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International Association to Expose, Study and Prevent Pyramid Schemes
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Pyramid Scheme Alert Update
Pyramid Scheme Alert is a non-partisan, non-profit, all-volunteer consumer education group. Contact Robert L. FitzPatrick, Pres. at
[email protected]
July 28, 2008
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There are two News and Commentary Reports in this edition. Also, see Special Reports listed at the bottom of the page. Please feel free to forward this newsletter.
Consumer Alert! Top Amway Trickster Now Leading Monavie Recruitment; Amway Tools now Used to Draw Consumers into Monavie
New Blog is Launched on Facts, Reality and News of Multi-level Marketing and Pyramid Schemes
Consumer Alert! Top Amway Trickster Now Leading Monavie Recruitment; Amway Tools now Used to Draw Consumers into Monavie
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PSA LogoOne of Amway's top recruiters, who confessed that he had participated for years in an illegal pyramid scheme, is  now running the same scheme for the MLM, Monavie. Monavie sells bottles of fruit juice.

A recent article in Forbes Magazine reports that Orrin Woodward, the leader of the Amway recruitment scheme, called Team, has taken the same scheme to Monavie. The Team scheme promises Monavie recruits, just as it used to promise Amway recruits, that they can make more money in Monavie by buying Team's "tools" (books, CDs, seminars, etc.). Additionally, they can earn money also by recruiting new Monavie people into Team's program.

At Amway, both statements turned out to be cruel lies. 99% of all Amway salespeople never earned a profit. And, according to Forbes Magazine, 99% of all Team's members never earn a profit hawking Team products.

Moreover, Woodward, now one of Monavie's top recruiters, stated in a lawsuit against Amway that Amway is an illegal pyramid scheme. He stated this even though he had recruited for Amway for seven years. As an NBC Dateline report (see video of the NBC televised report) confirmed, top Amway recruiters like Woodward made most of their money from selling "tools" to Amway recruits
not from actually selling Amway products. He promised the hapless Amway recruits financial success in Amway through the Team system.
 
But, in the lawsuit, he confessed that it is virtually impossible for an Amway recruit to make money in Amway because the scheme is based on "endless chain" recruiting and Amway products are "hopelessly overpriced."  (At Monavie, which also uses an endless chain recruitment plan, he now recruits people to sell fruit juice priced at $39 a bottle.  Thousands of bottles of Monavie are on Ebay for about half the price.

In the lawsuit, Woodward stated that the recruits in Amway lost money because Amway is a fraud, not because recruits lacked skills, motivation or marketing support. So, the Team products that the consumers purchased only worsened their losses. Now the Team scheme is directed at Monavie recruits. Read more...
New Blog is Launched on Facts, Reality and News of Multi-level Marketing and Pyramid Schemes
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False Profits Blog Logo "The False Profits Blog" is now online and includes short essays, news items, and analsis about the epidemic of pyramid schemes sweeping the USA and other countries. It is subtitled, "Economics, Politics, Legalities, Ethics and Sociology of Pyramid Schemes." Content will be varied, interesting, myth-busting and thought-provoking.

The False Profits Blog will be a resource to combat the deceptions spread by MLM schemes about their "income opportunities." It will be a sane and reasonable haven from the Tower of Babel that characterizes so much of online chatter about MLMs.

The False Profits Blog will be advertising-free. You are invited to contribute your comments. The Blog has just begun. More content will be added over time.
See http://www.falseprofits.com/FalseProfitsBlog.html
Special Reports for Consumers...
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Contact Information
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Pyramid Scheme Alert
Tel: 704-334-2047
Fax: 704-334-0220
Email: [email protected]
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