Illegal Pyramid Schemes In South Auckland

“The Direct Selling Association today condemns the emergence of several illegal pyramid schemes target our vulnerable Polynesian community” said Garth Wyllie Executive Director of the Direct Selling Association of New Zealand.

“Such schemes promise quick wealth but only deliver misery with invested money lost in the get rich quick schemes” Mr Wyllie said.

Legitimate network marketing companies are horrified by the emergence of such schemes that look to take money from people entering them and do not offer the protections offered by legitimate companies selling products and including money back guarantees.

“Network marketing does offer genuine opportunity for income however it also requires work and effort and should never require large sums of money up front”, said Mr Wyllie

The Direct Selling Association encourages anyone considering joining any company or scheme to check first that they are a member of the Direct Selling Association who takes considerable effort to vet companies and ensure they are working within the laws of New Zealand.

“It is illegal to operate, participate in or join a pyramid scheme in New Zealand and those that do could face serious penalties” said Mr Wyllie.

“The Direct Selling Association encourages the Commerce Commission to take swift actions to shut down any such schemes and harshly penalise those that are encouraging innocence New Zealanders into them as provided under the Fair-Trading Act which expressly bans such activities” said Mr Wyllie.

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