Chalant Health To Invest or To Investigate

Chalant Health is out raising money. Their mission according to their website…

Our Mission

Chalant Health, Inc. (CHI) is an innovative medical technology and services company located in the Metropolitan Washington, D.C. area. Our medical solutions include a unique telehealth medication and medical management device that will enable organizations to: improve medical compliance for better patient outcomes; lower patient support costs through telehealth products and services; and provide a transparent way for providers to conduct additional patient visits in a chartable manner.

That’s a laudable mission… I want to invest in this puppy! Let’s check them out on the web: Chalant Health Website

Pretty handsome web page….. no? They look legit!

I hear that last week, they hosted an event at the Tower Club where about 30 potential investors were treated to a presentation of this unbelievable opportunity. There were all kinds of impressive existing investors there to add credibility to the story. This is such a deal.

So again I ask the question, Chalant Health, to invest or investigate… that is (as Shakespear once said) the question. Hmmm, should I go on? Should I investigate further? In times of indecision, I default to WWSD? What would Shakespeare do?

Whether ’tis nobler in the mind to invest and suffer
The slings and arrows of outrageous fortune (like the guys who were early investors in Google)
Or to take arms against a sea of troubles and expose the scam that this most clearly be.

That is the question!

I don’t know what Shakespeare would do but does anyone have a question what Mr. Cranky would do?

He’d take a…..

A Simple Google Search

Wonder what happens when I google the company. After all, they’re out raising money, they should have tons of activity in the last 12 months.  You know good news stories. Product releases. Customer wins…. so I go to my trusty Google Machine and type in “Chalant Health” while specifying I want all entries posted in the last 12 months. Four measly entries… the company website, a company profile on the job site Indeed, and two posts from yours truly, from Mr. Cranky.  Yup, I’ve created as much Web Buzz for Chalant as Chalant has. It’s a two to two tie.

A Closer Look

Let’s check out the team!

Now that’s a great looking, professional, well-dressed team! I’d invest in that team. Hmmm, no links? Just pictures? Wait… where are the bios? Danger Will Robinson, Danger! It’s time to get on the old LinkyDeeIny thing and scratch more than the surface. Wait, what? Pugsly is the only person who lists Chalant as his occupation. Kat or Kathleen Mahan as she’s known on LinkedIn has a real job as a salesperson for a real company but does list that she’s on Chalant’s advisory board. The others don’t have the word, Chalant listed anywhere on their LinkedIn bios (See below, what they really do for a living. The last two columns).

I don’t know these people with the exception of Rick Rose. He and I were peers when I was the National Sales Operations Manager and he the Comptroller at Computer Consoles in 1985. Maybe he’s a better guy than he was back then. It’s been a long time since I’ve worked with him. But I wouldn’t hire the Rick Rose that I remember to count beans, much less manage cash.

Maybe if I work backward by searching Chalant Health and then linking to employees I can find some legitimate employees.  Nope, that doesn’t give me warm fuzzies either. Only one person shows up as having a full-time job at Chalant, Elizabeth Fisher, Product Coordinator/Admin Assistant. So let’s see, Pugsley needs an Admin Assistant to help him manage what? Just one person. Everyone else “consults” to Chalant while they work for someone else or are looking for real jobs.

A little more searching and I find a Huffington Post author whose bio lists her as a board member of Chalant and as of today, she is listed on Chalant’s Advisory BoardMeet Carrie Rich, CEO of the Global Good Fund and a Mentor-In-Residence for the George Washington University.

I have no reason to believe that Carrie Rich knew that Chalant may be illegitimate enterprise and Pugsley is of questionable repute. The only fact I can attest too is that her name appeared on the Chalant Web Site, that there are listings of her as a board member as early as 2015, and Chalant is listed on her Huffington Post Bio as well as on eight additional sites. Pugsley used her good name and the good name of others to help legitimize his company. Which in turn helps attract new victims to his evil doing. The lesson here is we all should be diligent about protecting our good names.

Let’s Talk Chalant Health Real Estate

Enough about the clowns on the bus. Let’s check out the bus. The Global World Headquaters of this bustling corporate enterprise is located at 3601 Pickett Road, Suite 2012, Fairfax, VA 22031. Want to see the office? Maybe it’s another candidate for DCInno’s Office Envy? Well, it’s a good sign that there’s a lot of cars in the picture… it means this is a busy place where employees and customers are working… right?

Chalant Health Intergalactic World Headquarters

Question, why the hell does a company that locates its world headquarters in a PO Box in a northern Virginia post office, a company that only has 2 full-time employees listed on LinkedIn need 4 corporate offices: two R&D centers and one Development office?  Chalant has no employees listed in Pittsburg, Richmond or Hagerstown, yet they say they have three other offices (besides the galactic headquarters in Northern VA pictured above).

