Abra folks warned on pyramiding biz scams

BANGUED, Abra -- The Abra Consumer Net (ACN) has alerted the public on dangers of pyramiding scams to protect their investments.

In a seminar on Republic Act No. 7394 known as Consumer Act providing the trade laws that protect welfare of consumers and businessmen in the country conducted by the ACN last week, Franco Ching and Macos Rex Hall of DTI gave pointers to detect if a company is a scam or not.

They said the process includes offer to join a group, scheme, program or team where a member needs to recruit new members to make money. The scheme involves offers of goods or services of little or doubtful value that serve only to promote the scheme such as information sheets. There is a big up-front cost to pay for large quantities of goods but there are no goods or services being offered for sale by the scheme.

The promoter makes claims like ‘this is not a pyramid scheme’ or ‘this is totally legal’.

If you think you might be involved in a pyramid scheme, stop participating in the scheme immediately and contact fair trading agency. You should also warn other people you think may have been approached about joining the scheme, they advised.  

Ching and Hall cited importance of being vigilant of  deceptive businessmen as well as observance of product standards for consumer welfare and protection.

They gave pointers on how to determine the standards of various commodities that need certifications of seal of product standards that are sold in the market to ensure safety of the products especially the electrical and electronic appliances, devices and gadgets. -- Josa Mai Ramirez