant contact with lawyers from the FTC. Despite that fact, the FTC never once said or suggested to Trudeau or his counsel that they had a problem with The Weight Loss Cure infomercial. And it was not as if the book and infomercial combination was unknown to the FTC. The Weight Loss Cure book became a New York Times bestselling book in the precise time frame as the stable full of FTC lawyers were monitoring Trudeaus sales efforts. The notion that none of these FTC lawyers become aware of The Weight Loss Cure infomercials until a year and a half later is simply not plausible.

14

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 15 of 47 PageID #:4528

GIN Network Truth (the smart group)


Judge Gettleman, himself, expressed incredulity that the FTC would have waited so long to come forward with its complaints about The Weight Loss Cure infomercial and, at one point in the litigation, opined that the FTCs delay was a factor that should appropriately limit the civil damage figure in the case. Specifically, at a hearing on July 25, 2008, Judge Gettleman made the following remarks about damages in the civil contempt case: I am troubled about remedies because the remedy that [the FTC] is suggesting is rather Draconian. I think that it could be totally overdoing it, because I think the FTC should have been more on the ball on this. I realize Mr. Trudeau could have given you this to look at. But I think when you talk about consumer protection, I dont mean to be hard on the FTC here, I know theyre a busy agency, but there was no reluctance in having a dialogue with Mr. Trudeau and his counsel when other problems arose in connection with these other books. And to say that everybody who bought the book should be given a refund strikes me as a bit overdoing it. (July 25, 2008 Tr. p. 354-355.) The fact that the FTC lawyers never raised a problem with The Weight Loss Cure infomercial until about a year and a half after The Weight Loss Cure infomercials aired, then, can only suggest that 1) the FTC was not certain of its position that The Weight Loss Cure infomercial misrepresented the book or 2) the FTC wanted to wait in order to build a case with significant damages against Trudeau to put him out of business for good.5 Either of these explanations establishes that the nature and circumstances of the offense are a mitigating factor in this case. If the FTC was ambivalent about whether or not The

The FTC has responded to the fact of their delayed reaction to The Weight Loss Cure infomercial by stating that the FTC is a large organization and that receiving authorization to commence litigation takes time. But this is a red herring. It did not require FTC authorization for a lawsuit for the FTC lawyers that were in daily correspondence with Trudeaus lawyers to raise an issue that the FTC might have with The Weight Loss Cure infomercial. It required but a phone call -- and maybe not even an extra phone call -- since the FTC was in constant contact with Trudeaus counsel on other issues in the precise same time period.

15

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 16 of 47 PageID #:4529

GIN Network Truth (the smart group)


Weight Loss Cure infomercial complied with the September 2, 2004 order that suggests that Trudeau might also have been ambivalent on the issue as well. And if the FTC was lying in wait to try to augment Trudeaus eventual punishment, this suggests both that the $37.6 million civil damage figure is well out of line and that an inappropriate level of anti-Trudeau sentiment was at work in the civil litigation that forms the basis for the instant criminal case. 4. Trudeaus Personal Experience With The Protocol In The Weight Loss Cure Book Puts His Infomercial Claims In Context.

One of the chief features of Trudeaus infomercials for The Weight Loss Cure book is his own remarkable weight loss (as demonstrated by the before and after photos) and excitement about his own results. Trudeau had suffered from a weight problem his whole adult life. For him, the protocol set forth in The Weight Loss Cure book whatever nutritionists or others may think of it was a life-changing event. Trudeaus excitement about his success with the protocol which is not a misrepresentation of the book in any way was a factor that was very likely to have motivated people to buy the book. The government argues that because an ITV email suggests that Trudeau had decided to write a book about weight loss before he could have done the protocol and because The Weight Loss Cure book was not written until at least some of the infomercials for the book were filmed, that this means that his whole protocol experience was a lie. (Govt. Sen. Mem. at p. 23-24.) The government is incorrect. Trudeaus idea to write a book about weight loss is not inconsistent with his having done the Simeons protocol shortly before returning to the United States to film infomercials about the book.

16

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 17 of 47 PageID #:4530

GIN Network Truth (the smart group)


Nor is it inconsistent that Trudeau did infomercials during the course of his writing The Weight Loss Cure book. Trudeaus significant weight loss was certainly real (as

demonstrated by the before and after pictures) and there is nothing besides the governments pure conjecture - to suggest that he did not complete the protocol or that he was not excited about it. In addition, the government makes the assertion that the defense has claimed, in its Objections to the PSI (specifically, at page 12 of that filing), that Trudeau had no financial motive in writing The Weight Loss Cure book. No such statement was made in the Defense Objections to the PSI. Nor was any such statement made by the defense during the course of the trial. Trudeau was an author and a businessperson. He made his living selling books. Of course he had a financial motive to sell books. A second critical feature of the infomercials for The Weight Loss Cure book was the statement, that has not been alleged to have been a misrepresentation of the content of the book, that people who followed the protocol would lose a pound a day. It was this statement, and not the statements that were alleged to have been misrepresentations (and at least one of which the jury found was in fact a misrepresentation) that is most repeated during the course of the infomercials for the book. The reason for this is that in premarketing efforts, it was revealed that the pound a day promise was the most compelling statement to people in focus groups and the statement that most motivated them to purchase the book. The context for Trudeaus comments in the infomercials was that: 1) he had lost 45 pounds on the protocol and had conquered a weight problem that had plagued him all his life; 2) he lost a pound a day on the protocol; and 3) that Trudeaus infomercials were

17

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 18 of 47 PageID #:4531

GIN Network Truth (the smart group)


filmed live and, while Trudeau knew the general message he was going to deliver, were largely unscripted. Viewed in this context, it is easier to understand why the infomercial commentary was found to have overstated the case for the protocol. The government argued in its closing in this case that Trudeaus misrepresentations in The Weight Loss Cure infomercial were designed only to sell books. And while it is true (and, contrary to the governments erroneous claims in Gov. Sen. Mem. p. 22, consistently recognized by the defense) that the goal of the infomercial was indeed to increase book sales, it can also be, and indeed is, true that Trudeau was genuinely enthused about the weight loss protocol and the results he had obtained. Viewed in this context, the misrepresentations made in the infomercial for the book, while not being disputed for present purposes as misrepresentations, are perhaps somewhat easier to understand. 5. The Fact That Numerous Individuals Attested To Buying The Weight Loss Cure Book After Viewing The Infomercial And Being Delighted With Their Purchase Is A Mitigating Factor Because It Proved That The PSI Loss Figure Was Wrong.

