How to judge whether it is a pyramid scheme?

First of all, there will be no pie in the sky. Be vigilant when describing your career or reward. High returns are bound to have high risks. Secondly, no matter how the form of MLM changes and develops, its essence is still to pay the entry fee by purchasing shares, develop offline personnel and form a hierarchy, and take the "performance" of offline personnel as the profit basis.

The new pyramid scheme does not restrict personal freedom, does not accept ID cards and mobile phones, and does not attend classes in groups. But under the banner of capital operation, attracting people to cheat money, using luxury cars, wearing gold and silver, etc. Use money to attract your relatives and friends, and finally make you lose everything.

Therefore, to identify pyramid schemes, we need to look at three characteristics:

1, registration fee

Whether it is necessary to subscribe for goods or pay fees to obtain franchise qualifications or develop others' franchise qualifications to seek illegal interests;

Step 2 pull people's heads

Whether it is necessary to develop others to become their own downline, and pay remuneration to the developed personnel based on the number of people directly or indirectly developed, so as to seek illegal interests;

3. Method of payment

Whether to calculate the remuneration according to the sales performance of direct or indirect development personnel and seek illegal benefits.

If it meets the above characteristics, it may be suspected of pyramid schemes.

The police remind everyone that the following terms are commonly used in pyramid schemes:

1, "Beibu gulf construction", "capital operation", "1040 project", voluntary chain, private mutual financial management;

2. Consumer rebate, chain sales, joining, profit from click advertising, love and mutual assistance, consumer pension, overseas funds, original stock investment, and electronic currency transactions;

3. Static income, dynamic income, direct promotion award, layer promotion award, touching award, seeing award, leadership award, cultivation award, declaration award, management award and community performance award.

Extended data:

Elements of pyramid selling crime:

First, the object elements

The object of this crime is a complex object, which not only infringes on citizens' property ownership, but also infringes on the market economic order and social management order. The object of this crime is citizens' personal property, usually money. MLM is often accompanied by tax evasion and price gouging, which infringes on many social relations and legal objects.

Second, objective factors.

Objectively, this crime is manifested as a serious act of organizing and engaging in pyramid selling activities and disrupting market order in violation of state regulations.

However, not all pyramid schemes constitute a crime. If the circumstances are general, it is a general illegal act, and the administrative department for industry and commerce will give administrative punishment. Only if the perpetrator's pyramid scheme is serious will it constitute a crime, and criminal responsibility shall be investigated according to law.

In addition, it is necessary to distinguish between pyramid selling crimes and illegal acts in direct selling activities. If there are deceptive and misleading behaviors in direct selling, such as exaggerating the income of direct sellers and the efficacy of products, the direct selling supervision department should impose administrative penalties and should not be considered as pyramid selling crimes.

If the circumstances are serious, we should comprehensively weigh the amount involved in pyramid selling, the number of pyramid selling developers, the means used in pyramid selling, the impact caused by pyramid selling and other factors.

Third, the main content

The subject of this crime is the general subject, and any natural person who has reached the legal age of criminal responsibility and has the ability of criminal responsibility can constitute this crime. This crime is mainly aimed at the organizers of pyramid schemes and the active participants who have repeatedly introduced, deceived and coerced others to join pyramid schemes. For the general participants, they will not be investigated.

According to Article 2 of the Supreme People's Court's June 1999 Interpretation on Relevant Issues Concerning the Specific Application of Law in the Trial of Unit Crimes, "companies, enterprises and institutions established by individuals for illegal and criminal activities commit crimes, or after the establishment of companies, enterprises and institutions, the main activity is to commit crimes."

Therefore, according to the provisions of judicial interpretation, companies specializing in pyramid selling activities are not treated as unit crimes, and their organizers and main participants are convicted and punished as natural persons.

Fourth, subjective factors.

Subjectively, this crime is direct and intentional, with the purpose of illegal profit. That is to say, the perpetrator knows that he is carrying out pyramid selling activities, which is prohibited by national laws and regulations, but in order to achieve the purpose of illegal profit, he still carries out this kind of behavior, and has hope for the harmful results and actively pursues it.

Phoenix net-a picture to understand, how to identify pyramid schemes