Monday, 9 November 2015

Alan Sugar's 'Tropic Skin Care,' a very British 'MLM' racket.


After receiving a number of comments referring to 'Tropic Skin Care' as, 'Britain's home-grown 'MLM,' I thought it was high time that I posted an article.



In 1945, whilst most, contemporary mainstream commentators were unable to look beyond the ends of their noses, with a perfect sense of irony, Eric Arthur Blair a.k.a. George Orwell (1903-1950) presented fact as fiction in an insightful 'fairy story' entitled, 'Animal Farm.' He revealed that totalitarianism is merely the oppressors' fiction mistaken for fact by the oppressed.




In the same universal allegory, Orwell described how, at a time of vulnerability, almost any people's dream of a future, secure, Utopian existence can be hung over the entrance to a totalitarian deception. Indeed, the words that are always banished by totalitarian deceivers are, 'totalitarian' and 'deception.'

See original image


Sadly, when it comes to examining the same enduring phenomenon, albeit with an ephemeral 'Capitalist' label, most contemporary, mainstream commentators have again been unable to look further than the ends of their noses. However, if they followed Orwell's example, and did some serious thinking, this is the reality-inverting nightmare they would find.




More than half a century of quantifiable evidence, proves beyond all reasonable doubt that what has become popularly known as 'Multi-Level Marketing' is nothing more than an absurd, cultic, economic pseudo-science, and that the impressive-sounding made-up term 'MLM,' is, therefore, part of an extensive, thought-stopping, non-traditional jargon which has been developed, and constantly-repeated, by the instigators, and associates, of various, copy-cat, major, and minor, ongoing organized crime groups (hiding behind labyrinths of legally-registered corporate structures) to shut-down the critical, and evaluative, faculties of victims, and of casual observers, in order to perpetrate, and dissimulate, a series of blame-the-victim closed-market swindles or pyramid scams (dressed up as 'legitimate direct selling income opportunites'), and related advance-fee frauds (dressed up as 'legitimate training and motivation, self-betterment, programs, recruitment leads, lead generation systems, etc.)
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Behind its absurdly-kitsch commercial exterior, 'Tropic Skin Care' exhibits many of the identifying characteristics of a corporate-front for yet another 'Amway' copy-cat 'MLM income opportunity/Prosperity Gospel' cultic racket. 





The 'Tropic Skin Care' fairy story has been specifically tailored to fit the instinctual desires of women. Whilst watching the video linked above, Blog readers should observe how, once 'MLM' racketeers have deceived a vulnerable person like Caroline Joy into making a public declaration of faith in the 'life-transforming income opportunity' fairy story, it becomes almost impossible for such persons to face the ego-destroying truth.




https://en.wikipedia.org/wiki/Alan_Sugar


The ostensible instigator of 'Tropic Skin Care Ltd.,' Susan Ma, appeared on the BBC tele-reality show, 'The Apprentice', in 2011, presented by Lord Alan Sugar.

http://www.bbc.co.uk/blogs/watchdog/2008/11/pyramid_gifting.html

However, this isn't the first time Alan Sugar's influential name has been linked to a pyramid scheme via one of his 'Apprentices.'







Susan Ma, currently claims to have struck it rich by offering people the opportunity to start their own business.




Perhaps it's just a coincidence, but the US-based 'Amway' copy-cat 'MLM income opportunity' cultic racket known as 'ACN,' had been promoted on the US version of 'The Apprentice,' and 'The Celebrity Apprentice,' presented by Donald Trump. Alan Sugar has been fronting 'Tropic Skin Care' in exactly the same way that Donald Trump once fronted 'ACN.'

As in the case of Trump and 'ACN,' it's difficult to know exactly how much Sugar knows himself or who else might be lurking behind 'Tropic Skin Care'.The fact that both Sugar and Trump have presented 'The Apprentice' is more than interesting.

Trump used the 'Apprentice' and the 'Celebrity Apprentice' to commit fraud in the USA for the 'ACN' bosses, whereas Alan Sugar initially only used the 'Apprentice' to promote Susan Ma who went on (ostensibly) to instigate 'Tropic Skin Care.' 

Obviously, Susan Ma hasn't dreamed up 'Tropic Skin Care' all by herself as she has claimed. 

http://mlmtheamericandreammadenightmare.blogspot.fr/2015/07/donald-trump-fronts-acn-mlm-racket.html

http://mlmtheamericandreammadenightmare.blogspot.fr/2015/08/donald-trump-fronts-acn-cult-secte-in.html

http://mlmtheamericandreammadenightmare.blogspot.fr/2015/08/donald-trump-now-tries-to-rewrite-his.html




http://www.wsj.com/articles/trump-made-millions-from-multilevel-marketing-firm-1439481128

Mr. Trump went on to rake in a fortune from enthusiastically promoting the 'ACN income opportunity' racket, before suddenly trying to distance himself from the organization in 2015.

