Lyoness loses second Norway appeal, permanently banned nationwide
The Norwegian Gaming Board has rejected Lyoness’ second appeal, resulting in the Ponzi scheme being permanently banned in Norway.
The Gaming Board initially banned Lyoness in Norway back in January 2018.
The Gaming Board’s investigation found that the majority of revenue Lyoness generated in Norway was from direct unit investment, as opposed to cashback shopping.
Thus it followed commissions and unit returns were also primarily funded by new unit investment.
This is the Ponzi scheme baked into Lyoness that BehindMLM first warned consumers about back in 2012.
Lyoness’ first appeal to the Gaming Board’s decision was the usual “wutabout shopping???” song and dance.
Lyoness also submitted “new information” to the Gaming Board, regarding their company’s numerous name-changes.
You had Lyoness, which then split into Lyconet and Lyoness, which then became Lyconet and Cashback World, which I believe now is myWorld and Cashback World.
Fortunately the Gaming Board rejected both the cashback and “but we changed our name” arguments. Lyoness’ first appeal was denied by the Gaming Board in June 2018.
Lyoness filed a second appeal to the Complaints Board following the June decision.
The second appeal saw Lyoness argue that the Gaming Board’s decision was based on “procedural errors” and disproportionate to violations committed.
Lyoness demanded “the right to correct the illegal” nature of their business model.
Seeing as the Ponzi investment scheme has been central to Lyoness’ business model since day one, how they’d have gone about this is unclear (another company name-change?).
Yesterday on February 12th the Complaints Board announced it had rejected Lyoness’ second appeal.
The Gaming Authority’s decision on 31 May 2018 is not subject to procedural errors and is also not disproportionate.
The Lottery Board has made a thorough assessment of Lyoness’s business and the conclusion is clear.
The Lottery Board has not found reason to give Lyoness the right to correct the illegal relationship. Lyoness (Lyoness Europe AG and Lyoness Norway AS) will stop all business.
And so that’s that.
After being confirmed an illegal pyramid scheme no less than three times, Lyoness is now permanently prohibited from operating in Norway.
Finally! Hopefully now other countries will get off their backsides and follow suit.
the market of scams is flourishing. it’s better to create a 20-in-a-million schemes of companies making millions is disappearing, no one goes to jail, at most after 25 years of trial you do half a day in jail where they offer you to eat.
To be ultra-pedantic, isn’t this the third time? Original decision, appeal denied, second appeal denied.
As I see this will be like in Australia where similar state institution temporarily banned Lyoness operation.
This is not a court desicion. This case will end up in court where operation will be again legalized.
Their system simply is not pyramid, otherwise whole start up scene should be declared ilegal.
There are many business examples where somebody who brings investors gets percentage of their investment.
Lyoness units have never been obligatory and always redeemable. That money was always spent with a known purpose, transparently.
Yes you’re correct. Three times all up, twice by the Gaming Board and once by the Complaints Board.
Lyoness was never temporarily banned in AU. The ACCC stuffed up their case because they didn’t go any further than Lyoness’ marketing material.
Why bother? Lyoness is dead in NO. They have much bigger problems in losing Italy to worry about. Neither Slovakia or Greece are ready to be the next pillaging grounds for Lyoness investors yet.
And anyway, suing the Norwegian government didn’t work out for WorldVentures. A lawsuit from Lyoness isn’t going to go any different.
None of that excuses Lyoness’ operation of a Ponzi scheme (which is what brought in the majority of revenue) and pyramid commissions.
What other businesses do or don’t do is irrelevant unless they too are running a pyramid scheme with Ponzi units.
Your luck is up Mr Oz you wont be able to post another My world blog in a long time to come, hope you enjoyed wasting your energy all those years.
I don’t know what backwards country you live in but I’m entirely free to continue covering Lyoness. Luck has nothing to do with it.
Nothing much happening since the Italian ban but.
Hello Oz. Where can I read about this ban in Italy? Is there an official goverment site? Are there any legitimate documents on the internet? Please post some links, I am trying to open my family’s eyes.
They reject these documents from The Lottery and Foundation Inspectorate in Norway saying the lottery and banks benefit from destroying Lyoness (I dont even want to know how they think that the banks and lottery benefit).
And they say that first the banks were after Lyoness, but now they’ve seen that they can’t bring them down so they joined them.. apparently some bank joined Lyoness. (I don’t really know the details).
Can you please send links to some official documents?
Thank you in advance.
We linked to AGCM directly in our Italian fine article, which despite leaving a comment on you either didn’t read or skimmed over.
agcm.it/media/comunicati-stampa/2019/1/Vendita-piramidale-e-promozione-ingannevole-sanzione-da-oltre-3-milioni-a-Lyoness
If your family is going to reject official documents from a government regulator, then there’s not much you can do.
I don’t mean any disrespect, but it sounds like your family have gone scam stupid.
You can ask them for proof of any bank having joined Lyoness, but don’t be surprised if all they have is an email from their upline claiming so.
Not that it matters, because ultimately it’s just a distraction from the fact that Lyoness is a Ponzi scheme.
Sometimes all you can do is walk away. Either they’ll make money scamming those around them (which will blow up in their faces when Lyoness inevitably collapses in your area), or they’ll lose money and you’ll never hear about it again.
Why are you saying Lyoness is ponzi scheme ? Thank you
Because I invest in units (or whatever they’re calling them now), other people sign up and invest, and when enough have I steal their money.
Before you start crapping on about shopping, it doesn’t negate the Ponzi aspect of Lyoness’ business model.
It’s also unsustainable without the Ponzi component, as evidence by the Italy collapse.