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Showing posts with label News/update. Show all posts
Showing posts with label News/update. Show all posts

31/08/2013

German consumer union warns against Lyoness




As we reported earlier, Lyoness is facing scrutiny in Germany, both in newspapers and on television. What we pointed out in our first article on this topic, was that the authorities and organisations concerned with such matters in Germany, seemed to have completely missed all relevant developments revolving around the Lyoness racket in Austria and Switzerland (where their local counterparts speak the same language). That seems to have changed now.

The German newspaper Nordkurier reports that the national Consumer Union of Germany (Verbraucherzentrale des Landes) has examined the General Terms and Conditions of Lyoness (of which its Austrian counterpart challenges 61 clauses, and which it has started a class action lawsuit against) and has come to the conclusion that the Lyoness 'business model' is everything but transparent and that consumers should be extremely cautious in doing 'business' with this 'company'. Additionally, Joachim Geburtig of the Consumer Union says that particularly the Lyoness Premium membership (and the contracts signed to become a Premium member) is inexplicable.

We sincerely hope that everyone will take this warning seriously.


Lyoness featured on German television too



Regular contributor to the KTipp forum topic on Lyoness, 'PonziCharles', and Plattform Lyoness, inform the public that after being featured on Austrian television multiple times, appearing in a Canadian television show and being thoroughly discussed on Danish public television, Lyoness has now made an appearance on German television too.

Earlier, this Blog reported that German media (particularly in the North of Germany) had picked up on the Lyoness racket, and had started reporting on them. Now, the local German television channel RBB (from the Berlin region), has featured Lyoness in an episode of its show 'WAS!'. So far it is only available in German, but for sure, someone is working on supplying it with English subtitles.



26/08/2013

Pyramid Scheme Alert warns against Lyoness in US



In more and more countries, Lyoness is facing negative publicity. Several US-based Blogs have reported on the Lyoness racket, but so far, the American media have not picked up on the Lyoness racket. This is quite surprising, considering the continuous public controversy surrounding several MLM rackets, such as Herbalife - which is the subject of a large dispute between several hedge fund giants, and the recent closure of Fortune High-Tech Marketing (FHTM) - a racket that strongly resembles Lyoness - by the Federal Trade Commission (FTC). Additionally, the managing director of Lyoness Americas, Mario Hoffmann, is a highly controversial person.


The ignorance of the American media in identifying Lyoness for the racket that it is, may near its end, though. The best known anti pyramid scheme organisation in the world, Pyramid Scheme Alert, and its president, Mr Robert FitzPatrick, an absolute authority in the field of MLM and pyramid scams, have now explicitly warned against Lyoness in their periodical newsletters, as well as on their website.

In general, more and more sources of information on Lyoness pop up. Most notably, a 'PissedConsumer' page has been created about the 'company', a Danish television show exposed the Lyoness racket in their region, a Croatian Blogger explicitly warns his fellow countrymen against doing 'business' with Lyoness and German and South African media have reported on Lyoness.


South African media identify the Lyoness racket




All over the world, Lyoness seems to be losing grip on their once glorious monopoly of information. After their counterparts in Austria, Switzerland, Germany and Denmark, the media in South Africa have now also noticed the Lyoness racket (which has been active in their country since 2011) and describe the problems the 'company' faces in Europe, particularly in their home countries Austria and Switzerland.

The South African Sunday Times wrote that Lyoness is under intense scrutiny in Austria (with at least 300 members demanding their money back, investigations by government authorities, and the losing of a considerable number of court cases against dissatisfied members), yet also described the situation of Lyoness in South Africa.

Like everywhere, the major retailers that are paraded around by Lyoness to persuade people to join in and make down payments on future purchases (based on the severely flawed logic that these retailers have 'big legal departments' that must have 'thoroughly examined Lyoness' business model before agreeing to become a partner of Lyoness', and therefore Lyoness must be a 'legitimate business opportunity'), when confronted with reality, state that they have not examined Lyoness, are not a partner of Lyoness, and most certainly do not endorse its business model. In South Africa, the most relevant cases of such companies are the four large retailers Woolworth's (like in Australia), Foschini Group, Pick n Pay and Dis-Chem, which state they have only sold large amounts of discount vouchers/gift cards to Lyoness, and furthermore have no idea of how the 'company' operates. After being informed about that, these companies indicate that they will stop selling their gift cards at bulk, and will not do business with Lyoness again.