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Neither 'ACN' nor 'Tropic Skin Care' is original or unique, and consequently these 'MLM income opportunity' rackets cannot be fully-understood in isolation. 

The original 'MLM income opportunity' racketeer, Carl F. Rehnborg (1887-1973), posing as a historically-important, visionary-scientist, auto didactic scholar and multi-millionaire, philanthropic businessman who helped thousands of people to start their own business.


The parallels between the ''Tropic Skin Care' fairy story, peddled as reality by Susan Ma, and the the 'Nutrilite' fairy story, originally peddled as reality by Carl F. Rehnborg (and more recently by the De Vos and Van Andel clans), are quite remarkable. In brief, all these crooks have played the unoriginal role of ordinary humans, turned super humans - prepared to share their secret of unlimited health, wealth, happiness and freedom with anyone (for a price). However, this again is hardly surprising, because ‘Nutrilite Products Company Inc.’ was, after all, the prototype corporate-front for all subsequent 'Multi-Level Marketing Income Opportunity' cultic rackets.



The Nutrilite Story
Tellingly, Rehnborg's own comic-book version of his life and achievements (set-down in various published documents, including a book signed by his son and heir, Sam Rehnborg), reads uncannily like the autobiography dreamt-up by 'Scientology' instigator, L. Ron Hubbard - a man who was once famously described as 'a combination of  Baron Münchausen and Adolf Hitler.'


Unfortunately, just as with the followers and casual observers of Hubbard, the only information made available to the followers and casual observers of Rehnborg, has been carefully controlled.


Carl F. Rehnborg, circa 1915.
Rehnborg, Circa 1927.

Thus, to date, the world has been led to believe that Rehnborg (who was born in 1887 in St. Pitersberge, Florida) :- 

- was a noted-child-prodigy who read voraciously and who amazed his teachers with his detailed knowledge of: philosophy, religion, history, politics, astronomy, mathematics, aerodynamics, chemistry and human rights. 

- was  fluent in many languages, including Chinese. 

- was not a believer, but he studied Christianity, making a boyhood pilgrimage to Palestine and Egypt.

- had a great passion in his teen-age years - the study of planet Earth, its population, its food reserves, and the 'technology of conservation of natural products, but his first love was always the science of nutrition. 

 - was, by the tender age of 27, already a 'doctor of chemistry' who had moved to Tianjin in China to work as an accountant for an American Oil company.

- ran a shipbuilding company, before becoming the representative of the 'American Dairy Company' and, eventually, the representative of 'Colgate Products Company' in Shanghai.

 - witnessed ‘mass-starvation’ in China, before surviving a ‘siege of Shanghai’ by supplementing his diet (and that of his starving friends) with an improvised, vitamin and mineral-enriched broth made from grasses, vegetables, powdered limestone, ground-up bones and rusty nails, etc.

- sailed across the Pacific (studying its many island-cultures on the way) and landed on the West Coast of the USA, where, despite having no money, he managed to establish a 'research laboratory’ in his modest loft-apartment on California’s Balboa Island.


- selflessly dedicated 6 years of his life (1927-1934) to develop a ‘Revolutionary New Food Supplement’ to save mankind from starvation, assisted only by his dutiful young wife, Edith.

- first naively tried to give his wonderful new formula away, but the cynical world wasn’t interested, so, in 1934, he reluctantly decided to create ‘California Vitamins Inc.’ 

- moved his flourishing  ‘Business’ to a ‘Manufacturing and Processing Facility’ in Buena Park, California, and created the ‘Nutrilite Products Company Inc.’ in 1939. 

- acting in association with a ‘Network Sponsoring Company’, ‘Mytinger and Casselberry Inc.’ (to whom he’d sold ‘Exclusive Nutrilite Distribution Rights’) created the ‘World’s First Multi-Level Marketing Scheme’

- had lived the American dream, starting from nothing to become an admired and respected millionaire through ‘Helping 15 thousands fellow Americans to build their own MLM Businesses.’ 


Carl F. Rehnborg  circa 1939

Exactly like L.Ron Hubbard, scant quantifiable evidence has been produced to prove that Rehnborg was qualified (let alone expert) in anything, other than lying to vulnerable people to get their money. There is even reason to doubt that Rehnborg (who apparently did once work for 'Colgate & Co') was in China in the exact period he claimed during, and after, WWI; whilst all the other exciting episodes in his various occidental and oriental odysseys are largely anecdotal. However, the truth about Rehnborg’s convoluted ‘Rags to Riches’ American fairy story is an entirely different matter.





