Friday, January 30, 2009

Get-rich Schemes

This news item is very disturbing indeed. The question I would like to ask is why do these people believe in such schemes? I understand that the promoters of these schemes are very convincing even to the extent of taking prospective members on trips to see their economics projects that they claim are the sources of their income that they distribute to the members. Some even claim that they have rich donors from the middle east who would help them to make the payments to members.

If so many people are influenced by such promises, studies must be made to expose the flaws of the claims.

Efforts must also be made to expose the false claims made by the operators and to show to each individual how these schemes are actually just victimizations of the many to benefit the few. This could be done in a mathematical way so that no one will believe that these schemes are viable.

50,000 civil servants involved in get-rich-quick schemes

KUALA LUMPUR: More than 50,000 government employees are believed to be actively involved in promoting dubious “get-rich-quick” schemes.

Worse, many senior officers and heads of department were encouraging their subordinates to participate in such schemes, which promised quick and multiple returns for a small investment, said Cuepacs secretary-general Ahmad Shah Mohd Zin.

He said that Cuepacs was very concerned with the development as it eroded the people’s confidence in the civil service.

He said that the problem was so serious that the Public Services Department (PSD) had issued a special circular banning civil servants from joining such schemes.

Circular 2/2009, signed by PSD director-general Tan Sri Ismail Adam, took effect on Jan 13 and bans all categories of civil servants from promoting, participating or investing in such schemes.

The circular, which also covered those in statutory bodies, local authorities and state government authorities, also instructed those involved in such schemes to cease their activities immediately or face disciplinary action.

It said that the participation by a large number of civil servants in such schemes could mislead the public into thinking that the schemes were approved by the Government.

The circular described get-rich-quick schemes as a marketing method which promised high returns with a small investment while the organisations that promoted such schemes were not registered with any licensing authority.

The Federation of Malaysian Consumers Associations (Fomca) fully supported the Government’s move to ban civil servants from these activities.

Its secretary-general, Muhammad Shaani Abdullah, said the schemes were not only promoted by Malaysians but also foreigners through the Internet.

The schemes were usually based on the multilevel marketing model where early entrants gained more than those who join later.

Muhammad Shaani described the schemes as a “victimisation of the majority by the minority early birds.”

He said these schemes thrived on greed and eroded the true business value of honesty and fair play.

Ahmad Shah said that although the Government had given permission to some civil servants to engage in business on a part time basis, it did not mean that they should get involved in dubious activities. -- Bernama

1 comment:

Fadzil said...

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