U.S. authorities have seized $20m (£16m) in cash discovered in a bed frame under a mattress in a MA flat.
Investigators working on a $3bn global fraud case had followed a Brazilian man from NY to the address in Westborough.
The company had been nominally selling Internet phone service plans, but the operation turned into a $3 billion pyramid scheme with two million investors around the world, according to the Boston Globe.
The U.S. attorney's office in MA has released a photo showing $20 million that was found hidden in a box spring in a MA apartment earlier this month.
The stash was discovered during an investigation into alleged money laundering.
"Photo of $20M seized in box spring following arrest of Brazilian national in scheme to launder proceeds of TelexFree", the prosecutors' office tweeted, along with the photo.
TelexFree had few customers and made most of its revenue from people buying into the company with a promise of payouts for posting online ads for it, prosecutors have said. Federal prosecutors say they've charged a Brazilian man, Cleber Rene Rizerio Rocha, 28, with money laundering. The scheme duped almost a million people into losing money.
"TelexFree purported to aggressively market its VoIP service by recruiting thousands of "promoters" to post ads for the product on the Internet", the Department of Justice said in a statement on its website.