|About the Book|
In the classic traditions of whistle-blowing and muckraking, False Profits unflinchingly reveals the facts and realities of pyramid frauds and multi-level marketing (MLM) schemes, also called network marketing or direct selling, that are sweepingMoreIn the classic traditions of whistle-blowing and muckraking, False Profits unflinchingly reveals the facts and realities of pyramid frauds and multi-level marketing (MLM) schemes, also called network marketing or direct selling, that are sweeping America and much of the rest of the world.The frauds that False Profits exposes and examines are not plotted in Wall Street boardrooms. They are rampant on Main Street, promoted in neighborhoods, hawked at churches, foisted on family and pitched in break rooms at work. The pushers are trusted friends and colleagues.To reveal these home-based scams, False Profits guides readers in a self-examination of treasured ideals and beliefs that the schemes manipulate and claim to espouse. It challenges readers to look at core values regarding work, success and personal relationships, which the schemes commercialize and exploit.Though 99% of people who invest in them suffer losses in money, time and relationships – sometimes bankruptcy and divorce – pyramid scams operate behind a veil of silence. Fear, shame and the loyalty of social networks prevent most people from speaking out. False Profits breaks the silence.Co-author Robert L. FitzPatrick is the nation’s foremost expert on pyramid sales scams, serving as expert in more pyramid court cases and prosecutions than any other private citizen in America. He has advised foreign governments on fraud regulation and been featured as an expert in numerous media investigations of pyramid schemes, including the Wall Street Journal, CBS 60 Minutes, New York Times, and the BBC. In 2000, he co-founded Pyramid Scheme Alert, the first consumer organization to expose and combat pyramid schemes.First published in the late 90s, the factual analysis and probing questions in False Profits are all the more relevant today. Pyramid schemes have grown in size, sophistication and boldness. Millions of people pour hopes and dreams into the schemes, depicted by the promoters as the greatest business in the world. As foreclosures and unemployment ravage the middle class, MLM recruiters unscrupulously tout their schemes as safe havens from Recession and the last chance for the average guy.Where can we turn to evaluate these seemingly irresistible solicitations? False Profits gives the tools for seeing through them and the insights for understanding our own vulnerability.