Do not run after the mirage of easy/quick money

It is apt to recall a story from the famous Panchatantra. A person purchases a black goat and started walking back home with it. Four thieves watch him and hatches a plan to steal the goat. First one of them approaches the person stating why he is taking home a black dog. The person insists that it is a goat. The second thief greets the person and enquires why he is taking home a black dog. Then third person also greets the person and asks why he is taking home a black dog. The goat owner starts suspecting that there is something wrong. When the last thief accosts him asking why he is taking home a black dog, he loses cool and suspects that it is really a dog but looking like a goat to his eyes. He runs away leaving the goat and the cunning thieves take away the black goat.

This is exactly what is happening in our blog.

When it is made it clear that the Amway's business model is scam and only the upper crust in the pyramid structure is making money, Clueless Tex, Baffled Trivedi and Faceless masked IBOFB jump to support Amway. One says I am confused, the other accuses me being a communist.

But I would like to make one thing clear. I do not run away leaving the black goat. My fight against these fraudulent companies continues.

And I continue to appeal fellow humans all over world not to fall prey to these fraudulent scamsters and lose your hard-earned money. Do not run after the mirage of easy and quick money.

Pearls and Pearls Agro (PACL) are names of same fraud company

Mr Ankush from Punjab, India, wants to know whether PACL or Pearls are the same companies and why the government or Reserve Bank of India is not taking any action against these fraud companies. Yes. Pearls and PACL are the same companies which have been cheating the gullible for quite some time now with the huge interest on deposits.

Why the government or the Reserve Bank of India is not taking action? It is a good question. Most of the time, the depositors would be kept in the hope that their money would come back if they do not complain and these deposits are generally for long period ranging from five to ten years. By the time they realise that they are not getting back their money, the company would amass enormous deposits.

Pearls is offering double the amount in a short period and they claim that it is the 200 yards housing plot they are actually offering their depositors. In fact, the company does not own such vast land to allot the depositors. Any action would be initiated against the cheats only after receiving a complaint. If nobody complains there is no action. Law would not help the person who is sleeping over his rights.

These companies have been somehow managing to avoid criminal cases against them and that is how they are surviving.

In the case of Golden Forest, several criminal cases were filed and they are pending trial. The organisers of the company though they own several hundreds of acres throughout India, are not willing to part with the property to repay deposits. All the depositors are left in the lurch.

That is why I appeal to all my fellow countrymen not to fall prey to the high rate of interest and lose your hard-earned money.

Court requested to direct CID to further investigate Amway India case

A rejoinder is being filed by the de facto complainant in the Chief Metropolitan Magistrate Court, Nampaly, Hyderabad which is trying the criminal case against Amway India requesting the honourable magistrate to instruct the CID Police to further investigate into the scam.

Several IBOs of Amway India has appealed to the Andhra Pradesh High Court to declare the business model of Amway India as legal. However, the Honourable High Court has stated in its judgement that the business model of the Amway India attracts the provisions of the Prize Chits Money Circulation Schemes (Banning) act, 1978. However, the CID did not include the names of these IBOs in the charge sheet.

The details of these distributors of A1 are as follows (in W.P.No.20471/2006) 1. K. Rajashekar Reddy S/o K. Laxmikanth Reddy, Aged 24 years, R/o Himayathnagar, Hyderabad. 2. DVSL Deepak S/o D Ramachander Rao, Aged 31 years, R/o 24-87/4 Anand Bagh, Malkajgiri, Hyderabad-47 and 3. G.V. Triveni Prasad S/o G.V. Chalapathi Rao, Aged 53 years, R/o Picket, Secunderabad. Apart from this another distributor by name Sistla Raviteja S/o S. Radhakrishna Murthy, Aged 38 years, R/o Vijayawada vide W.P.no.20616 of 2006 approached the Hon’ble High Court of A.P. in support of A1 styling himself as one of the promoter of scheme of A1. The Hon’ble High Court of A.P. dismissed his writ petition. Still his identity was not shown in the charge sheet. So is the name of Balaji Sukumara in W.P.No.20470 of 2006 on the file of Hon’ble High Court of A.P.

The rejoinder has also mentioned that the charge sheet stated and explained the 6-4-3- scheme. But the CID mentioned the names of only ten persons though it needed 103 persons to complete one leg. It is a wonder only ten persons are indulging in a money circulation scheme.

It was also mentioned that the CID did not take any action against the erring company though it was prohibited in the G.O.M.S. 178 of September 15, 2008 from publishing advertisements both in print and electronic media. Moreover the CID simply stated that they need not action in this connection since others were requested to take action in this regard.

It is hoped that the Magistrate would take necessary action and order the CID to further investigate into the case and come out with a foolproof case.

