'No lose' investment scheme

I know these things always have a catch…just wondered if you guys would take a look at this site and tell me what you think.


pips.pureinvestor.com


Jow

It’s a multi level marketing scheme, which means you make money by duping others into thinking they will make money by duping others…etc. This one is really bad, however, for they are not even offering any products, but purporting to use the money to help needy people. Not quite illegal, but certainly the most morally abhorrent one I’ve ever seen. Gotta give them points for creativity, however. Don’t touch it with a 39 1/2 foot pole. :)

Jow,
This is where they get ya:

"PIPS members can join through two different options:


FULL PAYMENT OPTION - $450

This option puts you in a fully self funded situation from Month 1 and YOU will start to receive the returns on this investment at the end Month 1 with NO further out of pocket expenses EVER.

From this payment $425 is deposited into a Trust Account managed by independent Trustees which makes it fully secure.

$10 goes into YOUR BONUS to earn additional revenue.

Each month a further deduction of $170 is made from profits, out of which $150 goes into your Trust Account and $10 goes into YOUR BONUS



MONTHLY PAYMENT OPTION - $170

This option puts you in a fully self funded situation from Month 3 and YOU will start to receive the returns on this investment in that month with NO further out of pocket expenses EVER.

Each month a deduction of $170 is made from profits, out of which $150 goes into your Trust Account and $10 goes into YOUR BONUS



$400 in your fund provides a return of $175 per month which puts you into a fully self funded situation with NO MORE out of pocket payments.
Once self funding is achieved a further $100 from your profits is automatically re-invested in your Trust Account monthly to ensure continued growth of your funds. YOU also have the option of re-investing any amount of your profits to help speed the growth of your fund…"

You give them $450
It costs you $25 off the top
They deduct $170 per month from “profits” (What if you don’t make any money that month? Hmmm) and put it in a “Trust” (?)
And you are going to somehow make money enough to get rich with what is left over…SURE!
I didn’t look at the fine print, but as they say "If it looks too good to be true, it probably is."

DO NOT SEND THESE CLOWNS ANY MONEY! In fact I’m pissed off now…Grrrr!!

Peace,
-Ed :angry: :angry:

The real reason i asked wasnt for me, id never look twice at something like this, it’s because my friend is planning on putting £250 into it, 300 and something in $.
I also know someone else who has put £500 in it, i wanted to know how legit it is so i can warn them if possible.

He was telling me that you initially put in £250 and they tell you that for the first year you wont see much growth, but after that it grows significantly.

TomS -
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It’s a multi level marketing scheme, which means you make money by duping others into thinking they will make money by duping others


Does that mean that the guy who got my friend onto this scheme will be making money from his ‘investment’?
Because as far as i remember, it was the ex-boyfriend of my friends sister…he told them that he was thousands of pounds in debt until he signed up.
Doesnt sound too good.
Quote (Jow @ Oct. 11 2004,04:54)
The real reason i asked wasnt for me, id never look twice at something like this, it's because my friend is planning on putting £250 into it, 300 and something in $.
I also know someone else who has put £500 in it, i wanted to know how legit it is so i can warn them if possible.

He was telling me that you initially put in £250 and they tell you that for the first year you wont see much growth, but after that it grows significantly.

TomS -
It's a multi level marketing scheme, which means you make money by duping others into thinking they will make money by duping others


Does that mean that the guy who got my friend onto this scheme will be making money from his 'investment'?
Because as far as i remember, it was the ex-boyfriend of my friends sister...he told them that he was thousands of pounds in debt until he signed up.
Doesnt sound too good.
Yes, probably, it depends on how they handle the downlione relationships. MLM works for some, but mostly doesn't for others. There's more than one sucker born every minute. I've never felt that MLM was ethical business, but it is legal in the US. But this one is simply morally bankrupt - pretending to help needy people to dupe a bunch of those suckers. Of course someone who is in it says they're doing well. Ask to see the actual financial data - all of it. that'l drive 'em nuts. Any business that wants your investment and refuses to be totally transparent is bogus.

I still given them credit for creativity. :)
Any business that wants your investment and refuses to be totally transparent is bogus.


Exactly.
The thing i dont like is that they tell you that itll take a year or so for any investment to become obvious...so, they have alot of your money for a very long time without having to do anything for you.

They offer a spreadsheet that works out how much money you can earn after a certain amount of years depending on your investment level...apparently, using the spreadsheet, if you invest £10,000 and leave it for 4 years, no withdrawals...at the end of it you should have £300 billion :D
The forum administrators answer to this ridicuolous figure:

Anyone can pull figures out of the simulator to make this look unrealistic. I think a dose of reality needs to be applied.

Who, in their right minds, would put $10,000 in and not touch it for 4 years?

These posters are only trying to show PIPS in a bad light and are best ignored.

Cheers
Steve.


"A dose of reality"...exactly.

Im just annoyed at this as my friend is getting caught up in it.
Ive emailed them and asked a few searching questions, i asked about seeing actual financial data...and whether you gain financially by recruiting other people to invest.
I emailed trading standards as well, it may not be illegal, but i think they should see it.

Hey Jow, keep us informed, I’ll be interested to see where this goes… :)

-Ed

The astonishing thing is how often sane, rational people get caught up in these schemes. ???

Who, in their right minds, would put $10,000 in and not touch it for 4 years?
Anyone with $10,000 in the clear to invest. That's who. And that person would be in their right mind to not touch it if it were a legitimate investment. It's common for investments to take much longer. Most legitimate investments take a long time for any but minuscule payouts. This guys answer tell you all you need to know. He clearly admits that the simulator is spewing out bogus numbers.

Here in the US we had an outfit called Amway. Sold household products. Made a lot of people at the top of pyramid rich. At the expense of the people on the bottom. I have friends that bought into that crap and lost a TON of money.

Be wary of any get-rich scheme. There’s only one way to do it legally and morally. HARD WORK.

TG

There’s hundreds of “happy housewife home businesses” that are based on the MLM scheme. Most are legal because they do have some kind of products, and often the products are good. The bottom line it that the guys at the bottom loose eveything they put in it.

All I see at that website is a way to send them money and how the take money every month from you profits. Where the link to where your profits come from? Sound like you give them money, they take money, and you rake in the profits for doing nothing…except sending them money every month. It’s implied that they invest it. In what?

Where is this company REALLY based?

My brother was a high-up in a company that paved the way for MLM in the late 60’s and early 70’s. He was a step below the top guy. He got out a month or so before the poop hit the fan. He lost everything, but avoided jail time. His boss and top dog got a lengthy prison sentence. There were a few other folks that got out semi-clean as well. Top dog? Glenn Turner. Company? Koscot (cosmetics) and Dare To Be Great (motivational, pre Tim Robins)

Read the reviews of an unauthorized book about it. There are STILL folks that don’t see the light today…

http://www.amazon.com/exec…=glance

Here’s some lawsuits…
http://amquix.info/lawsuits/dare_to_be_great_ky.html
http://www.amquix.info/lawsuits/SEC_v_Turner.html
http://www.amquix.info/lawsuits/dare_to_be_great_va.html

Stay away for these kinds of companies.

(slight edit)

Here’s a few words about Amway’s legal problems from 1979. (it also mentiones Koscot and Dare To Be Great)

http://www.babener.com/pyramidyn.html
http://www.babener.com/amway.html

Good stuff, phoo, I didn’t know the history.