Since 1980 a new form of sales and marketing, called multi-level marketing or network marketing, has spread worldwide and spawned an explosion of pyramid sales schemes involving tens of millions of consumers. The line between legal forms of network marketing and fraudulent pyramid programs is a point of Read More…
Enough Is Enough. It’s Time for Action!
No more denial, shame or embarrassment. No more confusion. No more blaming the victim. No more resignation. And absolutely no more fear.
Pyramid Scheme Alert is the first consumer organization to confront the abuses and trickery of pyramid scheme perpetrators.
Pyramid Scheme Alert is a non-profit, privately supported (by memberships and donations), all-volunteer,
Despite the volume of lies and hype flowing from multi-level marketing schemers there is more valid, research-based and whistle-blower information available today than ever before. The truth is emerging.
As in the cases of Enron, the lethal cigarette industry, bank and mortgage frauds and the Madoff ponzi scheme, the truth about multi-level marketing is taking time to emerge but the truth inevitably prevails. As the Links offered here show, the number of activists is growing. Major Read More…
Consumer Report Now Available:
What is this Thing called Multi-Level Marketing?
This new article by Robert L. FitzPatrick is an economic “portrait” of multi-level marketing (MLM) in the USA. The report has compiled and analyzed the data on three of the oldest and largest MLM companies, Amway, Herbalife and Nu Skin in a readable and understandable way to paint a recognizable picture. Together, these three constitute 10% of the entire MLM operations in America and serve as representatives of all others. About 1.5 million Americans are signed up in them each year. Most quit within a year. The report shows shocking loss rates among participants and an extreme transfer of money to the 1% at the top. The study also examines the potential for “retail” sales by distributors, which turn out to be non-existent. Finally, the report examines the financial chances of success of a new recruit joining any of the three today.
If you have an interest in seeing this report, contact us.
Yet another member of the Direct Selling Association is at the center of pyramid fraud controversy. This time, DSA member, Talk Fusion. Earlier this year, Direct Selling Association member, Vemma, after receiving an "ethos" award from the DSA, was sued by the US...read more
The following members of the House of Representatives Joined a "Direct Selling" Caucus Organized by the Direct Selling Association, the Lobbyist for "Multi-Level Marketing" A public letter has been sent to each member from International Coalition of Consumer...read more
Donald Trump is getting a lot of attention these days as a Republican Party candidate for the highest office in the land, president of the United States. He has aroused anger for calling Mexican immigrants "rapists", saying Vietnam vet, Senator John McCain, is not a...read more
Over seven years ago, the report, "The Myth of MLM Income Opportunity" was published by Robert L. FitzPatrick and aimed at consumers being solicited to join MLMs that promised "unlimited income opportunity." Using data from 11 MLMs that published "income...read more
Donald Trump was paid $400,000 to endorse ACN. New about ACN's purchase of publicity and credibility The Donald Trump scandal he wants you to forget: Inside his despicable scheme to prey on the poor & make himself richer. investigation of ACN's Income Plan....read more
After nearly three decades of operating in the shadows, "multi-level marketing" has recently become the focus of a feature investigative article in Rolling Stone magazine, the subject of the popular NPR radio documentary show, This American Life, a full...read more