Numerous individuals who wrote to the Court in support of Trudeau explained that they had watched the infomercial for The Weight Loss Cure book and had bought the book as a result of the infomercial. Each of these individuals also explained that they enjoyed the book and recommended it to their friends and their family.6 Phil C., wrote that he bought The Weight Loss Cure book after seeing the infomercial and that although he had no need to lose weight, he enjoyed Trudeaus writings.7 Phil C. proceeded to

These letters are all included in a binder that has been provided to the probation office to provide to the Court. The citations in this filing are to the binder tab number where the letter can be found. To protect the privacy of the letter authors, they will be referred to in this filing by their first name and last initial with a citation to the binder tab number.
7

Letter of Phil C., at p. 1., Tab 32.

18

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 19 of 47 PageID #:4532

GIN Network Truth (the smart group)


recommend the book to his friends and family.8 Karen and Gary M. explained that they bought The Weight Loss Cure book after viewing the infomercial but did not do the protocol right away, opting instead for plastic surgery and liposuction, both of which failed to yield the desired results.9 When they finally tried the protocol, they obtained fantastic results by implementing only the items from the various lists in the books that fit their schedule.10 Thrilled with their results, they then bought a number of copies of the book to give to family and friends.11 Monica P. wrote that she purchased The Weight Loss Cure book through the infomercial for herself and for friends because it was less expensive than buying the book through retail stores.12 Paulette T. attested that she had seen Trudeaus infomercial for The Weight Loss Cure book and purchased the book as a result. Of this experience, Paulette T. wrote: Even though I personally did not need to lose much weight, I ordered The Weight Loss Cure book from the infomercial because I loved the first two books and I wanted to have it because of Kevins growing reputation as an expert and author in the area of holistic health.13 She observed that she was not disappointed in the book because of its valuable information about eating for heath, shopping for organic food, and avoiding unhealthy fad diets and so much more.14 She bought extra copies of the book for friends.15 Without rehashing information and argument that has already been covered in the defendants objections to the PSI, these letters illustrate many of the assertions set forth in that filing with respect to the loss figure arrived at by the probation department being
8 9

Id. Letter of Karen and Gary M., at p. 1., Tab 62. 10 Id. 11 Id. 12 Letter of Monica P., p. 1., at Tab 70. 13 Letter of Paulette T., p. 1., at Tab 19. 14 Id., at p. 2. 15 Id.

19

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 20 of 47 PageID #:4533

GIN Network Truth (the smart group)


indisputably, provably false. Purchasers of the book cannot be included in guidelines loss if they liked the book, derived value from the book apart from the protocol, or bought the book using the infomercial number based on information other than the infomercial representations judged to be false. The primary motivating factors for purchasing the book, as revealed by premarketing surveys and focus groups, were 1) Trudeaus reputation and other books such as the Natural Cures book16 and 2) the statement that by following the protocol, people could lose a pound a day. People who bought the book for these reasons (as opposed to the statements found to have misrepresented the books contents) cannot properly be viewed as victims in this case. There has been no effort by the government to determine which purchasers bought The Weight Loss Cure book based on the misrepresentation or misrepresentations found by the jury. Without this information, and because of the fact that many if not most of the purchases of the book were made on the acceptable and uncontested representations about Trudeaus own experience or the pound a day speed of the protocol, it is impossible to arrive at a $37.6 million loss figure. Furthermore, even in cases in which the purchasers of The Weight Loss Cure book bought based on a statement found to have been a misrepresentation and did not like the book, they are not victims to the extent they derived value from the Natural Cures books and website which they obtained for no cost save that of additional shipping. In addition, the purchases made by those who were happy with and enthused about The Weight Loss Cure book, and then bought the book for third parties (as was the

Indeed, the marketing information that Trudeaus reputation and the Natural Cures book was so important to potential purchasers was the reason that the decision was made to include the Natural Cures book as part of the marketing for The Weight Loss Cure book for no additional cost other than the shipping.

16

20

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 21 of 47 PageID #:4534

GIN Network Truth (the smart group)


case with several of the letter-writer) cannot be counted as guideline loss. Because the purchaser liked the book and wanted to gift the book, the purchaser obtained value whether or not the gift recipient liked or even ever read the book. The defense is hopeful that the Court will conclude that the position set forth in the defendants objections to the PSI is correct and that the $37.6 loss figure is wildly excessive. The government recognizes, at a minimum, that this loss amount may

overstate the serious of the harm in this case (Gov. Sen. Mem. at p. 13-14) and offers alternative loss calculations of $5 million or $1.4 million (while not conceding that the $37.6 million figure was incorrect). For all the reasons set forth in the Defendants Objections to the PSI and in this filing, the defense asks the Court to reject the $37.6 loss figure because it has not been established by the preponderance of the evidence, which is the legal requirement for the proper calculation of guidelines loss. 6. ITVs Role In Producing And Broadcasting The Weight Loss Cure Infomercials Is A Mitigating Factor In This Case.

It was not disputed at trial that a company called ITV, and not Kevin Trudeau, had the exclusive right to produce and air the infomercials at issue in the case. Stipulation 6, read into the record at trial, established that on June 16, 2006, ITV Global Inc. entered into a stock purchase agreement that Trudeau signed on behalf of the selling entities. (11/7/13 Trial Tr. at 419-420.) Among the assets that ITV acquired through the agreement was the exclusive right to produce and market The Weight Loss Cure infomercial and to market and supply The Weight Loss Cure book through direct response channels (also known as infomercials). (Id.) Indeed the infomercials

themselves are filled with indicia that ITV was the entity that produced the infomercials. (See Govt Exs. 1-3.) Also the subject of stipulation in the case was that ITV had a copy

21

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 22 of 47 PageID #:4535

GIN Network Truth (the smart group)


of the September 2, 2004 Order at issue in this case in its possession through and including December 23, 2006 to July 6, 2007 in other words the period in which ITV produced and ran the infomercials at issue in this case. (Stipulation 7, 11/7/13 Trial Tr. 418.)17 There is no doubt that Trudeau, and not ITV, was the party bound by the September 2, 2004 order. ITVs undisputed involvement in the production and broadcast of the infomercials at issue in this case is, however, relevant to evaluation of the nature and circumstances of the offense. That is because ITV and its lawyers were aware of the Order and its terms. And despite that fact, ITV never raised any issue with Trudeau about the manner in which the infomercial represented the contents of the book. Because it was Trudeau who was on the line with compliance with the Order, ITVs evident acceptance of the content of The Weight Loss Cure infomercial does not negate Trudeaus offense. But it does suggest that Trudeau received the indication from a corporate entity and its counsel, that The Weight Loss Cure infomercial was acceptable. This indication can fairly be considered in assessing the extent and the gravity of Trudeaus violation of the September 2, 2004 order. B. History and Characteristics Of the Defendant: 18 U.S.C. 3553(a)(1)

