Showing posts with label MLM. Show all posts
Showing posts with label MLM. Show all posts

Sunday, May 3, 2026

Pass the veggies, please

 


Feminist atheist and cult-watcher Rebecca Watson (Skepchick) has discovered some kind of Über-syncretist sect or cult. Based in Utah, it combines fundamentalist Mormonism, Scientology and multi-level marketing of nutritional supplements. Yes, really! The business-slash-cult is called Balance of Nature and was founded by a chiropractor. Because of course it was.

Interesting, and frankly a bit disturbing.  

Waiting for NESARA

 


I´ve heard of the NESARA conspiracy theory before, but clearly I didn´t know half of it! I mean, wtf.

There are strange connections to Ramtha, Mormonism, David Icke´s reptilian aliens, the 9/11 Truth Movement, MLM-like ponzi schemes...

NESARA (and its later twin GESARA) has everything. Except maybe QAnon, although I wouldn´t be surprised if many true believers in one might easily morph into the other. 

I admit I was somewhat shocked by this stuff. Or am I just getting old?   

Saturday, April 11, 2026

Late stage capitalism

 


Also known as Pissmaxxing. I associate drinking your own urine with a certain neo-Nazi quasi-Theosophical cultist in Sweden, but naah, it´s a global subculture. Because of course it is. Haven´t seen the whole thing (yet) so good luck with this content, LOL. 

Monday, March 2, 2026

Monday, June 2, 2025

The Devil Corp

Credit: Pavan Kumar N 

 

ChatGPT is in an "anti-capitalist" mood again! 

Can you tell me something about a direct sales company called DS-Max or perhaps Cobra?

DS-Max and Cobra Group are interconnected entities operating within a network of direct sales companies that have garnered significant criticism for their business practices.The Devil Corp

🏢 What Is DS-Max?

DS-Max (short for "Direct Sales to the Maximum") originated in Canada in the 1980s, evolving from earlier ventures like W.M. Industries Inc. and Wholesale Warehouse Industries. It expanded rapidly by employing a door-to-door sales model, promoting products such as perfumes, toys, and household items. The company emphasized a "Management Training Program," where sales representatives were encouraged to recruit others, promising swift advancement to owning their own sales offices. This structure closely mirrors multi-level marketing (MLM) schemes, focusing on recruitment and sales volume. The Truth Behind Door-to-Door JobsThe Devil Corp


🐍 What Is the Cobra Group?

The Cobra Group, also known as Appco Group, was established in the 1980s by Chris Niarchos, a former DS-Max employee. Based in Sydney, Australia, it expanded its operations to the UK and other countries. Cobra adopted the DS-Max business model, emphasizing face-to-face sales and aggressive recruitment strategies. Over time, it became a significant player in the direct sales industry, operating under various brand names and subsidiaries. Reddit+2The Truth Behind Door-to-Door Jobs+2The Devil Corp+2


⚠️ Common Criticisms and Controversies

Both DS-Max and Cobra Group have faced numerous allegations and criticisms:The Truth Behind Door-to-Door Jobs+1The Devil Corp+1

  • High-Pressure Sales Tactics: Representatives often engage in door-to-door or street sales, promoting products or services with aggressive pitches.

  • Misleading Recruitment: Job advertisements may present roles as marketing or management positions, but recruits often find themselves in commission-only sales roles with long hours and minimal support.

  • Pyramid-Like Structure: The emphasis on recruitment and the promise of rapid advancement resemble pyramid schemes, where success is heavily dependent on bringing in new recruits rather than product sales.

  • High Attrition Rates: Due to the challenging work conditions and low earnings, many recruits leave within a short period.

These practices have led to widespread criticism and have been documented in various forums and investigative reports. Reddit


🔍 Conclusion

While DS-Max and Cobra Group have provided opportunities for some individuals in direct sales, their business models have been widely criticized for exploitative practices and misleading representations. Potential recruits and consumers are advised to conduct thorough research and exercise caution when engaging with these or similar organizations.

If you're considering a position with such a company or have encountered related job offers, it's essential to scrutinize the company's background, employee reviews, and business practices to make an informed decision.


Could DS-Max and Cobra be the same business operating under two different names?

Yes, DS-Max and the Cobra Group are widely considered to be closely connected — many researchers, former employees, and investigative reporters describe them as essentially the same business model operating under different names, or as part of a loosely affiliated global network of direct sales companies. Here's how they're related:


🧩 1. Common Origin

  • DS-Max originated in Canada in the 1980s and became a global door-to-door sales empire.

  • Chris Niarchos, a prominent figure in DS-Max, later founded the Cobra Group (sometimes called "The Cobra Group of Companies").

  • Many of the sales techniques, management systems, and internal jargon used in Cobra were inherited directly from DS-Max.


🔄 2. Identical Business Model

Both organizations rely on:

  • Aggressive direct sales (door-to-door, event booths, street corners).

