Nothing was Delivered
Florida Agriculture and Consumer Services Commissioner Charles H. Bronson announced today the arrest of a formerly married couple who allegedly collected more than $193,000 from 23 investors for candy vending machines and delivered nothing in return.
According to the complaint, "the pair are accused of operating a registered business opportunity company by the name of Kandy Kidz Inc., of North Miami Beach, which offered investors an opportunity to make a living by purchasing and operating candy vending machines. Representatives of the company told investors that the company would provide the machines, candy and stickers that they could place on their machines indicating that they were affiliated with a Texas charitable organization that searches for missing children. The company solicited investors by advertising in various newspapers and publications throughout the country". (my emphasis)
This is a very common feature of fraudulent business opportunities, the suggestion that they are affiliated with some charity. What this does is to dull the sense of skepticism of the consumer by transferring the goodwill we all have towards charities to the fraudulent scheme. Assuming that the charity exists, does it have any duty to prevent it's good name from being usurped?
Technorati Tags: candy vending machines, fraudulent business opportunities, investors, north miami beach, opportunity company, business opportunity, charitable organization, florida agriculture, kandy, bronson, kidz, stickers
