The Bosses of 'Herbalife' have been robbing the Grameen Bank via it's customers.
Alex Counts, president, CEO and founder of Grameen Foundation.
I was recently informed by a naive young employee of Grameen America that '99% of all loans are repaid by Grameen's American borrowers.' However, evidence from Grameen Foundation would seem to prove quite conclusively that this anecdotal claim must be a lie. The same evidence also proves that, as recently as 2011, the naive head of Grameen Foundation, Alex Counts, did not have the slightest idea of the danger which 'MLM income opportunity' fraud poses not just to the poor, but to the very concept of micro-finance.
It turns out that most centers are populated by people from the same Latin American country – all except one woman in the center I visited was from Mexico (the lone exception was from Ecuador). Others are dominated by Dominicans or Guatemalans, while some are fairly mixed. Most of the businesses are related to food (pushcart, catering, etc.), clothing and other retail (such as flowers). About eight of the women in the center I visited – which had about 30 members attending – were involved in Herbalife, a kind of nutrition program sold through a network of women who are organized like Avon ladies.'
Frighteningly, the actual inventor of micro credit, Professor Muhammad Yunus, has appeared as key-note speaker at a Congress of the so-called 'World Federation of Direct Selling Associations.' Apparently, Prof. Yunus was also too naive to know that the majority of so-called 'Direct Selling' companies, like 'Herbalife' have been the corporate fronts for an insidious form of racketeering which has targeted the poor.
Muhammad Yunus was awarded the Nobel Peace Prize in 2006, along with Grameen Bank, for their campaign to create economic and social development around the world.
'Herbalife income opportunity' propaganda from the UK
Until recently the Grameen Bank has operated a somewhat naive policy of trusting its clients to make their own choice of business. However, for obvious reasons, certain Grameen staff have belatedly begun to advise their American borrowers not to get involved with 'Herbalife' in particular, and with 'MLM' in general.
It is interesting to note that the US federal government's Small Business Administration (without actually naming any so-called 'MLM' companies, because that is forbidden by law) specifically lists all 'pyramid sales plans' as being ineligible for financial assistance; describing them as:
... 'plans, where a participant's primary incentive is based on the sales made by an ever-increasing number of participants. Such products as cosmetics, household goods, and other soft goods lend themselves to this type of business.'
The world of Micro-Finance appears to be in denial of a new toxic-debt scandal.
Decades ago (faced with investigation and media exposure), in order to continue to function, 'MLM' racketeers were obliged to hunt outside of the USA for fresh, ill-informed victims to deceive and exploit. For a while, this endless-chain recruitment fraud only infected developed countries, because victims need access to money to play the self-gratifying 'MLM' game of make-believe. However, parasitic groups, like 'Amway' and 'Herbalife,' are now able to feed off developing countries (where the average citizen has neither cash nor credit), because micro-finance institutions have conveniently provided otherwise-destitute people with sufficient cash.
The following is part of Mr. Bernhart's Orwellian response:
Roughly translated into plain English: The 'Director of Marketing and Communications' at the Grameen Foundation has first claimed his organization to have no connection with Grameen Bank in Bangladesh or with the Grameen Bank (which is not a bank) in the USA. Then (in complete contradiction of his opening statement), he goes on to state that his organization works to support these and other micro-finance institutions (with which it has no connection) and is 'on a mission to empower the poor.' Finally (in complete contradiction of his previous statements and his own job description), Mr. Bernhart then says that he and his colleagues do not communicate directly to poor people, because they believe that poor people already have access to many sources of information.
Unfortunately, 'knowledge itself is power,' and (by the same token) ignorance is vulnerability.
Meanwhile, in the adult world of quantifiable reality, countless millions of poor and vulnerable, potential 'MLM' victims in developing, and developed, countries, remain ignorant of the fact that more than 50 years of evidence (in the form of an almost total lack of payment of income tax), proves that, in practise, it has been impossible to generate an overall net-income lawfully by participating in a so-called 'Multi-Level Marketing business/income opportunity.' This, in theory, would involve regularly selling effectively-unsaleable 'MLM' products, and/or services, directly to the general public for a profit. Indeed, no one seriously disputes that (other than an insignificant minority of schills at the top of 'MLM' pyramids) the hidden overall loss/churn rate for all so-called 'MLM income opportunities,' has always been effectively 100%. Any micro-finance institution which has lent money to poor clients knowing that they were under the malign influence of 'MLM' racketeers has, in fact, been participating in a cruel fraud. Surely, years ago, the senior staff of micro-finance institutions must have spotted the glaring red flag that loans to would-be 'MLM' millionaires, never get repaid.
'Prosperity Gospel' cults like 'Amway' and 'Herbalife' have been deliberately designed to shut-down the critical and evaluative faculties of not only their victims, but also those of all casual observers. To the average person, famous people, like Madeleine Albright and David Beckham cannot possibly be associated with a racket, but when you have billions of dollars, it is possible to buy just about anyone (particularly, in the USA). Thus, Mr Bernhart's apparently genuine belief that poor people already have access to information about 'MLM' schemes, is revealed as being naive to the point of crass stupidity; particularly, when you know that 'MLM' racketeers have invested many millions of dollars of their ill-gotten gains in keeping the world ignorant of quantifiable reality in order to preserve and peddle their pernicious fiction as fact.
(Whilst watching this deceptively-kitsch video of the 'Amway' version of the 'MLM' Utopian fairytale, http://www.youtube.com/watch?v=FJtBaLgDQd4, keep in mind that the quantifiable evidence proves beyond all reasonable doubt that, since 1959, tens of millions of individuals around the world have been churned through the so-called 'Amway MLM income opportunity' whilst the actual, hidden net-profitability rate for so-called 'Amway Independent Business Owners' has been effectively-zero).
Exactly what quantifiable evidence have you seen which proves that a significant number of people have actually earned an overall net-income lawfully from regularly retailing 'Herbalife' products to the general public for a profit?
However, it shouldn't be me asking this question of Madeleine Albright, it should be law enforcement agents.
Self-evidently, the recruiting, and/or co-opting, of celebrities and opinion-makers, for the purpose of promoting and hiding fraud, is one of the oldest, thought-stopping cultic tricks in the book. In respect of 'MLM Income Opportunity' fraud, this propaganda by association clearly forms part of an overall pattern of ongoing major racketeering activity (as defined by the US federal Racketeer Influenced and Corrupt Organizations Act, 1970).
For all poor persons who have been persuaded to invest their money, time and effort in the exploitative racket known as 'MLM,' it has been the same as buying, and getting others to buy, monthly-tickets for a fake lottery fixed so that no one (except the handful of manipulative crooks who organized it) can win. The minority of apparent 'MLM' winners have all steadfastly pretended to have achieved a form of secure Utopian existence ('total financial freedom') by exactly duplicating the 100% positive attitude and behaviour of their own leaders, and by following a proven plan of recruitment and self-consumption. In reality, a large proportion of the cash generated by 'MLM Prosperity Gospel' racketeers has secretly derived from their peddling countless millions of effectively-valueless publications, recordings, tickets meetings, etc., on the fraudulent pretext that these exclusive materials are vital to achieving success in 'MLM.'
Apparently, it has not been in the interests of micro-finance institutions to make a full-disclosure of their 'MLM'-related losses, because these institutions depend on maintaining their clean image in order to keep acquiring non-refundable deposits or 'donations.' Unfortunately, at the present time, any person or body of persons, making a cash-deposit with a micro-finance institution (certain that they are helping to empower the poor), risks their 'donation' winding up in the bulging pockets of billionaire 'MLM' racketeers.
David Brear (copyright 2012)