List of known Pyramiding Schemes – 2018

In this post, pinagsama-sama ko na yung known pyramiding schemes, and some of them may advisory na coming from the Securities and Exchange Commission (SEC) all the rest I will explain why they are SCAMS.

As always, anybody is free to refute my claims. or at least try. 😉

DEFINITION OF A PYRAMID SCHEME (Wikipedia)

A pyramid scheme (commonly known as pyramid scams) is a business model that recruits members via a promise of payments or services for enrolling others into the scheme, rather than supplying investments or sale of products or services. As recruiting multiplies, recruiting becomes quickly impossible, and most members are unable to profit; as such, pyramid schemes are unsustainable and often illegal.

Pyramid schemes have existed for at least a century in different guises. The difference between a pyramid scheme and multi-level marketing is that multi-level marketing provides an actual product or service whereas pyramid schemes don’t and only funnel the money up from recruitment costs.

In tagalog:

Ang Pyramid scheme (mas kilala bilang pyramid scam) ay isang modelo ng business na naglalayong magsali ng mga myembro sa pamamagitan ng pangangako ng mga bayad o serbisyo kapalit ng pagpapasali pa ng mas madaming myembro imbis na pagbebenta ng mga produkto o serbisyo. Sa pagdami ng mga myembro, mabilis na nagiging mahirap at imposible ang pagkuha ng bagong mga myembro, kaya karamihan ng mga myembro ay hindi na kikita; kaya nga ba ang pyramiding ay mahirap buhayin bilang isang modelo ng business, at kadalasan ay ilegal.

Ang pyramid scheme ay matagal nang lumaganap. Kadalasan ito ay nagpapanggap bilang lehitimong mga negosyo. Ang pinagkaiba ng pyramid scheme mula sa lehitimong modelo na gaya ng multi-level marketing (MLM) ay ito: sa MLM, may ibinebentang mga produkto o serbisyo, samantalang sa pyramiding, ang pera ay nanggagaling sa pagpapasali ng mga myembro at walang inilalabas na tunay na produkto o serbisyo.

Ok, game na, here’s the list:

  1. Building Our Success Stories (BOSS) Network SEC advisory

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2. PLAN PRO MATRIX (PPM) SEC Advisory

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3. PAYSBOOK SEC Advisory

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— EDITING CONTENTS 11-20 —

ConnectPH alliance

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Introduction

Our Story

Once in a while, the perfect alignment takes place. In our case, a technology company from Australia and a consortia of banks in the Philippines come together to form an alliance, their goal was to redirect the course of the Philippines as a whole and turn it into a technology hotspot that could rival any modern cities in the world.

The Alliance is taking a disruptive internet technology currently in use in Australia and bringing it to the Philippines with the goal of uniting and connecting the people of the Philippines.

The formation of this Alliance was made possible because they were inspired by a common theme. From the banks stand point, they want to help everyone who does not have a bank to have banking access and to improve banking service for those who already have bank. And from the technology stand point, they want to bring their technology to every island in the Philippines, so everyone can stay connected.

The common theme helped the Alliance see eye to eye on what to do. In the last 24 months, major financial investments from both sides have so far committed around $500 Million in US dollars. The money was used to purchase a bank and technology equipments.

With a win-win strategy in mind, the Alliance created a technology bundle package that will allow the people of the Philippines to have access to modern day conveniences from all the different islands. The bundle package will include unlimited wifi connections, IPTV and banking services.

The Alliance owned the banking services and all the technologies. This is a big advantage. It allows the Alliance to offer the bundle package to the people of the Philippines at about one-third the price. This is a big win for the people. Top notch technology, paired with affordability will allow everyone in the Philippines accessibility and in turn is a big win for the Alliance as well.

The function of ConnectPH Alliance is to market the products and services offered by the Alliance. The goal of ConnectPH is to create a marketing team to inform, educate and market the triple play bundle package offered by the Alliance throughout the Philippines.

retrieved 2018 from https://connectph.info/about

Links

Scam or Not?

This one is easy to debunk, let’s look at the about statement above and analyze it point by point, para malinaw, nilagyan ko pa ng underline yan ha:

Point 1.

Once in a while, the perfect alignment takes place. In our case, a technology company from Australia and a consortia of banks in the Philippines come together to form an alliance, their goal was to redirect the course of the Philippines as a whole and turn it into a technology hotspot that could rival any modern cities in the world.

