Relay-Version: version B 2.10 5/3/83; site utzoo.UUCP Posting-Version: notesfiles Path: utzoo!watmath!clyde!bonnie!akgua!whuxlm!harpo!decvax!decwrl!greipa!pesnta!hplabs!hp-pcd!hpfcmp!rjn From: rjn@hpfcmp.UUCP (rjn) Newsgroups: net.invest Subject: Re: Orphaned Response Message-ID: <16900001@hpfcmp.UUCP> Date: Sun, 30-Jun-85 02:03:00 EDT Article-I.D.: hpfcmp.16900001 Posted: Sun Jun 30 02:03:00 1985 Date-Received: Sat, 13-Jul-85 15:39:12 EDT References: <213@nicmad.UUCP> Lines: 16 Nf-ID: #R:nicmad:213:hpfcmp:16900001:37777777600:851 Nf-From: hpfcmp!rjn Jun 29 22:03:00 1985 re: latic culture scam CNN did a half-hour segment on one of these flimflam outfits. They concluded it was not a "pyramid" scheme (endless hierarchy of "distributors"), but rather a "Ponzi" scheme. The money paid out to early investors ("growers") is all coming from later investors - and not from resale of the cultures for actual products. CNN attempted to trace the cultures being bought from the growers. Although the vendor claimed that it was all going to a beauty supply manufacturer in CA, it appears that it all actually gets reprocessed into "starter kits" which are sold to new growers. Regards, Hewlett-Packard Bob "wanna buy some USENET bonds?" Niland 3404 East Harmony Road hplabs!hpfcla!rjn Fort Collins CO 80525