What are the common pyramid schemes?

1, violent pyramid schemes

The most primitive pyramid scheme is to achieve the purpose of pyramid scheme by restricting personal freedom or even kidnapping. Some people don't even know what the product is or nothing.

2. Traditional MLM

Let people voluntarily join the MLM organization through classes. If you have a product but can't afford it at all, the MLM organization will restrict some of your freedom, such as making phone calls. This is what we often see in the MLM of thousands of people.

3. New MLM

Some products can also be consumed, but the price is higher and they are completely free. Do whatever you want, or leave if you don't want to. Of course, it's hard to say if you pay the membership fee.

4.MLM network

A pyramid scheme that uses virtual products such as point cards and video advertisements to defraud membership fees.

5. Profit-free pyramid selling

Organizations that develop offline, but not for profit, such as religious organizations.

Extended data

The MLM Prohibition Ordinance was adopted at the 10 1 executive meeting in the State Council on August 6, 2005, and came into force on June 6, 2005.

Do not lease the house to pyramid sellers: legally speaking, Article 26 of the Regulations on Prohibiting Pyramid Selling, which came into effect on June 1 1 2005, stipulates that those who provide business premises, training places, sources, storage, warehousing and other conditions for pyramid selling activities shall be ordered by the administrative department for industry and commerce to stop the illegal act, confiscate the illegal income and impose a fine of not less than 500,000 yuan but not more than 500,000 yuan.

Some landlords may not know that tenants are pyramid schemes at first, but the lack of supervision objectively encourages pyramid schemes. Whether it is intentional or negligent, from the legislative spirit, it is necessary to bear corresponding responsibilities, but the punishment will be different according to the specific circumstances. If the owner disagrees with the punishment result, he can appeal through administrative reconsideration and other procedures. ?

On February 28th, 2009, in order to more effectively crack down on illegal pyramid selling activities, the Criminal Law Amendment (VII) voted by the Seventh Session of the 11th the National People's Congress Standing Committee (NPCSC) added the crime of organizing and leading pyramid selling, and added one article after Article 224 of the Criminal Law as one of Article 224: "Organizing and leading in the name of selling commodities, providing services and other business activities requires participants to obtain the qualification to join by paying fees or purchasing commodities and services,

Affect social stability In judicial practice, such cases are mainly investigated for criminal responsibility according to different situations of pyramid schemes, such as crimes of illegal business operation, fraud, fund-raising fraud, etc., and no special provisions have been made.

Crime of organizing and leading pyramid selling activities: illegal and criminal activities such as "attracting people" and "collecting membership fees" occur from time to time, which seriously disrupts social order and affects social stability. The Legislative Affairs Office of the State Council, the Ministry of Public Security, the State Administration for Industry and Commerce and other departments have proposed that in order to be more conducive to cracking down on the crime of organizing pyramid schemes, special provisions should be made in the criminal law on the crime of organizing and leading pyramid schemes.

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