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'Followers trust them' Influencer Liz Friesen accused of involvement in $3M scam

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  • Nebraska influencer Liz Friesen faces a lawsuit for allegedly scamming her followers.
  • The scam, involving a company called WiFi Money, has reportedly cost Nebraskans $3 million.
  • Friesen and co-defendants allegedly convinced at least 60 people to invest $15,000 each in fake online stores.
  • Funds were used for luxury items and vacations, which Friesen showcased to attract more investors.
  • UNL professor advises consumers to critically evaluate influencers before trusting their endorsements.

BROADCAST TRANSCRIPT:

A Nebraska based influencer looking at legal trouble for allegedly scamming her fans. The lawsuit filed by Nebraska Attorney General Mike Hilgers against influencer and self-proclaimed business guru Liz Friesen.

The lawsuit accuses her of being part of ascam with a company called WIFI Money, and it's cost Nebraskans 3 million dollars.

"It's really easy for influencing to turn into manipulation," said Ciera Kirkpatrick

In Attorney General Hilger's legal complaint, Friesen and several co-defendants are accused of misleading at least 60 people, convincing them to invest a minimum of $15,000 each to start online store fronts.

The lawsuit says Friesen then used those funds to purchase designer clothing, a Cadillac Escalade, and several vacations in exotic locations.

Instagram posts in the complaint show Friesen on luxury vacations and using them to motivate her followers to unknowingly invest in the scam.

University of Nebraska Associate Professor Ciera Kirkpatrick says these posts are just a small part of a larger picture.

"If we believe that someone is living a certain life because of a certain thing they are doing and we want that same life, then we're more likely to do those same thing," said Kirkpatrick.

Wednesday Friesen made her Instagram account private, before KMTV was able to verify multiple posts from the lawsuit were still up.

"So as there are these opportunities like with drop shipping e-commerce, if that's something that an influencer endorses and their followers trust them, then it's likely that their followers are going to have an interest in that," said Kirk Patrick.

KMTV reached out to Friesen but have not gotten a response.

Kirkpatrick is advising consumers to be more mindful about who they're giving their money to.

"There are great genuine influencers out there who are authentic and transparent, that's not always the case... and so we have to be critical about what we can believe in and what we shouldn't," said Kirkpatrick.

Hilger's is seeking refunds on behalf of the consumers and civil penalties against the defendants.