In 1934, Rehnborg (aged 48) legally-registered ‘California Vitamins Inc.’allegedly to manufacture and distribute what he arbitrarily defined as 'the World’s First Multi-Mineral/Multivitamin Plant-Based Food Supplement - a Unique Combination of Vitamins and Minerals in a Special Base.’  At first, this so-called ‘Health Tonic’ was brewed up, and peddled as 'Vita-6'  a.k.a. 'Vitasol,' in insignificant quantities. Consequently, it was of no particular interest to regulators.





However, anyone with an ounce of common sense could immediately tell that Rehnborg’s ‘invention’ was just another essentially-inert potion (in the absurd tradition of the medicine show); a random mixture of cheaply-procured common substances with an expensive price tag. It had probably taken Rehnborg 6 hours to concoct, not 6 years.



Aerial View of Nutrilite Products Inc. Plant



By 1939, Rehnborg had spotted the existing term, 'Nutrilites' (probably in an old scientific magazine). So he legally-changed the name of his pay-to-play game of make-believe to the technical-sounding ‘Nutrilite Products Company Inc.’ and moved his quackery onto an almost unprecedented scale. Soon, Rehnborg was legally employing dozens of white-coated workers in purpose-built industrial buildings in Buena ParkCalifornia. He also acquired an alfalfa farm near to the city of Hemet in California's San Jacinto valley, but it is unclear exactly where he suddenly found all the necessary capital to pay for these impressive sites and their modern equipment. To his followers and casual observers, Rehnborg’s activity looked like any other lawful enterprise. His staff were ordinary honest folk, to whom the truth was also unthinkable.







At this time, Rehnborg rechristened his potion ‘Nutrilite Double X (‘XX’Supplement.’ He now proposed to offer it as two ‘complimentary products’ in one pack -  comprising little green bottles of bright red ‘Multivitamin Capsules’ and boxes of pale-coloured ‘Multi-Mineral Tblets.’ The product was deliberately designed to look modern and scientific (like a proprietary medicine), but, tellingly, the price was fixed at just less than $20 a box (the equivalent of several hundred dollars today). 



See original image
See original image
See original image
Perhaps it's just a coincidence, but in 1940 Charlie Chaplin's celebrated satire of 'Nazi' Germany, 'The Great Dictator', had transformed the Swastika into the 'Double Cross.'


Rehnborg claimed that the ‘XX’ brand-name was derived from the Roman numeral representing twenty. It should have been read as ‘double cross;’ for when the former toothpaste salesman’s pricey wampum was routinely analysed by independent chemists working for the FDA, it was discovered that (although it contained essentially what it said on the labels and was quite harmless) ‘XX Supplement’ really did mostly comprise a random mixture of cheaply-procured, common substances in which vitamins and minerals naturally occur (dried vegetable extracts: alfalfa; parsley; watercress; yeast; etc.). FDA experts later estimated that XX Supplement’  cost no more than a few cents a pack to produce. Thus, FDA lawyers must have known that Rehnborg was, in fact, using authentic pharmaceutical equipment to mass-produce a precisely-measured, harmless placebo, but labelled as a ‘Health Tonic’ (a meaningless term), and peddling it at an exorbitant mark-up (certainly, more than 1000%). This crack-pot pseudo-scientific swindle, which was tantamount to a self-styled 'alchemist' stamping a valueless amalgam of base-metals, 'Pure Gold,and selling it for the price of pure gold, could have been quickly nipped in the bud, simply by charging Rehnborg with criminal fraud. Apparently, prosecutors never considered the possibility that they might be dealing with someone with severe psychological problems whose own inflexible delusions were contagious. Instead, at first, FDA lawyers felt obliged to take no action; reasoning that, by truthfully listing the banal ingredients, but avoiding making any specific therapeutic claims, on his packaging, Rehnborg had found a loophole in federal laws concerning criminal misbranding of medicines. As result, an up-dated version of an age-old fiction was permitted to be mass-marketed as fact to an unsuspecting public. Unfortunately, the lack of any rigorous, official challenge only brought its author more credibility. Not surprisingly, a host of copy-cat 'Unique Vitamin and Mineral Health-Tonic’ scams quickly sprang up.




