Ponzis and Pyramids on the Rise

Two recent news articles provide insight into the recent proliferation of Ponzi and Pyramid Schemes.

I was interviewed by the Wall Street Journal about the sudden revelation of more Ponzis on Wall Street.

A reporter for the State Journal Register, the dally newspaper of the capital of Illinois, interviewed me and used Pyramid Scheme Alert's work as the centerpiece of his article on the same subject but included the spread of Pyramids schemes on Main Street.

These articles reflect a growing realization that:

* pyramids and ponzis have become imbedded in the economy;
* the Recession is spawning more scams, and attempts by investors to withdraw funds reveal previously hidden, existing ones;
* they affect nearly everyone;
* they are seldom prosecuted by the government regulators unless they collapse (after maximum damage has occurred);
* they are dressed up in the garbs of the respectable, legitimate, pious and patriotic;
* recognizing them is increasingly difficult for the average person;
* the "endless chain", which used to be understood as classic fraud, is now treated as a legitimate "marketing tool" or "compensation plan."
* The pyramid is now a business model.

No More Silence: Take Action

Over the last eight years, Pyramid and Ponzi schemes have grown and spread. The Internet is now choked with "cash gifting" scams and "matrix selling" frauds. Pyramid selling scams have multiplied and now boast that the Recession will bring them more desperate "recruits." The false promise of income from an "endless chain" recruitment scheme is the lure of these multi-level marketing scams. Many of the “job” and “business opportunity” solicitations on the internet are nothing more than pyramid schemes, flim-flam frauds.

Consumers now have a way to fight back. A petition for stronger regulation is being gathered on the Pyramid Scheme Alert

.To Read and Sign the Petition, Click Here