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#1
Old 10 December 2007, 16:20
kadoli kadoli is offline
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power club
hi guys there, someone has talked to me about power club which he claimed is real.
I am not sure of it and I am wondering wether its a scam.
My friend is about to join them though.
Kindly assist
Last edited by kadoli : 10 December 2007 at 16:50.
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#2
Old 10 December 2007, 17:15
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ThatGrrl ThatGrrl is offline
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Hi there kadoli,
You really haven't given us a lot of information to go on. What does this "club" do? What do you have to do to join?
If you can tell us a bit more we'll be more able to give advice.
Thanks
TG
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#3
Old 11 December 2007, 10:07
kadoli kadoli is offline
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power club
its a pyramid like company which deals with convincing customers to buy 3 certificates and then you pay 60 us dollars for each certificete.
so complex story just look at their website
its origin is Italy. its website is
Power Club - Official website
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#4
Old 11 December 2007, 19:36
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Nyla Nyla is offline
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Any "business" that claims to work on the pyramid model is pretty much automatically a dodgy proposition. If you're paying money to join, that's another red flag. If you are required to "recruit" others to join, that's yet another red flag.
This program claims the "Suprema Card" is a worldwide benefit and that there are several member businesses. If so, why can I not find a single confirmed legitimate business advertising their membership or acceptance of this card? Businesses usually promote any membership benefits, discounts or rewards for potential customers.
In fact, the only mention I can find of this card, supposedly "accepted in over 100 countries", outside of the Suprema Card website, is a news article about the possible illegality of the program and possible criminal charges against members. Warning, the background is headache-inducing on this website.
It has quite a few indications of being a pyramid or Ponzi scheme.
Press Room - MLM News Items compiled by Babener and Associates
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#5
Old 18 December 2007, 10:29
kenya
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Lightbulb power club
i have joined power club, and so far no complaint on my side. the fact is that after you sell your three certificates you recover your money. that is worth every penny knowing what you can gain. well i know a few individuals who have benefited from it.
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#6
Old 18 December 2007, 13:40
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poirot poirot is offline
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Power Club is a genuine Pyramid scheme, and pyramids are considered scams and are illegal in most western countries since they are setup specifically to benefit the few that enter early into the plan, and those are usually the instigators of the scheme along with their friends and family.
Power Club was setup by FSI SARL of Italy, one of the rare European country where it's considered legal. FSI SARL previously setup an identical plan called Pentagono, which made many victims in various African countries. Simply Google these two words: pentagono scam
The RCMP has isued a fraud alert regarding Pentagono, which is still active by the way:
http://www.rcmp-grc.gc.ca/scams/pentagono_e.htm
The US Government has also issued warnings against Pentagono. With all these troubles, FSI Sarl now seem to target African countries where there are no laws against pyramid schemes.
Pyramid schemes are setup in such a way that it's difficult to get a real picture, and the recruiters use deceit and ommissions to give an unreal image of the plan.
The difference between a pyramid and an MLM is the product. The product of Power Club and Pentagono is the Suprema Card
Suprema Card - Worldwide Benefits which is a discount card. I investigated it by calling numerous chain hotels in the US for which the card promised a 50% discount. ALL without exception stated that they did not have such a discount and had never heard of the Suprema Card. So that "product" is bogus which makes Power Club a pyramid scam.
For those who read French, there's a long discussion on Power Club in our French forum, complete with graphics. The subject came up because Power Club was being pushed strongly in Cote-d'Ivoire:
http://www.fraudwatchers.org/forums/...ead.php?t=5233
Last I heard, it was being introduced in Togo. And now Kenya apparently.
Here's one graphic. On the left is the graph interpretation as presented by Power Club's recruiters relating to the 7 levels. On the right is the reality when you look at the numbers:
The following graphic details the numbers that FSI Sarl doesn't want you to see.
Arrows:
Black...your current level
Blue...your percentage attained at that level (100% being the point where you collect all your bonuses)
Green...the number of people you recruited to get to your current level
Red...the number of people you still have to recruit in order to cash in.
So if you are at level 3, which a lot of people reach, and think that you are half way there, you have in fact achieved only 4% of your recruitment, and still need to recruit thousands more.
Last edited by poirot : 24 July 2008 at 23:26. Reason: fixing graphic links
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#7
Old 18 December 2007, 19:20
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Frazzle Frazzle is offline
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Quote:
the fact is that after you sell your three certificates you recover your money
only if you can find someone who will buy your certificates.
