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China Cracks Down on Illegal Sales Affiliations

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Police in central China’s Chongqing Municipality have broken up a pyramid selling scheme involving 409 people and detained more than 120. The affiliation ring, under the name of MDG International Science and Technology Group Co., LTD, was involved in the pyramid selling of so-called high-tech communication software ‘my-cool’. Chongqing Police department had undercover officers infiltrated the ring a month ago. They mapped the structure of the organization and identified the ringleaders. Members of the ring were required to sell the company’s products priced from 330 yuan (48 U.S. dollars) to 6,600 yuan.

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