  • A "Business Ownership Program": new recruits are promised they can run their own office if they prove themselves in sales.

  • Commission-only pay with no base salary.

  • A pyramid-like recruitment hierarchy: reps recruit new reps, who hope to rise to "owner" by building a team.


🕸️ 3. Franchise-like Network

  • DS-Max and Cobra (and associated names like Appco Group, Cydcor, Credico, etc.) operate through hundreds of smaller offices worldwide.

  • These independent offices use different names to avoid public scrutiny and bad press.

  • Critics often refer to this web of companies as the "DS-Max system" or the "Devilcorp" network.


📜 4. Rebranding After Scandal

  • After facing mounting legal troubles and public criticism, especially in the early 2000s, many DS-Max offices rebranded as Cobra or Appco to distance themselves from the negative associations.

  • Former insiders have stated that the switch to Cobra was often just cosmetic, with the same practices and leadership structures underneath.


❗ 5. Widespread Criticism

Both DS-Max and Cobra have been:

  • Accused of running predatory pyramid-style operations.

  • Criticized for deceptive job ads (promising management or marketing roles that turn out to be sales jobs).

  • Known for extremely high turnover, with many recruits quitting within days or weeks.


✅ Conclusion

Yes, DS-Max and Cobra Group are not just similar — they are part of the same evolving business structure, with shared leadership roots, nearly identical methods, and a continuous history of rebranding to escape regulation and reputational damage.

Would you like a timeline or organizational chart of how these companies evolved and rebranded?


Was there at one point a strange religious cult in South Africa with a YouTube presence which was really a direct sales company?

Yes, there have been instances in South Africa where organizations exhibited characteristics of both religious cults and direct sales companies, often utilizing platforms like YouTube for promotion.

One notable example is the KwaSizabantu Mission, a Christian mission station in KwaZulu-Natal. In September 2020, News24 released an exposé alleging that KwaSizabantu operated as a cult, with former members reporting various forms of abuse, including financial exploitation. These revelations led to investigations by local authorities and caused several South African vendors to temporarily cease selling the mission-owned bottled water brand, aQuellé. However, subsequent reviews by the Cultural, Religious and Linguistic Rights Commission and an Independent Panel did not officially classify the mission as a cult. Wikipedia

Another organization with a global footprint, including in South Africa, is Swissindo. Founded in Indonesia, Swissindo presents itself as a debt relief initiative but has been widely criticized and labeled as a scam. The group claims to eliminate personal debts and offers financial salvation, often requiring members to pay fees and recruit others, resembling a pyramid scheme. Swissindo has been particularly active in targeting vulnerable and marginalized communities, promising financial freedom through questionable means. Wikipedia

These examples highlight how certain organizations can blend religious or spiritual rhetoric with direct sales or financial schemes, leveraging online platforms to expand their reach and influence.


What are the criticism levelled against Herbalife?

Herbalife, a global multi-level marketing (MLM) company that sells nutritional supplements and weight management products, has faced significant criticism and legal scrutiny over the years. Below are the key areas of criticism:


🧱 1. Pyramid Scheme Allegations

  • Core criticism: Herbalife has been accused of operating a business model that more closely resembles a pyramid scheme than a legitimate direct-selling company.

  • Reason: The emphasis on recruitment over actual retail sales to customers. Many critics argue that distributors earn more from recruiting new members than from selling products.

  • Legal impact:

    • In 2016, the U.S. Federal Trade Commission (FTC) reached a $200 million settlement with Herbalife.

    • The FTC did not label it a pyramid scheme, but mandated Herbalife to restructure its business model and better document retail sales.


📉 2. Unrealistic Income Claims

  • Herbalife has been accused of misleading potential recruits with stories of financial freedom and lavish lifestyles.

  • Reality: Most distributors earn little or no money, and many actually lose money due to expenses like purchasing inventory and attending training sessions.

  • Internal data (revealed during the FTC case) showed that a vast majority of distributors made minimal income or none at all.


🧪 3. Product Health Concerns

  • Some critics and healthcare professionals have raised concerns over the safety and efficacy of Herbalife products.

  • Issues include:

    • Allegations of liver damage linked to Herbalife supplements in some case reports (although not proven conclusively).

    • Lack of FDA approval for many of its products, although this is common for supplements in the U.S.

    • Concerns over aggressive weight-loss claims and insufficient evidence for some advertised benefits.


🌍 4. Targeting Vulnerable Populations

  • Herbalife has been criticized for targeting:

    • Low-income and immigrant communities, particularly in Latin America and among U.S. Latino populations.

    • People with limited financial literacy or job alternatives, luring them in with promises of entrepreneurship and independence.

  • Critics argue that this amounts to economic exploitation, as many end up losing money instead of achieving financial stability.


