From the desk of Ethan Vanderbuilt....
Judgement day has arrived for Vemma. It is the end of Vemma as it once was. Vemma was a Multi-level Marketing company. It is no longer.
After the review of the case by the judge John J. Tuchi, here are some of the key orders and findings about Vemma:
The critical question for the FTC is whether the revenues that primarily support the commissions paid to all participants are generated from purchases of goods and services that are not simply incidental to the purchase of the right to participate in a moneymaking venture.
The evidence before the Court leaves little doubt that the FTC will ultimately succeed on the merits in demonstrating that Vemma is operating a pyramid scheme. (read the rest of the story here)
The truth is, any MLM company I have been associated with, such as Plexus Worldwide, a person does not get to the top of the food chain or "Diamond" Ambassador by selling product. You MUST grow your team by recruiting AND you don't get paid on those people you bring in unless they and you are "active" aka: autoship turned on, minimum order of $100. Take a look at their summary chart shown below (can also be accessed here).
I was astounded by their severe lack of professionalism when I questioned rank removal of one of my team members, and received the most ignorant, unprofessional responses ever! And they call themselves a company???? They don't even know their own compensation plan! "Uh, we dunt know whut happened". Sounds to me like they don't know their nose from the hole in the ground!!
If you're interested you can read the rest of the nightmare here.
I say all that to say that most of the MLM's out there lack ethics and integrity, and clearly represent a classic pyramid scheme according to the Vemma Judgement.
FTC, are you watching??? There are many victims of such greedy, unethical MLM Companies waiting for you to bring the hammer down on new regulations regarding this scandalous industry. I believe the crumbling of the MLM empire has begun.... it's about time.