As WWII drew to its close, ‘Nutrilite’ had lost its novelty, so Rehnborg (who was approaching 60) had teamed-up with two respectable-looking associates, Lee S. Mytinger and William S. Casselberry (later described by FDA officials as a ‘cemetery-plot salesman’ and a ‘psychologist’). The result was ‘Mytinger and Casselberry Inc.,’ a second corporate structure peddling ‘Exclusive Commission-Agency Rights’ to ‘Distribute XX Supplement’ using (what was first defined by the company’s owners as) a ‘New Business Model.’ In theory… you could try to sell ‘XX  Supplement’ to your social contacts for a small profit, but, if you wanted to make big money, you didn’t need to sell anything… you could buy a monthly quota of ‘XX Supplement’ yourself and sign-up your social contacts to do the same… your ‘Sponsored Recruits’ would then ‘Sponsor’ their own social contacts, etc., ‘compensation’ would automatically multiply in an infinitely-expanding geometric progression




‘Mytinger and Casselberry Inc.’ offered a mind-numbing contract’ in which the ‘company’ undertook to pay its ‘Independent Distributors’ an escalating ‘monthly commission’ on the totality of their escalating ‘Business Volume’(i.e. their own regular monthly purchasesfalsely defined as sales’, added to the regular monthly purchases, falsely defined as ‘sales’, of their ‘Sponsored Recruits’, and those of the recruits of their recruits, etc. etc. ad infinitum).




In reality, the new set-up was merely the original mystifying lie with a second mystifying chapter added, but to casual observers ‘Nutrilite Products Company Inc.’ appeared to be exclusively manufacturing for, and wholesaling ‘XX Supplement’ to, ‘Mytinger and Casselberry Inc.,’ whose commission agents, in turn, appeared to be retailing it to the public for a profit. Although ‘XX Supplement’ was presented as ‘Unique,’ it mostly comprised substances which could easily be bought at a fraction of their exorbitant, assembled fixed-price, in traditional retail outlets. The product was effectively-impossible to sell to the general public for a profit on the open market. Therefore, the overwhelming majority of its final customers were merely the non-salaried agents of the second corporate structure, which itself was the sole agent of the first corporate structure. In order for them to maintain the false hope that if they signed-up further contributing participants they would automatically become rich, the participants in this dissimulated money circulation game were obliged by its rules to keep handing-over a monthly payment to Mytinger and Casselberry, to be shared with Rehnborg. From all rational points of view (medical, economic, legal, etc.), ‘XX Supplement’ might have well not existed; for it was just a convenient means of laundering illegal payments in a closed-market swindle, or pyramid scheme,  based on the crack-pot, non-rational theory thatendless-chain recruitment + endless payments by the recruits = endless profits for the recruits. New victims were supplied with a $49.50 ‘Business Kit’ (i.e. a large cardboard box stuffed with a month’s supply of ‘XX Supplement’ and a fat folder containing page after page of mind-numbing pseudo-economic/medical presentations and diagrams, and instructions in how to go about remembering, contacting and recruiting everyone they’d ever known during their lives). These presentations contained the concrete evidence which FDA lawyers could use to prosecute Rehnborg, Mytinger and Casselberry. Contributing participants were being instructed to smile, project excitement and enthusiasm, and to recite a precisely-worded script which proclaimed ‘Nutrilite XX Supplement’ to be ‘good value,’ because it could ‘cure or prevent,’ virtually any known human illness.


William W. Goodrich
William W. Goodrich
http://www.fda.gov/downloads/AboutFDA/WhatWeDo/History/OralHistories/SelectedOralHistoryTranscripts/UCM372999.pdf  (see interview pages from 107)

http://law.justia.com/cases/federal/district-courts/FSupp/87/650/2011431/

Even though it wasn’t his area of responsibility, FDA Legal Counsel (1939-1971), William W. Goodrich, was probably the first senior US law enforcement agent to deduce that the innocent baby that Rehnborg, Mytinger and Casselberry had baptised a ‘New Business Model’ (later to become known as: ‘Multi-Level Marketing’) was actually the same old delinquent previously known a 'pyramid scam.’ Again, anyone with an ounce of common-sense could work out immediately that, since Rehnborg had been peddling medical alchemythe strong likelihood was that Mytinger and Casselberry were peddling economic alchemy. The sinister trio of quacks were obviously acting in association, but agents of the Food and Drug Administration and those of the Federal Trade Commission acted independently. At this time, anti-racketeering legislation did not yet exist in the USA. However, in the late 1940s, the rapidly-expanding ‘XX Supplement’ dossier was already in the hands of FTC lawyers. Apparently, prosecutors still never considered the possibility that they might be dealing with persons suffering from severe psychological problems and whose own inflexible delusions were contagious. Instead, they still felt obliged to take no action; this time reasoning that Mytinger and Casselberry appeared to have found a loophole in federal law prohibiting fraud. For even today, the fundamental identifying characteristic of all pyramid scams and Ponzi schemes, has not yet been accurately defined by legislators. As a result, another updated version of an age-old fiction was permitted to be mass-marketed as fact to an unsuspecting publicYet again, the lack of any rigorous official challenge only brought its authors more credibility. Not surprisingly, a host of copy-cat 'income opportunity' swindles (camouflaged by banal, but pricey, wampum) quickly sprang up.