When confronted, Lyoness' managing director of South Africa, Gerhard Buckholz, lies through his teeth and claims that any negative information available about the 'company' must have been derived from the information spread by its members (who possibly did not understand how the 'company' works), and that the vast majority (96.5%) of Lyoness' 30,000 members in South Africa are 'normal shoppers', with only 3.5% being premium members - according to Lyoness, this matches the pattern that is seen in the 'company's' global operations; Lyoness claims that worldwide, less than 5% of its members have purchased a unit in the 'company's' position system.


As regular followers know, Lyoness has tried to seem legitimate in many ways, for instance by pretending affinity with South African hero Nelson Mandela (by donation some of Lyoness' stolen capital to charities tied to Mandela).

Megan Power, consumer rights journalist for the South African Sunday Times, tells CNBC South Africa/ABN Digital that based on her investigations and her knowledge of the matter, she is convinced that the Lyoness 'shopping community', has a 'secondary purpose' - most likely meaning it to be a pyramid scheme in disguise.

South African medium Rapport also reported on Lyoness, comparing it to notable earlier pyramid scams that have been operated in South Africa like 'Masterbond' and 'Sharemax'. The article addresses nicely how Lyoness is presented as a mutually beneficent shopping community, but that the true nature of the company revolves around the payments of its members into the position system of Lyoness, in which people should buy themselves in for RS20,000 (or any other equivalent of 2000 euros), for the expected reward of RS200,000 (which according to attorney Eric Breiteneder, no-one so far has received). Luckily, the main character in the article, Mr Bredenkamp, and his wife, decide (after some searching on the internet) not to join Lyoness.




24/08/2013

Lyoness faces scrutiny in Germany




Recently, the authors fueling the Lyoness discussion at the Ktipp forum and (afterwards) the guys at Platfform Lyoness, reported that Lyoness is - finally - also facing scrutiny in Germany, after having received a considerable amount of negative publicity in Austria and Switzerland. The article that gets referenced is an article in the German newspaper 'Nordkurier', with the title 'Discount enterprise with doubtful customer recruitment?'.

The article discusses the 'too-good-to-be-true' promises of enormous discounts and future financial freedom made by Lyoness, and the skepticism and criticism it faces in Austria and Switzerland, linking this negativism to the unfamiliarity of German authorities with this 'company on the rise'. Of course, it should be acknowledged that Germany, even though it represents a considerable market, with the same language as spoken in Lyoness' home countries (Austria and Switzerland), was entered by Lyoness in the end of the 2000s, considerably later than Lyoness' founding in 2003 and its expansion to Eastern Europe in the consequent years. However, the poignant unfamiliarity of German authorities with the Lyoness racket begs the question whether the cooperation between EU member states in accepting each other's 'companies' (which is how Lyoness has managed to expand its obvious racket all across Europe, and, later, the world) is sufficiently effective when faced with 'companies' that have less than good intentions. In other words, it is highly remarkable (to say the least) that according to spokesman Joachim Geburtig, the German Consumer Union is unfamiliar with (even the name) Lyoness, while its Austrian counterpart (where they speak the same language, for crying out loud) has ages ago filed an extensive lawsuit against Lyoness, challenging as much as 61 clauses of the general terms and conditions of Lyoness, which the Austrian Consumer Union (VKI) calls vague and incomprehensible. Similarly, the German government department of economy had never heard of Lyoness, while its Austrian counterpart is - reportedly - investigating the 'company', gets regular parliamentary questions about Lyoness and is familiar with the legal investigations of the Austrian justice department and government regulators into Lyoness, and there conclusion that Lyoness is a pyramid scheme.