Trudeau is a controversial figure who has, for years, sold products and programs that cannot easily be fit into the confines of main stream thought. Significantly, and as the Court correctly instructed the jury in this case, the content of Trudeaus books is not an issue that is relevant to the merits of this proceeding. Whatever one might think about
17

The government argues at length in Governments Sentencing Memorandum that Trudeau was closely involved with ITV in the production of The Weight Loss Cure infomercials. While the emails cited by the government suggest that this was accurate, at least at some points in time, it does not negate the fact that ITV and its counsels acceptance of the infomercials with full knowledge of the September 2, 2004 order had an effect on Trudeau.

22

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 23 of 47 PageID #:4536

GIN Network Truth (the smart group)


Trudeaus philosophy, programs or books, one thing is certain. Kevin Trudeau has had a significant positive impact on numerous individuals as a teacher, a mentor, and a friend. He has changed countless lives for the better. This fact, as well as the care and concern Trudeau has consistently demonstrated for other people, are properly considered in mitigation of his sentence in this case. In the Governments Sentencing Memorandum, the government describes Trudeau as an inveterate fraudster and liar and refers to a supposed thirty year pattern of fraud and deceit. (Gov. Sen. Mem. at p. 1, 15.) These characterizations are repeated in service of the governments assertion that Trudeau lacks remorse for the instant offense. (Gov. Sen. Mem. at p. 29-30). The governments characterizations are

overblown and unfair. Most of the facts marshaled in support of this supposed 30years of fraud stem from Trudeaus 1990 and 1991 cases, which were based on conduct that took place when Trudeau was 25 and 27 years old. These prior convictions have already been accounted for in Trudeaus advisory guideline sentence in that they by a hair qualify him as a criminal history level III. They should not form the basis for additional punishment or for support of the governments position that Trudeau is a fraudster, or huckster, or any of the other pejorative epithets with which they paint him in their filing based on their opinion of and obvious dislike for him. Other information which the government uses to support their negative view of Trudeau includes: 1) the assertion that he ran an illegal pyramid scheme (Gov. Sen. Mem. at p. 16); 2) anti-government comments that Trudeau made in the Natural Cures book; and 3) the claim that Trudeau was engaged in deceptive marketing of products. None establish that Trudeau is the individual the government attempts to portray. First

23

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 24 of 47 PageID #:4537

GIN Network Truth (the smart group)


there is no established factual evidence by which to conclude that Trudeau ran an illegal pyramid scheme and the government does not even specify the circumstances to which they are referring. Second, Trudeaus statements of opinion in books are not conduct that can properly be used to enhance his punishment. Even if he held these opinions, it is his right as citizen to hold them and, in a free country, this right should not be punished with criminal sanctions. Third, despite a long history with the FTC, it has not been

established, other than in the course of the instant civil and criminal prosecution, that Trudeau engaged in deceptive marketing practices, All of Trudeaus other orders and judgments based on conflict with the FTC included provisions that there had been no admission or finding of misconduct. That the government is not buying what Trudeau is

selling is understandable. But it does not make their opinion of him a basis on which to accuse him of character defects or to increase his criminal punishment. In the governments references to the civil proceeding, the claim is made that Trudeau has not been punished to date for any of the issues that have arisen in connection with enforcement of the civil judgment. (Gov. Sen. Mem. at p. 39.) Nothing could be further from the truth. Trudeau is at MCC and not getting credit for the time he is serving against his sentence in this case. Whether this is called coercive detainment or any other name, to an individual sitting at the MCC, it is punishment. So too is the fact that the receiver has divested Trudeau of all of his assets, his home, and his businesses. Trudeau sits at MCC with nothing more than a few possessions in storage to his name. This also is punishment. Contrary to the view of Trudeau advanced by the government, he is a man who has consistently displayed kindness, generosity, concern for others, and the desire to help

24

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 25 of 47 PageID #:4538

GIN Network Truth (the smart group)


people to improve their lives. This information is based on the written testimonials of 87 people who have written to the Court in support of Trudeau. 1. Trudeau Is A Teacher And Mentor Who Has Affected Numerous Lives For The Better.

From the time of his early 20s, Trudeau has been focused on educating himself in the area of health and well-being. As explained in the letter of Blaine A, who has known Trudeau for 30 years, during Trudeaus 20s, Trudeau invested a great deal of time in learning about personal development, self- improvement, and health and wellness.18 Mary M. wrote about relationship seminars she ran that Trudeau attended, and her experience of working with Trudeau in various capacities on projects related to improving the quality of peoples lives.19 Health and self-help, in their various forms, have long been Trudeaus passion. That passion has translated into Trudeaus remarkable ability to serve as a teacher and a mentor to thousands of people. As set forth in the letter of Mary M., who witnessed Trudeau teaching on numerous occasions, Trudeau has a great capacity to teach people simple, practical methods for transforming the quality of their lives.20 Irene B. wrote that Trudeau advocates well-being and has a way of transmitting this to others.21 Ed F., attested to the quality of Trudeaus character and explained, By [Trudeaus] inspirational leadership and encouragement, he has helped thousands of ordinary people believe in themselves and become extraordinary leaders, mothers, and fathers.22

18 19

Letter of Blaine A. at p. 1., Tab 3. Letter of Mary M, at p. 1, Tab 12. 20 Id. at p. 1 21 Letter of Irene B. at p. 1., Tab 26. 22 Letter of Ed F., at p. 1., Tab 6.