By 1947, Rehnborg, Mytinger and Casselberry were steadfastly pretending  ‘15 000 Successful Distributorships in the USA,’ with ‘sales’ totalling ‘$500 000 dollars per month.’ They had also organised the production of a ‘Free’ booklet, ‘How to Get Well and Stay Well’, in which they further pretended that ‘Nutrilite Double X Supplement’ had ‘cured or greatly helped such common ailments’ as : ‘Low blood pressure, Ulcers, Mental depression, Pyorrhoea, Muscular twitching, rickets, Worry over small things, Tonsillitis, Hay Fever, Sensitivity to noise, Underweight, Easily tired, Gas in stomach, Cuts heal slowly, Faulty vision, Headache, Constipation, Anaemia Boils, Flabby tissues, Hysterical tendency, Eczema, Overweight, Faulty memory, Lack of ambition, Certain Bone conditions, Nervousness, Nosebleed, Insomnia, Allergies, Asthma, Restlessness, Bad skin colour, Poor appetite, Biliousness, Neuritis, Night blindness, Migraine, High blood pressure, Sinus trouble, Lack of concentration, Dental caries, Irregular heartbeat, Colitis, Craving for sour foods, Arthritis, Rheumatism, Neuralgia, Deafness, Subject to colds.’



Carl.F. Rehnborg circa 1947

Rhenborg now cast himself in the role of ‘Scientific Adviser’ to ‘Mytinger and Casselberry Inc.’ He toured the USA preaching the gospel to wide-eyed ‘Distributors’ - ‘for less than $20 a month’‘Nutrilite Double X Supplement’ was the ‘Answer to Man’s Search for Health.’ After both companies’ owners were approached by FDA officials and warned that they could face criminal prosecution for misbranding, the booklet was ‘revised.’ Specific therapeutic claims were supposed to be eliminated. ‘All illnesses’ suddenly became a ‘state of nonhealth’ produced by ‘chemical imbalance’.… ‘Nutrilite XX Supplement’ cured nothing, it merely ‘enabled people to Get Well and stay Well’ by themselves. However, pages 41-52 of the booklet still recounted alleged case-histories explaining that ‘Nutrilite brought relief from such ailments as diabetes, feeble mindedness, stomach pains, sneezing and weeping.’ Not surprisingly, the FDA officials were not impressed, so they finally launched a number of raids, and seizures of ‘Nutrilite XX Supplement’ and associated publications.





In 1951, after a series of lawsuits, appeals and counter suits (in which Mytinger and Casselberry hired top lawyers who portrayed their clients as American capitalist heroes being crushed by Soviet-style bureaucracy), the FDA obtained (on behalf of the people) a permanent Supreme Court injunction against ‘Mytinger and Casselberry Inc.’ preventing Distributors’ from referring to 50 publications making false claims about ‘Health Tonics and Food Supplements’ (including various ‘Revised Editions’ of ‘How to Get Well and Stay Well). FDA agents soon found that the injunction was being flouted. As a result of mounting complaints, they infiltrated the organization (as potential recruits) and recorded deluded proselytisers chanting the same cure-all mantra about ‘XX Supplement.’ Faced with more litigation and fearing that their monopoly of information might be lost, in 1954, Rehnborg, Mytinger and Casselberry hired a leading advertising agency which handled the clean-cut Hollywood star, Alan Ladd. Along with his wife and children, Alan Ladd then briefly-featured in a kitsch 'Nutrilite' advertising campaign - published in various mainstream magazines right up until 1959.  





 

The charlatan-trio, 'Mytinger, Casselberry and Rehnborg,' also paid a team of Hollywood professionals to produce a 20 minute colour propaganda film, From the Ground up’ (featuring themselves as three nice ordinary American guys turned philanthropic scientists and industrialists), and they began to publish their own propaganda magazine, ‘Nutrilite News'’ (stuffed with colour photos of happy, healthy and wealthy ‘Distributors')


Amway Co-Founders Rich DeVos and Jay Van Andel (bottom row, second and third from the right, respectively) and their group of senior key agents pose with Nutrilite Founder Carl F. Rehnborg and his wife Edith Rehnborg, in front of their tour bus, 1956.
Richard DeVos and Jay Van Andel (2nd and 3rd from the right, front row), Carl F. Rehnborg (immediately behind Van Andel, second row), circa 1950.