Comparably with in other countries, the major companies that Lyoness parades around in Germany as being 'partners' (540 in Mecklenburg-Vorpommern alone, according to Lyoness), with 'large legal departments' that have all 'thoroughly investigated and endorsed Lyoness', claim in the media that they have not a lot to do with Lyoness, and for sure do not endorse its 'business model'. Instead, they explain to the journalists that they have sold discount vouchers or present cards to Lyoness (Textile giant Takko and Flower shop chain Fleurop) and that they have not sold their vouchers to Lyoness with the knowledge and information they have now (Fleurop).


The Lyoness Complaint Centre is happy that the German media is (finally) catching up on the developments in the case of the Lyoness racket and hopes that the mentioned authorities will rapidly give a call to their counterparts in Austria and/or Switzerland, to let themselves be fully informed on what kind of criminal organisation they have allowed into their country.


29/07/2013

Monday morning recap: what you may have missed over the weekend




Our regular readers who have not been checking our Blog over the weekend, may be interested to learn that there have been some new developments. For instance, we introduced a new section entitled 'The Witness Statements' ('TWS')  in which we translate the testimonies sent to Plattform Lyoness, and publish the testimonies sent to us by Lyoness victims. We have already uploaded three of such statements.

Additionally, we have uploaded an article discussing the love-hate relationship between 'MLM' and Lyoness, we discussed Lyoness' efforts to cleanse Wikipedia from the truth and we ridiculed the myth that only 30-35 people are unhappy with Lyoness.

We also launched two appeals to our readers; to help us spread the truth on Lyoness and to send in your Lyoness stories. In our 'helpful links' section, we integrated an update to a full-fledged Wikipedia article in Spanish.



Lyoness and its love-hate relationship with 'MLM'




A few days back, well-known 'MLM Watchdog' Troy Doole published a highly interesting document on his website. The document, reportedly written by a reputable, highly-regarded person from the 'MLM' world, details why Lyoness (America) is a fraud, and how Lyoness (America) violates a number of federal regulations and should therefore be forbidden and closed down in the United States. For obvious reasons (e.g. to protect his source), mr. Doole has decided not to disclose the identity of the author at this time.

The document is pretty self-explanatory. As reported for a while here, the whole 'business model' of Lyoness is a mere sham, designed to lure people into a web of lies designed to draw the last penny out of the pockets of its victims. Because of that, combined with the fact that key information has been withheld from the victims before they decided to invest, Lyoness is illegal under every national and international framework of legislation, due to its commited fraud, which is a form of theft. Additionally, the many complicating aspects of the Lyoness 'business model', meticulously set out by the referenced document, show how Lyoness has been violating a large number of US federal regulations on, for instance, pyramid and Ponzi schemes, much like it has done in all the other countries its active in.

Have a look at the document yourself.

Earlier, the Complaint Centre has reported that Lyoness has somewhat of a 'love-hate relationship' with the concept termed 'multi level marketing' (abbreviated as 'MLM'). While in most countries where Lyoness promoters are trying to recruit new members, the amazing powers of 'MLM' to make everyone achieve 'financial freedom' are thrown around at some point, in the United States, one of the largest 'lifelines' within Lyoness has been instructing and convincing its members that Lyoness has nothing to do with 'MLM', but is in fact 'way better'. Like goes for almost all other lies told by Lyoness and its promoters, this lie is adapted to the circumstances. In a hostile environment towards 'MLM', the Lyoness promoters will argue that Lyoness has nothing to do with 'MLM'. In situations where it gets accused of organising a 'pyramid scheme', particularly in national settings in which 'MLM' is deemed legal, the Lyoness promoters will argue that Lyoness is not an 'illegal pyramid scheme', but a 'legal MLM company'.

The other way around, 'MLM' promoters are usually known for sticking up for each other and each other's companies, in order to protect their common interests. While this has been seen in a few cases for Lyoness too, the sympathy of 'MLM' promoters towards Lyoness seems to have reached an ultimate low point now, with quite many well-known 'MLM watchdogs', such as Troy Doole (as well as his anonymous source) and Ted Nuyten openly criticising the 'company' and calling it a fraud. Whether this is caused by a genuine interest to protect the world population from being scammed, or whether it is rather driven by the understanding that the support for such an obvious racket, may lead to severe damage to certain reputations when the whole scam (inevitably) falls to pieces. Who's to say?

