Fraud

Public Interest Groups Oppose Omnibus Bill Rider That Would Undermine FTC’s Ability to Police Pyramid Scheme Activity

In a letter to Speaker of the House Paul Ryan and Minority Leader Nancy Pelosi, consumer advocacy organizations, civil rights groups, and academic experts urge opposition to the inclusion of an amendment sponsored by Congressman John Moolenaar (R-MI) which was included in the Financial Services and General Government appropriations bill. The amendment would severely weaken the Federal Trade Commission’s ability to police pyramid scheme activity in the multi-level marketing (MLM) industry. Under the guise of consumer protection, the amendment would blur the line between legitimate direct selling opportunities and illegal pyramid schemes.

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