According to the FTC, SBH tells consumers they can replace their job income in six months and gain “financial freedom” in 18 months by selling its coffee, tea, and dietary supplements and recruiting other people to do the same. In reality, the FTC says, the vast majority of SBH Affiliates pay SBH more than they earn.
Young Living purports to sell essential oils when, in reality, it sells a convincing lie—the irresistible promise of financial success and “generous, industry leading compensation” by joining its unlawful pyramid scheme.
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, and Cyrus R. Vance Jr., the District Attorney for New York County, announced the conviction of MARK S. SCOTT, following a three-week trial before the Honorable Edgardo Ramos.
The Federal Trade Commission has sued the multi-level marketer Neora, LLC, formerly known as Nerium International, LLC, and its Chief Executive Officer, Jeffrey Olson, alleging that the company operates as an illegal pyramid scheme and falsely promises recruits they will achieve financial independence if they join the scheme.
Here is my analysis of the predatory practices of Direct Selling companies. We should take much more care in regulating this industry as it functions very different from all other businesses. It turns customers into sellers and commits them to purchasing contracts on a quarterly or monthly basis. This creates the pyramid structure that massively reorganizes wealth.
Multi-level marketer AdvoCare International, L.P. and its former chief executive officer agreed to pay $150 million and be banned from the multi-level marketing business to resolve Federal Trade Commission charges that the company operated an illegal pyramid scheme.
The Securities and Exchange Commission has announced that Herbalife Nutrition Ltd.—a direct selling company with operations in over 90 countries— has agreed to pay $20 million to settle charges that it made false and misleading statements about its China business model in numerous U.S. regulatory filings over a six-year period.
The FTC will be mailing refund checks totaling more than $2.2 million to people who lost money to an alleged pyramid scheme operated by Vemma Nutrition Company.
I have been hearing from some very disappointed people that have attended the Brian Rose - London Real Business Accelerator. I would like to share those opinions with you.