Ill-gotten wealth used to buy political protection

Shyam
After his latest precisely-worded offerings, no free-thinking observer could believe that the usually puerile and abusive Mr. Scott 'Tex' Johnson is the courageous little victim of cowardly liars whom he steadfastly pretends to be.
Contrary to what Johnson now claims, at no time have I ever employed his deeply-ambiguous ethnocentric phrase, 'right-wing conspiracy,' to describe the ongoing major racketeering activities of the billionaire bosses of the 'Amway' mob and the many copy-cat 'MLM' swindlers whom they have spawned. Indeed, it would be an inaccurate use of the English language to describe the global criminogenic phenomenon which is generally referred to as 'MLM,' as a 'conspiracy.'
In the final analysis, racketeering is only about acquiring money (lots of money) unlawfully and avoiding being held to account.
Until 1980, when the US Federal Trade Commission failed to shut down the 'Amway' mob's counterfeit 'commercial' front on charges that the company was an 'inherent fraud' - combined with the arrival of the Reagan administration with its Milton Friedman-inspired, blanket, free-market policy of government de-regulation- pyramid scams, or closed-market swindles, disguised as 'MLM Business Opportunities' were not a major racket in the USA.
Back in the 1970s, FTC officials had deduced that any pyramid selling scheme without significant external revenue had to be based on the crack-pot pseudo-economic theory of endless chain recruitment. Instead of closing 'Amway' and handing the entire case to the FBI, an FTC Administrative Judge ruled that 'Amway' could continue in the USA, but only if the organization paid commission to its agents primarily on external revenue and not primarily on revenue derived from new agents (as had been the case for the previous 20 years). However, under the new Reagan policy, this ruling was never enforced. Since that time, although clearly identified, all manner of absurd pyramid scams, or closed-market swindles, disguised as 'MLM Business Opportunities' have been allowed to operate without regulation in the USA and to spread around the globe. The sanctimonious charlatans who run these pernicious rackets have used a proportion of their ill-gotten gains to infiltrate traditional culture (particulary, the 'religious-right') and to buy political protection (particularly, within the Republican party). They have also broadcast their own black propaganda which systematically categorizes all free-thinking individuals (who have calmly worked out how the 'MLM' trick is pulled) as 'crazy communists, conspiracy theorists, etc.'
David Brear

Criminal case filed against Aryarup Tourism

On February 18, it was mentioned here that the business model of Aryarup Tourism and Club Resorts Private Ltd is nothing but a money circulation scheme. Any sane person could see a racket in the scheme. Mr Sarpatwar Vinayak Rao, lodged a complaint with the police stating that the scheme of Aryarup Tourism and Club Resorts is a money circulation scheme and he was induced to become a member in the scheme. He filed the complaint with the Adilabad Town Circle Police Station (Andhra Pradesh) against the Mumbai-based company stating that he was asked to pay Rs. 1500 to join into the scheme and was also asked to enrol two more members on which he gets commission. He was also promised to get more commission in the binary system if the downline members enrol more members. He also stated that the company has already collected Rs. 11,28,33, 796 (Rs. 11.28 Crore) from public by making false promises of easy and quick money under various schemes which have no legal sanctity. The police have already arrested three persons in this connection and efforts are on to arrest the Mumbai-based office bearers.

It has been warned here about such schemes several times. I once again appeal to people not to fall prey to the schemes of these crooks. Now at least one person came forward to lodge a complaint with the police. It is hoped that more people would prefer to file criminal cases against such companies which have been looting the gullible.

A thoughtful response to Amway tool scam

Shyam
Here is part of one thoughtful response to my analysis of the so-called 'Amway tool scam' as a sustainable form of advanced/advance fee fraud.
'Mr. Brear I'm shocked and stunned... Every word of the wikipedia piece on advance fee fraud backs up what you have been saying about these MLM companies. US governments -- Democrat and Republican -- have refused to grasp what these consummate liars are doing. The FTC effort in the '70s was pretty much a joke. The US security services are worse than their African conterparts. They have stood back and allowed big-time con artists to buy protection and go on siphoning billions of dollars from overseas ... Wikipedia explains how American job seekers can be lured into Nigerian run frauds by the offer of employment opportunities with huge salaries. The Amway opportunity seems to be an American variant of the African bait where the job is a business with huge profits.'
The author the above, is a television journalist.
David Brear

It is a money circulation scheme, rush to police

Mr Madangopal Agarwal wants to know whether Malasia-based UNIPAY2UMARKETING PVT LIMITED with its India office at Banglore, is a money circulation scheme or not. It sure is a money circulation scheme. See its business model. The member who has joined the scheme has to refer five members and they in turn ahve to refer five members each and the first member gets paid for everything. Unless you find five members and the chain is broken, the members who have joined the scheme are stand to lose their money. Sounds familiar!

Like all product-based money circulation schemes, it is also showcasing huge profits. They call it with a fancy name of 3x3 Matrix Money Script. Whatever they call it, it is a money circulation scheme and people are going to lose their hard-earned money.

I advise our friend Madangopal to immediately lodge a complaint with the police and follow it up. It is high time, we the citizens concerned take action against such fraudulent companies.