From their FAQs page:

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Australian company and a consortium of banks? which ones, kung legit it wouldn’t be a secret, no? shady business practice at best!

For reference, this is how to put up a business in the PH if they are a foreign entity, taken from businesssetup.com:

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They have a few of these documents, such as DTI, Mayor/LGU business permits and the likes, but the thing is, kahit sino pede kumuha nyan lalo na kung local business registration, ask anyone with a legitimate business. If you get in touch with their members, ang ipapakita sa ‘yo ay DTI at business permits lang registered somewhere in Bataan. You cannot operate a business, including inviting members, kung kulang ang documents nyo, particularly the BIR registration (TAX). Having BIR documents means you can provide legitimate receipts (resibo), and according to DTI:

How can you verify that a business enterprise engaged in online selling is legitimate?
“Ask for a receipt.”

This, DTI VI Regional Director Rebecca M. Rascon told reporters during the Regional Consumer Organization Forum, in line with the celebration of the World Consumer Rights Day, with a theme: “Building a Digital World Consumers Can Trust.”

Point 2.

The Alliance is taking a disruptive internet technology currently in use in Australia and bringing it to the Philippines with the goal of uniting and connecting the people of the Philippines.

Wow, disruptive daw, bold claim! let’s watch a video naman from Richard Chea, their Cambodian “CEO” here in this link: ConnectPH alliance video presentation

Finished watching? let’s look at some facts:

According to their members, “MESH TECHNOLOGY” daw ito

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Ano sabi ni Google pag nagsearch tayo ng “Australia” + “Mesh Technology” ?

Google search results

Ang first link po ng result sa taas ay:

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At pag pinasok po natin ang link na yan:

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Yep, WIFI ROUTERS. Take note, for HOME USE lahat yan. Pwede sa malaking bahay, pero hindi BUONG BANSA. Kung ano mang technology tinutukoy nila, well, mukhang huli na si Google sa balita. Plus, check nyo din yung best internet providers sa Australia dito: canstarblue internet rankings

Eto pa, screenshot to mula sa video sa taas, narrated by their CEO, pansinin ang mga numero:

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  1. WIFI? Okay..
  2. WIFI.. tapos naging 3G services?? (telecom data yan via GSM/GPRS modules)
  3. Sorry pero 4G was last generation, 4.5G na ngayon (LTE-A/LTE+) tapos may 5G city na nga sa Clark Pampanga (via Rappler):

My Comments:

  • Nag Google lang ‘tong mga to ng random “high tech” concepts, one more example, one of their members claimed na meron daw nitong mesh technology sa Norway, and told me that I can check dito : MeshNorway if you open that site, it’s not even about network technology LOL.
  • Walang ICT background yung CEO, can’t even give a coherent presentation
  • Hindi feasible yang nationwide mesh network ng home WiFi routers. Anyone with a repeater or mesh setup sa bahay will tell you that the speeds will be downright unusable at that scale. Isipin mo, each hop ng wifi connections = half speed at best.

Point 3.

The common theme helped the Alliance see eye to eye on what to do. In the last 24 months, major financial investments from both sides have so far committed around $500 Million in US dollars. The money was used to purchase a bank and technology equipments.

Uy, $500M USD (!!!!), ‘bat wala man lang sa news?, tapos wala po kayong investment man lang sa advertisement para daanin na lang sa social media ang promotion? “used to purchase a bank” ? akala ko po ba e consortium kayo ng existing banks? hmm..

Final Point.

The function of ConnectPH Alliance is to market the products and services offered by the Alliance. The goal of ConnectPH is to create a marketing team to inform, educate and market the triple play bundle package offered by the Alliance throughout the Philippines.

Yung triple-play bundle: FancyFlix (streaming app ng IPTV), Banking (god knows which one), WiFi (non-scalable technology). I think ang grand total nyan to put out/make is < 100k PhP.

IPTV is free for a LOT of networks, you just need to use the proper addresses, walang subscription for those.

Banking is also a FREE service (in terms of access and app usage) as long as may bank account ka, obviously.

Yung WiFi service nila is just TOO GOOD TO BE TRUE, I will leave it at that.

Verdict

100% SCAM

Paano naging scam e wala naman bayad, free trial nga di ba?

