International Law

CBC Marketplace Investigates Business In Motion

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CBC Marketplace had a nice piece on BIM (Business in Motion)

"Marketplace investigates a company called BIM (Business in Motion) that claims big returns once you buy in.

BIM's main product is the UltraLife Club, a travel package that promises vacation deals.

Attend a presentation and you're pitched a membership for $3,200 and are told you can earn thousands in commissions by becoming a distributor and selling to others.

But is BIM really selling access to vacation deals or are they profiting primarily from new memberships? If it's the latter, what kind of a scheme are people really buying into?"

There were a number of very good points made in this story.

First, I thought it was appropriate that Scott was treated in a respectful fashion. Often, victims of business opportunity frauds are treated as if it was their fault.

Second, the challenge to our regulatory authorities was made clear. BIM appears to be an illegal pyramid, where is the judicial investigation? Why should we have to wait 15 years.

Third, David Thorton's role as a lone crusader was nicely highlighted.

I do have some niggling complaints.

Robert FitzPatrick is an expert on fraud, he understands the psychology of the grift. But, the mathematical calculation of the pyramid doesn't capture what is so deeply wrong with these frauds. What is deeply wrong is the deceit and the use of compliance techniques to cheat.

Oh, and Mr. Kippax, your 100 experts who will testify as to the value of your product - you are going to soon have to produce at least one, if the MarketPlace challenge to the Competition Bureau has the desired effect.

Full post as published by Misleading Advertising Law on February 06, 2009 (boomark / email).