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Coast Net scam ________________________________________
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this company, and many others, operates under the concept of "organization hierarchy pyramid scheme", sometimes called network marketing "network marketing" or marketing a multi-layered "multi-layer marketing - MLM". This type of marketing Classified in terms of the principle into cheating, fraud, commercial business fraud. Has been addressed by studies, research, and wrote, warning of these networks and delusion and corruption expect that followers Vtjolhm dream Quick money for limited amounts. In the end this amounts flowing into the pockets of the owners of these companies and organizations, and reap the followers only a mirage. Therefore, the laws in many Hierarchical organization of States in one form or another. It also warns the public official bodies from falling into the trap of these networks after packaging in an attractive through the allegation that the opportunity to market Useful products to the public, educational or otherwise.
There is also a company operating in the same area, called the Sky Buzz skybiz.com, which is very similar company Coast, from where the quality of products and marketing mechanism And the system of commissions, based in the United States and has branches across the world. This company raised the U.S. Department of Commerce against the issue of which it accuses of cheating and fraud to the public, and issued Court's decision in Oklahoma 06/06/2001 off the company's operations and a freeze on assets as a prelude to refund customers who have joined them.
that this position against pyramid marketing companies Based on the conviction in most countries of the world that this type of marketing is a photographic image of the fraud and deceiving people. Here we will show how these networks, and then show ambush Bug where.
First: The mechanism of action
the fundamental idea of marketing a simple hierarchy. And is that person buys the company's products in return for the opportunity to convince others to do what he did (to buy They are also the company's products), and takes is a bonus or commission in return. Then each one of those who joined the program will convince others to buy as well, and the first one gets additional commission, And so on. You pay to Zaid to take Amr and Obaid.
The following practical example illustrates this.
to assume that "Zaid" decided to buy the company's products listed for $ 100. Given by our company Accordingly, the right to market their products to others in return for specific commissions. The two persuaded Zaid to join the program, meaning that buy each company's products, and have two The right to attract other marketers as well as for commissions. Then each of these two people to convince others to join, and so on. This mechanism will consist of a tree of followers who joined the program In the form of a pyramid. (See figure).
Note that the number of members in each level is equal to twice the number in the previous level, and the number of members of the last level a little more than the total membership levels All the previous. Note also that the number of subscribers grows Asia, in the sense that the number of members of the fourth level = 42 = 16, and the number of members of the level X = 102 = 1024, and so on.
method of calculating the commission
require the company not less than the sum of individuals who are drawn by Zaid It is followed at the pyramid of 9 people in order to get the commission (but not less than the number of members in each branch for 3). The commission is $ 55. Then the commission will be disbursed for each of 9 people (called every nine people in the hierarchy of the "degree"). Given that the pyramid is doubling every time a new level is added Or a new layer of the pyramid, the commission is increasing dramatically each time. If we assume that the pyramid is growing each month, in the sense that two people join each month for each person in the pyramid (as is the assumption that the company Location), it means that the commission member gets up to more than twenty-five thousand dollars in the twelfth month (see table).
[
month, new members of the general membership Commission (USD)
1 2 2 0
2 4 6 0
3 8 14 55
4 16 30 110
5 32 62 165
6 64 126 440
000 000 000 000
12 4.096 8.190 25.080
18 262.144 524.286 1.602. 040
24 16.777.216 33.554.430 102.527.480
30 1.073.741.824 2.147.483.646 6.561.755.640
commission is calculated as follows: consider the number of steps in the total subscribers, and is an exchange commission Accordingly, after the dropping of grades in the previous level. At the third level for a total of 14, which includes a one degree (ie nine and only one), the remuneration of a member of one commission. Level IV a total of 30, and this includes the 3 degrees, the degree of subtraction of one spent in the previous level, leaving two degrees, act Amoltan = $ 110. In the fifth level a total of 62, and this Includes 6 degrees. Subtraction of the previous level grades in the 3, leaving 3 degrees, the remuneration three commissions, any 3 × 55 = 165, and so on.
