Herbalife Key Documentation Regarding "Deception" Left On Sidelines [Part II]

Continued from Part I… What constitutes an illegal pyramid scheme? While many surrounding the issue appear to have conflicting interpretations, a source close to Herbalife told ValueWalk their version of truth on the issue of regulatory clarity on the “pyramid” scheme issue was that the rules are generally clear: Pyramid schemes are illegal because they are inherently deceptive and therefore illegal under Section 5(a) of the Federal Trade Commission Act (unfair or deceptive act or practice). The legal definition has been clear and unchanging since 1975 (the Koscot Test): “Such schemes are characterized by the payment by participants of money to the company in…