Following a boom in local investor recruitment, Lyoness caught the attention of Italian authorities. Italy’s Competition Authority (AGCM) announced a preliminary investigation into Lyoness in September 2018. The investigation concluded in late December, resulting...
In response to authorities announcing a preliminary investigation, Lyoness has suspended investment from Italy.Late last month the Italian Antitrust and Consumer Protection authority revealed it had begun a preliminary investigation into Lyoness’ business activities.
Specficially, the AGCM were focusing on
Lyoness’ misleading terms and conditions;
misrepresentations regarding the actual probability of making money in Lyoness; and
how Lyoness is marketed in Italy (in a broader sense)
Within forty-eight hours of news of the AGCM’s investigation breaking, Lyoness informed Italian affiliates it was suspending its voucher investment scheme.
A message in the backoffice of Lyoness’ Italian affiliates reads;
With this Communication we inform that no consumer who is taking…
In what very well could be an early death-knell for Lyoness, Italian authorities have announced a preliminary investigation into the company.The Italian Antitrust and Consumer Protection Authority (AGCM) published a bulletin on September 24th.
Details of the regulators investigation into Lyoness feature in the PDF version of the bulletin on page 23.
The AGCM state their investigation has been initiated due to a “large number of complaints” about Lyoness.
Specifically, the AGCM is investigating Lyoness for misleading advertising, unfair commercial practices, contractual violation of consumer rights and the use of discriminating or unfair terms and conditions.
Not surprisingly, the finer details of the AGCM’s investigation…
One of the common rebuttals we see to Lyoness’ Ponzi scheme is the cashback side of the business.Originally offered through Lyoness itself, the cashback scheme was rebranded as CashBack World last year.
Following the Gaming Board’s decision to ban and then uphold Lyoness’ ban in Norway, the company has filed a second appeal.
In their second appeal, Lyoness reveals some interesting statistics regarding Cashback World card adoption and use.
The problem with citing the Cashback World cashback scheme as a justification for Lyoness’ Shopping Unit Ponzi scheme is twofold;
there is no justification for Ponzi fraud and
what does or doesn’t happen outside of the core…
Any hope Lyoness changing its name to myWorld would reverse an earlier ban have been dashed, after the Norwegian Gaming Board reaffirmed Lyoness is an illegal pyramid scheme.Following a second internal investigation, in January the Gaming Board ruled Lyoness was an illegal pyramid scheme.
As at the time of the decision, Lyoness was ordered to immediately cease operating in Norway by the end of March.
Lyoness responded to the ruling by filing paperwork with the Gaming Board regarding their change of company name to myWorld.
The Gaming Board in turn published an update, acknowledging receipt of the paperwork and their intent to go over…
The latest MLM Ponzi scheme to attach itself to a cryptocurrency appears to be Lyoness.If a recent Latvian promotional video is to be believed, Lyoness are gearing up to launch “eCredits”.
Lyoness, also known as Lyconet, Cashback World and now MyWorld, have not published technical specifications for eCredits.
Official Lyconet marketing material suggests Lyoness intends to generate eCredits and integrate them into the company’s e-commerce platform.
Initially Lyoness intends to sell eCredits to investors for 1 EUR each.
As above, the Lyoness is marketing eCredit investment on a 10,000% ROI within four years.
There doesn’t appear to be any basis for this, other than the expectation Lyoness…
Five years ago we covered leaked Lyoness internal video, in which owner and CEO Hubert Friedl laid out the company’s business model.It’s all about positions, positions, positions, positions.By making downpayments one can acquire positions in the Lyoness system.I don’t go out to merely register someone, it’s not about registering people for the cashback card. Then I could as well just register you at the nearby swimming pool.Five years later, nothing has changed.Lyoness, now known as myWorld, recently held their annual “President Council” in Pamhagen, Austria.The big announcement at the event was “limited edition discount vouchers” which, as Friedl explained, are available…
Back in 2015 a Town Councillor attempted to push Lyoness onto residents of Halisham, a town in East Sussex, England.Upon other members of Hailsham council learning of the Lyoness AU investment Ponzi scheme, the project was suspended indefinitely.Two years later, a Town Councillor in another English town has pulled the same ruse.Woking is a town in northwest Surrey, England with a population of 62,796.On the front-page of the March 23rd, 2017 edition of Woking News & Mail, Lyoness was touted as “groundbreaking international loyalty card scheme”.The proposed scheme would involve shoppers signing up for the Woking Loyalty Card Programme with shops…
First there was Lyoness.Then, during an investigation by the Norwegian Gaming Board, Lyoness split the MLM side of the business into Lyconet.Based on a ton of marketing material and confusion Norway concluded that, while Lyoness had operated as a pyramid scheme, after splitting up the pyramid issues had been addressed.Hardly. Through Lyconet, Lyoness continued it’s long-running accounting unit Ponzi scheme.Amid ongoing regulatory issues across Europe, Lyoness was dropped for “Cashback World”.Cashback World operates from the Lyoness website, however Lyoness branding has been completely removed and mention of the brand is kept to a minimum.Lyconet still seems to be operating and continues…
The Norwegian Gaming Board’s initial 2013 investigation into Lyoness concluded that, while there was evidence of a pyramid scheme, the company appeared to have remedied concerns by rebranding as Lyconet.With a similar enough business model, complaints from the public detailing losses continued to pour in.That prompted the Gaming Board to open a second investigation into Lyoness, the result of which was finalized on January 11th.In an announcement dated January 18th, the Norwegian Gaming Board advised it had sent Lyoness a notice ordering to immediately terminate business operations in Norway.The Gaming Board estimate Lyoness has 150,000 affiliates across the country.As per the…