In any case, once again, the Complaint Centre would like to stress: a fraud is a fraud, no matter what you call it.


Help us spread the truth about Lyoness!




By now, the Lyoness Complaint Centre has reached over 65,000 page views. We have reached about 9,000 unique viewers. We are very grateful to everyone who helped us reaching these viewers and informing them about Lyoness.

We particularly want to emphasise the help of regular posters on popular forum topics on Lyoness. This help has proven extremely valuable to the number of people reaching our Blog, for a number of reasons. Firstly, more people reach our Blog because of the link being posted on a forum they visit and read. Secondly, this increase in viewership leads to a higher ranking in search engines such as Google, which further increases the number of viewers reaching our Blog. Thirdly, an increasing amount of backlinks at reputable websites/Blogs/forums, also increases our rating in Google, again leading to a higher viewership. Thanks guys!

However, we are an ambitious blog. We will not rest until we have reached at least as many people as Lyoness has scammed (an estimated 3 million people). Therefore, we will need your help!


Help us spread our message!

Share your stories, experiences and information about Lyoness with us; file your complaints!

Follow us on Twitter, Tweet our articles; Like and Share us on Facebook and Google+!

Post links to our articles on forums, blogs, etc.!

Tell everyone you know to stay away from the Lyoness scam!



Update: Helpful links - others on Lyoness




Readers of this blog should be aware that this blog is by far not the only medium concerned with the pernicious nature of the Lyoness pyramid scam. Several other noteworthy sources report regularly on current developments in the Lyoness case.

----Update: Now a links for Spanish readers, to a full-fledged Wikipedia article in Spanish.----

Several very interesting articles have been written by English author and income opportunity fraud expert David Brear, on his blog www.mlmtheamericandreammadenightmare.blogspot.com. These articles can be found mainly in the latter months of 2012 (September and so forth).

A well-structured article has also been published on: http://randominternetthings.blogspot.com/2012/07/lyoness-are-they-scam.html.

In many countries, consumer forums have picked up on the devious nature of Lyoness' pyramid scheme. These are the ones the Lyoness Complaint Centre has found.

If our readers have any additional recommendations, please inform us through the comment section of this blog.

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*Note that this blog does offer the opportunity to translate the articles published here into nearly any language through the Google Translate function in the top left corner of your screen. These are automated translations and their quality heavily varies. We do not accept responsibility for translation errors occurring due to the use of this tool.*
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For German-speaking readers:

http://www.verbraucherrunde.net/lyoness-serioes-oder-nicht-t290-9555.html

http://www.plattform-lyoness-geschaedigte.at

http://www.ktipp.ch/artikel/d/lyoness-fragwuerdige-einkaufsgemeinschaft/

http://de.wikipedia.org/wiki/Lyoness

http://www.dailymotion.com/video/x108ijj_lyoness-orf-report-english-subs_news

http://questions-lyoness.weebly.com/deutsch.html

For English-speaking readers:

http://www.boards.ie/vbulletin/showthread.php?t=2056528522

http://forums.whirlpool.net.au/archive/2004861

http://www.englishforum.ch/business-entrepreneur/101705-lyoness-cash-back-card-system.html

http://lyonless.ch/

http://en.wikipedia.org/wiki/Lyoness

http://www.dailymotion.com/video/x108ijj_lyoness-orf-report-english-subs_news

http://questions-lyoness.weebly.com/english.html

http://vimeo.com/66318039

For Polish-speaking readers:

http://antylyoness.blox.pl/2013/04/Nie-sposob-zrozumiec-jak-dziala-Lyoness.html

http://www.goldenline.pl/forum/3098438/nie-polecam-mlm/s/205

For Danish-speaking readers:

http://www.amino.dk/forums/t/164220.aspx?PageIndex=2

http://www.pokernet.dk/forum/lyoness-pyramidespil.html

For Swedish-speaking readers:

https://www.flashback.org/t1574199p51

http://sv.wikipedia.org/wiki/Lyoness

For Greek-speaking readers:

http://www.insomnia.gr/topic/454424-lyoness-%CE%BA%CE%B1%CE%B9-%CF%84%CE%B9-%CF%80%CE%B1%CE%B9%CE%B6%CE%B5%CE%B9/

