Monday, 30 November 2009

Amway bosses paid millions to keep Amway myth alive

Judging by his latest '100% Positive' squawk from the 'Amway' script, your young friend, Trivedi, has sunk back into the same old ego-protecting delusion.
The poor fellow has cut and posted pretty propaganda from the 'Amway' Ministry of Truth which, ignoring all the ugly background detail, simply insists that the US Federal Trade Commission found 'Amway's' scheme to be perfectly legal back in 1979. However, prior to the FTC ruling to which young Trivedi refers, federal agents and lawyers had taken the extraordinary step of investigating 'Amway' for almost a decade. In fact, US government agencies had been monitoring and prosecuting the dubious activities of so-called 'MLM' companies since the late 1940s. This was a result of complaints being filed concerning exorbitantly priced, but (effectively) valueless, pseudo-scientific pills and potions which were then being illegally peddled by these companies as 'universal cures for all ailments, including cancer and the common cold. ' In brief, 'MLM' companies were merely the updated version of snake-oil selling.
When, in the late 1950s, the original 'MLM' company 'Nutrilite Products Inc.' was facing closure under criminal misbranding of medicines law rather than anti-pyramid scams legislation, two of the 'Nutrilite' schills, Richard De Vos and Jay Van Andel, created 'Amway' and started peddling exorbitantly priced, but (effectively) valueless, pseudo-scientific washing powder. This dodge prevented prosecution, because household products did not fall under the scope of the Federal Drug Administration.
When, after receiving complaints, FTC economists and lawyers finally started to look closely at 'Amway' as a form of heavily camouflaged pyramid scam or money circulation scheme, they deduced that the 'Amway' scheme was mathematically impossible, because it had virtually no external customers due to the quality and price of the products. After 10 years of investigations and hearings, 'Amway' was found guilty of price-fixing, but the company avoided closure by making a stack of empty promises to the US federal authorities. 'Distributor Rules' were introduced at this time to make it appear that a majority of authentic retail sales would have to be conducted by 'Amway' commission agents before they could receive any commission. However, these rules have never been enforced. Tellingly, it was at this time, when they were facing closure, that the 'Amway' bosses were obliged to move their criminal activities outside of the USA. They first set up their organization in Canada, where, a few years later Richard DeVos and Jay Van Andel were charged with perpetrating the largest tax fraud in Canadian history. Facing extradition and lengthy prison sentences, they made an agreement with the Canadian courts in which the 'Amway' company in Canada was (alone) found guilty of tax fraud and forced to pay enormous fines. However, the money to pay these fines was supplied by De Vos and Van Andel themselves.
In other words, the 'Amway' bosses have a history of paying out millions of their stolen dollars to keep themselves out of prison and the 'Amway' myth alive.
David Brear


dtytrivedi said...

u mean they have paid millions to more than 80 countries around the world for their survival !!!

dtytrivedi said...

dear shyam looks like ur have very compelling evidence to ur claim that nutrilite products price are exorbitantly high. I have frequently seen that u made similar claims regarding the products.

my simple points to u is that

1. show me product which is cheaper compared to nutrilite product/products. and also having nutritional value.

2. often u make claims of double x product nutrilite. Please show us how do u find this product worthless.

3. to whom u are comparing with when u are judging the products nutrilite.

4. did u know these products of nutrilite preventive in nature and not curing the disease.

5. name any other company who made billions of dollars in profit by selling vitamins and minerals.

be generous and take a week or month to gather the information.

or another best option u are having and as always many anti-amway bloggers would do when i ask such facts to them.


a nice and easy way for escaping.

IS THERE ANY YARDSTICK U ARE HAVING FOR MEASURING such companies like nutrilite who focuses of vitamins, minerals and dietary supplements.

dtytrivedi said...


the anwser is expected simply attempts to run away from the issue. often its like make the rules (rely on facts and only facts) and then to run away from it.

And best way is to comment on that, show their views and opinions which atleast easy to type rather than doing some research on it. who will do it? as it requires more time and effort.

if don't know the answer do let me ask about it and i will give u and check by urself.

hey but don't verify to High court judge as u will not find any answer over there.

IBOFB said...

You'd think after so many years as an obsessive Amway-basher Brear could at least get some basic, indisputable facts correct.

Amway's first product wasn't a washing powder, it was L.O.C. - liquid organic cleaner. It was then, and is today, an excellent cleaner and great value for money. It was also probably the first product to bring the word "biodegradeable" to the attention of the public. Is that the part you consider "psuedo-scientific" Brear? Biodegradeable is "psuedo-scientific"?? I'm guessing you're a anthropogenic global warming denier as well? Just another global conspiracy huh?

quixtarisacult said...

Typical tactics of Amway apologists is to turn the discussion onto the Amway "props".
The American Scam evolved from the earlier Nutrilite scheme and the products have been merely props ever since.

dtytrivedi said...

its funny lawyer are now giving advice on products related to vitamins, minerals and supplements.

thats really intersting, now i am more interested in regarding which yardsticks are they using.

it must be better than those who are highly qualified doctors

Legal Scan said...

Trivedi, is that IBOFB who wrote these pieces for you. IF anybody else kindly confide with me.This is strictly between you and me.

Tex said...

Legal scan,

Are you high?