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Backyard Pyramid Scheme (4 February 2009)

Written by TVSA Team from the blog Speak Out 2 Teasers on 03 Feb 2009
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Coming up on Speak Out 2 this week - on Wednesday, 4 February 2009 at 21h30 on SABC2 - an investigation into a pyramid scheme called Lezmin Textiles: ...

Miracle 2000 it was called. From as little as R1000 you could triple your money to R3000 in just three weeks. The more money you invested the more you would get out. An exciting twist to it was that if you bring more people into the scheme then you get a bonus on your investment.

Multitudes of people invested in this revolutionary scheme, hoping to get rich. Some people did make money, but as in the law of nature, nothing that is hidden remains hidden.

The scheme was uncovered and shut down. This was 8 years ago. Today history repeats itself over and over again with new schemes being created such as Lezmin Textiles. Lezmin Textiles is the name under Speak Out's eye this week.

Masterminded by a slick, softly spoken woman known as Josephine, it has been masqueraded as a clothing shop. This scheme operates in the heart of Rustenburg in an unsuspecting township of Tlhabane.

Josephine has managed to recruit masses of people ranging from as far afield as Lesotho. They invest from a minimum of R400 and their monies - as with Miracle 2000 - increases after a couple of weeks. The members are issued certificates that describe them as board managers. The certificate states the amount each member invested as well as the returns to be paid out on a specific dates.

This has been the agreement with the board members but things have hit a tragic turn. Instead of the members getting their returns they have now been convinced into buying products from Lezmin textiles before they can get their monies back.

Added to this, is a contract which some people signed. The contract states that Lezmin can change the terms stated at their own discretion and that investors give the company authority to use the funds for purchasing of investment goods. Speak Out investigates the scheme.





11 Comments

Lunj
03 Feb 2009 11:29

Its amazing to see that some people still believe in these get rich quick schemes!! If it seems too good to be true, it probably is!!

cleve
03 Feb 2009 11:34

But could they investigate IFA, someone is trying to recruit me to it.

TheLady
03 Feb 2009 11:46

LOL cleve-I just wanna scream when someone tells me about how much I could make from IFA when they themselves are still wearing some cheap suits.

cleve
03 Feb 2009 12:01

LOL cleve-I just wanna scream when someone tells me about how much I could make from IFA when they themselves are still wearing some cheap suits.
@ The Lady,
how phela girl they aren't telling you that you gon make millions just extra cash. Guys I'm getting convinced but I don't want to join.

Dimago
03 Feb 2009 12:10

My parents lost money in Miracle 2000, it was really big in my neighbourhood and had it not have been uncovered, i probably would have 'invested' in it  - a lot of people i knew made money.

I wouldn't say that these prey on the poor cause a friend of mine who happens to be a CA also participated in Miracle 2000 - i guess it depends on how gullible you are?

Vesa
03 Feb 2009 14:09

But could they investigate IFA, someone is trying to recruit me to it.

I wish they could just investigate Clientele life as a whole......I happened to stumble uppon Speak-Out last week and they were investigating why Clientele was refusing to pay out a funeral policy someone took from them

TheLady
03 Feb 2009 14:16

There's one where you get a shopping voucher-I think from Shoprite-I heard about it in KZN-I tried in vain to convince my mom not to buy into it...I should ask if she got any voucher.

harry79
04 Feb 2009 22:21

I ike to thank SABC2 for the great show.Today's show of Pyramid schemes was a eyeopener.It is scary to see so many people falling into such traps of Pyramid Schemes.In fact there is plenty of such schemes operating in South Africa,also world wide.Currently there is this one, among the middle to upper class people called Network 21, from USA,lots of people are falling into it-I mean lawyers,doctors,nurses,bussinesspeople etc.It is bad,just google it in the internet you will learn more about it.This one is very organised and easily to fall into the trap.I wish something can be done about this things.

Lady D
05 Feb 2009 00:13

IFA is such a legal samm its not even funny,i hate the fact that one has to buy a policy to be a member or so,agggaa

Toxic
05 Feb 2009 07:17

LOL LadyD!

Cande
05 Feb 2009 18:48

i watched ystd.. those ladies are dramatic 4 sho


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