England Government Seeks to Shut Down Amway in England as "Inherently Objectionable" (Translation: Fraud)
The case brought against Amway by the government of England is moving forward. After a judge allowed Amway to continue - under strict restrictions and changes - the government has appealed the decision and is moving to close it down. The government's actions are based on its findings that in England:
1. Amway's product are not marketable. They are priced far higher than comparable goods. They are seldom sold to anyone other than the salespeople themselves.
2. More than 99% of all Amway salespeople lose money. More than half quit the scheme within a year, after suffering financial losses. Virtually all the commissions that Amway pays wind up in the hands of a tiny group at the top.
3. The only way to make money in Amway is through "endless chain recruiting", a flawed and fraudulent system that guarantees only the top recruiters can be profitable.
4. Extreme deception is used to lure people into the scam.
The data reveals that Amway has been harming English consumers for decades, deceiving people about the "income opportunity" and siphoning money to a small group of recruiters.
See a full report below and a related article that offers background on the judge's ruling, which is now appealed.
1 comment:
Wow, you never even read the case or findings did you?
The judge explicitly said the case was not about prices.
So you wrong about point 1. Point 3 was thrown out by the judge and not appealed. Even a cursory understanding of the business model shows it's not true. The fact BERR even tried on this count is an indictment of them not Amway. Point 2 was considered, but as the judge said, it's an opportunity, not a guarantee, and it certainly doesn't apply today in the UK with no joining fee.
Point 4 is the basis of the appeal, and the judge stated it wasn't Amway doing this, their failing was in not policing what Amway reps were doing.
You also have conveniently ignored the fact that the judge refused BERR's request that Amway not be allowed to resume full operations, with sponsoring. The fact he refused is indication of how much chance he thinks the appeal, which is based on little more than legal technicalities, has of succeeding.
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