Quote:
Originally Posted by sammyg2
MLMs are pyramid schemes with victims. Over 99% of all people who get involved lose money (according to the federal trade commission). Good for your cousin for getting into the pyramid early 
Yes, Herbalife is still around, so if the mafia.
Herbalife does more damage and rips more people off.
A $200 million fine by the FTC is not common. It is extraordinary.
When lifelock was caught lying to customers, the FTC fined them $12 million
How about tiktok? $5.7 million, a record.
Google got fined $22.5 million for stealing and selling everyone's personal information.
If you add up all the fines levied against all the robocallers in history, the total is just over $200 million. Or about the same as they fined Herbalife.
And the oil industry does not belong to me. I wish it did. I'd be really rich.
I don't even work in the oil industry, haven't for a few years.
I'm getting paid to do research on biomass renewables, with your tax money. Thanks 
But since you brought it up: Exxon was fined $25 million, plus costs and restitution for the exxon valdez spill.
BTW that Ackman guy on off the 405 who lost his ass? |
Your points are valid but you circumvent the issues. Yeah, Ackman ain't broke but by "lost his ass" I was referring to how he had to back away. So he bought put options to sell his stocks and limit his loss. Unless Herbalife bits the dust within the put time limit, his 1.2 billion will take a hit.
In the meantime, the FTC has mailed out 1000's of checks to so called 'victims'. What happened next actually helped out Herballife and put some more nails in Ackman's financial coffin. You can read about that
here. Also, Herballife seems to have a lot of cash on hand and seem to be stable rather than burning through a stack like Tesla.
I'm not debating whether MLM's are good or bad. Bad if you believe that you are going to get rich while on the couch, yes. But of the folks that buy into the synthetic oil MLM advertised in
Autoweek or a health shake company many are simply getting the product for self consumption at a discount. IDK what that oil costs but the Motul I buy is just plain expensive.
And don't forget the tax break.