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#8
Old 19 December 2007, 01:16
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And hope that the people you sell your certificates to can in turn sell theirs, otherwise they will blame you for scamming them, and so on.
FSI SARL encourages it's recruiters to insist you approach members of your family, friends and co-workers and try to recruit them. This is a major problem with all pyramids because when the system stops, and it will collapse, likely before you or the people you recruited can cash in, there is tremendous animosity by all still holding unsold certificates, which are often in the thousands if the program has been running for any length of time. That bitterness is directed towards the people who sold them the certificates, and families as well as friendship are broken, sometimes for life. So not only is the monetary loss important, the social cost can be devastating, and all this for a few who got rich on the back of thousands. That's exactly what happened in the Congo two years ago with Pentagono, Power Club's clone.
The Italian company who is behind this scheme is cashing in 1/3 of all certificates sold so they have nothing but gains by spreading Power Club and Pentagono.
When the program finally freezes in Kenya because no one is interested in buying certificates anymore, they will likely move to another African country and start all over again.
The recruiters mention that the whole world is a potential for new recruits, but that's totally false since such schemes are illegal in most countries, even China from what I've been informed. It has been made illegal because pyramid schemes are structured precisely and skillfully scam the vast majority of victims. The system also feeds on hype which it needs to succeed, and any negative statements against it will usually be vehemently attacked by the recruiters. When the system does collapse, recruiters will always blame anyone who dared post negative comments. Fraudwatchers...guilty as charged.
Here is a fraud alert from the Better Business Bureau regarding FSI "Future Strategies International" pyramid scheme.
BBB Alerts & News
Here is a document from the SEC. Keep in mind that after having all this trouble and bad publicity with Pentagono, FSI Sarl started Power Club which is just a name change for the exact same program with the same bogus product (SUPREMA CARD):
Quote:
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Litigation Release No. 16135/ MAY 11, 1999
SECURITIES AND EXCHANGE COMMISSION v. FUTURE STRATEGIES Srl,
a/k/a FUTURE STRATEGIES INTERNATIONAL, CIV NO. 1:99-CV-1199-JTC
(N.D.GA.)
EMERGENCY RELIEF SOUGHT AGAINST ITALIAN ENTITY PROMOTING
PYRAMID SCHEME OVER THE INTERNET
The Commission announced that on May 11 it filed a complaint in the United States District Court for the Northern District of Georgia, seeking a temporary restraining order, preliminary and permanent injunctions, disgorgement with prejudgment interest, a civil penalty, and other equitable relief against Future Strategies Srl, a/k/a Future Strategies International ("Future Strategies"), an Italian entity headquartered in Carpi, Modena, Italy. The complaint alleges that Future Strategies is promoting over the Internet a worldwide pyramid scheme known as "Pentagono." The complaint charges Future Strategies with violating the antifraud provisions of the Securities Act of 1933 and the Securities Exchange Act of 1934 as well as the registration provisions of the Securities Act.
According to the complaint, Future Strategies has solicited United States residents from at least May 1998 to purchase Pentagono "Certificates," now called Card Purchase Orders ("CPOs"), which Future Strategies prepared and issued. More than 400 investors throughout the United States have invested in this scheme. The complaint alleges that Future Strategies, as part of its solicitation, claims on its Website that an investor can earn up to $116,400 from an investment of approximately $120. The complaint further alleges that Future Strategies also misleadingly implied that the Pentagono scheme is legal in the United States and guaranteed that an investor will reach the top position in the Pentagono pyramid.
The complaint alleges that the Pentagono scheme involves the offer and sale of Pentagono Certificates/CPOs by Future Strategies through existing participants. Each new investor makes a payment to Future Strategies, as well as to the person purportedly offering the Certificate/CPO and to a person who had previously purchased Certificates/CPOs. Upon payment, Future Strategies provides the new investor with three new Certificates to sell. The investor then becomes eligible to receive a portion of the proceeds raised from the sale of subsequent Certificates/CPOs. The complaint further alleges that the Pentagono scheme involves the offer and sale of investment contracts whereby persons invest money in a common enterprise and are led to expect that profits will come predominately from the efforts of others.
