NSW publicly lists Liberty League as a pyramid scam
Despite months of telling you it wasn’t a pyramid scheme, telling you to trust the EMC marketing committee, lying to your faces and declaring bloggers like myself to be posting “unconfirmed information and opinions” (Tony Rush)…,
Today the NSW government finally went officially public with its findings:
Fair Trading Minister Virginia Judge is alerting consumers to avoid pyramid schemes following investigations into a get rich quick scheme.
Ms Judge said the promotional material of a marketing scheme known as Liberty League may potentially breach the Fair Trading Act.
Ms Judge said Liberty League is an American based company that markets lifestyle coaching products and is being monitored for any evidence that it is active in NSW.
“Ultimately it is for a court to determine if Liberty League is a pyramid selling scheme,” Ms Judge said.
“However, consumers should be wary and if they have any concerns about the company’s activities they should contact Fair Trading immediately on 13 32 20.
“While pyramid selling schemes can often be very seductive they are designed to fail because they need an endless flow of new recruits to remain viable.
“My message to consumers is: avoid pyramid selling schemes at all costs because if it sounds too good to be true, it usually is.”
Ms Judge said pyramid schemes were an illegal form of multi-level marketing where participants receive benefits by recruiting other participants to invest money.
“The money paid by new recruits enriches those who joined the scheme earlier and are closer to the top of the pyramid,” she said.
“Some pyramid schemes involve the sale of goods or services (usually of token value) while the more blatant schemes involve the investment of money only. These schemes often claim to be games, investment clubs or self-help schemes.
“Section 60U of the Fair Trading Act states very clearly that a person must not participate in a pyramid selling scheme or induce another person to join one.
“The maximum penalty for breaking this law is $22,000 for individuals and $110,000 for corporations.”
Ms Judge said Fair Trading had notified other Australian consumer protection agencies about Liberty League so they could monitor the situation.
“Consumers who have had any dealings with Liberty League should contact Fair Trading on 13 32 20,” she said.
Everything the media release states was released by me in my analysis of the company in my various postings.
Most notably see:
Dispelling Six Myths about Liberty League International
How to Promote Your Liberty League Business and Fail
Understanding the Liberty League sales model
Through diligence, education and public awareness of the Liberty League scam I feel we can now put this issue to rest once for all.
The battle to get these scammers out of our country is far from over though.
As you’re well aware Liberty League are going to start trading as Polaris Media Group from the 9th September, 2009. Currently I am in communications with the NSW office of fair trading attempting to clarify whether or not the Liberty League decision carries over to the new business.
Today I was abruptly advised that the person I have been communicating with in fair trading has been told not to comment further on the matter of Polaris Media Group.
When told I wished to speak to someone who could comment on the matter the representitive told me that my complaint has been escalated and passed on to someone higher. Presumably there are legal issues that need to be navigated in determining whether or not the finding carries over.
Rest assured I’ll continue to press for answers and a concrete statement from fair trading. You can count on me to post my findings as the information is made available to me.
For two years the founders of the newly formed Polaris Media Group have scammed the Australian public as Liberty League, it ends now.
Amazing what a group of “like-minded” people can do in a little over a month. This is a HUGE step in the right direction. If The QLD Dept of Fair Trading comes onboard also this will have massive implications not only for Liberty League but also Polaris Media Group. Keep up the good work Oz….
Well Virginia Judge has stated they’ve “notified other Australian consumer protection agencies about Liberty League so they could monitor the situation”. Not sure how long that will take to translate into action.
It’s kinda obvious this public statement has probably come about after every associate in NSW shitting bricks following the written confirmation a few days ago. I mean they sat on it for nearly 3 months and then go and make it public 2 days after it’s published?
On one hand it’s great they’ve finally done it but on the other it’s a shame we’ve had to drag them along kicking and screaming. Worse still we might have to do the same regarding Polaris Media Group.
Sensational news guys, and kudos to Shard and others. I wouldnt put it to rest yet, as LLI/PMG will keep trying to change their name to avoid detection.
There’s no way PMG will be changing their name anytime soon. So now is a good time to try and get onto them I reckon.
You lot need to learn how to read…
“Ultimately it is for a court to determine if Liberty League is a pyramid selling scheme,”
Same quote from Virginia Judge could be re-written as:
“My department has no standing to determine whether or not LL is a pyramid selling scheme and we are retracting our previous statements regarding this determination.”
That press release is just another example of truly irresponsible “reporting”, but apparently that sort of unethical behaviour is OK. Erroneous and/or blatantly misleading statements can be observed in every form of media all over the world. Something to do with that whole crazy “freedom of speech/expression” concept… Apparently humans have all got minds of their own and not everyone agrees on every issue.
The elected official in charge of OFT NSW – who’s supposed to represent the needs of all her constituents – should be castigated for her negligence in protecting the business owners that market the LLI products. I’ll certainly be campaigning for her demise in the political arena.
