SAN ANTONIO – Well-known San Antonio "house flipper" Armando Montelongo is being sued by 164 of his former students.
That lawsuit, filed last week, claims that Montelongo took thousands of dollars from them for "flipping" seminars that just did not pay off.
"Montelongo seminars are really just ruses to sell more education," said Christopher Wimmer with Emergent Legal. "Hysteria is created at the events, we allege, and really financially dangerous results because this bullet proof system which is sold as something that works in all markets, at all times, does not in fact."
Wimmer said so far 164 students are part of the lawsuit, including 16 from Texas and one from San Antonio.
However, Wimmer said since they filed the lawsuit, more students have come forward.
Wimmer said the seminars, tours and programs all add up to about $40,000 to $50,000, which could purchase a college education.
"There's a free teaser, which is alleged to sell a $1,500 event," said Wimmer. "That event is used to sell the bus tour, where Montelongo is present."
The investment hurt students, the lawsuit alleges, causing divorce, depression and in one case, suicide.
However, the Armando Montelongo Company released a statement earlier this week stating:
"Unfortunately, there is a small group of people, 164, out of more than 1.5 million people, who have come through the Armando Montelongo Companies, that have decided that continuous hard work is not for them. Now they have chosen to try and make money the easy way by clogging up our legal system with a frivolous lawsuit."
In the statement, the company also claims it will be filing a counter lawsuit against the students.