China has discovered the largest financial Internet pyramid

Chinese police have discovered the largest financial Internet pyramid in Chinese history . It was created according to the classical scheme. 170,000 Chinese citizens were involved in the fraud, who contributed 1.36 billion yuan ($ 180 million).

The police began investigating the fraud in May of this year, when her attention was attracted by a strange business called the Swiss Mutual Fund. A thorough investigation revealed that the scheme of this business includes illegal elements of network marketing, that is, it is a financial pyramid. Each investor paid 8,000 yuan ($ 1052) per month to receive the promised 400,000 yuan ($ 52,000) in 30 months.

It must be said that now, against the background of stock market rush in China, the construction of financial pyramids is becoming commonplace. Recently, about 600 such schemes have been discovered totaling 1.7 billion yuan ($ 224 million). The Swiss Mutual Assistance Fund was the largest copy. In total, 3,300 organizers and activists in 14 Chinese cities were arrested in these cases. Financial pyramids in China were banned in 1998 after one organizer woman was executed by deceived contributors.