MLM Scams? Network Marketing Scams?

There are clear differences between these and legal MLM Network Marketing companies although sometimes the scams imitate the legal companies as closely as they can.

Do you know the difference? Can you explain it to others?

I recorded a very thorough video explanation here. It's 20 minutes that will clear up the biggest differences for you or others for good!

These are some of the scams:

ADS Cash Generator - this a great example of a cleverly disguised Ponzi scheme. Taken down by the Feds on August 1, 2008, you can learn more about how they operated at this news article

Ponzi scheme targets Christians, SEC says
InvestmentNews - New York, NY, USA May 2, 2008
The SEC charged Safevest LLC of Mission Viejo, Calif., and its two principals for allegedly misappropriating investor funds in the multilevel marketing ...

Exposing: the Oprah Letter Scam ABC NEWS Consumer Correspondent Jan. 28, 2008 ...Con Artists Claim 'Oprah' and 20/20 Endorsed Their Pyramid Scheme

An Affinity For Fraud 06.01.07, 4:30 PM ET Forbes - NY,USA Affinity fraud ... uses a simple pitch--we're one of you--to get around the inherent skepticism many people understandably have when asked for money ... money could be earned by paying $2000 to $5000 to become members of a company that sold the telephone cards through a multilevel marketing ... feds called it a pyramid scheme because investors could only make money if they recruited [more] investors.

In Pictures: Seven Ways To Avoid Affinity Fraud

Attorney General Warns of Marketing, Pyramid Schemes 11/22/06 4:15 AM ... and Charles Counties Attorney General Warns Consumers of Multi-Level Marketing Schemes, Pyramid Cons Maryland Attorney General J. Joseph Curran, Jr., warns Maryland residents to ...

Better Business Bureau expels 2 firms Pittsburgh Post-Gazette 6/30/06 12:57 AM ... which include the plan's parent company, American Family Prepaid Legal Corp. of Irvine, Calif., to immediately halt their "illegal" conduct regarding current or future marketing ...

Editor Recomendation...

Lee's Summit business owners indicted for false tax returns BizJournals.com 6/30/06 3:48 AM ... information. The Aldridges co-own and operate a multimillion-dollar multi-level marketing firm called , which sells American Silver Eagle coins. The company employed about 5,000 sales ... Concept Marketing International

UK's Times Online reports crack down on scams and "matrix" schemes..."FINANCIAL fraudsters prey on the gullible and the vulnerable. But one scam has plumbed new depths" 10/19/2005

Norwich Evening News in the UK lists the top 10 scams in Europe - Click here 10/4/2005

MLM Scams? Network Marketing Scams? Or, Pyramid Schemes?

There are clear differences between these and legal MLM Network Marketing companies although sometimes the scams imitate the legal companies as closely as they can.

Do you know the difference? Can you explain it to others?

MLM Scams?
Network Marketing Scams?
Or, Pyramid Schemes?