ScamTelegraph has confirmed that the New South Wales Office of Fair Trading officially classified Liberty League International as a pyramid scheme on May 5, 2009. This government finding, based on legal advice, establishes the scheme's illegal nature under Australian law, carrying significant ramifications for its operations and participants.
The investigation by ScamTelegraph began following a reader tip, aiming to verify claims about Liberty League International's status with the New South Wales Office of Fair Trading. On May 5, 2009, a representative verbally confirmed that a report had concluded the company was indeed a pyramid scheme. However, public dissemination of this information encountered skepticism from Liberty League supporters, who cited the absence of publicly available written documentation.
Following the initial verbal confirmation, a formal request was lodged with the Office of Fair Trading for a written copy of the conclusive report. This period was marked by ongoing public doubt regarding the initial disclosure. When the document did not arrive as anticipated, further contact with NSW Fair Trading led to the inquiry being escalated to another department within the agency.
Hours after the follow-up, written confirmation from the New South Wales government was obtained, definitively classifying Liberty League as a pyramid sales scheme in Australia. The official document explicitly stated: "Fair Trading has legal advice confirming that the scheme (Liberty League) is a pyramid sales scheme within the meaning of the act." This statement corroborated the earlier verbal information and provided concrete evidence of the classification.
These official findings carry substantial implications for Liberty League's operations in Australia, where it had functioned as a pyramid scheme for approximately two years. Participants and promoters involved in the scheme now face risks of financial loss and potential prosecution or other enforcement actions by Fair Trading. While these specific findings await potential court testing, the government's classification provides a strong foundation for future regulatory actions.
What is Liberty League International?
Liberty League International is a company that had been operating in Australia, and which the New South Wales Office of Fair Trading officially classified as a pyramid sales scheme.
When did the New South Wales Office of Fair Trading classify Liberty League International as a pyramid scheme?
The verbal confirmation of the classification was made on May 5, 2009, with written government confirmation obtained shortly thereafter.
What are the potential consequences for individuals involved in Liberty League in Australia?
Participants and promoters in Australia face risks of financial loss and potential prosecution or other enforcement actions by the New South Wales Office of Fair Trading.
How long had Liberty League International operated in Australia as a pyramid scheme?
The company had reportedly functioned as a pyramid scheme in Australia for approximately two years prior to the official classification by the New South Wales government.