Hindi lang po pera ang resource FYI, sa pagsali nyo pa lang may nakuha na silang tatlong bagay:

  • email address/contact infos
  • personal information/names
  • network (affiliates/upline/downline)

Hindi pa yan pagkakakitaan ngayon, pero I assure you, pretty soon imomonetize nila yan one way or the other. This is what I predict, based on the pic below and on the DELAYED supposed launch last November 2, 2018:

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  1. supposedly lahat may free trial, ngayon mawawala na yun, beta testers na lang from selected locations. meron daw ongoing, pero up to now, wala man lang nagpopost about it.
  2. yung beta testers will “come out” saying that it was a success and diretso na sa launch, these will most likely be in on the modus
  3. HERE’s THE GOOD PART: kelangan na magbayad for access, it should be reliable kasi nga may nagtest na “daw” di ba? so maraming magbabayad..
  4. after a few weeks and hundreds of thousands, if not millions, of Pesos, maglalaho si Mr. Richard Chea. Back to the US, with no trace and no accountability whatsoever.

What kind of scam is it?

Pyramiding. Nothing more, nothing less. Check nyo pa yung main page nila sa taas, puro affiliate and recruitment ang focus and nothing at all about sa network usage, availability, etc. Walang product involved kasi wala namang actual value yung inooffer nila i.e. Ghost product. Kahit maka singil sila ng 1 time payment sa libo libong nauto na nila, makakatakas na yang mga yan na milyonaryo.

What if I’m wrong?

A business working with hundreds of millions of dollars, risking it all by not doing due diligence such as feasibility studies, piloting, focus groups and trials, proper marketing, legalities, etc. ? parang nagsugal ka na alam mo na dehado hawak mo.

Legit yan pag gumana sa phone ko without a SIM card inserted at nakaconnect lang sa WiFi na pinopromote nila in at least 3 separate locations, because that’s what they claim in the first place. Hindi pasok kung specific areas lang ang WiFi, that’s no different sa singular high powered WiFi transmitter, kung totoong mesh ng home WiFi, mabilis ispread yan since halos lahat naman ng bahay meron, but I doubt aabot sila dun kasi malinaw na wala silang alam sa ICT at networking.

Kung mali po ang analysis sa taas, at lumabas na legit pala si connectPH, send me a message, bigyan kita ng free PHP 350.00 para makapagregister ka sa services nila.

UPDATES
Nov 7, 2018 – Pinapakalat nila ngayon na si Dennis Uy (third telco lead) ang nakausap ni Richard Chea sa litrato sa ibaba, “connect the dots” daw

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FACT:

Hindi po yan si Dennis Uy (Tiongco, Uy)

anyone with eyes can tell you that these don’t look the same!

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Ariel Tiongco (notice same glasses and hair)

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Dennis Uy (baby-faced and prominent eyebrows)Nov 20, 2018 – Around Nov 10, inannounce na moved na daw yung launch date to December 3, 2018

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And then may trial daw ONLY FOR top affiliates, as mentioned dun sa web meeting nila. (PS. my god, kung nakita nyo yung streams.. there is no way in hell na million USD project ito)

My Analysis:

Given 2 points:

a.) Minove yung “Launching” to December 3 for only 2 reasons –

  1. para mas madami pa marecruit
  2. dahil mas madaming pera mga tao ng December

b.) Nung umpisa e free trial to all, ngayon selected na lang

Now, ganito mangyayari dyan..

Yung mga selected na makakapag free trial, either of the 2 scenarios:

a. kukutsabahin na lang nila or babayaran para sabihing success yung trial

b. makakapag “trial” kuno sa selected areas na sesetupan nila ng wifi, para mukang legit. pansinin nyo na sa metro manila lang yung target area daw nila.

now, yung galing sa (a) at (b), sasabihin nyan na success yung trial, PERO HINDI NA FREE TRIAL SA IBA.. dito na sila maguumpisa maningil ng 350 pesos, tutal, pasado naman “DAW” dun sa mga nakapag free trial

Ngayon, maniniwala yung mga myembro kasi leader nila yung nagtrial, kaya nga sila narecruit, AND maliit na halaga lang yung 350 kasi nga December na, panahon ng xmas bonus at 13th month. Dirediretso ang recruitment at bayaran nyan habang nagpapalusot na inaayos ang system etc.