Pittsburgh Research & Development
100 S Commons
Pittsburgh, PA 15212

Richmond Research & Development
Biotech Center
800 East Leigh Street
Richmond, VA 23219

Hagerstown Development Office
20140 Scholar Drive
Hagerstown, MD 21742

And just for good measure, let’s add an additional World Headquarters… According to Chalant’s Facebook page, the company is HQ’d at 10449 White Granite Dr, Oakton, VA.

OMG, found another corporate headquarters. The State of Virginia Corporation Commision lists the HQ as 9005 Southwick St, Fairfax VA. (See that world HQ Below). According to an informed source, Pugsley and Chalant were evicted from this HQ last summer for missing payments.Chalant HQ According to the State of VA

If you’re keeping score at home that means that this company has 3 World Headquaters and 3 Regional offices for 2 employees.

Social Profiles

The company created their Facebook page in April 2016.  There are a total of 7 posts on that page the last one posted in October 2016. 12 people like the page, 12 people follow it including one guy that I know and respect.  No one has liked, shared or commented on any of the posts.

On to Twitter! Their Twitter page was created in July 2016. There have been a total of 5 tweets the last one in October 2016. There are a total of 6 followers of @ChalantHealth including me. None of us work for the company.

The company follows no one, is on no lists, has not retweeted a soul or liked anyone’s tweets.

Their linked in page has nothing but a description of the company. No posts not much info.

Pugsley’s LinkedIn page is a tiny bit more robust than the companies social media presence. His profile reads,

“28 years of professional experience in business management, development, sales and marketing. Specific expertise in establishing a corporation from the ground up, developing and capturing all sales and marketing programs, directing sales staff for a variety of industries and corporations. Strong financial and communications skills used in generating progressive growth. Specialties: Competitive marketer in IT, Health Care and Telco industries.” 

I’ll say this for him, he’s not braggadocious. At least not on social media. Matthew and I share 76 mutual contacts, some of them former clients of mine, most of our shared connections are very reputable people. On LinkedIn, He’s received no recommendations and has written four recommendations for other folks. Getting a recommendation from Pugsley is like like having Attila the Hun, recommend you because you don’t pillage much. He’s posted no articles on his profile. It’s barren (by the way if any of you are looking for a good company to draft a great LinkedIn profile and turn LinkedIn into a lead generation engine, check out Judy Schram, at Proresource. This is not a paid advertisement.).

His MySpace page is where all the action is… HaHa… I jest. Is there still a MySpace?

There is zero social media marketing going on here.

There’s something not right at Chalant Health.

As Alice said when she entered wonderland… curiouser and curiouser? Let’s check this Pugesly guy out.

A cursory search on the web turns up this report on mylife.com.

Update: February 8, 2018 – Updated Mylife rating… there is a new Lien/Bankruptcy record on file.  Bad to worse.

Another search turned up a felony conviction.

Well, that doesn’t look good. Let’s dig further, let’s invest in a background report. Background report comes back. OMG (background report is not brought to you by Trustify)! Would you invest in a guy if you knew Matthew Pugsley was:

  1. Convicted of Felony of Criminal Trafficking, Distribution of Controlled Substance in October of 1991? (Source: Background Search)
  2. Sentenced to 5 years in Prison, served 3. (Source: Background Search)
  3. Has stiffed multiple investors and at least one attorney. (one source)
  4. I am told that he owes a vendor $300 thousand for work developing the product (one source)
  5. Evicted, February 2011, Civil Judgment Filed in Fairfax, Va for $15,000 (Source: Background Search)
  6. Filed for Bankruptcy (Source: Background Search)
  7. Was evicted from his last corporate headquarters AKA home, in the summer of 2017 (one source)
  8. Lien awarded against, November 2013 (Source: Background Search)
  9. Judgement awarded against, January 2015 for $107,590.79 (Source: Background Search)
  10. Judgement awarded against, March 2015 for $14,358 (Source: Background Search)
  11. Judgement awarded against, May 2015 for $2,100 (Source: Background Search)
  12. Judgement awarded against, May 2015 for $1,200 (Source: Background Search)

According to a Fairfax County Circuit Court document in my possession, the January 2015 judgment against Pugsley and his then company, Ultrasound Scanning Services, also known as US Scan shows he was sued and lost.

The details of the court filing state the following about Pugsley:

  1. Failed to repay $107 thousand loan to an investor.
  2. Although the background report says the judgment was $107 thousand, the document I have indicates it may have been closer to $150 thousand.
  3. Lied about the structure and state in which the corporation was incorporated.
  4. Intentionally misrepresented that he intended to use the money for the purposes of furthering his company, US Scan.
  5. Misrepresented that he intended to use the money to purchase equipment, invest in IT infrastructure, hire salespeople, complete a website at other investments in US Scan.
  6. Misrepresented the financial viability of US Scan.
  7. Used the money for personal use and not the company.