Soon, the 'Nutrilite' show was touring the USA on a motor coach (like a 'Tent Revivalist' group).  Mytinger, Casselberry and Rehnborg had begun organizing pay-to-enter ‘Rallies and Seminars'’ (addressed by allegedly ‘Successful Christian Distributors’ like Rich De Vos and Jay Van Andel). No quantifiable evidence (in the form of audited accounts) was ever produced to prove what percentage of claimed ‘sales'’ were authentic retail transactions to the general public for a profit (based on value and demand), or how many people who’d signed a contract'’ with ‘Mytinger and Casselberry Inc.'’ had actually received an overall net-profit from the operation of what its instigators arbitrarily defined as an MLM income opportunity’. Excluding the tiny percentage of grinning shills at the top of the pyramid, the hidden, rolling insolvency/churn-rate was 100%. Since there was no significant or sustainable external revenue, participants were actually buying infinite shares in their own finite money. 


 Richard DeVos                                                    Jay Van Andel

Circa 1950
circa 1965

In 1959, when it seemed that ‘Mytinger and Casselberry/Nutrilite Products Inc.’ might finally be shut down (under the ‘Federal Food, Drug and Cosmetic Act 3381-3383’, rather than anti-fraud legislation) De Vos and Van Andel hid behind familiar, patriotic words and images stolen from contemporary popular culture. They created the ‘American Way Association’ - the first of what was to become a shoal of red, white and blue herrings.

Previously, the two up-and-coming charlatans, Mytinger and Casselberry, gravitated towards the established (but ageing) Rehnborg, and vice versa. Rehnborg seems to have reflected the pair's own narcissistic delusions as reality and behaved as though they were important businessmen/psychologists, whilst the pair treated him as though he really was an important and respected scientist/ philanthropic businessman. This was the point at which'Nutrilite Inc.' (a legally-registered, and industrialized, pseudo-scientific swindle), began to transform into a highly-organized, self-perpetuating, blame-the-victim 'Prosperity Gospel' cultic racket - tailor-made to fit the existing beliefs and instinctual desires of a broad range of people - peddling a perversion of the 'American Dream' whilst giving victims the illusion that they were making free choices. 

Evidently, US law enforcement agents never fully-understood that Rehnborg, Mytinger, Casselberry, DeVos, Van Andel and their close-associates, were dangerous manipulators who magnified each others' narcissistic delusions. The longer they went unchallenged: the more adherents they ensnared and the more-capital they acquired. The more capital they acquired: the easier it became to deceive more adherents and the more severe, and inflexible, their own delusions became. Sadly, and exactly like L. Ron Hubbard, the more convinced of their importance Rehnborg, Mytinger, Casselberry, DeVos and Van Andel became: the more convincing they became.


On September 6th 1949 (along with Michael Pacetti), two, clean-cut, hitherto-unremarkable USAAF veterans of Dutch Protestant origin, Richard DeVos (aged 23) and Jay Van Andel (aged 25), registered the ‘Ja-Ri Corporation.’ However, throughout the 1950s, this (apparently independent) company was the agent of both Nutrilite Products Company Inc.' and of  'Mytinger and Casselberry Inc.'

The two Pentacostalists, DeVos and Van Andel spent ten years perfecting their own sanctimonious 'MLM' act, before finally setting up a copy-cat 'income opportunity' racket.

 'Amway' frst operated as an affinity fraud targetting the flag-waving adherents of Evangelical Churches in the Bible Belt. Most early 'Amway' adherents were already trained to defer systematically to the moral and intellectual authority of their pastors - so De Vos and Van Andel simply dressed up, and behaved, exactly likerespectable Church pastors. They taught their male followers to duplicate their clean-cut example. Thus, alcohol, cigarettes and even beards were forbidden. Amway men had to wear a suit and tie, whilst Amway women were forbidden to wear pants or anything too sexy. Indeed, until relatively recently, 'Amway Network Leaders' were commonly referred to as 'Black Hats.'


The classic movie, 'Elmer Gantry' (released in 1960), was written and directed by Richard Brooks and is loosely-based on a novel of 1927 by the Nobel prize-winning author, Sinclair LewisIn the Movie, 'Gantry' (played by Burt Lancaster) is a grinning charlatan in a loud suit - a hard-drinking whore-chasing travelling-salesman, who, for sexual and financial motives, attaches himself to the beautiful 'Sister Sharon' (played by Jean Simmons), the focus of a profitable 'Tent Revivalist' group working the Bible-Belt during Prohibition (1920-1933). 'Elmer Gantry' keeps his grin, but he dons a sombre suit and black hat, and is reborn as 'Brother Gantry' 'Charismatic Preacher' and 'Moral Crusader'. He soon discovers that he has the power to create mass-hysteria, and reap tens of thousands of dollars, by manipulating individuals' existing beliefs and instinctual desires. At a key-moment in the movie, a Protestant Minister (bedazzled by 'Brother Gantry's' offer to fill his church coffers) abandons the traditional Christian message and proclaims: 'Business is business, that's the American Way' .Perhaps it's just a coincidence, but at almost exactly the time that the

'American Way Association' 

first appeared, ‘Elmer Gantry' was playing to packed movie-theatres all over America.