For Spanish-speaking readers:

http://es.wikipedia.org/wiki/Lyoness

For French-speaking readers:

http://questions-lyoness.weebly.com/

http://forum.quechoisir.org/lyoness-t1721.html

For Serbian-speaking readers:

http://www.dailymotion.com/video/x108ijj_lyoness-orf-report-english-subs_news

For Norwegian-speaking readers:

http://freak.no/forum/showthread.php?t=243699

http://forum.hegnar.no/thread.asp?id=2106880

For Dutch-speaking readers:

https://forum.www.trosradar.nl/viewtopic.php?f=29&t=81741&sid=15f1dc23e4c1ddf1ee2f4e030d46a7e5&start=680

http://308518.forumromanum.com/member/forum/entry_ubb.user_308518.1128207384.1106692569.1106692569.2.lyoness_nederland_belgie-uitmuntend.html

For Italian-speaking readers:

http://www.dailymotion.com/video/x108ijj_lyoness-orf-report-english-subs_news

http://forum.alfemminile.com/forum/f663/__f4656_f663-Attenzione-a-lyoness-solita-bufala.html

For Hungarian-speaking readers:

http://lapforum.lap.hu/topic/20577-lyoness/

For Croatian-speaking readers:

http://www.forum.hr/showthread.php?t=698194&page=24

Traditional media sources:

Suspicions of Lyoness operating an illegal pyramid scheme have been reported in traditional media souces for quite some time already, particularly in Austria and Switzerland. However, the articles published there have become considerably more concrete as the amount of evidence has grown and the number of victims has increased. These are some of the media sources one could check to remain updated on the situation concerning Lyoness:

http://www.kleinezeitung.at
http://www.wirtschaftsblatt.at
http://www.format.at
http://www.beobachter.ch
http://www.kurier.at
http://www.wienerzeitung.at
http://www.handelszeitung.ch
http://www.derstandard.at
http://www.orf.at


Experts on Lyoness:

Eric Breiteneder is an attorney who has dedicated most of his time in recent years to the fight against Lyoness. Several victims have successfully gotten their money back through his services. Additionally, he publicly warns people against Lyoness and assists the Austrian authorities and media with their investigations into Lyoness. His personal website is: http://www.breiteneder.pro/lyoness

Karl Hengstberger and Peter Hauser (also an attorney) have investigated Lyoness as well.

A full list of Austrian and Swiss attorneys with knowledge of the Lyoness dossier can be found here.


The Austrian Mafia #9: Lyoness' attack on Wikipedia




It is one of the most beautiful initiatives in the world: Wikipedia, the free encyclopedia. Set out to educate the world population in every available language, on every possible subject, independently of any other organisation or individual, and completely free of charge, Wikipedia has rapidly become one of the most respected websites on the internet and a 'go to' source for nearly everyone seeking (basic) information on nearly everything.

Although it has taken quite a while, recently, we were happy to report that Lyoness was no longer hidden on Wikipedia behind a 'redirect' to the mythological land of 'Lyonesse', from which the name 'Lyoness' was directly derived, but that 'the world's largest shopping community' had finally gotten its very own article on the world's largest encyclopedia.

However, we are reliably informed that a user by the name 'LyoNewMedia' has been trying to delete or alter vital parts of the article, as well as to diffuse part of the truth on Lyoness. As reported by the main contributor to the Lyoness Wikipedia article, 'Lyoness Expert', 'LyoNewMedia' has even succeeded to have the Wikipedia community remove the references in the article pointing to the excellent Blog of mr. David Brear and his articles on the Lyoness racket. According to our own investigations, 'LyoNewMedia' has been trying to pull off the same the tricks on the German version of Wikipedia, where this user is one of the main contributors on the Lyoness article.

