www.thecashflowangel.tv

I do a lot of scam baiting. Recently I called a man (lets call him "Bob") who I was worried was being targeted by a scammer. Bob said he was only "messing" with the scammer and had no intention of sending him money. HOWEVER he was using his real name so I can't be sure if he was really in danger of falling for the scam or not. (He also admitted to me that he had lost $80,000 to a previous scam.) After I warned Bob about the scammer and I explained why I called, etc... He casually mentioned that he is currently involved with a unrelated organization called http://www.thecashflowangel.tv/ What little Bob told me about it got me suspicious enough that I took a look at it for myself. It looks like it might be an online "pyramid" scheme of some kind? Is it a scam or am I just being overly paranoid from scam baiting for so long? (By the way - Bob has already sent some money to this organization.)

If "thecashflowangel" is a scam. Please give me advice for how best I can explain this to to Bob so that I sound like I know what I'm talking about and that I don't bruse his ego. Also how should I advise him. (Is there any hope of him getting a refund? Should he go to the police? etc...)

Thank you, in advance, for your help.
- Calvin Huckle


Mod edit: removed link. -Jillian

Yes, this is a pyramid scheme. It's not what would be considered a 419 crime, but it is defintely illegal, at least in most developed countries.

Here's some basic info on Cash Gifting:

Cash gifting's a great example of a 1-up system. 1 - up systems are uni-levels generally.
Because 1-ups have multiple entry levels and qualification standards the "paylines" actually cause
the "downline" to take on a structure that's clearly pyramidal in structure.

The giving of money as a gift is fine - but that's NOT what this is...this is a glorified ponzi scheme
exploiting innocent people and a loophole soon to be closed.

The very nature of the name should raise suspicion - Cash Gifting.

If you have to PAY INTO these gifting clubs - it's a scam. A gift, by it's definition, is a thing
given willingly to someone without payment. If it's a GIFT, why the hell are you and I paying for it?
- - - - -
"The Gifting Club Gotcha" FTC :

A legitimate gift has no strings attached and is therefore, not an "investment". Avoid being
mislead into thinking a gifting club's legitimate because the ad's say that members consider
their payments as a gift and expect nothing in return. This is a sorry attempt to make an illegal
transaction look legal.
- - - - -
This should raise red flags immediately!

They are modeled very similarly to a pyramid scheme. They never last long and if your stuck at
the bottom, your screwed when people wise up to this "old concept with a new name" and start
demanding MASS REFUNDS. The system collapses...

Gifting schemes always leaves losers because people start to complain and report when they aren't making any money. And they realize they won't be making anything long after they've already joined because only the top 10-15% of those who started at the top will benefit. The other 85-90% won't.

The basic principle is ridiculous if you think about it.

A gifting scheme ? That's when people give you stuff for nothing in return - like Christmas, except at Christmas you usually expect a gift in return, so this is better than Christmas ?

If such a system existed world poverty would be abolished.

An Expert Who Has Years of "Gifting" Experience, Receives Over $100k A Month (From Gifting).

Why would he be spending his time doing this then ? - with no reward and such a large income already. Maybe because you're the one he hopes will be providing that income ? - if enough of you sign up and pay the fees you haven't yet been told about. Then if you fall for it he can argue that you can do the same.

Our Magnetic Gifting System

Meaningless drivel.

I've just done some digging and I've discovered why it inanely repeats that it's gifting. That's a legal nicety so that (they hope) you have no entitlement to get your money back - because it was a gift - geddit ? So the whole proposition is to get you to give your money away as a gift - on the basis that you can get people to do the same.

http://www.scam.com/showthread.php?p=213101

http://datcp.state.wi.us/cp/consumerinf ... g_club.jsp

Avoid being misled into thinking a gifting club is legitimate because the ads say that members consider their payments a gift and expect nothing in return. This is an attempt to make an illegal transaction look legal.

You not only lose money, but you'll also end up participating in something that's illegal and could render you liable to prosecution.

Thank you for the information. I will contact Bob and let you know how things turn out later.