noted that the member does not receive any commission before the third month, that is, Must be below the growth of the pyramid with three levels before it gets to the commission. But the amount of commission, which is $ 55, less than the amount paid is $ 100. It is therefore necessary in order to make a profit from the growth Pyramid into four levels under the user at the very least.
if we follow the growth of the pyramid per month (depending on the assumption posted on the company Coast), we find that at the end of the year in excess of the commission Monthly by $ 25000. And simple arithmetic, we find that the commission in the middle of the second year (1 month exceeding one million six hundred thousand per month, while over at the end of the second year Hundred million dollars a month.
and a source of temptation in this kind of software hierarchies: for the princely sum not to exceed $ 100, get the joint to thousands and even millions of times the amount. Therefore Shopping these companies through their programs and promises of filthy rich in a period of easy growth through the multiplier of the pyramid.
Where is the fault?
The ambush bug in this system is that it is viable, He must not collide with the end and then stops. If the classes were the last stop of the members are losers, and upper classes are the winner. Layers than in recent times the number The upper classes, and this means that you lose the majority to win the minority. Therefore, these programs, in fact, fraud and deceived and sell the illusion to the public for the benefit of the few owners of the company.
to clear Image to follow the growth of the pyramid as the previous table. In thirty-month, any mid-third year, the total members of the pyramid more than 2 billion people, one third of the world's population. Per month Which followed a total of 4.3 billion, and in the following month (thirty-second) 8.6 billion.
we know that the world's population does not exceed the 6 billion people, this means that the pyramid Must stop before level or month 32, ie, before the end of the third year, with a total members 8 billion. If growth stops, the members of the last levels will not succeed in Achieve any additional sales or new members, they have paid the price to join the program without charge. These amounts represent a loss on them and profit for the upper levels.
The case of the pyramid Very similar to the case of the growth of cancerous tumor in the body. A cell is divided down the cancer, thus doubling the size of the tumor at a time. Because the tumor cells is more developed in The body, it consumes energy from the body more than the rest of the body's membership. With exponential growth, accounting for tumor energy without the rest of the body, the result will be to stop the body's systems for Energy production, and then the death of the body. And if it stops the production of energy is not able to tumor cells growth, are also Vtamot. Means that the growth of multiple tumor is the same as the cause of mortality in the end. This Is the case in the marketing hierarchy. Exponential growth of the pyramid calls for new members are always members of the weakness of the latter level, this makes the total size of the pyramid as well as doubles each time. The greater Pyramid doubled whenever the required number to continue. But the availability of such vast numbers is impossible, so Alentjip the inevitable collapse of the pyramid and end, as was the end of the cancerous tumor.
practice will depend pyramid before exhausting the required numbers much, can not be for the market to absorb this huge number of sales. It is well known in the science of marketing to Each product is a certain degree of after market sales of the degree of saturation (saturation), then are not able to achieve any additional sales, and then the pyramid can not grow beyond.
to assume that when you stop marketing Level 18, where the members of this level a little more than a quarter of a million. Based on the foregoing, the member does not receive any commission until the number of levels below 3 levels. This means that levels The last three (16, 17.1 will not get any commission, while the members will get the fourth from the bottom level (level 15) on the commission, but less than they paid (commission is $ 55 while each of them had Pay $ 100). If the members of the last level about a quarter million, which was accepted by 131 thousand and 65 thousand, which was accepted, it means that about 450 thousand members have paid about $ 45 million without any charge. The Members of the fourth level of the bottom (and roughly 32 thousand) will receive a commission on each of them less than the price of the products purchased to join the program.
noted that the proportion of members of the four levels Recent (15-1 levels to the total members of the pyramid drew 93.8%. This means that approximately 94% of program members are losers, while only 6% are the winners.
and even if we assume the continuation of a debate program in the hierarchy Growth, the fact that the levels of the pyramid always losing the last four, and can not get out of the loss only attract new members to be lower levels beneath them, so the levels Is a new loss-making, and so on. Losing necessary for the growth of the pyramid, and can not be at any given moment of moment that everyone is a winner in any way.