25

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 26 of 47 PageID #:4539

GIN Network Truth (the smart group)


Those who have experienced Trudeaus commitment to mentoring the individuals who have sought his help over the years describe his dedication as being truly remarkable. Jeffrey S. wrote of Trudeau, Every time Ive witnessed him interact with people, no matter what their stature or level of importance is, he is always fully present, gracious and cordial.23 Jeffrey S. continued, Ive carefully studied [Trudeau] in public and private settings and his genuine concern and respect for all people always shines through.24 Stephen S. attested, Ive seen [Trudeau] time and time again go out of his way for people when he really doesnt need to.25 Blaine A. observed that Trudeau had a unique ability when it came to young people and kids at risk to take a harmful path in life to make choices that would help them to lead a better life.26 Joann L. described Trudeau as kind, caring, uplifting, encouraging and inspiring with his consistent positive attitude, happiness and integrity.27 Jon D. explained that Trudeaus interest in the people who seek out his advice extends far beyond the limits of his speaking engagements into the daily effort to make time for individuals in need of advice and help. Mr. D. observed dozens of instances in which someone recognized Trudeau on the street and stopped to say hello. On these occasions, Trudeau did more than shake hands and pose.28 Trudeau listened, shared his own stories, and, often, went to a local coffee shop to spend more time with the

23 24

Letter of Jeffrey S., at p. 3., Tab 18. Id. 25 Letter of Stephen S., at p. 1., Tab 80. 26 Letter of Blaine A., at p. 2., Tab 3. 27 Letter of Joann L., at p. 1., Tab 58. 28 Letter of Jon D., at p. 1., Tab 39.

26

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 27 of 47 PageID #:4540

GIN Network Truth (the smart group)


individual.29 In these interactions, Trudeau was not giving medical advice or selling books, but encouraging hope.30 Trudeaus efforts were deeply appreciated by the many individuals to whom he extended his time, his care and his help. Patricia A. wrote that Trudeau volunteered his time to mentor and advise her as she started a business and described him as a man of integrity.31 Marjorie A. described the manner in which Trudeaus personal attention and concern assisted her in launching a new career helping children around the world.32 Donna M. wrote that because of Trudeaus teachings, her own communications have been clearer, allowing her to be a better listener, friend, colleague, parent and teacher.33 Those who disagree with Trudeaus teachings and perspective might cynically claim that his ideas are so far-fetched that he warrants no credit for disseminating his thoughts to the public. The response to that is threefold. First, in a democratic society, different ideas and approaches are not only permissible, but essential. As aptly observed by Elizabeth E., I personally believe we all have the ability and intelligence to discern what material is useful in our lives.34 Second, Trudeaus ideas are unconventional, but not harmful. Numerous

individuals who write to the Court on Trudeaus behalf were members of the mainstream medical profession who were also able to find a way to accommodate Trudeaus

29 30

Id. Id. 31 Letter of Patricia A., at p. 1., Tab 21. 32 Letter of Marjorie A., at p. 1., Tab 22. 33 Letter of Donna M., at p. 1., Tab 63. 34 Letter of Elizabeth E., at p. 1., Tab 42.

27

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 28 of 47 PageID #:4541

GIN Network Truth (the smart group)


observations and philosophy. Edward N., a traditional medical practitioner, observed that Trudeaus theories about big pharmaceutical companies were accurate.35 Edward N. wrote: I have found that many of Kevins theories about the influences of big pharma are accurate. I found [the Natural Cures] book was a great service to the public because it educates more about alternative natural cures. Organized traditional medicine is prejudiced against alternative natural cures. While more and more traditional physicians see the benefit of natural cures, they stand to lose their medical license if they include alternate natural cures in their practices along with traditional medicine. The best medical treatment would provide a combination of the two.36 Allison M., a practicing physician, wrote that Trudeaus books helped to revolutionize her happiness and health and that she knew many examples of friends and acquaintances with similar experiences.37 Thomas M., a practicing emergency medical physician wrote in support of Trudeau and his message.38 Individuals who sought Trudeaus assistance based on acute medical problems explained that Trudeau did not eschew established medical techniques, but, rather, added his ideas to augment and enhance their more traditional treatments. Carol F., who suffered a serious back injury, explained that Trudeaus books taught her to appreciate her surgeon and his procedures, but also opened up new understanding for the next steps in healing.39 For Tim G. of Ireland who was suffering from leukemia, he used

Trudeaus information to complement his traditional medical treatments by boosting his

35 36

Letter of Edward N., at p. 1., Tab 15. Id. 37 Letter of Allison M., at p. 1., Tab 11. 38 Letter of Thomas M., at p. 1, Tab 64. 39 Letter of Carol F., at p. 1., Tab 44.

28

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 29 of 47 PageID #:4542

GIN Network Truth (the smart group)


immune system.40 Trudeaus views about health may be cutting edge, but they are not irresponsible. Third, the undeniable truth about Trudeaus seminars and books was that they changed lives for the better. Dozens of individuals who wrote to the Court on Trudeaus behalf attested to the fact that they underwent significant personal transformations either physically, emotionally, or both based on their contact with Trudeau and his ideas. These stories are facts, and no amount of disagreement over Trudeaus ideas can alter these testimonials in the least. A few examples will suffice. Joelle B. wrote to the Court about the effect Trudeau had on her 20-year-old son. According to Mrs. B., her 20-year old son suffered from depression, insomnia, and drug use and was in a pattern of debt, inactivity and illness.41 After listening to Trudeaus audiotapes and reading the Natural Cures book, his life started to change. He went back to school and eventually earned his high school diploma. His relationship with his father improved. Two years later he was on the way to becoming a sound engineer and composing music for movies. He is now out of debt, living in his own apartment and enjoying successful relationships with his family and friends. Mrs. B. wrote, This is the true reality that I can testify as a lucky mother, who has discovered the Kevin Trudeaus natural methods for [her] depressed young son.42 Ruth D., a licensed professional counselor also wrote about the impact Trudeau had had on her life. Mrs. D.s job consisted of helping people who had suffered horrific family tragedies. Mrs. D. wrote that although she served her community and had raised

40 41

Letter of Tim G., at p. 1., Tab 49. Letter of Joelle B., at p. 2., Tab 2, 42 Id.

29

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 30 of 47 PageID #:4543

GIN Network Truth (the smart group)


three beautiful children, she hated her life and wanted to die.43 Although she turned to professional colleagues, rest, and reading, nothing seemed to bring her out of her depression. She reached the point of thinking of ways to end her own life. At a time she was at he absolute lowest point, Mrs. D. received a CD from a friend with Trudeaus information. Mrs. D. described her experience of Trudeaus words and ideas as follows; It is difficult to briefly explain how one CD can change someones thinking process and life, but this is my experience of what happened. For nearly three years now I have studied more of Mr. Trudeaus materials. I have returned to my private practice serving my community, and not one time since listening to the very first CD of Mr. Trudeaus has a tiny morsel of a thought of hating my life, much less ending my life, come to mind.44 Mrs. D. has since returned to serving her community and is in the process of designing a program to help get people out of emotionally abusive relationships. Mrs. D. explained: [W]ithout the influence of Mr. Trudeau, I would not have been able to persist, much less excel, in my efforts on others behalf. Mr. Trudeaus effects are not merely on my life, but on the many lives I have been able to make better because of what he did for me.45 Maureen R. wrote of her transition out of an onerous and dangerous job as a pipefitter in Edmunton, Canada. Mrs. R. explained that pipefitters in her unit work outside no matter what the temperature for shifts of between 12 and 16 hours straight with a 3-hour commute.46 They do not return to their loved ones at night, but, rather, stay in work camps for months at a time where bed bugs and influenza are rampant.47 Mrs. R. explained that she would soon be able to leave this work because Trudeaus advice revolutionized her business and it has now grown to the point that she needs to tend to it
43 44

Letter of Ruth D., p. 2., Tab 5. Id. at p. 3. 45 Id. 46 Letter of Maureen R., at p. 6., Tab 17. 47 Id.

