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.
Thousands of women who have bought into the LuLaRoe legging empire in hopes of getting rich quick have since left. We talk to three women about their experiences as LuLaRoe consultants and why they decided to leave the controversial MLM behind.
AdvoCare International announces a revision of its business model from multi-level marketing to a direct-to-consumer and single-level marketing compensation plan.
Young Living has been sued for operating an illegal pyramid scheme created under the guise of selling essential oils for quasi-medicinal purposes. This comes as no surprise to many of us that have seen the complaints made about this company.
I know this comes as no surprise to many of you, but RUJA IGNATOVA – a founder and original leader of OneCoin has been charged with wire fraud, securities fraud, and money laundering offenses.
Attorney General Bob Ferguson has announced a lawsuit against multi-level marketing business LuLaRoe and several of its “home office” executives, alleging that the company’s former bonus structure constituted a pyramid scheme. The lawsuit also asserts that LuLaRoe’s claims regarding sustainability, profitability and inventory refunds are unfair and deceptive.
QNET lured customers promising high returns if they became a part of its businesses including but not limited to cost-optimization, health and wellness, watches and jewellery, personal care and beauty, tour and education. Once a new member joins the chain through a promoter, he becomes an independent representative and gets complimentary items. The promoter, in return, gets a commission. While top-level members get good returns, new members are left with nothing.
Financial services are the perfect cover for a recruiting scams. Throw in a few low value financial services like credit repair and you can run a recruiting scam legally here in the USA. Most of these recruiting scams share little information with you about your chances in making money by selling their financial services for retail prices. They focus on the money you can make by recruiting people into the money making opportunity, buy they remind you that you do not need to recruit. Many of my subscribers have requested that I take a look into the myEcon business opportunity. Here is what I have found.