Entries Tagged as 'scams'

Mentors Fault Or Companies Fault?

Recently will researching another business opportunity I found an article that was interesting.  I was researching the opportunity call Passport to Wealth on the net and came across a site which a guy was saying it wasn’t a scam.  He placed blame on the mentors scamming people and that the company offering the product had no wrong doing.  He went on to imply this in all of these types of MLM businesses like Liberty League and so on.

I can somewhat see his point and I also see what makes his statement a crock.  The mentors are the ones out in the trenches recruiting the people and making the sales with whatever tactics it takes.  At this point I haven’t even gone to the passport to wealth site to see what they offer so I am using Liberty League in my thoughts.  We all know that Liberty League offers motivational products that are outrageously priced and similar material can be found on the net for little to no money.  That’s the companies doing and not the mentor.  I believe the company would be the one putting on the big propaganda conventions or what ever they are.

The mentors are probably more the scam artist because they are the ones out there misleading people and doing all the dirty work.  I laughed at the fact LLI has a compliancy dept and makes claims of operating with integrity.  The company relies on the mentors to continue preying vulnerable people and taking them for as much as they can.  Clearly the company hides behind the mentors and cheap websites.  I think the company and the mentors are equal contributors to the scam and anyone with an ounce of integrity would not do on to others this way.

Liberty League Compliance Initiative

What the hell, are you kidding me.  They claim on their website they always conduct business dealings with absolute integrity and take compliance very seriously?  Does leaving the Liberty League International name off all the lame deceptive websites mean compliancy?  It would be hard to have your name on the websites that make the claims of “not MLM” and “no selling”.

People that have gotten involved with this group tell you that this group is a pyramid scheme.  When someone joins they are then expected to recruit others in exchange for a percentage of the fees the new recruit pays.  These are practices used by MLM and pyramid schemes.  I realize that you can’t put Liberty League International on the cookie cutter websites because everyone would instantly turn and run.  But Liberty League is far from compliant in operating with integrity In my opinion.

Illegal Cash Gifting “Clubs”

 
The other day I was looking through Home Business magazine for new things to check out and saw an advertisement that caught my eye.  I have seen the videos on youtube where the guy is opening the envelopes that have been mailed to him and counting out all the money.  These are part of a group of home-based business called cash gifting, I use the term home based business with reservations. 

Most, if not all, cash gifting programs out there are illegal pyramid schemes.  Point blank scams.  They favor the guy at the top, and depend on the people joining for him to receive the envelops of money.  For the program to stay afloat it requires heavy heavy recruitment of new members, and again, it favors the guy at the top.  That’s how pyramid schemes work.  I am disappointed in Home Business Magazine for not being a little more restrictive and doing some research on their advertisers.  It really knocks down your magazines creditability if your displaying ads the are obvious scams.  Here are a few tips from the FTC on how to avoid these things.  Illegal activities are monitored by the FTC and FBI so you may also want to consider that before getting involved as well.

If you’re approached about joining a club but you aren’t sure if it’s an illegal gifting club, the Federal Trade Commission reminds you to:

  • Consider that a legitimate gift has no strings attached and is not an “investment.”
  • Avoid being misled into thinking a gifting club is legitimate because the ads say that members consider their payments a gift and expect nothing in return. This is an attempt to make an illegal transaction look legal.
  • Be wary of success stories or testimonials of tremendous payoffs. Very few members of illegal gifting clubs or pyramid schemes ever receive any money.
  • Take your time. Don’t buckle under to a high-pressure sales pitch that requires you to join immediately or risk losing out on the opportunity. Remember, solid opportunities - and solid friendships - aren’t formed through nerve-wracking tactics.

To file a complaint if you have been a victim or someone has attempted to make you a victem, call 877-FTC-HELP or visit the website at www.ftc.gov