Thus it is clear that the program hierarchy and they Rather than fact, and the overwhelming majority of the participants in this program are losing the interest of the few. To this were studies and the writings of many of these programs warns
position law Programs hierarchical
prevent laws in the world's most programs hierarchy (pyramid shemes), where co-pays a fee to just join the program, without the presence of any product or commodity is Circulation. If there are items, the U.S. law currently does not prevent them, and this weakness was criticized by many Western writers on the basis that the item in these programs are just Cover and a pretext for prohibited programs, with the result and one in both cases. However, the U.S. Department of Commerce expressly warning the public of any marketing programs or sales calls to attract marketers Others and the case against Sky Buzz, which is very similar Bkost, but a practical example to reject the use of products as a cover to defraud the public. Will come further on this point later.
II: Calendar of Forensic
Islam is the religion of nature, and Islamic law based on justice and prevent injustice, then realized what the wise in this transaction from fraud and the seizure of Other people's money unjustly, and thus called for to prevent them, Islam is the first to do so.
can say the sanctity of explanation to participate in this type of program the following reasons:
1. Eat it for the money Unlawfully.
2. Aptnaih on ambiguity which is religiously prohibited.
eat money unlawfully
show clearly than ever that this type of program can not grow only in the presence of losing the interest of winning, Either stop growing or not depends. Losing a description of the levels needed for the latter in all cases, and without them there can be no fiction commissions for the upper levels. The losers are the majority As has been overwhelming, and the winners are few. This means that few have gained the majority without the right money, this money unjustly eat the Quran was revealed that it is haraam. This is called a pattern when economists: Deal zero (zero-sum game), where some win it is to lose the rest.
ambiguity
out of Muharram ambiguity: is to make money for a valuable consideration is thought most likely not present or achieved as desired. Therefore The scholars said: ambiguity is the frequency between the two, Ogelbhma Okhovhma who joins this program pays a sum of money for profit is often not achieved.
this point and to indicate more Suppose that the probability of success in persuading the last member to join the program is 80%. In the sense that the member if the person displayed on the purchase of goods from the company and to join the hierarchy in marketing, Usually happens that the person will accept the offer and join the program. Note that this percentage is much higher than the reality, we assume the implementation of the program at best.
What is the probability for user Commissions make up for what pay? If the probability of success of each member in the pyramid in the annexation of another person it is 80%, the likelihood that the 18 operations (in order to recover the joint capital) equals:
(80%) 18 = 1.8%
any possibility that Trivial in practice. The investigation commission equal to $ 25000 per month requires join 8190 people, and the likelihood of this is: (80%) 8190 = zero. That is the logic of the statistical likelihood can not be achieved This commission.
Note that this ratio is less than the percentage of winning the lottery (lottery), where the ratio is inverted the amount of the award. If the award was ten million dollars, the probability of winning Per ticket for slightly less than one in ten million, and this probability is greater than the likelihood of achieving marketer of dreams, which upheld it. The lottery is better than the face of the pyramid marketing Another is that the owner of the ticket does not need to make any effort or work after buying the ticket. The marketer is tired and barely lose himself and of his own money than to pay to join the program hierarchy, With profit and that the probability of winning the much lower probability of winning the lottery. Valyanasib more likely to win and less expensive. If, however, forbidden, the first pyramid marketing is haraam.
and if we know that the pyramid must be stopped in any case, this means that in this program is in fact a gamble: that all gambling on the Sex Ed Before the collapse of the pyramid. If a person knows It would be at the lower levels, while the collapse of the pyramid do not accept to enter into the program and a quarter of the price you want, and if he knew that it would be of the highest levels of desire to enter If the price doubles. This ambiguity is the fact forbidden, as the person accepts to enter in the hope of enrichment even if the probability that this hope is very weak in terms of reality. Richness that is tempting One has to pay the price to join the program, it is tempted by dreams and aspirations and illusion, while the fact that the probability of losing times times more likely to earn.