See original image


Initially (and with an irony that is close to exquisite), in order to dodge being drawn into the ongoing FDA investigation of 'Nutrilite,' De Vos and Van Andel got rid of the pills and potions and now laundered all the unlawful investment payments into their copy-cat, dissimulated, closed-market swindle, behind the claim that they were selling a laundry detergent  (i.e. banal, but effectively-unsaleable, non-'medicinal' pseudo-scientific wampum of their own fabrication). Again, the updated snake oil stain remover was deliberately designed to look modern and scientific, whilst De Vos and Van Andel grinned from ear as they too steadfastly pretended that these strangely-familiar, cheaply-procured mixtures of common substances, were all-American, exclusive, good-value and unique.





The original 'Nutrilite' lie was progressively-absorbed back into the spin-off 'Amway' (aka 'Quixtar') lie, 1972-1994, where it still is peddled as the truth.


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The bosses of the 'Amway' racket currently offer hundreds of effectively-unsaleable wampum products.

Only after the 'MLM' virus had spread to almost every State of the Union, did the US Federal Trade Commission finally make a half-hearted attempt to close-down 'Amway.' After receiving a significant number of complaints, FTC prosecutors, advised by specialist economists, recognised that what they were faced with, was not a direct selling scheme, but as a classic pyramid scam, without a significant or sustainable source of revenue other than its own victims, but hidden behind a smokescreen of products. However, after years of investigations and hearings, in 1979, a naive, and/or corrupt, federal judge ruled that although 'Amway' had previously been massively in breach of the law and would have to pay fines, the company would be allowed to continue to trade. This was because the judge accepted the latest unbelievable chapter of the 'MLM' fairy story. i.e. That 'Amway' s owners were respectable Christian businessmen who were vehemently opposed to  pyramid schemes and that, consequently, they had stopped fixing prices and introduced their own rules which would, henceforth, oblige the members of 'Amway's' sales force to sell at least 70% (by value) of the products which they had bought wholesale from the company, to at least 10 customers, before they could receive commission paymentsAmazingly, no independent, common-sense mechanism was created to ensure that this latest twist in the fairy story was true, and that 'Amway' would now be in compliance with the law.

Not surprisingly, this tragicomic judgement was seen as an open-invitation to thieve, and, consequently, a whole host of 'Amway' copy-cat 'MLM' rackets soon began to appear.   
More than 30 years later, the so-called 'Direct Selling Association,' is a demonstrable lie financed and controlled by the bosses of a classic, organized crime syndicate.


David Brear (Copyright 2015)

11 comments:

  1. You can't really blame Lord Sugar for backing MLM. It is after all both legal and profitable. You'd do better backing it yourself instead of wasting time trying to stop it.

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    1. Anonymous - When translated into accurate English, what you are actually saying is that, instead of publicly exposing Alan Sugar as a racketeer (hiding his profitable criminal enterprise behind piles of reality-inverting 'MLM' bullshit), I should assist him to pile the bullshit even higher.

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  2. I'm confused, are you saying Tropic is a fraud?

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    1. Anonymous - There are numerous big red flags fluttering over the so-called 'MLM income opportunity' known as 'Tropic Skin Care.'

      For a start, 'Tropic's' own mathematical presentations are deeply mystifying whilst no quantifiable evidence is available as to the actual results of this so-called 'MLM income opportunity.'

      Perhaps the easiest to understand of the red flags is the fact that the bosses of 'Tropic' have been pretending that their scheme is based on sales not on recruitment, but offering to pay commissions on purchases made by the organisation's own agents and on those made by the recruits of these agents and on the recruits of their recruits, etc. ad infinitum.

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  3. One thing I would say is that these products appear to be extremely high quality, genuinely ethically produced and sellable unlike the Amway crap...I've been looking for complaints from ambassadors online but haven't found any yet. I was considering this as a possible way to build my own business as I am hugely passionate about natural, cruelty-free products but I've never met in real-life anybody who has managed to make a living out of "opportunities" like this one! Could you possibly expand on the numerous big red flags? Many thanks.

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  4. Anonymous - You perhaps already realise that 'Tropic Skin Care Opportunity' is too good to be true. The products have slightly distracted you, but afterall, that's what they are supposed to do.

    In 'MLM' rackets, the innocent looking products' function is to hide what is really occurring - i.e The operation of an unlawful rigged closed-market where effectively no (transient) participant can generate an overall net-profit, because the market is in a permanent state of collapse and requires its (transient) participants to keep finding further (transient) participants.

    Meanwhile a tiny (permanent) minority rake in vast profits by controlling the closed-market and by controlling all key-information concerning the closed-market's actual catastrophic, ever-shifting results.

