Polish prosecutors have seized $6.4 million from Lyoness’ financial institution accounts.
The accounts have been held with ING Financial institution Slaski SA and include a mixture of euros and zloty (PLN).
As per a discover issued to Lyoness victims in Poland, Warsaw Prosecutors concluded an investigation into Lyoness Europe AG.
The investigation started on January 1st, 2020, and is a part of the broader case towards Lyoness in Poland.
This particular investigation pertained to restoration of funds from Lyoness for distribution to victims.
Warsaw Prosecutors declare the seized funds have been proceeds of a “prohibited act” dedicated by Lyoness in Poland.
The “prohibited act” being operation of a pyramid scheme.
Constructing on that discovering, Warsaw Prosecutors cited Lyoness for
1. Representatives of the Lyconet Advertising Program (previously the Lyoness Loyalty Program) recruiting an undetermined variety of individuals with a view to obtain monetary profit.
2. Amassing funds of members in Lyconet Advertising as a part of promoting revenue shares … with funding danger and not using a required allow.
Each offenses are violations of Poland’s Penal Code.
Funds seized from Lyoness’ ING Financial institution Slaski SA accounts totaled 21,09 million PLN and €950,163 EUR. Collectively this comes to simply over $6.4 million USD.
Lyoness’ regulatory troubles in Poland date again a number of years.
In February 2014 Poland’s Workplace of Competitors and Shopper Safety (UOKiK) referred to as Lyoness out for being a Ponzi scheme.
In Could 2016 a ruling by the Courtroom of Competitors and Shopper Safety deemed Phrases and Circumstances Lyoness solicited funding beneath have been unlawful.
This was adopted up by the CCCP certifying Lyoness was a pyramid scheme in December 2019.
That final certification is tied to restoration of funds by Lyoness’ Polish victims. Which brings us to the checking account seizures particulars above.
Following regulatory motion towards it throughout a number of international locations, Lyoness rebranded as myWorld. The MLM aspect of Lyoness nonetheless runs by means of Lyconet.
Lyconet web site evaluation by Alexa reveals Lyoness recruitment is presently lively in Macedonia, Russia and Kazakhstan.
The US, India and Macedonia make up prime sources of visitors to myWorld’s web site.
These international locations usually rotate out and in as Lyoness collapses in a single market and spreads to a different.
This has been going since BehindMLM first reviewed Lyoness again in Could 2012.
Lyoness is run by Austrian nationwide Hubert Friedl and is predicated out of Austria.
Austrian authorities may put a cease to Lyoness however for no matter purpose haven’t achieved so.
That’s to not say there aren’t authorized developments pertaining to Lyoness from Austria. Each every now and then some new courtroom ruling is issued.
I ended taking note of the limitless rulings a while in the past as, outdoors of the courtroom, nothing appears to ever truly occur.