Travel Pyramid Scheme?

A FOX 11 News investigation.

Updated: Friday, 27 Mar 2009, 7:23 PM PDT
Published : Wednesday, 25 Mar 2009, 10:57 PM PDT

Los Angeles (myFOxla.com) - Bernie Madoff may be the biggest, but his pyramid scheme is hardly the "only" one out there.

Hundreds of multi-level marketing companies make their money by recruiting more and more unsuspecting members. Now California is fighting back.

Phil Shuman shows us how one company got hit where it hurts in this video report.

More Info:

The Better Business Bureau of St. Louis-Southern Illinois, where "yourtravelbiz.com" is based, tells Fox News "YTB" is also being sued by the State of Illinois in a suit that's seeking class action status. In addition, the BBB tells Fox it's received complaints from 31 states and countries, resulting in a "F" rating on their Web site.

The Better Business Bureau also cautions Fox viewers to....

* Avoid plans that includes earnings primarily based on commissions for recruiting members.
* Beware of claims of enormous earnings.... they could be from "shills"... Decoy's paid by promoters to describe stories of fictional success.
* Verify the numbers promised with your own research.... if you decide to become a rep, you are legally responsible for the claims you make and if they prove false, you could be liable.

For additional details, click on:
http://stlouis.bbb.org/WWWRoot/Report.aspx?site=142&bbb=0734&firm=110220794

If you would like to file a complaint, go to: https://odr.bbb.org/odrweb/public/getstarted.aspx

http://www.myfoxla.com/dpp/news/local/Travel_Pyramid_Scheme_20090325