A statement by Michael Giannulis (aka Mike Giannulis)
When people search my name — Michael Giannulis — they may come across an FTC press release or a Tampa Bay Times article that presents a narrow version of events.
This isn’t a denial. It’s not an excuse. It’s simply my perspective on what happened and how I’ve chosen to move forward.
What Really Happened?
Nearly a decade ago, I was running a marketing business. Like many others at the time, we were affiliate marketers for a business training company called MOBE. We earned commissions when people enrolled through our links. We did not run or manage MOBE itself — our role was external and promotional.
We were one of thousands of affiliates, and while we had success, we had no inside control over the company.
At the end of the day, I got sued for promoting a product I didn’t create, using ads I didn’t write, for a company I didn’t own. That’s how far removed I was — but sometimes proximity is enough to pull you into the storm.
In late 2017, before any contact with the FTC, I brought in new legal counsel to review our practices. On their advice, we ceased promoting MOBE immediately, walking away from substantial commissions. That decision was made before any enforcement notice came our way.
Our previous attorney, who had originally advised us and reviewed our materials, was later involved in an FTC case of his own. At the time, we had relied on his professional guidance in good faith. During the course of our case, it became clear, through discussions with counsel, that relying on his advice would not shield us from liability. While we were informed that we had the option to pursue action against him, we ultimately decided that it wouldn’t be worth the time, energy, or further stress.
How the Case Played Out
Our initial interaction with the FTC was a simple request for information to help them with the case they were pursuing against MOBE, which we complied with. It wasn’t until nearly two years later that we learned they were preparing a new case involving me and my companies.
The FTC also included my newer company, My Ecom Club, in the suit, suggesting it was a continuation of MOBE. My Ecom Club, however, was a separate business focused on helping entrepreneurs and small business owners build Shopify stores and run Facebook ads. At its peak, it was generating over $25 million per year, was among the top affiliates for Shopify, and had an A rating with the Better Business Bureau.
As part of our settlement, we chose to voluntarily wind down My Ecom Club, ensuring all existing customers were supported by a third-party provider at our own expense.
In 2019, after careful consideration, we agreed to a civil settlement — finalized in January 2020. There was no admission of wrongdoing, no criminal charges, and no fraud conviction.
It’s also worth clarifying that, contrary to how some news outlets reported it, there was no trial and no civil penalty judgment. We reached a negotiated settlement, and the amount agreed upon was significantly less than the cost of taking the case to court.
We made that choice not because we agreed with every characterization made, but because prolonged litigation would have devastated our business and our team of over 100 employees.
The decision to settle wasn’t made lightly. We were facing the full weight of a federal agency, with the resources to pursue aggressive actions that, even if eventually overturned, could have financially devastated us before we ever had a chance to defend ourselves.
It became clear that the process itself could be the punishment. That’s the part the public rarely sees… the quiet calculus behind choosing survival over vindication.
Like many regulatory announcements, the public statement released by the FTC was broad in scope and left little room for the full context or complexity of our situation.
That said, I want to be clear: I respect the role of the Federal Trade Commission. I believe they act with good intentions to protect consumers and promote fairness in the marketplace. While I don’t believe my situation was handled fairly, I also understand that enforcement agencies have to make difficult calls based on the information they have.
Sometimes, you’re just in the wrong place at the wrong time, and you find yourself caught in something you never anticipated.
What the Supreme Court Later Clarified
In 2021, the U.S. Supreme Court ruled unanimously that the FTC exceeded its authority by seeking monetary relief under Section 13(b) of the FTC Act — the same legal pathway used in our case.
While this decision did not change our outcome, it reflected a broader shift in how such cases are interpreted and enforced moving forward. Had our matter taken place after this ruling, the legal approach and potential outcomes could have been very different.
If You’re an Investor, Client, or Just Curious…
Here’s what I want you to know:
- I wasn’t running some kind of scam — I built a legitimate business, with a team, payroll, and real customer support.
- I did my best to operate ethically and stay within the lines, based on the legal guidance I had at the time.
- I had legal counsel involved in reviewing our operations and relied on their expertise in good faith.
- I’ve never had legal issues before or since.
- I didn’t settle because I gave up — I settled because the alternative would have bankrupted the company overnight. We still had to shut it down and could only keep a small handful of our team. But settling at least gave us the chance to manage the exit on our own terms and take care of our people the best we could.
- Today, I run my businesses with even more structure, compliance, and transparency than ever before.
Anyone who knows me — including those who’ve worked alongside me over the years — will tell you: I care deeply about doing things right, taking responsibility, and continuing to grow.
If you’re considering working with me or investing in one of my ventures, I welcome the due diligence. Just know that what you’ll find online is a snapshot — not the full picture.
What I Learned (And What I Hope Others Never Experience)
- Compliance matters — even when you believe you’re already doing things right
- Legal advice helps, but it’s not always a shield
- Regulatory agencies cast wide nets — sometimes broader than expected
- Fighting a federal agency can be too costly, even if you believe you’ll prevail
- Public narratives don’t always capture nuance
This chapter of my life cost me years, money, and reputation. It tested every part of me — emotionally, mentally, and financially.
I hope no entrepreneur trying to build something meaningful ever has to go through what I did.
The Bigger Picture
Before any of this, I fought a different battle — one with my own health. I weighed over 500 pounds. Through discipline and years of effort, I lost over 300 pounds. That journey was featured on ABC’s Extreme Weight Loss — but it didn’t end there. It changed how I lead and how I live.
The FTC case tested me in different ways. It forced me to think clearer, grow stronger, and commit even deeper to doing things right — with systems, compliance, and personal ownership.
I don’t run. I don’t hide. I take care of my people. I show up.
“I’ve been broke. I’ve been betrayed. I’ve been buried. But every time, I come back stronger — and I build bigger.” — Michael Giannulis
This is who I am.
And this is only the beginning.
— Michael Giannulis
Entrepreneur | Operator | Overcomer | Builder
🎧 Full Interview: The Hard Lessons I Learned About the FTC (with My Former Attorney)
If you want to go deeper, this 60-minute podcast interview with my former attorney Greg breaks down everything we went through — the legal twists, the compliance mistakes, the financial toll, and what I’d do differently if I could go back.
This article and the embedded podcast reflect my personal perspective and experience. As part of a civil settlement with the Federal Trade Commission, I did not admit or deny the allegations made in the complaint. Nothing in this content — written or spoken — should be interpreted as an admission or denial of those allegations, nor should it be considered legal advice.