Anyone who decided they were scammed by Liberty League just needs to suck it up and move on with their miserable existence. They are clearly just greedy little shysters who decided LLI was a “get-rich-quick” scheme and when it turned out not to be so – they got all bent outta shape. The business is for people who are passionate about improving themselves and their lives – they market personal development products. If that’s not your bag – don’t buy into it. Get a carwash business, a coffee shop, a newspaper round, etc…
If, as general consensus seems to have it, you have a mind of your own then you have many rights (eg. the free speech mentioned earlier) but along with those come all the responsibilities for your decisions and actions.
Finally. A tip for all the younger players – READ THE DISCLOSURES! And, I just can’t resist this bit, KNOW FOR YOURSELF 😉
Time will tell, and even if the decision is in LLI’s favour it still doesn’t change the fact that 1000’s have been scammed, misled and deceived, this site can give the general public a more level playing field of discussion.
Such a typical response from a dedicated Liberty Leaguer so far detached from reality and the real world.
Aren’t propects disqualified or told to get back to the associate/advisor when “they are serious about the business” for not answering $100k+ to the income question when “intervewed”.
So Ironically YOU qualified the greedy ones that you now blame!
What was on your templated marketing website/splash page???
Maybe potential for a CEO income, EXECUTIVE level income, SIX FIGURE income, MULTIPLE SIX FIGURE income or even SEVEN FIGURE income!!!
For crying out loud, If this business operated with integrity, had full disclosure on the marketing websites including the LLI business name, TRUE start up costs to obtain the six figure income, including product purchase and marketing, a hell of a lot of people would not have joined, and this business would have done the Harold Holt years ago and not even tainted our shores.
In the end I was very foolish to join and misled at the same time……A BIG LESSON LEARNED……
Right, because the title of the press release is “Pyramid Scheme Alert” and goes on only to mention Liberty League International. Everyone here is stupid and illiterate.
In Australia there is something called the rule of law. And of course everything here is determined by the courts. However, within the scope of Fair Trading NSW they have determined this to be the case and they have retracted nothing. Also mentioned is that they will be reporting this scheme to other fair trading authorities in Australia.
Yes because Liberty League is not unethical at all. Only illegal.
How dare you. I would fight for your right to free speech even though I may find what you say retarded or wrong. Maybe you would find it easier to operate in a communist society?
Is it because the 1000 or so Liberty League/PMG members who are part of a criminal enterprise have rights which are more important than 23 million Australians?
I’m sure their misery was brought upon by Liberty League/PMG.
Yes that is how our Fair Trading minister described it too!
“Fair Trading Minister Virginia Judge is alerting consumers to avoid pyramid schemes following investigations into a get rich quick scheme.” – referring to LLI
Because putting others down is what they do best. Apparently everyone else is less successful than this mob. Not knowing there are many people from all walks of life, some richer some poorer. But none of you are good enough. And by the way doing a newspaper round is an honourable thing. You provide a service of value and you don’t belong to a criminal illegal enterprise. And thank you for delivering the newspaper to me.
You b!@#$. Sorry. Apparently she is reluctantly deciding that you deserve free speech, but must speak carefully around any LLI/PMG people.
That’s right everyone. Our propaganda material teaching you how to think only costs $29.95.
Sorry for the long post, this girl P’d me off. Especially with the free speech thing.
@Sue
Your paraphrase of the DoFT press release is either ignorant of, or willfully misrepresents, the normal processes of government in this country.
It’s simply wrong in legal fact. The DoFT under the Ministry is legally OBLIGED to do exactly what it has done. It is acting entirely properly.
Your statement [q]That press release is just another example of truly irresponsible “reporting”[/q] is confused and truly self-contradictory.
A press release is reportED. This particular release is the official view of NSW DoFT and this presser is how they are making their ruling known.
Its source is;
http://www.fairtrading.nsw.gov.au/About_us/News_and_events/Media_releases/2009_media_releases/20090904_pyramid_schemes_alert.html
Note particularly the NSW.GOV.AU bit. It seems to be taking a while to sink in, but this is an OFFICIAL GOVERNMENT WEBSITE, NOT just some media outlet.
As for the rest of your (therefore misdirected) rant, I too welcome contributions from those such as yourself defending LLI/PMG; it makes for a much more interesting discussion and is a wonderful example of exactly the freedom of speech you seem bothered by, being exercised to the full by yourself.
This seems to be a forum that is open to the full range of views, and nobody is being deleted for having differing views. But don’t expect not to be argued with or taken to task.
http://www.fairtrading.nsw.gov.au/About_us/News_and_events/Media_releases.html
Which ever LLI/PMG person sticks their beaks in next and goes with the “it’s not offical” crap. Have a quick look see at the above webpage. It’s ALL the media releases from the New South Wales Department of Fair Trading, which, in Septic terms would be equal to the Better Business Bureau. If you still can’t figure it out, then there really isn’t a lot of hope left for you. Enjoy your meetings with the gaolers….
Thanks for pointing that out Sue, would never have seen that without your input. Looking forward to the judgement and the outcome of the $5 million lawsuit in the US, against your MLM company.
