Richmond Berks Review: RBD Ponzi points investment scheme
Richmond Berks claim to be an
international company that traces its history back to 2008.
Two young businessmen John Richmond and Klint Berks met at an auction, fighting over one and the same lot.
One year later together with two other brokers they founded a company that specialized in purchase of real estate at auctions and its further resale at the secondary market.
In 2016 due to the conflict of interests, Richmond and Berks sold their company shares and founded a new corporation – Richmond Berks.
This aligns with the September 29th, 2016 registration of the Richmond Berks company website domain.
That’s about all that aligns however, with there being no information on either John Richmond or Klint Berks predating the launch of Richmond Berks a few months ago.
No detailed biographies for either men are provided on the Richmond Berks website. The website domain itself was registered anonymously.
This is highly suspicious and raises the question of whether these individuals actually even exist.
As always, if an MLM company is not openly upfront about who is running or owns it, think long and hard about joining and/or handing over any money.
The Richmond Berks Product Line
Richmond Berks has no retailable products or services, with affiliates only able to market Richmond Berks affiliate membership itself.
The Richmond Berks Compensation Plan
The Richmond Berks compensation plan sees affiliates invest money in “Richmond Berks Dollars” (RBD).
RBD is an internal currency used by Richmond Berks that is worthless outside of the company.
Richmond Berks pay an advertised 1.4% daily ROI on RBD points with RBD points (0.7% on weekends).
Withdrawals are made in USD, with Richmond Berks keeping 50% of each withdrawal request.
Richmond Berks also reward affiliates with Richmond Berks Bonus points for doing “certain activities”.
A daily 0.05% ROI is paid on Richmond Berks Bonus points, which otherwise seem to function the same as RBD points.
Referral commissions are available on funds invested by downline affiliates, paid out down two levels of recruitment (unilevel):
- level 1 (personally recruited affiliates) – 10%
- level 2 – 5%
Joining Richmond Berks
Richmond Berks affiliate membership is free, however affiliates must invest in Richmond Berks Dollars if they wish to participate in he attached MLM opportunity.
Underneath a veneer of buying and selling real-estate, Richmond Berks is set up like a typical MLM underbelly Ponzi scheme.
The information on its owners is unverifiable. A list of employees provided on the website appears to be stolen images cropped onto a generic grey/white background.
Like John Richmond and Klint Berks, no third-party information is available on any of the sixteen alleged employees.
The Richmond Berks website professes the company makes money by flipping real estate.
To that end the Richmond Berks website lists “recently purchased objects”. The list details real-estate properties from around the world worth millions of dollars.
Photos used on each of the listings are stock photos ripped from third-party sources (classified listings, personal blogs etc.)
Absolutely no proof is provided that Richmond Berks, a company purportedly only set up a few months ago, purchased any of the listed properties. I wasn’t able to verify any purchases myself.
In the Richmond Berks “main principles and terms” document, the company provides evidence of a UK Companies House incorporation.
This costs about £20 GBP and is typical of MLM underbelly schemes. The address provided on the incorporation document appears to be residential.
A “Public Offer” document hosted on the Richmond Berks website claims
Richmond Berks LLC (Richmond Berks) is registered with the Securities and Exchange Commission under the Investment Advisers Act.
A search on the SEC’s Edgar database however reveals no listings for either “Richmond Berks” or “RichmondBerks”.
Whoever is running Richmond Berks has stolen the entire document from somewhere, or they’re just flat-out lying.
Either way, what we’re left with is investment in a virtual currency that pays a guaranteed perpetual daily ROI.
The only verifiable source of revenue entering the company is sourced from affiliates, the use of which to pay ROIs to existing affiliates would make Richmond Berks a Ponzi scheme.
Putting aside the numerous discrepancies above, even if you take the whole flipping real-estate shtick at face value, it doesn’t make any sense.
Why would a legitimate company, who claims to be able to flip millions of dollars in real-estate and generate a ROI of 1.4% a day, be wasting their time with a worthless virtual currency and affiliate program?
The answer is they wouldn’t.
As with all Ponzi schemes, once new affiliate recruitment dies off so too will new funds entering the system. At that point Richmond Berks collapses, leaving the majority of affiliates with a loss.
Owing to the 50% withdrawal split and virtual currency used once real money is invested into the system, affiliate losses are maximized as there’s a strong incentive to keep money in the system.
But don’t worry. Once Richmond Berks inevitably collapses and the anonymous admins run away with your money, the company has you covered.
Due to insurance, all financial risks are reduced to zero.. Insurance is provided by the company; it is absolutely free and does not require any client fee..
Free guaranteed Ponzi investment insurance? How generous of them.
Just don’t ask for any specific details…