Status: Ponzi Scheme
Chilean police have arrested a pair of con artists who had constructed an elaborate pyramid scheme based on the sale of "magic cheese".
OhMyNews reports:
The fraud consisted in selling people packs of "Yo Flex," a powder that, she claimed, would ferment milk into a special cheese. Giselle said that this "Magic Cheese" was the latest fashion in France, where women used it as a skin cosmetic, and which in Africa was used as a food supplement...
In Chile, a pack of Yo Flex sold for US$500, but chemical analysis determined that the powder was a dairy ferment worth only US$4. Mella and Jara told victims that Yo Flex should be mixed with milk and that the cheese should be returned to Fermex, which would export it to France and Africa. The agents promised the people that they would double their money in three months. Initially, Fermex did pay victims profits, but this was a ploy to convince more to invest their money. Soon, many were investing sums ranging from US$5,000 to US$40,000. Many would sell their cars or property or get bank loans to buy the packs of Yo Flex.
Ponzi would have been proud. I think someone should collect samples of all the worthless junk that's been sold through Ponzi schemes (magic cheese,
bioperformance pills, etc.), and then display it all in a Ponzi Museum. Or this would be a cool gallery to have in an actual Museum of Hoaxes, should such a thing ever come into existence. (Anyone want to donate a million dollars or so to help me build it?)
Comments
I don't know if there were pyramid marketing schemes for that stuff, though.
Magic Cheese also sounds a whole lot like yogurt ...
Unfortunately I don't have that much hoax stuff. Not enough to create an entire museum. As it turns out, a lot of the objects and collectibles associated with hoaxes quickly become highly sought after, causing their price to skyrocket. The Cottingley Fairy photos, for instance... thousands of dollars. The Piltdown Man skull... not even for sale, as far as I know. The Cardiff Giant... not for sale. The Feejee Mermaid (or what's rumored to be it)... not for sale.
All this stuff really should be exhibited together. Instead it's scattered all over the place.
"As it turns out, a lot of the objects and collectibles associated with hoaxes quickly become highly sought after, causing their price to skyrocket. The Cottingley Fairy photos, for instance... thousands of dollars. The Piltdown Man skull... not even for sale, as far as I know. The Cardiff Giant... not for sale. The Feejee Mermaid (or what's rumored to be it)... not for sale."
I went to the Ripley's Believe It Or Not museum in Newport, Oregon back in March. They have a Feejee Mermaid there in a glass case. While they don't actually say that it's Barnum's original, they sure try to imply it. I think I remember seeing a Feejee Mermaid in at least one of the other Ripley's joints I've visited, come to think of it.
I really do like the idea of a physical Museum of Hoaxes. Hey, Alex, if you ever get the money (or if I hit the Powerball and finance it), I want to be the co-curator or something.
Maybe we could call it the Museum of Human Gullibility, although when I suggested that to her a few minutes ago, my wife said there already WAS a Museum of Gullibility--the Vatican.
So, the magic cheese would be "regularly $500, on sale for $4.95"
This would be fun. Seriously, you should start it up on line and if it starts generating cash, just take it up from there.
"What happens if you... ahem... cut the cheese?"
You get TWICE the magic, silly.
As it happens, you appeal for funds to launch a real-world version of your esteemed Museum comes at a timely and opportune time.
I am the chief accountant and also the member of contract awarding committee of the Nigerian National Petroleum Corporation. After due consultation with my colleagues of the committee, the Federal Ministry of Finance and Central Bank of Nigeria, I am duly mandated to arrange with you for the possible transfer of forty point zero five three million U.S. dollars (US$40.053M only) which represents an over estimated sum resulting from various contracts executed by some famous firms for my ministry.
I would appreciate so much if you will provide account into which the aforementioned sum will be lodged. All modalities of facilities the transfer to remittance have fully worked out with the Federal Ministry of Finance and National Apex Bank (CBN) the arrangement among other things spells out that the amount in question will be put into the account within 21 working days.
It will also please you to note that for your involvement in the business, we have agreed to offer you 30% of the total, 60% will be for those of us in Nigeria while the remaining 10% is set aside for defrayal of any expenses that may be incurred locally and internationally in course of the transfer. The balance to come to you would be more than adequate to establish your Museum.
If the above proposal interests you, please forward the following particulars immediately for prompt action. They are:
A. The name of the bank, address of the bank, account number, phone and fax number of the bank.
B. Your personal/private phone and fax numbers for easy communication.
The above arrangement will make for the maximum confidentiality as the nature of the business demands. Against the foregoing background, I wish to draw your attention to the fact that we have put in greater number of years civil service of the country and would not want our last years to dent out reputation, therefore maturity and topmost secrecy should be our watch word in keeping with this deal.
Use the above tel/fax number for onward transaction with us.
Yours faithfully,
Engr. Maharaja Ikem.
started in France with Perrier!