MonaVie Scam

The MonaVie product-based pyramid scheme has come crashing down. Utah-based MonaVie Inc. the marketer of nutritional fruit juice and personal care products defaulted on a $182 million note and has been forced into foreclosure. MonaVie will voluntarily transfer “substantially all” of its assets to Jeunesse. Jeunesse is a multilevel marketing company that sells personal care and nutritional products to independent distributors. – Source The Salt Lake Tribune

How many people have lost their money and dreams to this company?

In 2001, Dallin Larsen became vice president of sales for Dynamic Essentials in Lake Mary, Fla., which sold a fruit juice called Royal Tongan Limu. In 2002, during Larsen’s tenure, the federal Food and Drug Administration issued a letter to Dynamic Essentials warning that claims on the company’s website that the juice could “treat various diseases such as cancer, arthritis, and attention deficit disorder” were in violation of federal law. Dynamic Essentials sometime after that ceased operation. In October 2003, the FDA said it witnessed the voluntary destruction of 90,000 bottles of Royal Tongan Limu.  – Source The Salt Lake Tribune

In 2005 Dallin Larsen founded MonaVie LLC/MonaVie Inc., a privately held MLM company based in South Jordan, Utah. The company took over the bottling, distribution, and marketing of MonaVie juice products. MonaVie built a cult-like following and generated billions of dollars with a mixture of juices formulated around the supposed healthy attributes of the açai fruit from the Amazon jungle. Newsweek reported that fewer than 1 percent of distributors qualified for commissions and of those, only 10 percent made more than $100 a week. And the dropout rate, while not disclosed by MonaVie, is around 70 percent, according to a top recruiter. – Source Newsweek

How the MonaVie scam worked:

MonaVie was a standard product-based pyramid scheme.  MonaVie distributors earned commissions based on the purchases of other distributors below them.  Distributors were required to be active by buying products themselves.  Over time, they added the ability for you to satisfy the active requirement by selling twice the requirement to preferred customers.

MonaVie’s juices were an extremely expensive product (approximately 20 times the price, ounce for ounce, of other 100% fruit juices). In the rare case that a preferred customer was buying the product, it is likely that they were sold on illegal medical claims or deceptive marketing. – Source

Why are there only a small amount of complaints about this company?

In my opinion, people were lead to believe that the MonaVie business opportunity was great, and the only thing that could go wrong was them. This causes people to feel as if it is their own failure rather than recognizing the system was designed to fail for over 99% of them from the beginning.  Clearly MonaVie was not a solid business.