Canadian tax fraud is a pattern of major racketeering activity

Shyam

Your correspondent, Umamaheswara Rao, is correct to observe that in any closed-market swindle or illegal money circulation scheme, cash is transferred from its many (powerless and ill-informed) victims at the base of the pyramid, to its few (all-powerful well-informed) instigators at the top. All manner of open-market lies can be presented in order to sustain a closed-market swindle and get more and more victims to hand over their money. In the case of Bernie Madoff, for decades he hid behind various impressive-sounding corporate structures and steadfastly pretended that he had discovered a fool-proof method of making money for other people, no matter what the overall trading conditions were. In reality, Madoff's so-called 'Hedge Fund' never generated any significant or sustainable revenue other than the cash which came internally from its own victims whom Madoff arbitrarily defined as 'investors.' So long as more and more victims continued to enter Madoff's closed-market swindle, he was able to maintain the illusion of open-market authenticity by using a proportion of his ill-gotten gains to pay-out what he arbitrarily defined as 'profits.' At any time, Madoff could have been exposed as an economic alchemist peddling victims infinite shares in their own finite money, had US law enforcement agents asked one basic question: Where do all the so-called 'profits' really come from in your so-called 'Hedge Fund?' The larger Madoff's attractive lies grew, the more unthinkable the ugly truth became.

The 'Amway' swindle is essentially identical to the Madoff swindle, only the detail of the external presentation has been changed. For decades, the instigators of 'Amway' have hid behind various impressive-sounding corporate structures and continued steadfastly to pretend that they have discovered a fool-proof way for other people to make money, no matter what the overall trading conditions are. In reality, the so called 'Amway Business Opportunity' has never generated any significant or sustainable revenue other than the cash which comes internally from its own constantly-churning victims whom the instigators arbitrarily define as 'Independent Business Owners.' So long as more and more victims continue to enter the 'Amway' closed-market swindle, the instigators have been able to maintain the illusion of open-market authenticity by using a proportion of their ill-gotten gains to pay out what they arbitrarily define as 'bonuses.' At any time, the 'Amway' swindlers could have been exposed as economic alchemists peddling victims infinite shares in their own finite money, had US law enforcement agents asked one basic question: Where do all the so-called 'bonuses' really come from in your so-called 'Business Opportunity?' The larger the attractive 'Amway' lies have grown, the more unthinkable the ugly truth has become.

The 'Amway' swindle is far more pernicious than that operated by Bernie Madoff, in that it was designed to blame the victims who have been arbirarily defined as 'Independent Business Owners.' The quantifiable evidence proves them to be nothing more than de facto slave recruiters for billionaire racketeers.

The huge tax fraud that Messrs. DeVos and VanAndel, perpetrated in Canada to which your correspondent, Umamaheswara Rao, also refers, involved the creation of dummy corporations in order to evade the payment of tens of millions of C$ in import duties. This fraud remained hidden for years. When 'Amway's' external accountants finally discovered what was happening, and approached the management of company to inform them that they must come clean, they were asked to hide the truth from the Canadian authorities. However, these accountants refused. Messrs. DeVos and VanAndel were subsequently charged with perpetrating the largest tax fraud in Canadian legal history, but they failed to turn up for their trial. The Canadian authorities began extradition proceedings, but these were halted when Messrs. DeVos and Van Andel made an out-of court settlement in which all charges were dropped against them provided the corporate structure known as 'Amway Canada' plead guilty to fraud and agreed to pay the largest fine in Canadian legal history. The 'Amway' Ministry of Truth then inverted reality by steadfastly pretendingthat Messrs. DeVos and VanAndel were innocent victims of anti-Americanism who had made a noble sacrifice in order to save the honour of their company and country. Again, the Canadian tax fraud is self-evidently part of a pattern of major racketeering activity.

David Brear (copyright 2010)