Recently, the court issued the verdict cases, over sixty years old 'due to an organization leadership pyramid schemes crime, jailed for a year.

Wang organization, leadership pyramid selling activities have been known as a replica of Ponzi scheme, the red through the case of large network marketing.

Although a humble Wang is just the marketing case, but with her convictions, which relates to the country's 25 provinces, more than 20 people, involving up to 2 billion 400 million yuan of serious case of network marketing to draw attention once again.

Buy advertising under the guise of holding membership

Red pass AB plans have failed

According to the relevant case the police released earlier, the red pass serious case of network marketing has been called a replica of "Ponzi scheme", relying on the "red 660" website, YISHION capital investment in the name of the empty Gloves White Wolf, namely the use of the new investors Qian Xianglao investors pay interest and short-term returns, making special money illusion, thus defrauding more investment, by means of the disguised pyramid of fraudulence and concealment.

Red through the site in the first half of 2011 was founded in the United States, the founder of the cloud as a leader in the site and command, there are 2 or more network engineers outside the territory of.

After the establishment of the red web site, the first launch of the red through the A program, that is, to buy the site advertising as a pretext, through the introduction of others registered members and pay 31 yuan registration fee, the recommendation can be obtained from the commission. But because the plan is not attractive, ultimately nobody cares.

Soon, a cloud has launched a "B plan", is to buy the site advertising under the guise of the QQ group, voice chat rooms, all kinds of website investment group release information, engaged in marketing activities to develop membership, and will pay the registration fee for registered members increased to 110 yuan, the Commission adjusted on-line. But still no cause for concern, the number of registered members to participate in.

Only up or not electronic shares as bait

Three months to attract more than 20 people

In January 2012, yunmou launched the red "C plan", a popular "cloud advertising" and "high-tech" guise, will join the qualification to rise from 660 yuan to 12540 yuan, to invest in the website only rise "Guquan" Electronics Stocks to get high returns as bait, with a registered member fee and the purchase of "Guquan" funds, to on-line payment of bonuses and "Guquan 'Commission, resulting in rapid money illusion, successfully attracted the attention of investors.

After just over 3 months, the country registered a total of more than 20 members to more than 20 million people, involving the country's 25 provinces, involving funds of $2 billion 400 million, including the 25 provinces in Liaoning.

At that time, these are rich investors may not know the dream become dizzy with success, red through the website and no real business activities, only to registered members members through the development of offline mode, recommend offline purchase of electronic shares "pure capital operation, to engage in network marketing activities.

Shenyang head was taken away

Liaoning registered members of nearly ten thousand

1 at the end of 2012, the Shenyang area responsible person Zhang joined the "red" organization through the network, to join the "red" companies to buy shares and referrals can profit in the name of the old drama and a development of the assembly line, to the introduction of the company is to buy "red" stocks to the participants are required to get the join the qualification, and according to a certain level of order indirectly as a number of development personnel rebate basis, to lure participants to continue to participate in the development of others, to defraud property.

In March 25th, Zhang lecturer is king in Liaozhong area an organization participants lectures, explaining marketing and psychology and how to make money through the company stock red registration, how to identify and form, how to operate, how to split the stock through red sale etc., and absorb new members.

Wang Liao in the development of offline Liu et al, and Liu et al also directly or indirectly the development of offline Yang et al to the lectures, about more than and 20 people.

Zhang taught at the time, the police rushed to the scene, Zhang and others will take away the investigation. After preliminary statistics by the police, Liaoning registered red network members close to ten thousand people.

The development of the investigation, Zhang Wang, Wang continued to line in Liaoning development. As of the incident, the organization involved in MLM activities have more than 30 people, to pay the cost of more than 7 yuan.

Ministry of Public Security launched a cluster campaign

The backbone of the domestic network.

Prior to this, the other provinces and cities of the country also began to red through the website of the investigation, but also set up a task force, the organization of technical personnel to enter the red through the website of the internal, detailed access to its business model and related operational processes. Ministry of public security will also be listed as the case handling cases.

The police detailed evidence and careful investigation, the red pass between members are members of investment funds, there is no site outside capital inflows. In order to prevent the site shut down, the police race against time to collect fixed electronic evidence, more than 50 thousand people locked in the data of more than and 200 people.

The Ministry of public security also launched a cluster campaign, to arrest the suspects at the same time, a total of more than 200 people arrested, red site is mainly responsible for the "total Pang" and "successful tutor" "Taobao" "Hu boss" were arrested, red through the website in the network backbone of the basic network.

Members buy H yuan access eligibility

Deduct the membership fee to pay the Commission

With the red through the large network of prominent cases solved, the MLM scam also surfaced.

Red website with the launch of the virtual red currency (H coins) for settlement of funds, the new members need to pay 660 yuan to $12540 to buy H yuan ranging from the cost of access to eligibility. H coins can be transferred through the circulation of the members, and members in the reality of bank card transfers, remittances and other means of payment of funds.

Red member according to its development downline get commission, companies deduct 440H coins from the new member registration fees, according to the number of each member in each layer separately Commission 110H coins, 70H coins, coins, coins, 20H 10H 5H 5H (currency coins, coins from the company deducted 440H) and each level of each member each transaction (automated trading shares of red website system) 1.5%, the income of 0.5%, 0.25%, 0.25%, 0.25%, 0.25%, percentage of referrals from the first layer to the sixth layer, according to.

Launched only rise or not the original shares

New member funds are occupied by the upper

In order to attract investors, the site also launched a virtual red through the ancient spring products, members of the purchase of the product with H yuan, 0.1 yuan per share of the original stock, only up or down. Website system according to the calculation of the price of the shares will be sold, the transaction into H yuan, member income (unit: H) for the number of shares of the current stock price.

In addition, the red through the website released also for the members of bonus deduction of expenses payment 440H money from the company, including safe channel award, wealth channel award, leveraging channel award 7 bonus, to attract more members registered money.

With investors overnight dreams do not know, really rich just a handful of MLM on the tip of the Pyramid, they are the base of the Pyramid MLM, their funds are invested by gangs and on-line occupancy, more new registered members, more people return above, and their dreams can only be a dream.

Wait until no one registered a new member, that is, when the MLM organization collapsed.

Granny organization leadership pyramid selling activities

Be sentenced to one year in prison

September 2016, prosecutors will be suspected of organizing Wang, leading pyramid selling activities in the case of a public prosecution to the court.

The court hearing the case that Wang to sell shares through the company in the name of red, requiring participants to buy red shares to obtain eligibility, and the composition of the level in a certain order, indirect as a number of development personnel rebate basis, to lure participants to continue to participate in the development of others, swindling, disrupt economic and social order, his behavior constituted organization, crime should be punished.

The investigation, establishment, Wang in Liaoning area on the marketing organization expansion has played a key role within the organization, and participate in marketing activities in more than 30 people, over three grade level.

Recently, the court issued a verdict of the case, the first instance of Wang guilty of organizing and leading pyramid selling activities, sentenced to one year and fined fifty thousand yuan. Previously, Wang, Zhang is also launched in the Shenyang area are guilty of the crime of organizing and leading MLM jailed.