An alert from South Africa’s Financial Services Authority (FSCA) has been sent out about giving money to people who have passed away.
People in South Africa looked into this and found out that there was a danger.
According to the FSCA’s March 23 findings, Gift of Legacy is not engaging in securities fraud. This is in line with the findings, which came after people asked about the company.
This is against the law. The Financial Advisory and Middleman Services Act (FAISA) of South Africa is what you need to know about.
To come to its own conclusions, the FSCA has looked at “different regulators in South Africa.” There is a good chance the National Shopper Fee is being talked about because the Shopper Safety Act is their area of responsibility (CPA). South Africa’s Shopper Safety Act doesn’t allow pyramid schemes. Third: The Reserve Financial Institution of South Africa looks into “unlawful deposit taking” in South Africa. Unlawful deposit taking can happen in a gift pyramid scam, for example.
To understand the FSCA’s decision, you have to know that Gift of Legacy is an MLM gifting scheme. Associates in MLM giving packages pay a fee, which allows them to get gifting funds from people who come after them.
Gifting schemes, unlike MLM Ponzi schemes, don’t meet the funding requirements for a security provider. This is not the case with MLM Ponzi schemes. Matrix-based gifting schemes may be thought of as money that pays out when every matrix is full.
When every matrix is full, the money is paid out. Regulators, on the other hand, are more likely to separate them. To help with securities fraud, the Securities and Exchange Commission (SEC) in the United States can help.
A group called the Federal Commerce Fee (FTC) is in charge of punishing people who participate in pyramid schemes. It will start giving out $100 gifts in late 2021, and it will be called “Gift of Legacy.”
These people are Chris Hattingh and Candice Donadel, both South Africans, who are in the movie.
After a three-hour meeting in February, Hattingh got the FSCA’s seal of approval for the Gift of Legacy, which is a book. FSCA’s admonition and a referral to an extra-appropriate authority show what else could happen.
The web site for the Gift of Legacy was down at the time this article was written because it was being fixed. It needs some help because of the Gift of Legacy’s recent and exciting growth. “Our local platform isn’t working at its full capacity. That’s why we need to move quickly to improve GL’s performance and customer service so that you can keep having a good time with it.”
As you can see from this text, the queue system was only meant to be a short-term fix. “The integrity of the system and your ability to use it are at stake, so we have no choice but to take it offline for a short amount of time. During this time, it is best to stop giving gifts. Thank you for your help. We look forward to seeing you again soon.”
Recruiting started in South Africa, but now it has spread to Russia, Germany, and Israel, which have all had a large number of people sign up (7 percent).
This is mostly based on Alexa’s research into how many people visit different websites.
Russia’s central bank warned last month about the “Gift of Legacy” pyramid scheme.