Although the Complaint Centre Lyoness greatly values neutrality, objectivity and open-access, it should not be the case that the Lyoness racketeers get granted permission to write their own 'truth' on Wikipedia, whilst isolating the millions of interested people all around the globe from the actual truth. We therefore appeal to the good sense of the Wikipedia community to disallow this obvious puppet account of Lyoness to change anything in the Lyoness article, as this obviously violates all pillars Wikipedia was built on in terms of Wikipedia being unbiased, neutral and objective.

Another important question to consider is why Lyoness is so keen on altering and hiding the truth. Do they have more to hide than they previously claimed? Does the Blog of mr. David Brear out too many of their well-hidden secrets?

Luckily, Lyoness' attack on Wikipedia has not stopped the efforts of others to publish Wikipedia articles in other countries. Next to the Swedish Wikipedia page that popped up earlier, now we have been informed that Lyoness is featured on the Spanish Wikipedia too.




The Lyoness Myths #8: Only 30-35 people are unhappy with Lyoness




The Lyoness myths section was developed to assess the validity of the arguments used by Lyoness instigators and adherents to 'prove' that Lyoness provides a viable business opportunity. It should provide people considering to become a Lyoness member with a more balanced view of the 'overwhelming' sales pitch of the Lyoness racketeers, as well as show people defrauded by Lyoness how exactly they were deceived and lured into Freidl's web of lies.

When asked about the persistent and rapidly increasing controversy surrounding his 'company', Hubert Freidl stated confidently that out of all those millions of happy Lyoness members, maybe 30 to 35 had some minor complaints about the impeccable services provided to them by Lyoness.

Anyone who has been reading about the latest developments in the Lyoness case at any of the many well-informed sources reporting on these developments will understand immediately that this statement constitutes a blatant lie, which serves to keep the millions of (often unwitting) victims calm. Looking at the Income Disclosure Statement of Lyoness Americas, it seems more plausible that 30-35 people (out of the 3,000,000 members) are not unhappy with Lyoness.

In Austria, Plattform Lyoness has reported recently that by now, 500 people have contacted them and stated that they feel scammed by Lyoness and want their money back. This number grows steadily. Additionally, the Lyoness Complaint Centre, that's us, has reported earlier that in Australia, a considerable number of victims has applied for refunds and examined the legal possibilities to force Lyoness to pay back their investments. Several of these people have already taken action in this respect.

In the mean time, Freidl and his companions keep up the happy face, continue smiling and lying to everyone who is willing to listen and buy themselves enough time to get away with their criminal acts - and start working on new ones. Anyone who buys that 'only 30-35 people are not completely happy with Lyoness', must really think very hard why on earth they would believe that. Perhaps, the Lyoness racketeers have had more influence on their thoughts than they'd care to admit.

In line with the appeal launched by Plattform Lyoness, the Lyoness Complaint Centre would like to, once again, emphasise the importance of filing your complaints with the appropriate (local) authorities and contacting an independent intermediary for advice. Also, tell your story and spread the truth!

The Lyoness Complaint Centre can be contacted using the comment section below. Please, indicate whether the content is intended to be published or not. Contact details will never be disclosed or published.




19/07/2013

The Austrian Mafia 8: Lyoness sues attorney Eric Breiteneder




After the (partial) 'success' of Lyoness' civil suits against the founders of Plattform Lyoness, through which it forced Plattform Lyoness to change the name of its domain and remove legal documents from its website, Lyoness seeks to employ the same strategy to fight off other regular critics with the same means.

The Austrian newspaper Kurier reported that Lyoness has started legal proceedings against Eric Breiteneder, attorney at law. As most readers of this Blog know, Breiteneder is the main legal opponent of Lyoness in Austria, is representing about 220 Lyoness victims in their struggle for financial retribution, and has won most court cases for his clients - and has thus succeeded in getting their money back.

In a complaint to the Austrian attorney association and a civil lawsuit filed in Vienna, Lyoness claims that Breiteneder has organised information meetings to instruct Lyoness victims to lie in front of court, by saying that they did not clearly understand the 'position system' when investing in Lyoness and that they were falsely informed that they could redeem their investment at any point. As everyone knows, these claims are factual.