On the same day the action was filed, the Honorable Jack T. Camp, United States District Judge, entered an order temporarily restraining Future Strategies from future violations of the antifraud provisions of the Securities Act and Securities Exchange Act and of the registration provisions of the Securities Act. The Court also entered an order, inter alia, requiring Future Strategies to provide a sworn accounting of all funds received from persons in the United States pursuant to the scheme and of the disposition and use of such funds. A hearing on the Commission's motion to show cause why Future Strategies should not be preliminary enjoined is scheduled for May 21, 1999. [SEC v. Future Strategies Srl a/k/a Future Strategies International, Civil Action No. 1:99-CV-1199-JTC (N.D. Ga.)] (LR-_______)
Source:
Litigation Release No. 16135/ MAY 11, 1999
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#9
Old 16 July 2008, 08:13
ngirilover ngirilover is offline
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The Power Club-Feeling Helpless
Thank you for this information. As a social worker in Moshi, I feel helpless to stop the misinformation that is flying around our poor village. The desire to get rich quick so lures people into answering schemes like this. I believe that the information came unsolicited through an outlook express e-mail (where scam is rampant) and one person grasped at it. Now everyone is scraping their Tanzania shillings together to turn to USD. The price by the way has increased from $60 to either $80 or something higher. It is hard to explain the difference in an investment and a pyramid.
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#10
Old 16 July 2008, 14:18
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Hi ngirilover and welcome to FraudWatchers.
In Cote-d'Ivoire where Power Club has been running for a while, some are now discounting their certificates in an attempt to unload them and keep the scheme going, others are trying to unload them in neighboring countries.
Pyramid schemes are attractive to a lot of people and education is often the only tool we have to fight them, specially in countries that have not legislated against this type of fraud.
If there are local blogs, you could post a link to this thread and skeptics can then ask questions anonymously. Also, if you could interest a local newspaper to do an article on the subject, they would be welcomed to use FraudWatchers resources including my graphic charts on Power Club.
You may encounter some resistance, even amongst the educated and local community leaders as was the case in Congo.
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#11
Old 12 November 2008, 19:36
Chaca
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Thumbs down Power club!
Quote:
Originally Posted by Frazzle View Post
only if you can find someone who will buy your certificates.
Am very sorry to all you got in to this Scam especial in Tanzania, because it seems like Tanzania is the current targeted country as everywhere here, there is someone looking for people to recruit them.
I had a very strong misunderstanding with my friend yesterday, trying to recruit me while i was telling him this is a possible horrible scam!
I feel like people should know this, before it's too late........What are our governmental leaders for? i thought they are supposed to know a little much than those who elected them! ("Leaders" what for? if you leads people in to much temptations and not educate them in to a very small thing like "this is right and this is wrong!" " a real thing and a scam")?........xxxxxxxxxxx.
What is the Media for?........................................................ ................ Ujinga unaendelezwa kwenye Nchi zetu.
Power Club is not far from Richmond "the pocket company"! there is not much differences between this Power thing and the EPA scandal that going on in Tanzania.
These Power people are taking money from people! they will be breaking relationships and of course PEOPLE ARE STRESSING OUT AND NOT CONCENTRATING ON THEIR TASKS.
( it's actually very funny because i imagine myself going to an office and instead of them attending to me, they are busy thinking about how they can recruit me into the power thing!)
For those in East Africa! i think if we could try to share this forum (printed copy) with others including media people we might be able to stop this Scam before it can get into the life of every one of us.
One!
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#12
Old 12 November 2008, 23:19
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poirot poirot is offline
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Hi Chaca and thanks for posting.
Quote:
For those in East Africa! i think if we could try to share this forum (printed copy) with others including media people we might be able to stop this Scam before it can get into the life of every one of us.
You are welcome to spread the material as you think will be effective. Also, I'd be more than happy to help any media person should they request it.
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#13
Old 12 December 2008, 12:27
Naija Guest
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Power Club
In Nigeria, a friend approached me to join. She says I have to pay USD$210 to join! This is terrible. So it is indeed a scam?
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#14
Old 21 December 2008, 06:53
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Nyla Nyla is offline
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Please reread the earlier posts in the thread. There are numerous posts and many details supporting our claim that, yes, this is a scam. It's a pyramid scheme.
__________________
Before posting, please READ the posts visible on this page. Chances are, your question has already been answered. Or check out the links below.
No, you have not won Freelotto's jackpot
Thinking of getting a cat, dog or monkey?
Cashing a check and sending some or all of it back is never a good idea
Thinking of buying from a Chinese/Hong Kong seller? Have you done your homework?
Downstairs, Sybil had cooked him a meal. She wasn't a very good cook. This was fine by Vimes, because he wasn't a very good eater. - Jingo by Terry Pratchett
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