30

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 31 of 47 PageID #:4544

GIN Network Truth (the smart group)


on a full time basis.48 It was not Mrs. R. alone who benefitted from Trudeaus writings, but many other people with whom she worked who have been able to escape from the taxing manual labor of the pipefitting trade to various more lucrative and less physically demanding positions.49 Jeffrey S. wrote of a time in the mid 2000s when his life was in an alarming downward spiral.50 He had a low-paying, unsatisfying job, his personal relationships were in shambles and he was in and out of the hospital for manic depression.51 Mr. S. was then introduced, through an infomercial to Trudeaus Natural Cures book and was able to, in his words, start claiming his life back.52 He was able to end his depression and to stop taking medication for it. Mr. S. wrote: For people who have never had to witness or experience mental illness, I simply cannot communicate how triumphant one is after overcoming it. I will never forget the tears of joy in my familys eyes as they started to see me slowly coming back from the brink of insanityI shudder to think where Id be right nowor if Id even be alive had it not been for Kevin Trudeaus bold yet controversial presence in my life.53 Mr. S. credits Trudeau with teaching him everything from communication skills to business skills to good health to good etiquette to proper grooming 54 Mr. S. has left his construction job to pursue a sales position that yields a six-figure salary working for a company that markets a fuel economy device for cars to Fortune 500 companies.55 He finds it to be amazing that his income and relationships have skyrocketed and that he

48 49

Id. Id. 50 Letter of Jeffrey S., at p. 1., Tab 18. 51 Id. 52 Id. at p. 2. 53 Id. 54 Id. at p. 3. 55 Id. at p. 4.

31

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 32 of 47 PageID #:4545

GIN Network Truth (the smart group)


now wakes in the morning feeling blessed and in control.56 More amazing than that, to Mr. S., is that he has personally met and interacted with hundreds of others whose lives Trudeau has affected for the better. Mr. S. wrote: Im only one success story of Trudeaus influence. Ive met people and heard personal testimonials that blow my success story out of the water! Ive personally witnessed myself and hundreds of other lives improve in a major way directly due to Mr. Trudeau and his influence and support.57 Mary M.s letter echoed the same sentiment as to the broad reach of Trudeaus positive effect. Mrs. M. wrote: In my experience, thousands of lives changed for the better as a result of [Trudeaus] work. I have seen couples treat each other better and parents do a better and more responsible job of caring for their children. I have seen people feel better about themselves so they can seek improved working conditions and jobs worthy of their talents. These are not just a few isolated cases, but rather I am speaking of thousands of people, many of whom have emailed me and contacted me personally. 58 J.N. attested that she had reviewed literally thousands of letters from people all over the world who had benefitted from Trudeaus ideas, many of whom thanked Trudeau for saving their lives.59 Included in the letters submitted to the Court on Trudeaus behalf are dozens upon dozens of letters that tell similar stories of the writer having overcome significant physical or emotional obstacles because of their experience with Trudeau. And while the content of Trudeaus books and infomercials may be controversial, the fact of these real life transformations is not. Some of the authors are involved in the field of alternative health, but many more are laborers, doctors, teachers, engineers, and business-people. Trudeau has had the ability to reach each one of these individuals and to help them to
56 57

Id. Id. 58 Letter of Mary M., at p. 1., Tab 12. 59 Letter of J.N., at p. 2, Tab 16.

32

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 33 of 47 PageID #:4546

GIN Network Truth (the smart group)


improve their mental state as well as their physical circumstances. In doing so he has affected the many other lives of the families, colleagues, and co-workers of these people. Trudeaus enormous positive impact should properly be considered in mitigation of his sentence. 2. Those Who Have Known Trudeau For Many Years Attest To The Strength Of His Character.

Those who have known Trudeau for many years and have spent a significant time observing his actions, attested to the quality of his character in letters to the Court. Ed F. who was knew Trudeau from the time that Trudeau was a teenager, wrote that Trudeau was an enterprising teenager and a valuable and dependable employee who was honest, cheerful, upbeat, and welcoming.60 Mr. F. attested, Inside, he is a good man.61 As an illustration of Trudeaus character, Lee K. described a situation he

observed between Trudeau and a business partner in 2000/2001. The majority owner in a business recommended that after an abrupt downturn that the business be placed into insolvency. The effect of this would have been to leave the TV stations, advertising agencies, and supply partners out of pocket. Trudeau refused to agree to this course of action, explaining that it was a moral issue and one that would affect employees of the supplier company.62 Trudeau stayed when the business partner left and worked

tirelessly, with no benefit to himself, to ensure that all those suppliers were communicated with and made whole over the coming 12-18 months.63 Significantly, Trudeau did this because he believed it was the right thing to do and not for business
60 61

Letter of Ed F., at p. 1., Tab 6. Id. 62 Letter of Lee K., at p. 2., Tab 8. 63 Id.