compromised and there is a product
But that can not be compromised by the defenders of these programs, which is a product that truly benefits the buyer and then is not a loser if it stops the pyramid, is the first suspicion of marketers revoked And workers in these programs themselves.
and that they are marketing these products when we find them rely on to highlight the commission that can be achieved by joining the program, so that Mention this astronomical commission sufficient to convince a person to buy. If not is the marketing objective for the refuge of members to lure new marketing commissions. Therefore can not be marketed User These products without mentioning the marketing commission, this is contrary to the interests of member joined the same program as for it, namely: to attract new marketers on the string to achieve the dream of wealth Promised.
and which confirms that the product is only the Star and the placebo, the rapid comparison between marketing and commissions between the benefits of the products themselves. These products are not worth more than $ 100, according to Rate the company stated. The commission is up as we have to $ 25000 per month, or the equivalent of $ 50000 at the end of the first year only. Is there any sane person means a value of one hundred and fifty thousand leaves? If he found that of the person he was numbered among the wise. Vaql in the financial trade-offs looking for interest, and interest is with the marketing, it must be intended is the marketing.
that these products, Whatever its usefulness, we can not verify the buyer benefits exceed the value of those commissions resulting from marketing fiction. The lesson, as is the decision of the Sharia clicks. Intending to commission Is often unintentionally products, so the rule based on it.
and which confirms that the purchase of products not intended: that the programs and training materials for Microsoft products, especially Office, Are found in abundance on the Internet, many of which are available free of charge. There are specialized training programs for all Office programs ranging from $ 20-35 dollars. The creation of the site and mail on the Internet, This can be bought for $ 10 per year easily. While the company sells its products to $ 99 per year. Any more than it actually available for the price not less than $ 55. This
Increase in the price were not to be found in the marketing program for this hierarchy. It will be said in that, as Shaykh al-Islam Ibn Taymiyyah may Allah have mercy on him: "Do they not set aside a decades on the other, then you're considered One who buys it or pledge allegiance to this price? "If singled out for accession to the purchase price of the item by this amount.
do not hesitate to officials at the company's statement that the actual cost of the products Equivalent to $ 24, while the remainder, which is $ 75, is devoted to the expenses of "marketing." But instead of spending this amount on advertising and advertising as is the case in other products, the company Its disposal to customers who buy their products. This is in the best interest of their client from the "traditional" way in the Declaration.
In fact, this claim is contrary to reality. And the process of Simple calculation shows how the injustice which is located on the client or user marketer from this method. It requires the company to attract marketer 9 people before they acted as his commission, which is $ 55 as Above. But sales of 9 people (except for the marketer himself) means that the company was a profit over the cost of products, equivalent to 9 × 75 = 675 dollars, an exchange of 55, remains $ 620. Ie that for every 9 new members get Marketer 55 while the owners of the company gets a net profit of $ 620. This is obscene injustice, how it is said that the marketing costs for the disposal of the members?! This amount, which is $ 75, is in fact Subscription fees in the program, and as you see mostly goes to the owners of the company.
It shows that the objective of the purchase is to participate in the marketing, not products:
v The rules and regulations of the company Most are related to terms and conditions of accession and exchange commission, and the mere purchase Vtgmh a few paragraphs. Is This is the action of its target marketing list and join the only child to her or vice versa?
v that Require the company to continue in the program for more than a year to pay the same amount again. It is clear that this is not the only things that the continued marketing programs are purchased from the first time, and programs The new found not equal in value the amount requested.
v if the company sells the products actually were directed support for their products, while we find through the rules and regulations of the company they Sell products as is and without any responsibility, while offering support for marketing programs and gain members, as stipulated in the Regulations. Is This is the action of selling real products?
