Aussie watchdog cracks down on pyramid seller
- 09 August, 2000 22:00
A Perth man has been charged by consumer watchdog the Australian Competition and Consumer Commission (ACCC) for participating in a pyramid selling scheme via the Internet.
The future of Kevin Ryan will be clearer on September 8 when a directions hearing is scheduled to take place in Perth's Federal Court.
According to the ACCC, which instigated proceedings against Ryan, the watchdog received "numerous complaints" from Australians who were approached by him to participate in an Internet pyramid selling scheme run by US budget Internet service provider SkyBizWorld.com.
Ryan encouraged users to give donations of $A100 to SkyBizWorld, the ACCC said.
An ACCC spokesperson said Ryan's activities had previously been the subject of scrutiny from "various consumer affairs ministers".
The commission would not comment on how many Australians had fallen prey to Ryan's money-making ploy or what action would be taken against SkyBizWorld.
The ACCC will seek injunctions preventing Ryan from further involvement in pyramid selling schemes and requiring Ryan to attend a trade practices compliance seminar, the commission said in a statement.