33

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 34 of 47 PageID #:4547

GIN Network Truth (the smart group)


purposes. Lee K. explained, [a]ll this was more impressive to me, as he had no intention of trading with these partners in the coming years, yet he still did not want to let down his partners of customers in the region.64 J.N., a friend of Trudeaus for 33 years, described him as one of the most loyal and dedicated men she has ever known.65 She wrote of Trudeau: [Trudeau] is a kind and generous human being. Although he is in the business of motivational books and speaking, he has consistently gone far beyond what it would take to develop his reputation from a business sense. When he stays to meet people after his conferences or speaking engagements, he does not stop with a handshake and a smile. He takes time to listen to these people and administer free advice. He often follows up with them to check on whether their situation has improved or if there is anything else he can do for them. Kevin [has] a depth of care and understanding that goes far beyond business concerns. He derives satisfaction and meaning [from] the help he can provide to other people.66 Thomas M., who has become acquainted with Trudeau though conferences, seminars and social events wrote: I have found that Kevin practices what he preaches. He encourages other to be moral, generous, compassionate, empathetic and of high integrity. In getting to know Kevin, this is how he lives his life. And he does so regardless of the situation or circumstances.67 Tom M., who has been a personal friend and physician to Trudeau for over 20 years observed: I have found [Trudeau] to be extremely ethical, loyal and consistent when it comes to promises he has made to anyone. He is a very generous man offering to help others when not asked to do so. When others might shy away, I have witnessed Kevin stand up for them and offer a hand of support both monetarily and with his personal time. Kevin Trudeau follows up and follows through with his obligations and with his family and his business relationships.68
64 65

Id. Letter of J.N., at p. 1., Tab 16. 66 Id., p. 2. 67 Letter of Thomas M., at p. 1., Tab 64. 68 Letter of Dr. Tom M. at p. 1., Tab 13.

34

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 35 of 47 PageID #:4548

GIN Network Truth (the smart group)


Tom M. explained that when he assisted Trudeau in finding a facility for his employees, the components for the facility that Trudeau requested included covered parking for the employees, a fitness center so they could work out during the work day, and a cafeteria offering healthy organic options including a chef to prepare the types of food he discussed in his books.69 Dr. Milton M., who has likewise been a friend of Trudeaus for the last 20 years, described Trudeau as extremely ethical, loyal, and consistent when it comes to promises he has made to anyone. He is a very generous man offering to help others when not asked to do so.70 Dr. Milton M. explained: What I admire about Kevin the most is his ability to help others realize their full potential. He loves to help people wanting to help themselves. This is different than just giving to a charity or unknown recipient. Kevin likes to get involved with people who truly want to improve and his personality/character is such that people benefit from his presence alone. There are those that just watch and those that simply do. Kevin is a doer.71 K.N., Trudeaus former personal assistant, described Trudeau as the nicest, kindest and most genuine person Ive ever known and wrote Im old enough to be his mother and would be proud to call him a son.72 KN attested to Trudeaus high moral standard and to the fact that he treated her as well as everyone else in the office with the utmost of kindness and respect.73 Dr. Edward N. wrote: I have found [Trudeau] to be a humble and kind person. When he says he will do something for you, he is good to his word. He has been portrayed as a con man, but in knowing him, nothing could be father from the truth.
69 70

Id. p. 1., Letter of Dr. Milton M., p. 1., Tab 14. 71 Id. 72 Letter of K.N. p. 1., Tab 66. 73 Id.

35

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 36 of 47 PageID #:4549

GIN Network Truth (the smart group)


He is a caring and loving man who truly believes in what he does. And those I have spoken to who have known him for many years say the same thing.74 Those who know Trudeau best, and who have interacted with him and observed his words and actions over a period of decades, have written to the Court to attest to the strength of Trudeaus character. Their words are based on longstanding friendship and personal experience with Trudeau and reveal a part of his character that has not been featured in this proceeding or its media coverage. The quality of Trudeaus character

and his commitment to helping others are factors that argue in favor of a lenient sentence for Trudeau in this case. 3. Trudeau Has Also Exhibited His Concern For The Welfare Of Others By Helping Those Who Were In Need.

J.N. described her first year with Trudeau when they were about 20 years old. Trudeau asked her if she would accompany him to a soup kitchen on Christmas. There they spent time distributing food as well as talking to the people there. J.N. wrote, Kevin treated them with kindness and respect and this was very important to them.75 J.N. also accompanied Trudeau to his visits to childrens hospitals where he would perform magic tricks. She explained, Their faces would just light up and they never wanted him to leave. He would also talk to them about how to keep faith and hope alive in their hearts. He was truly amazing with them, so kind and thoughtful. Trudeaus mother wrote to the Court explaining that Trudeau was involved with acting as a magician and as a clown from the time he was a young man.76 He would

74 75

Letter of Dr. Edward N., at p. 1., Tab 15. Letter of J.N., at p. 1., Tab 16. 76 Letter of Mr. and Mrs. Robert Trudeau, at p. 2., Tab 20.

36

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 37 of 47 PageID #:4550

GIN Network Truth (the smart group)


perform his act for elderly people in nursing homes as well as for various civic organizations.77 Nevin C. described a time that Trudeau was approached by a homeless person on the streets of Chicago. The man asked for money to buy a coat. Trudeau did not give the individual a hand out, but, instead, bought enough coats, boots, gloves, and hats to give them to everyone in the homeless shelter.78 And, as described by J.N., he took the time to make sure that the items he brought were appropriate sizes for the homeless shelter he supplied.79 Rabbi Meir Chai B. attested to Trudeau being a benevolent angel to the

Rabbis community.80 The Rabbi wrote that Trudeaus care and support for his organizations programs was incredible and that whether it was our programs benefitting the elderly or the children or young adults, Kevin was there to ensure their educational and spiritual needs.81 Trudeaus support was not merely financial. To the contrary, the Rabbi explained, Kevin was also personally involved in the learning and the services.82 He continued, What I see as very important though is that his heart was very involved as well, not only his head or his financial supportKevin helped people emotionally as well and he was visibly happy when they become happy.83 These observations are consistent with the testimonial letters from the individuals Trudeau taught and mentored through his seminars. The Rabbis description of Trudeaus

personal attention and compassion for those involved in his community outreach
77 78

Id. Letter of Nevin C., at p. 2., Tab 34. 79 Letter of J.N., at p. 1., Tab 16. 80 Letter of Meir Chai B., at p. 1., Tab 4. 81 Id. 82 Id. 83 Id.

37

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 38 of 47 PageID #:4551

GIN Network Truth (the smart group)


programs closely parallels the manner in which the other letter writers have spoken about him as a person who derives joy and meaning for helping others. Trudeau has also, over the years, extended himself to numerous people in need without wanting any recognition. Karen and Gary M., wrote to the Court that they had heard storied about Trudeaus acts of charity, but added that [Trudeau] seems to go to great lengths to keep this information from being public knowledge.84 Notwithstanding Trudeaus reluctance to allow anyone to know about his personal acts of charity, some examples have come to the attention of those who wrote to the Court on his behalf. For a friend who had a special needs child, Trudeau purchased a van equipped to accommodate the childs needs.85 When another friend needed to have heart surgery and did not have the means to pay the medical bills, Trudeau stepped in to finance the cost of the procedure.86 In a circumstance in which an employee was suffering from mental anguish from the experience of losing their brother to a savage murder at the age of 18, Trudeau paid for the individual to receive professional help to work though their emotional issues.87 Because Trudeau has, in the words of his close friends, always been private when it comes to those to whom he has extended his support, there are likely countless additional examples of individual acts of charity that remain unknown. What is abundantly clear, however, is that Trudeau is a person who has, on numerous occasions reached out to those in need with, not only financial support, but with his time, his caring and his compassion.