Maliit ba kamo? e ilang myembro yun, libo libo na nauto nila as of November 2, the supposed launching date.

At the end of the day, yang mga leader nila na si Richard Chea at Lillian Vergin, wala kayong habol dyan, nasa US ang mga yan. Kawawa yung mga nagrecruit dito.

Brainwashed, Ill-informed Members

a. The usual networking spiel – “wag maging negative, subukan muna” + sari-saring makabagbag damdaming salita na walang technical basis in terms of ICT.

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b. Focus on income and multi-level marketing, sabi nga nung isang nakausap ko, sa sobrang focus daw sa pera ng mga ito, nalimutan na yung internet, di man lang nila sinuri kung tunay ba o hindi

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c. five hundred million U.S dollars, ano kaya nyo ipakita? heatmap lang? sa amount na yan, dapat kayo na mismo naglalayout ng mesh network kahit luzon muna kung totoo yang trial

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d. Example nung karamihan ng members na pera lang habol. no sim no wifi haha, walang ganyan pards!

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e. “HOUSEHOLD NAME” ISP lol, ilang buwan na palusot yan na hindi pede idisclose, kasi wala naman talaga

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Nov 22, 2018

Remember me saying this a few days ago?

Now, ganito mangyayari dyan..

Yung mga selected na makakapag free trial, either of the 2 scenarios:

a. kukutsabahin na lang nila or babayaran para sabihing success yung trial

b. makakapag “trial” kuno sa selected areas na sesetupan nila ng wifi, para mukang legit. pansinin nyo na sa metro manila lang yung target area daw nila.

now, yung galing sa (a) at (b), sasabihin nyan na success yung trial, PERO HINDI NA FREE TRIAL SA IBA.. dito na sila maguumpisa maningil ng 350 pesos, tutal, pasado naman “DAW” dun sa mga nakapag free trial

Ngayon, maniniwala yung mga myembro kasi leader nila yung nagtrial, kaya nga sila narecruit, AND maliit na halaga lang yung 350 kasi nga December na, panahon ng xmas bonus at 13th month. Dirediretso ang recruitment at bayaran nyan habang nagpapalusot na inaayos ang system etc.

Just earlier, may nagpost sa kanila nito..

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There will be no way na malaman kung aabot nga ng 100k “testers” yan. Nagstart na sila ng setup, tulad ng sinasabi ko sa taas.

Please share this post, libo-libo na po ang narecruit nila, bago pa po sila makapaglabas ng pera.
December 2, 2018

Yung “bank” nila, western Union prepaid netspend card lang. Not at all connected with a bank.

And just recently, it is confirmed na CHUR NETWORKS yung “provider” nila, which is hardly known in Australia, far from being an ISP. This works via collecting login information and SSID for visible (i.e. not hidden) home wifi networks. Gone are the claims that it is “satellite wifi” at “nationwide coverage”.

This is a one time scam, maka kuha lang sila ng 350 pesos kahit 1000 na tao lang, bawing bawi na sila, wala silang balak ituloy yang “service” kuno.

December 17, 2018

Latest update from them:

Zoom Recap

Launch nationwide as long as u have the mesh network signal. Not just in manila anymore

Legality
Everything is app based business
Similar to facebook or uber
So pls stop worrying about legalities anymore

Global platform is compatible with both iOS and Android

Commissions
No changes has been made
Up to 5th levels deep
Unli directs
The commission can only be claimed if the affiliate is using/paying the monthly recurring bundle/service.

ssids integration
Is Almost done

Other nationalities
Can join BUT the company will be paying commissions in peso. And they are advice only to promote in Philippines not in there native country

Anu pa?
Pa dagdag plit

IMPORTANT PARTS:

A. Wala na daw legalities to be presented

Legality

Everything is app based business

Similar to facebook or uber

So pls stop worrying about legalities anymore

Oh please. Walang local legalities ang FB simply kasi wala silang actual services and products. As for UBER at GRAB, may permit yan from the LTFRB at full documents giving them the right to operate, nasa balita pa nga yan nung binabawi yung franchise nila.

Kala ko ba may “congressional permit” na kayo na may “pirma” ni noynoy? San na? Hindi nyo kasi maloloko basta basta ang mga tao.

Updating…