118 sentenced for illegal pyramid selling in China

A total of 118 people in south China were today sentenced to between 10 years to 19 months in jail for running an illegal pyramid selling.
The defendants, including leaders and major members of the pyramid scheme, were sentenced by Nanning Intermediate People's Court in Guangxi's capital.
The multi-level marketing network, running since 2009, had nearly 5,000 members. Each new member was asked to pay 3,800 yuan (USD 600) to 69,800 yuan on the promise of profits and promotions, the court heard.
The court handed down jail terms from 10 years to one year and seven months to 118 people, state-run Xinhua news agency reported.

The scam involved more than 100 million yuan. The 40-tier pyramid ring was busted in April 2012.
Pyramid selling has been banned in China since 1998 but has remained rife in many less-developed regions. The fraud has evolved from touting fake products to more sophisticated fund-raising chicanery and has extended onto the Internet.