84 85

Letter of Karen and Gary M. at p. 2. Tab 62. Letter of Dr. Milton M., at p. 1., Tab 14. 86 Letter of Tina N., at p. 1. 87 Id.

38

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 39 of 47 PageID #:4552

GIN Network Truth (the smart group)


4. Trudeau Has Demonstrated Respect For The Court By Refusing To Discuss The Specifics Of His Case With His Supporters.

In every sentencing, it is a significant factor whether the defendant has spent his or her time criticizing the government for its initiation and handling of the defendants case, or whether the defendant has declined to discuss the legal proceedings. That is because what a defendant chooses to say about their case is a good barometer for their attitude about the limitations on their conduct going forward, as well as the extent of their respect for the judicial system. In Trudeaus case, this factor is all the more significant because his conviction is for the crime of contempt. The punishment for Trudeau, then, is to be tailored to the extent of his demonstrated disrespect for the judicial system. Here, the fact that Trudeau declined, at every opportunity, to speak to his letter-writing supporters about the merits of his criminal case is powerful evidence in mitigation of sentence. Numerous individuals who wrote to the Court in support of Trudeau specifically noted in their letters that Trudeau never uttered a disrespectful word about the courts or his criminal contempt proceedings even when asked by friends and supporters for his comment. Joelle B., a French woman wrote, Ive never heard Kevin Trudeau saying private or public negative comments about anybody or any situation, even about his own juridic [sic] challenge, even when participants were asking comments. He has constantly encouraged us to stay positive, with no anger and no negative charge against anyone.88 Jordan D. explained that whether it was on stage in front of numerous people, or in small private settings, Trudeau declined to engage in discussion of his legal case. Jordan D. wrote, He was very general in his response and always took responsibility for his
88

Letter of Joelle B., at p. 3., Tab 2.

39

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 40 of 47 PageID #:4553

GIN Network Truth (the smart group)


actions.89 Erin H. provided, as an example of what she believed to be Trudeaus ethics, information about her experience with Trudeau and several others in a private setting. Erin H. wrote that when one of the people present asked Trudeau for an update on his legal case, Kevin refused to comment on the case, and would only say that the trial date had been moved. It would have been easy for Kevin to vent his feelings about the proceeding (and those present would have been sympathetic even), but he chose instead to remain silent on the subject.90 Dr. Milton M. attested that he had yet to hear [Trudeau] speak out verbally during this entire trial and litigation. He remains positive when I am able to speak with him on all fronts. He holds no grudge or ill feelings toward any of his accusers.91 The fact that Trudeau has gone out of his way, even in small groups of individuals who are clearly his supporters, to make any comment about the case is powerful evidence of the extent of his respect for the court system. He returned from Switzerland, which does not have an easy or guaranteed path to extradition for E.U. citizens like Trudeau, in order to face the criminal charges in this case. His respect for the court system of this country and his adherence to its dictates is further evidenced by the fact that he carefully elected to have his case tried before this Court alone, without allowing any friends or supporters to attempt to sway public opinion in his favor. Trudeau is a man that the jury judged to have made some mistakes in the context of the marketing of The Weight Loss Cure book. He is not, however, an individual who has evidenced disrespect for the rule of law or for the courts of the United States. Indeed, based on his refusal to speak a word

89 90

Letter of Jordan D., at p. 2., Tab 36. Letter of Erin H., ay p. 2., Tab 7. 91 Letter of Dr. Milron M. at p. 2., Tab 14.

40

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 41 of 47 PageID #:4554

GIN Network Truth (the smart group)


to garner support, even when among his closest friends and supporters, suggests quite the opposite is the case. 5. Trudeau Needs To Care For His Elderly Parents.

Trudeaus mother is 89 years old and is father in 88. They suffer from a variety of serious health issues that make it impossible for them to travel and have rendered them both near invalids. Trudeaus mother has back and feet problems and cannot walk without becoming dizzy.92 His father is confined to a wheelchair and needs knee surgery but has been determined to be too weak to undergo that surgery because of his failing heart.93 Trudeau has always been available to assist his parents in their time of need. His mother wrote that every time that either his she or his father were ill, Trudeau came home and stayed until they were well again.94 He also took care of small matters that reveal the depth of his care and concern. He sent flowers for every occasion.95 When his father was not able enough to tend to the yard, Trudeau arranged for a handy man.96 When his mother was not strong enough to do heavy work, Trudeau arranged for assistance to clean the house.97 In these the final years of his parents lives, Trudeau wants desperately to be able to see them again and to take care of them. And his parents desperately need Trudeau for the limited time they have left. In the words of Trudeaus mother, He helped us all he could all his life. He was always the best of the best.98 In her letter to the Court, Kevins mother explains that both she and Kevins father are too ill to travel and pleads, Dear
92 93

Letter of Mr. and Mrs. Robert Trudeau, p. 1., Tab 20. Id. 94 Id., p. 3. 95 Id. 96 Id. 97 Id. 98 Id., p. 4.

41

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 42 of 47 PageID #:4555

GIN Network Truth (the smart group)


Judge send him home to us, we need and love him dearly. Please help us we have so little time.99 Trudeaus intention would be to return to the Boston area to care for his mother and father as soon as he was released from incarceration. That he cannot be with his parents in their time of need as he had been at every other point in their lives is a source of profound pain for Trudeau as well as for his parents. Trudeaus consistent care for and devotion to his parents is not only revealing of his character, but a factor that weighs in favor of a lenient sentence in this case. III. Just Punishment For The Offense - 18 U.S.C. 3553(a)(2)(A) Mr. Trudeau has already endured tremendous punishment in connection with the events that gave rise to this case. As a direct result of this case, Mr. Trudeau has lost his freedom, his profession, his assets, his home, and his ability to support the people who need him most his parents and his wife. He is contending with a $37.6 million civil judgment which he has no ability to pay. His future is uncertain and his supporters have dwindled. He has been continually disparaged and ridiculed in the media. Under these circumstances, it is fair to say that Trudeau has already suffered and suffered significantly for the actions that gave rise to this case. Additional years in prison are not needed to amplify the message. IV. Avoidance Of Unwarranted Sentencing Disparities For Similarly Situated Defendants. - 18 U.S.C. 3553(a)(6) This case is highly unusual in that it is a criminal contempt case based on the sale and marketing of weight loss books. A survey of the universe of reported federal cases in involving the sale of products in infomercials reveals that the vast majority of cases involve civil liability. In the Seventh Circuit, a search for infomercials together with

99

Id.

