Legal Question in Consumer Law in Wisconsin

Internet Scam Alert--Cash Gifting Programs, Ponzi Scams, Pyramid Investment Schemes

This sounds suspiciously like a "Ponzi Scheme," where the scammer sets up a pyramid of "investments." Rewards are paid to new investors with the money put into the scheme by subsequent investors, if any. Of course, it all comes tumbling down once there are an insufficient number of new pigeons willing to fund those who are already in the receiving mode further down the pyramid. Such scams are often prosecuted by the FBI under numerous federal laws including mail fraud, internet fraud and bank fraud. Knowing participants in such a scheme will normally have their prison terms determined by the dollar amounts of which others were defrauded. The federal sentencing guidelines which are available online provide the specifics. Anytime you are approached by anyone online, you should assume that their intent is dishonest until proven otherwise. My advice is to NEVER take part in anything online involving the money unless you have initiated the process, such as when you make a purchase from a reputable secure website.