You seriously think she would be actively protecting the interests of a dodgy MLM dvd sales company over the interests of the Australian general public? C’mon Sue, you’ve been looking at way too many Tony Rush videos. Get a life.
I feel you are the one with the miserable existance Sue. Flogging DVD’s on twitter, facebook, youtube… lying to everyone via the little obnoxious three lined adds on newspapers etc., trying to suck the next poor soul into a scam where the odds of making any money at all are stacked against you.
Hours per day on the end of a telephone again lying to prospects, trying to suck them in. Evenings wasted on overview calls again lying to try scam another sucker.
Imaginary ‘wonderfull trips to exotic locations’ whereas in reality you’re holed up for days at an overpriced conference being entertained by ‘conference circuit’ performers no ones ever heard of before.
All lies Sue. Fab existance my butt.
I’ll take the paper round anyday.
I’m with Sue. You lot are dishonest in the extreme. The NSW Gov has offered an opinion only. Not fact. I look forward to Liberty League/Polaris taking legal action against this forum. Just because you’re online does not mean you are above the libel laws of the land. Telling lies weakens your case immeasurably.
Hi Sue,
I did know for myself, thats why I quit. Your business is so dishonest and just plain down right dirty, it really does anger me that you people are getting away with it. What you do is not honest. It really isnt, and geez your business is hard to get around. Your compensation plan, your bullcrud calls, your insanely expensive mind warping seminars. I would honestly not be surprised if scientology where involved in some way with this business. Sue, perhaps you should grow a conscience and save urself while u can, or perhaps ur one of the leeches who USE the poor saps at the bottom to feed your lifestyle which is determined to fail. Sue, And, I just can’t resist this bit, Maybe YOU should KNOW FOR YOURSELF – Peace.
Whilst the public press release is a bit weak and can be interpreted as an opinion, the letter I made public from the office of fair trading cannot.
I can’t help but find the irony somewhat hilarious in Polaris Media Group associates running around calling others dishonest.
I was part of LLI and, to be honest, I lost a LOT of money. That said, I am fully accepting that it is due to my own actions or inactions. The business model was such that a decent amount of money could be made just as a retailer without enrolling anyone. I feel that the focus for PMG should be in the retail space (much like Avon) and move away from enrolling distributors via the MLM/direct sales hybrid model.
As someone who has lost a substantial amount of money (which has had knock on consequences in my marriage) over my decision to become a part of LLI, I can understand the bitterness that some of you demonstrate. However, I would like to add that I believe the products themselves are of the highest quality and I would still recommend them completely.
As for people considering whether to enter PMG as a business, do your maths, seek advice from small business owners that you know, seek legal and accounting advice and decide for yourself. That way, if you make a success of it, you can own the rewards and if you fail you can own the responsibility.
As someone who took out an extra $30,000 mortgage on my house to buy into the whole LLI experience, boy am I glad that my gut instinct kicked before I handed over one cent to these scammers.
Yes I lost a total of about $400 US to access my website and some marketing but that $30,000 stayed in my pocket when I realised that something felt wrong.
I called a friend in high places here in Australia who did some checking for me and told me that the ATO has employed an extra 50 people just to investigate LLI as a pyramid scheme that it is! When I realised that I could have a first class world trip for over a month to amazing places and learn & grow from that,or redecorate my home, thus gaining an extra $100,000 on the value of my property, the decision was easy! That money stayed in my pocket!
LLI and any group like them are nothing more than brain washing cultist fools who will all eventually reap what they sow…I still have friends who are desperately waiting to qualify to be advisors and still bleat like lambs to the slaughter.. yet getting more and more like trained seals every day… Geez I pity them..
I’d rather put in a solid honest 12 hour day doing something I love that services my community than spend one minute in the presence of these snakes…Feeding off peoples desire to provide their families with what they dream of.. Acheive your dreams by being honest, it feels so much better and the sleep of an honest conscience is bliss!!!
Everyone knows that you guys who operate BehindMLM are the competitor competitor company.
Firstly what guys operate BehindMLM and what competitor do I (we?) work for?
Wow…not the competitor competitor company!?! say it isn’t true Oz 🙂
@Sue – in case you havent observed – open your eyes and see for yourself – these posts are simply reflections of the 90% who have financed the likes of Racheal Oliver’s shoes and trips. This is a fact 90% of honest poeple being deceived by the 10% who have criminal tendancies – its an elaborate circus show – no more – feeding off poeple’s natural urge to make better for their families – who in reality are taken into a more desperate place…..
….you’re not really playing that card are you?
I did all those months ago when I was defending what I now know to be a massive Scientology scam.
I work a 9-5 job and am not part of the “competitor competitor”.
What b.s. is your advisor feeding you that makes you want to post that?
Do they tell you not to read these sites?
Do they say that we are all negative and have “failed” at PMG?
Do they tell you to “step up” and “know for yourself”?
What if….just what if…this was a very convenient way to steer you away from the truth so they could take more of your cash.
All the best to you x
oh- @also the truth It was your fault 🙂
[…] […]