42

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 43 of 47 PageID #:4556

GIN Network Truth (the smart group)


either the terms fraud or misrepresentation yields only 5 cases. Three of these are related to the instant case. The remaining two are civil cases. The first is the case FTC v. QT Inc., 512 F.3d 859 (7th Cir. 2008). In the QT case, defendants were punished by being enjoined from making promotional claims about the QT bracelet and being ordered to disgorge $116 million in profits they received in connection with the sale and marketing of a the bracelet. The Court found that

defendants misrepresentations about the QT bracelet included the following: 1) the claim that the bracelet was a miracle cure for chronic pain when the product had no therapeutic effect whatsoever; 2) the representation that the bracelets claims of immediate and complete pain relief had been test-proven when they were not; 3) the claim that the bracelet emitted Q-rays when there is no such thing as Q-rays; 4) the claim that the bracelet was ionized when it is not; 5) the representation that the bracelet enhanced the flow of bioenergy when there is no science to support the claim; and 6) the claim that the bracelets are made from gold or silver when in fact they are made of brass. QT., Inc., 512 F.3d at 860-861. The QT bracelet has zero value for the pain relief claims for which its

marketing was directed. Nevertheless the sanction was both monetary and limited to money the defendant had received. The second of the cases was MBH Commodity Advisors, Inc., v. CFTC., 250 F.3d 1052, 1057-8 (7th Cir. 2001). In that case, the defendant was a commodities trader who sold a seasonal system for trading futures through infomercials and a website. Defendants representations about his trading system were found to have included promises of profit without any disclosure of risk of loss. In addition, defendant was found to have falsely represented that anyone could trade futures, to have falsely implied

43

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 44 of 47 PageID #:4557

GIN Network Truth (the smart group)


that all customers made money when in fact all customers either lost money or failed to make the promised profit, and falsely claimed he was a successful trader when, in fact, he lost money trading year after year. For these offenses, which subjected the consumers to potentially catastrophic financial losses, the defendant was barred from the National Futures Association for 18 months (after which time he was able to reapply) and fined $200,000. These cases are distinguishable from the instant case, of course, in that they involved allegations related to the sale and marketing of products through infomercials rather than allegations of criminal contempt. But the reported criminal contempt cases are likewise inapt to Trudeaus case in that they involve either outright obstructions of the judicial system that far exceed the conduct of making misrepresentations in an infomercial or are linked to contemptuous conduct in the context of an outright theft or fraud scheme. Defendants sentenced under the fraud guideline are not proper comparison points for Trudeau because of the fact that he was charged and convicted of contempt but neither charged nor convicted of a fraud offense. As discussed in Trudeaus Objections to the PSI, had he been charged under the mail and wire fraud statute, the government would have been required to establish at trial that the customers who were the victims of the fraud, heard and relied upon the specific representations for which he was being charged See e.g. FTC v. Freecom Commcns, Inc., 401 F.3d 1192, 1198 (10th Cir. 2005) (Court excluded the trial testimony of three customers on the basis that they were unable to verify that they heard the alleged misrepresentations pled in the FTCs complaint). Even in cases in which the government has been able to make the required proof of fraud,

44

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 45 of 47 PageID #:4558

GIN Network Truth (the smart group)


and in which individuals have been tragically victimized and their life savings lost to thievery, the defendants often receive less than 3 years in prison and almost never receive anything like the amount of time that was set forth in the PSI. Whether the frauds are in the range of a few thousand dollars or a few million dollars, these fraud defendants who have set out to defraud a person or an institution out of significant sums of money based on outright lies and deceit are more culpable than Trudeau. While it is difficult because of the unique features of this case to place Trudeau within the continuum of either fraud guideline defendants or contempt guideline defendants, it is important to consider that placing him in the context of people who lie in infomercials makes him a civil defendant. In order to avoid a patently unfair and

excessive sentence in this case, Trudeau should be punished for his conduct of making misrepresentations in infomercials with the further fact that in doing so he violated a court order. But he should not be punished as a fraud/theft defendant. Trudeaus punishment should also be decided upon with the recollection of the 6-month sentence cap that Judge Gettleman decided upon in April 2010 with full knowledge of the offense conduct. V. Conclusion. It is accurate that Trudeau has a long history with the FTC, and, indeed, with the courts in the Northern District of Illinois. But he must still be sentenced based on the

conduct of which he was convicted in this case rather than on the basis of the governments view of him as an individual. Whether or not one disagrees vehemently with every word Trudeau says or writes, his sentence must be carefully tailored to the

45

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 46 of 47 PageID #:4559

GIN Network Truth (the smart group)


acts for which he was charged and convicted in this case and not reflect opinions about him or his writings or beliefs. For all of the reasons set forth in this sentencing submission, Mr. Trudeau respectfully requests that he be sentenced to a prison term in line with the 6-month sentence set forth in Judge Gettlemans April 2010 order and not more than the 15-21 month prison term calculated as the defendants advisory guideline range set forth in defendants objections to the PSI. This sentence is sufficient but not greater than necessary to fulfill the statutory goals of punishment and is a just sentence for Trudeau in light of all the unique facts and circumstances of this case.

Respectfully submitted,

By: /s/ Carolyn P. Gurland One of His Attorneys

CAROLYN P. GURLAND 2731 North Mildred Ave. Chicago, IL 60614 (312) 420-9263 cgurland@comcast.net THOMAS L. KIRSCH II WINSTON & STRAWN 35 West Wacker Drive Chicago, IL 60601 tkirsch@winson.com Attorneys for Defendant

46

Case: 1:10-cr-00886 Document #: 167 Filed: 03/11/14 Page 47 of 47 PageID #:4560

GIN Network Truth (the smart group)


CERTIFICATE OF SERVICE I, Carolyn Pelling Gurland, an attorney for Defendant Kevin Trudeau, hereby certify that on this, the 11th day of March, 2014, I caused the above-described document to be filed on the CM/ECF system of the United States District Court for the Northern District of Illinois, which constitutes service of the same.

/s/ Carolyn P. Gurland

CAROLYN PELLING GURLAND 2731 North Mildred Ave. Chicago, Il 60614 Tel. (312) 420-9263

47