From a quick look at the PlexPay online presentation and a little google'ing on the internet:
PlexPay is an obvious combined Ponzi scam and pyramid scheme, offering up to 3% profit per day (!!!) on the members "investments", and promising pyramid recruitment rewards in 9 levels.
From the online presentation at
www.plexplaynetwork.com , slides titled "Cash Flow" and "Compensation Plan", the pyramid scheme of member recruitment is obvious.
Clicking on "GPS" (Global Profit System), it is equally obvious that GPS is a Ponzi scam. GPS offers profits on the "investments" of 2.5% and 3% per day, and a very vague description of how these extreme profits are achieved; A certain sign of a Ponzi scam.
Those people who have problems recognising these obvious signs, might e.g. read FBI's warning agains HYIFs (High Yield Investment Frauds) and Ponzi's at:
http://www.fbi.gov/pressrel/pressrel...ller030703.htm
or the Securities and Exchange Commision's Ponzi description at:
http://www.sec.gov/answers/ponzi.htm
The "President" and top dog appears to be a person named Frode Jørgensen, who lives in Trondheim, Norway, and the office address ("Support") is at Schultz gate 1 in Trondheim, although they have for some reason equipped themselves with US fax numbers
Frode Jørgensen has previously been a pusher of the now bankrupt Norwegian pyramid company T5PC (Note 1), been involved in the now collapsed Ponzi scam PIPS (Note 2), and been a member/recruiter in the notorious pyramid scam WGI (Note 3), which shut down in April 2005.
Mr. Jørgensen has now probably decided, after involving himself in these scams, that to earn money in the world of pyramids and Ponzi's, the best way is to start your own Ponzi/pyramid scheme.
Norway's answer to Charles Ponzi, Bryan Marsden and "Midas", the PlexPay boss Frode Jørgensen, presents himself here:
http://new.ryze.com/view.php?who=plexpay
It appears that he is educated in the cooking and hotel trade, and has had a short carreer in the restaurant business.
PlexPay is officially registered as a mailbox company in the tax evasion and money laundering haven British Virgin Islands, which was also the official "home" of the infamous pyramid scam WGI. This seems to vouch for the legality and honesty of PlexPay ......
In reality, PlexPay has its base in Trondheim, Norway, and appears to be run entirely by Norwegians.
One prominent pusher of PlexPay is the "bankruptcy jockey" Ole Edvard Holmgren, as can be seen in the web site Nettavisen of the Norwegian TV channel TV2 (in Norwegian):
http://pub.tv2.no/nettavisen/okonomi/article361203.ece
Plexpay has also prepared a shares offering prospectus, which might indicate that they are planning a shares fraud similar to what was done in T5PC (note 1)
https://www.plexpaynetwork.com/docs/prospectus.pdf
This prospectus states that PlexPay has the following employees:
President: Frode Jørgensen
Vice President, Marketing: Jarle Johansen
Vice President Products: John Kåre Engesvoll
System Engineer: Steinar Utne Wiken
Manager International Sales: Leif Jårvik
As the first state in the USA, Kansas is now in the process of issuing a "Cease and Desist Order" against PlexPay, Frode Jørgensen and the american Plexpay pusher Michael Bay.
http://www.securities.state.ks.us/pr...xpay8-9-05.htm
Notes on scams that Frode Jørgensen has involved himself in:
1) The 5% Community (T5PC) was a Norwegian-run pyramid (officially MLM) company which operated for about 1 1/2 years and went bankrupt in December 2004. It had around 70 000 members, mainly in Norway, and took in large sums from pyramid entry fees and sales of highly overpriced shares. The money was then syphoned off to the bank accounts of the scheme bosses or to companies run by these bosses. 11 of the bosses have now been charged with fraud, embezzlement and other financial crimes by Norwegian police. The top dog, Jim Alexandar Wolden, was already serving a prison sentence for other frauds and tax evasion when T5PC went bankrupt.
2) People in Profit System (PIPS). A substantial Ponzi scam which operated out of Malaysia (and partly Panama) and was run by the English former electrician Bryan Marsden. Marsden promised 2% daily profit on "investments" (officially "loans") with very vague descriptions on how these profits would be achieved. This Ponzi appeared to have had more than 200 000 members worldwide, and Marsden created a religious-like cult around himself and PIPS. The scam started to show signs of collapse in late 2004, when payment to members slowed down and then ceased entirely. PIPS' death came in August 2005, when its offices were raided by the Malaysian Central Bank and Malaysian police, and Bryan Marsden was taken into custody for interrogation. Bryan Marsden is now said to be out on bail, but PIPS' computers and documents have been seized by Malaysian authorities, as evidence in a future criminal trial against Mr. Marsden.
3) World Games Incorporated (WGI): A notorious pyramid scheme (officially an internet gambling site marketed by MLM) run by the Australian fraudster Gregory James (Greg) Kennedy. It originated in Australia, as Virtual Games Global (VGG), but changed its name and its "hunting grounds" after the Australian authorities stopped its operation in Australia.
Initially, WGI had large growth (around 450 000 members maximum, half of them in Norway), and early entrants earned money from recruitment rewards and rising "share" prices in a Ponzi-style "Stock Market Game".
However, recruitment fell in 2004, payout to members (except for a few top dogs called World Leaders) virtually ceased in August 2004, and the "share" price dropped by more than 90%. As with other Ponzis and pyramid scams that are in the collapse phase, the payment problems were blamed on the banks etc, and payment was always promised to come "very soon".
WGI stopped operating in early 2005, and it was announced that its "assets" had been bought by a company called Aspiritus N.V., based in the Netherlands Antilles (well-known tax evasion and money-laundering haven).
In reality, this takeover was only a renaming and reorganisation of the pyramid scheme, because the majority of Aspiritus is owned by Greg Kennedy's company Pacific Delta Investments Ltd, which previously ran the pyramid scam WGI.
WGI owed large sums of money to its members when it stopped operating. The money in the members' accounts was not paid out, but was converted to "units", which (it is claimed) can later be sold or converted to shares in Aspiritus. However, these "units"/shares are extremely overpriced (by a factor of at least 10), and no members have managed to sell such "units", so the money the members had in WGI must be regarded as lost.
There have been convictions against WGI and its promotors for illegal pyramid selling activities in Australia, Sweden, Canada and Finland.
Gregory James Kennedy and his company WorldPlay Ltd were convicted of operating an illegal pyramid selling scheme by an Australian court in September 2004. This was confirmed by the full federal court in an appeal trial in May 2005.
A final comment about PlexPay:
It seems that PlexPay has attracted a number of former members from the Ponzi scheme PIPS, who have not yet lost all their money on PIPS, and have not yet lost their faith in Ponzi schemes.
Oh, well! I guess that those punters who are gullible and greedy enough to give their money away to an unemployed english electrician promising 2% profit per day, are also gullible and greedy enough to give their money away to an unemployed norwegian cook promising 3% profit per day ......
Conclusion:
Stay away!
PS: At the moment, the PlexPay web site is down.
They claim to have had a server crash, but it might also be an indication that the collapse phase has started.
When pay-in from new members is not able to keep pace with pay-out to older members, the Ponzi and pyramid schemes usually present explanations/excuses/promises of the type "server problems", "capacity problems at the bank", "very soon" etc.