    It is possible to use any product to dissimulate a closed-market swindle aka pyramid scheme. There are even some 'MLM' rackets which have hidden behind well-known traditional brands (albeit offered at controlled high prices). 'MLM' products invariable are tailored to fit the existing beliefs and desires of a wide-range of persons.

    In 'MLM' rackets, there has been no significant or sustainable source of revenue other than never-ending chains of contractees of the 'MLM' front companies. These front-companies always pretend that their products are high quality, reasonably-priced and can be sold for a profit based on value and demand. In reality, the underlying reason why it's mainly only been 'MLM' contractees who buy the products (and not the general public) is because they have been led to believe that by doing so, and by recruiting others to do the same etc. ad infinitum, they will receive a future (unlimited) reward.

    I've been examining the 'MLM' phenomenon for around 20 years. During this time, I've yet to find one so-called 'MLM' company which has voluntarily made key-information available to the public concerning the quantifiable results of its so-called 'income opportunity'.

    The key-information which all 'MLM' bosses seek to hide concerns the overall number of persons who have signed contracts since the front companies were instigated and the retention rates of these contractees.

    When rigorously investigated, the overall hidden net-loss churn rates for 'MLM' income opportunites has turned out to have been effectively 100%. Thus, anyone claiming (or implying) that it is possible make a living in an 'MLM,' cannot be telling the truth and will not provide quantifiable evidence to back up his/her anecdotal claims.

    Some of the biggest 'MLM' rackets (like 'Amway' and 'Herbalife') have secretly churned tens of millions of losing participants over decades.

    Tellingly, the bosses of 'Tropic Skin Care' have never disclosed the actual results of their so-called 'MLM Income Opportunity,' because if they did, no one in their right mind would want to sign up.

    Notice how 'Tropic' (just like 'Amway' and 'herbalife') is peddled as an 'income opportunity,' and not a net-income opportunity.

    Have you been following what has recently been happening in the USA concerning the 'Herbalife' racket?

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    1. Anonymous

      Don't be fooled by MLM products.

      Tropic's MLM recruitment pitch is too good to be true. Deceptive presentations containing exaggerated income claims are what the FTC has just told Herbalife to stop.

      "Would you like to work when you choose and earn as much as you decide? Why not work from home with award winning natural skincare and makeup products formulated by Susan Ma and backed by Lord Alan Sugar? Typical earnings are £600 a month based on average two nights/days per week."

      https://www.facebook.com/liestopper/

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  5. You undermine your whole article by writing a dozen short paragraphs about the actual subject people want to know about (Tropic) then never mentioning it again over the next few thousand words of story telling about a company whose practices you never explicitly link to Tropic Skin Care.

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    1. Anonymous - FYI - Contrary to what you imagine to be the case, this article demonstrates that all so-called 'MLM direct selling' companies (including 'Tropic Skin Care) are merely copy-cats of 'Nutrilite/ Amway.'

      Today, there are approximately one thousand four hundred "Nutrilite/ Amway' copy-cat so-called 'MLM' companies registered in the USA, and which were spawned there. All of these counterfeit direct selling companies employ essentially the same wampum products/services, thought-stopping jargon and mystifying mathematics, which were dreamed up in the late 1940s by Messrs. Rehnborg, Mytinger and Casselberry to dissimulate a closed-market swindle (aka pyramid scheme) and related advance fee frauds.

      Although 'Tropic Skin Care' is British, it employs essentially the same wampum products, thought-stopping jargon and mystifying mathematics, which were dreamed up in the late 1940s by Messrs Renborg, Mytinger and Casselberry to dissimulate a closed-market swindle (aka pyramid scheme) and related advance fee frauds.

      Unfortunately, at the moment, you seem to be incapable of comprehending that 'Tropic Skin Care' is neither original nor unique, and that the name of this counterfeit direct selling company, and the wampum products it peddles to its transient losing-adherents (in the false-expectation of future reward), are just new-versions of the same old red, white and blue herrings invented in post WWII America.

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  6. I would say the method may not be unique. However, the products and labelling are. You either love the product.. or you don't. Simples.

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    1. Anonymous - It never ceases to amaze my readers how 'MLM' adherents are so willing to proclaim their 'love' for 'MLM' products.

      Unfortunately, you have completely failed to comprehend the modus operandi of 'MLM' rackets; particularly, what the actual function of the effectively-unsaleable products has been.

      You might be interested to learn that this week, approximately 350 000 'Herbalife' adherents in the USA, all received cheques from the Federal Trade Commission. The origin of the money financing this mammoth pay-out was the $200 millions which the bosses of 'Herbalife' handed over in July 2016 to halt an FTC prosecution of their counterfeit direct selling company.

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