The founder of the MMM financial pyramid scheme Sergey Mavrodi, holding a copy of his banned book ‘Temptation’ in Moscow in May 2008. Mavrodi’s schemes stole life savings from more than a million Russians in the early 1990s AFP/Getty
It may likely be a bleak Christmas for millions of patrons of popular ponzi scheme, Mavrodi Mundial Moneybox, MMM in Nigeria.
The managers of the Ponzi scheme threw million of subscribers into panic on Tuesday over its decision to freeze all confirmed Mavros – money due for withdrawal for one month.
This, those familiar with the scheme said, means members due for payment after having ‘provided help’ (PH) to another person the month before cannot be paid or in the lingo of the MMM, ‘Get Help’ (GH) until January.
Subscribers to the scheme get 30 per cent on their deposits or “help” after one month.
But it was learnt that subscribers to the scheme received the message suspending payment for one month when they logged into their accounts on Tuesday morning.
MMM managers said in the letter that payment to subscribers is being suspended because the system is experiencing “heavy workload” associated with the New Year season.
The managers of the scheme also blamed “frenzy” provoked by unrelenting media for the suspension of payment.
The statement reads: “Dear members!”
“As usual, in the New Year season the System is experiencing heavy workload. Moreover, it has to deal with the constant frenzy provoked by the authorities in the mass media.”
“The things are still going well; the participants feel calm; everyone gets paid – as you can see, there haven’t been any payment delays or other problems yet – but!.. it is better to avoid taking risk.:-)) (Moreover, there are almost three weeks left to the New Year.)”
“Hence, on the basis of the above mentioned, from now on all confirmed Mavro will be frozen for a month.”
“The reason for this measure is evident. We need to prevent any problems during the New Year season, and then, when everything calms down, this measure will be cancelled. (Which we will definitely do.:-)),” the administrators said while pleading for ‘understanding’ of subscribers.
The suspension of payment to subscribers is coming barely 24 hours after MMM founder, Sergey Mavrodi wrote an open letter to President Muhammadu Buhari, in protest against warnings issued against patronage of the scheme by various Nigerian regulatory and government bodies.
Vanguard newspaper reports that the freezing of payment has led to panic and lamentations by subscribers in social media and chat groups.
The newspapers reported that in a whatsapp group, MMM Nexus Solution, subscribers lamented that they don’t know to tell their down liners – those they brought into the scheme of the development. Other subscribers in the forum also lamented that the decision to suspend payment may lead to eventual collapse of the scheme.
” One of my down lines was supposed to pay 50k today and he has just called me to tell me he isn’t paying again till this is sorted out. Exactly my point. If millions GH in January, how will the system manage that, bearing in mind that this act of suspension of GH this period will discourage many people from joining; who will pay the January GH?,” Vanguard quoted a subscriber as complaining in the chat forum.