v that the company allows Those who wish to purchase products without marketing, but does not allow him to benefit from the services of the company's site on the Internet for marketing, but through the fax. As they do not accept to be without him In the hierarchy are also Marketers without purchase, but must be followed by those who purchase order to receive a commission. It is clear that this is narrowing on marketing without a purchase. It should be noted that the company Sky Buzz of America, already referred to, have the same organization and arrangement of the marketing procedures without purchase. However, considered the company's U.S. Department of Commerce just to build a pyramid The value of the product and the point is that the products sold by the company is only a guise to join the program, while joining the program for a price of ambiguity, and consuming wealth unlawfully, as Progress, and prevent an agreement between the place of Islamic jurisprudence and positive law. Valtahil provide product has no value in Islamic law, because what counts is money, and governance depends on the reason and the presence And nothing. If the reason the list whether the product was found or not found, it will not change his ruling in the slightest. If the positive law is unable to deal with this fraud, it is therefore criticized From analysts and Western writers, but the Islamic jurisprudence praise God fully and I, it is built on the revelation that is not done wrong in the hands of his successor. So, the plain text From the Prophet peace be upon him blocked the doors of circumvention of ugly, such as prohibitions peace be upon him for Abietin in the pledge of allegiance, and advances and sale, and the conditions in the sale. All of this is strictly to get around the provisions of Sharia disinfectant and emptied of its content, it is not a complete lack of law and are not a bug: {One of the best of God's provision for people who are sure}.
the difference between pyramid marketing and brokering
and through The above shows that marketing is not just a hierarchical brokerage also claims the company in its location, and also tried to suggest that the scholars who questioned them about. Valsemsrp contract whereby the broker gets The remuneration for sale of a commodity. The pyramid marketing marketer is paid the same wage in order to be marketed, and this reverse brokerage. The purpose of the pyramid marketing is not selling a commodity or service, But attract new marketers to lure marketers in turn others, and so on. Has been that this sequence can not continue without end. This sequence is invalid because it does not have to stop. Then marketer Necessarily the last loser because no one accepts to join the program hierarchy. But that does not exist for this sequence in the brokering or marketing is normal. Valtsoep treating them between the two Sales and usury from God who told them in the Qur'an: {They said that they only like usury}. Treating them all between a sale and prohibited between the sample text. Marketing is a hierarchical More specific than absolute marketing, which included the conditions of the properties and what makes a contract void, there is no true measurement on each other.
It shows the difference between the two things that normal marketing brokerage or Is through the regulations governing the relationship between marketers in order to ensure that each of them his commission. The company selling the products specified for each marketer (or for a distributor for their products or for each branch) range Specific specialty, in order to avoid damage to distributors for each other if they banged in one area. This accumulation of harmful products on the company because it leads to saturation of the domestic market, as stated above. As It is harmful distributors or marketers themselves, because it deprives them of sales and then marketing of the commission.
In marketing there is no hierarchical controls of marketing, there are no limits governing the work of Each distributor or all of the broker. The reason is that the goal is not a product but to join the pyramid. And join requires increasing numbers of new members always, so there is no interest to determine The area of jurisdiction of each marketer, but this is harmful to the growth of the pyramid, and then returns the owners of the company.
In fact, the hierarchical system makes the real item is sold by commission members Promised to join the pyramid, not the products that are not worth more than 0.2% of the marketing commission for the first year only. The brokerage or marketing is known to sell for on behalf of Commission. True to the broker the yield comes from direct sales of products to consumers the actual, not purchases of new marketers.
For this reason, several states require American returns to be direct marketing to the final consumer at least 70% of the total marketing revenues. The sense of not more than return on marketing for new marketers 30% of the company's revenue. And that is only a confirmation of the difference between selling the actual beneficiary of the product, and selling the one who wants to join the pyramid marketers hope, in the huge commissions that upheld it.
Abstract
that programs based on the hierarchy, including the program in question, based on consuming wealth unjustly and corruption of others, because this sequence can not be To continue without end, if the result was a profit stop the minority at the expense of losing the majority. Also, the logic pyramid marketing depends on the returns of the sin of the upper classes at the expense of classes Minimum of the pyramid. Classes are always the last lost even if the imposition of non-stop program. Not useful in this work and legitimate existence of the product, but this makes it inside tricks within the Forbidden
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