🎯 5. Bill Ackman vs. Herbalife

  • In 2012, hedge fund manager Bill Ackman publicly declared Herbalife a fraudulent pyramid scheme and took a $1 billion short position against the company.

  • This led to a media and regulatory spotlight, especially as other influential figures (like Carl Icahn) took the opposite side.

  • Though Ackman eventually exited the short in 2018, his campaign amplified public scrutiny and played a major role in the 2016 FTC settlement.


⚖️ 6. International Investigations

  • Belgium: A Belgian court ruled Herbalife to be a pyramid scheme in 2011 (later overturned).

  • China: In 2019, Chinese regulators launched an investigation into Herbalife’s business practices as part of a broader crackdown on health product companies.

  • Other countries have taken a cautious stance or conducted consumer protection investigations into the company.


✅ Herbalife’s Defense

Herbalife has maintained that:

  • It is a legitimate direct-selling company, not a pyramid scheme.

  • It has reformed its practices following the 2016 FTC settlement.

  • It provides high-quality, science-backed nutritional products, with many satisfied customers and successful distributors.


🧾 Summary of Key Criticisms:

CategoryKey Issues
Pyramid schemeFocus on recruitment, not retail
Income claimsMisleading earnings potential
Product safetyLiver health concerns, unproven benefits
ExploitationTargeting vulnerable groups
Legal scrutinyFTC settlement, international investigations

Let me know if you’d like details on specific legal cases, internal compensation data, or critical documentaries (like Betting on Zero).

Tuesday, December 24, 2024

When did the Church become Amway?

 


Sometimes even Doreen Virtue makes interesting content. This time about MLM, including its connection to charismatic Christianity. It seems all MLMs operate in pretty much the same way, make up pretty much the same claims, and have the same detrimental results for most of the participants. I didn´t know about the (presumably informal) connections to New Thought and the prosperity gospel, but it doesn´t surprise me either. After all, the underlying ideas seem to be the same: a kind of "magical thinking" about success and how to reach it, the cultic mentality, and so on. Obviously, the entire basis for these things is American capitalism and/or culture. 

In the one-hour video, Virtue speaks with two former merchandizers of "Amway", an old MLM business in the United States (and accused of being a cult for decades by critics). The couple were also involved in the Word of Faith movement. They discuss how Amway really operates backstage, and how certain Christian groups try to recruit people through the MLM milieu. 

As I said, could be of some interest. 

Tuesday, January 2, 2024

Dark diamond

 





American Zen practitioner Brad Warner (who also stints as a rock singer and Ultraman fanboy) criticizes the Dalai Lama in these two clips. 

In the first, Brad completely disses the Tibetan leader, saying that he can´t know much about Buddhism (?!). The second clip deals with the Dalai Lama´s contacts with Aum Shinrikyo, the Japanese cult which carried out a terrorist attack in the Tokyo metro system in 1995. Brad was living and working in Japan at the time. In fact, he was traveling with the Tokyo metro on the day of the attack...

Brad also claims that the Dalai Lama de facto endorsed another weird cult, this time in the US, known as NXIVM. 

It seems that the meek and mild lama is really a very dark diamond. 

Monday, February 28, 2022

Serving two masters

I haven´t written that much about MLM on this blog, but I long suspected that this particular "business" model often functions as a kind of quasi-religion. 

Clearly, I didn´t know half of it.

It seems that some MLM networks *are* religions sensu stricto. If they serve God or Mammon (or even Satan) is another question entirely! 





Monday, August 3, 2020

Herbalife for the people



An interesting article about the controversial MLM company Herbalife and its presumably equally controversial relationship with a certain Kamala Harris... 

Kamala Harris and Herbalife

Monday, September 10, 2018

Herbalife is occult




In Sweden, Herbalife is universally regarded as a cult. Me and one of my friends, Blondie, used to work in direct sales. For another cult, obviously. Occasionally, we would pop into Herbalife's HQ in Stockholm. It looked like a temple, with huge Herbalife flags, portraits of the founder Mark Hughes and even quotations from him. All salespeople wore identical clothes with big tags saying "I LOVE MY BUSINESS". They even had monster mass meetings!

A cult if you ask me, LOL.

Once, I ran into a Herbalife merchandizer in Umeå in northern Sweden. It was great fun. The guy had the most fabulous pitch in the world: "See this health drink? Fat people drink it to loose weight, slim people drink it to gain weight, and others just drink it to stay fit". Well, who can say no to such an offer? And yes, he was wearing those clothes...

In Umeå, I also tasted Herbalife vanilla flavour. Frankly, it tasted like sea cow. I should have asked the kind lady who let me taste it for the chocolate or strawberry flavours instead. They looked tastier. Thank God I feel comfortable with my weight!

The temple is gone, and I haven't seen Herbie for a very long time, although they still have a website in Swedish.

Just wanted to share some of my experiences with the world's fastest growing religion, ha ha...