Legal Question in Consumer Law in California

Pyramid Scheme MSTGS Services?

I joined a ''business opportunity'' in S. Calfornia. The selling service was incorporation services. They advertised save 70% on taxes, have brand new credit, and make money. The pyramid company is MSTGS www.mstgs.com, Inc. They are practicing in CA, but corporated in NV. So, I was a Independent Contractor to them. They just drew circles, interconnected, with dollar signs in them. Is this a pyramid scheme? Illegal? The service they preform costs $495, and other, preform it for $99. They offer another package for $895, so members who buy this one get incorporated AND make higher money with sales.


Asked on 2/15/02, 2:46 pm

1 Answer from Attorneys
Ken Koenen Koenen & Tokunaga, P.C.

Re: Pyramid Scheme MSTGS Services?

If it sunds too good to be true, it probably is.

Sounds like an Amway type of Multi-Level Marketing. They always make it sound so good, but the reality is that you need to work and be able to sell the ideas to others.

Beware.

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Answered on 2/15/02, 3:06 pm


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