Another part of the same complaint focuses on a meeting Breiteneder had with a client about three months ago. 'Coincidentally', an attentive listener overheard Breiteneder 'instruct his client to lie in court'. The 'attentive listener' is now testifying on Lyoness' behalf. Although a testimony about an event that transpired more than three months ago may not be considered very reliable by the Austrian judges, Lyoness claims to have tape recordings of the incidents. We find it very surprising that a 'coincidental attentive listener' carries around a tape recorder, just in case.





Of course, Lyoness has no case here. It is completely normal that an attorney instructs clients on what to say in court. Moreover, the instructions given by Breiteneder have a solid foundation in quantifiable evidence. That is more than we can say about Lyoness' absurd claims.

Readers should note that the Austrian Consumer Union (VKI) contests 61 clauses of the Lyoness terms and conditions in court for their vagueness, opaqueness and incomprehensibility. Furthermore, the position system is an obvious pyramid scheme.




Breiteneder himself does not take the matter up lightly, even though he considers the complaint and court case to be mere attempts to silence and get rid of a nasty opponent. Breiteneder is at the moment active in more than twenty court cases against Lyoness. This seems a lot like 'revenge'.


"This is strong stuff. It brings a new dimension to the debate if a party starts spying on lawyers in private conversation with clients.[...] If I can not recommend a client, as provides his facts to the court, then the concept of legal advice falls apart."





Lyoness has issued a press release in which Mathias Vorbach, Lyoness' spokesman, explains the 'company's' new strategy:


"Suspecting him of continuously influencing court testimonies, Lyoness Europe AG took legal action against attorney Eric Breiteneder in Vienna this week. Moreover, the facts have been submitted to the attorney association in request of disciplinary action against him. Lyoness has entrusted the Viennese law firm Gheneff, Rami and Sommer to protect its interests. 

Lyoness accuses Breiteneder of recruiting plaintiffs among the Lyoness participants that attend the information meetings he organises and persuading these plaintiffs to lie in court in order to provide Breiteneder with the verdict he is after. As evidence to support these complaints, the court has been provided with tape recordings of an example of Breiteneder's attempts to influence a plaintiff in April. In this case, Breiteneder cannot hide behind calling our recording 'spying on a confidential client conversation', as the media are now referring to this evidence - these were publicly advertised and accessible events. 

"After two independent injunctions have strengthened the legal position of Lyoness, we now take action against the strategy to produce complaints using - in our opinion - illegal activities", says spokesman Mathias Vorbach. "For a long time, we have suspected that all this false information was deliberately disseminated. Now, it's time to put an end to that and inform the public about it."    


So, what should one make of these developments? Are these proceedings and complaints a simple act of panic? Of course, it would not be the first time that Lyoness seems to act out of panic. Earlier, Lyoness flew Werner Kaiser (officially second in command at the headquarters in Switzerland/Austria) to London to calm down worried investors. In Australia, a similar meeting was held. Most recently, Freidl summoned his most faithful believers and extensively 'trained' them for 10 days in Austria.

Another, more probable option is that the Lyoness racketeers are busy setting up their new scam(s) and in the mean time, while transferring the assets to shell corporations owned by various jackstraws, want to prevent being financially drained by losing court cases and repaying its investors. It is also possible Lyoness wants to keep their investors around until the whole charade finally goes down the drain, and they will be offered to redeem their losses through a new, similar racket. In order to pull that off, Lyoness needs to keep up a strong attitude to preserve some of its rapidly tainting reputation.

On a similar note, we are very curious to find out what happened to Dr Peter Hauser, attorney of Bernhard Wagner (former managing director of Lyoness Bulgaria), who provided very intelligent and informed views on the Lyoness racket in the ORF Report episode on Lyoness. The website of his (former?) law firm HHS Law seems down and nearly nothing can be found about Dr Hauser on the internet anymore. If anyone knows anything about this, please contact us through the comment section of this Blog or through Twitter; @antilyoness.