I guess US Scan should have been named US Scam.

Other Warning Signs

  • Pugsley knows about Angel List, he’s listed on Angel List… but he hasn’t listed Chalant Health? What’s up with that? Is he afraid that too much visibility may result in too much scrutiny?
  • Even illegitimate companies are listed in Crunchbase… but Chalant isn’t.
  • No listing in Gust.com
  • What is Chalant’s status as a Virginia corporation? Woops! Chalant has not paid the state filing fee for 2017. I hope The Pugster mentioned that paying the filing fee would be one of his use of funds!

This company has not done the work that a legitimate company does to raise money. Listing in Angel.co, Gust, and Crunchbase, or pay their tax bills.

Update: 12/22/17 – Hunting Ground

Based on the latest information obtained from several sources, I’ll make this supposition. Donors, volunteers, and directors of non-profits beware. Why? People who donate time and money to charities tend to be “well-heeled.” Pugsley is connected to multiple non-profits, donating time and not cash. Why? It’s fertile hunting ground for potential “investors” in this scam. If you meet Matt at a fundraising event… hold on to your wallet.

This is probably one of the reasons he targeted The Global Good Fund.

Summary

It appears that the people who invested in Matthew Q. Pugsley in the past were burned. He’s out raising money again. So go ahead suckers… don’t do your due diligence. Invest away.

And what of the people who lend their name and reputation to this thing.? What is up with an “executive team” that would allow themselves to be associated with a habitual conman?  Three possibilities:

  1. I’m wrong, and where there is smoke there is no fire
  2. They have not done the due diligence required to protect their reputations
  3. They are simpatico with Pugsley

My money’s on #2… yet, anyone on that list should be ashamed.  I did 3 hours of research to prepare this post. It wasn’t a herculean task. I know I’ve made some bonehead decisions endorsing some clowns like JP and his Fortify Scam, so I’m going to give them the benefit of the doubt. I’m not going to anoint them guilty by association… especially if I’m wrong and someone provides evidence that I have misread the incredible preponderance of damning data.

And how about the Investors?  They are quite possibly the only people stupider than investors in Trustify and qualify for the definition of a stupid investor!

There are too many Pugsleys Noces and Boices in this world and too many suckers looking to get into the next Facebook, Google, Uber. And not enough critically thinking people to ask questions and not take someone’s appearance, demeanor at face value. There just are not enough critical thinkers.

So yes, I may be wrong. All this circumstantial evidence may not add up to fraud. Maybe it’s just a huge coincidence that everything Pugsley touches smells like a turd. Maybe he’s the new Job, and god is just testing him. Or maybe Mathew Q. Pugsley is a bonified Wolf of Startupland and you sheep need to beware or you will be sheered.

Disclaimer: I volunteer my time and am an independent contractor for many organizations. The Views on my blog post are my own and do not represent the views of any of the organizations with whom I dedicate my time. That includes my clients in my coaching practice, the members of my Driven Forward ThinkTank, the University of Maryland. Mach37, The Founders Institute. These views also do not reflect the opinions for any organization that I was formerly associated with including, James Monroe Elementary School, where I graduated with distinction from 6th grade, Lexitron which I left in 1982, Montgomery Youth Hockey or Vistage an organization I was grateful to be a part of and happily parted ways in 2014.

Note: If anyone listed on this post would like to offer an explanation regarding their guilt by association, I will be happy to hear from you and make your case for why you were duped. You can send me a note by linking here and be sure to leave me an email address so I can respond. 


Update 12/22/2017: Ms. Carrie Rich forwarded the following statement and asked to post the following explanation:

In 2014, I was recruited out of a women’s governance training program and placed on the advisory board of Chalant Health. I indicated to Mr. Pugsley in 2015 that I did not wish to be involved with the company and asked to have my name removed from the website. I have had no communication with Mr. Pugsley since then. Some bios continued to include reference to Chalant Health because I used a third party marketing firm to place content. I should have reviewed the bio every time it was submitted. That is my mistake.

I invite you to thoroughly research The Global Good Fund to see the difference it has made in the lives of our Fellows and the people they impact. You are also welcome to be my special guest at our annual Gala to witness firsthand The Global Good Fund’s social impact.

Best wishes,
Carrie


Update 12/22/2017: A second person listed on the website stated they have not been involved in the company for years and asked to be removed from this post in order to protect their reputation. This person was only listed on the Chalant site and did not have Chalant listed on their bio anywhere else. I removed that person’s name from any text of this post.


Update 01/12/2018: Many corroborating phone calls later this story is truer than it ever was. Also, there is an updated article on the incredible turnover of the executive leadership team. See that update here. 

Other Chalant Health Posts… this company is a shit show… if you can call one guy and his girlfriend a company.