dis Agape $400M ponzie scheme

[evanovitch]

<div class="ubbcode-block"><div class="ubbcode-header">Quote:</div><div class="ubbcode-body"> NEW YORK (Reuters) - Authorities on Monday arrested the chief executive of a private New York financing firm on suspicion of running a purported Ponzi scheme that attracted $400 million in investments</div></div>

was it a faith-based company? mi a wonda tru him use di name AGAPE wedda him was using him faith fi draw een peeps..anybody know?

[evanovitch]

Re: dis Agape $400M ponzie scheme

<div class="ubbcode-block"><div class="ubbcode-header">Quote:</div><div class="ubbcode-body"> Nicholas Cosmo, head of Agape World Inc on New York's Long Island, <span style="font-style: italic">was said to provide commercial bridge loans</span>, <span style="font-weight: bold">but was instead operating a traditional Ponzi scheme </span>in which early investors are paid with the money of new clients, officials said.

</div></div>

[ILP]

So what is the difference

between ponzi and pyramid scheme?

<span style="font-style: italic">mi lazy fi go look pon google...</span>

[jah_yout]

Re: dis Agape $400M ponzie scheme

no i think it was word of mouth spread-

you know: oh this guy gives fantastic returns- then the whole mob go gi him dem money;
mi si one ooman a bawl bout how she gi him har $5000 life savings

[Gen]

Re: dis Agape $400M ponzie scheme

most if not all of the investors were working class peeps, blue collah po ting dem

[Dr.Dudd]

Re: So what is the difference

<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: DoneWidDem_ILP</div><div class="ubbcode-body">between ponzi and pyramid scheme?

<span style="font-style: italic">mi lazy fi go look pon google...</span> </div></div> Ponzi scheme is based on taking investors money and spending it ,then use newer investors money to pay the promised earnings. as long as there are ebough new investors,you can keep fooling the existing ones by paying them from the new inflows,while using the difference for ypur own benefit.

pyramid scheme on the other hand is not pushed as an investment club as such,but a system of earning commission on the basis of recruiting new members. although it works as long as you can keep recruiting new people,but the nature of the pyramid schemes,cause it to collapse in a short time.
since it requires much more people than a Ponzi scheme and you soon run out of people.
It also promises much more than your initial investment, while a ponzi scheme, usually promise an earning on your investment, and the possibility of withdrawing your investment on request.

In a pyramid scheme,the membership fee is nonrefundable,but the promised returns is multiple times the fee.

[RichD]

Re: So what is the difference

<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: DoneWidDem_ILP</div><div class="ubbcode-body">between ponzi and pyramid scheme?

<span style="font-style: italic">mi lazy fi go look pon google...</span> </div></div> ponzi is a name given to a scheme to defraud so called after a famous fraud artist Charles Ponzi who ran a large scheme(s) in the early 1900's.