WAR:A.L. Williams tactics described by a former ALW Executive.

   The A.L. Williams organization is "a classic, traditional cult" that
has set as it's goal to recruit four percent of the population of the
United States or approximately nine million people, according to a
former regional vice president for the organization.

   Speaking at a seminar during the recent annual convention of the
National Association of Life Underwriters here, Robert Michael, a
former executive for A.L. Williams and Associates in San Diego, Calif.,
said that although people working for the A.L. Williams (ALW)
organization will deny it, he realizes that he was in a cult. People
who join the organization become one track, he said. "It's mentality
that comes from the top," and permeates the various levels of the
organization, he said.

   Mr. Michael said that as a regional vice president for ALW, he began
to have problems with ALW when he refused to use unlicensed agents.
Although ALW claims Mr. Michael resigned, Mr. Michael said he was
fired. Insurance code violations and personnel problems are not unusual
in the organization, Mr. Michael said.

   Earlier this year, Mr. Michael won a lawsuit against ALW claiming
breach of contract. To this day, however, ALW claims he has never lost
a lawsuit, Mr. Michael said. Mr. Michael added that he has received
threats via telephone and letters from ALW saying he is "going to make
Bob Michael pay."

   The ALW organization promotes itself as a management organization,
Mr. Michael said. "ALW says he isn't in insurance or any related
field." Rather, ALW says that the organization is a management
organization and that he recruits people.

   Each person recruited into the organization pays $25; the business
has made $50 million just doing that, Mr. Michael said. Approximately
85 percent of the people who have joined ALW have never made a sale, he
added, "but they themselves are sales." Recruiting is the business, and
that translates into sales, he said.

   Of the 195,000 people currently in the organization, 45,000 - 65,000
are in California, he noted. "If you call a policeman, or go to the
dentist, the chances are the person belongs to the ALW organization,"
Mr. Michael said. There are a lot of professional people who have been
recruited, including lawyers and doctors who want to make extra money,
according to Michael. It's an unbelievably interesting phenomenon," he
said.

   Mr. Michael noted that ALW has a timetable for diversifying the
organization into various financial arenas, including banking.

   A recent book by ALW, "All You Can Do Is All You Can Do But All You
Can Do Is Enough," has been on the bestseller list of the New York
Times for four weeks straight, and has received a lot of endorsement,
Mr. Michael noted.

   He said the organization has political action committees in every
state. The PACs have state chairs and there is a central executive
committee. ALW has instructed people in the organization to locate
individuals who "have something" on a politician that can be used
against the politician.

   The organization also has a travel agency that ALW has instructed
people in the organization to use, Mr. Michael said. In addition, ALW
owns a television studio in Duluth, Ga., that broadcasts to 1,000
different sites in the U.S., he said.

   Despite the apparent poser of the organization, however, Mr. Michael
said it is "a house of cards." The ALW organization is vulnerable, he
said. The organization is six months from extinction; the only question
is when the six months is going to begin.

   The ALW organization is "a hate organization," Mr. Michael said. "It
was born on hate, runs on hate, and is hate controlled," he said. Lying
and cheating is part of the ALW organization's marketing approach, he
added.

   To people in the organization, however, "it's too good to be true,"
Mr. Michael said. It's difficult to convince them that something is
wrong with the ALW organization, he said.

   Sheril Arndt reporting in the National Underwriter, October 17, 1988
