5 Famous Pyramid Scheme Companies in US History

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In this article, we will discuss the 5 famous pyramid scheme companies in US history. If you want to read about similar companies, you can go to 9 Famous Pyramid Scheme Companies in US History.

5. BurnLounge, Inc.

Ceased Operations: 2012

BurnLounge, Inc. was an online music store established in 2004 in New York City. By 2006, the company had 30,000 users. In 2007, the FTC sued BurnLounge, Inc. for being an illegal pyramid scheme, and in 2014 the company lost the case. The company’s website allowed consumers to preview and buy music and communicate via a dedicated app. To sell music on their own pages, consumers had to buy a subscription. The fees changed depending on the plan, with an annual fee plus a monthly fee option. The fees allowed consumers to earn sales points for BurnLounge products and consumers were allowed to exchange these points for cash, after paying an additional fee.

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