[HN Gopher] $500M Ponzi scheme preyed on Mormons
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       $500M Ponzi scheme preyed on Mormons
        
       Author : latchkey
       Score  : 28 points
       Date   : 2023-02-04 19:33 UTC (3 hours ago)
        
 (HTM) web link (www.washingtonpost.com)
 (TXT) w3m dump (www.washingtonpost.com)
        
       | yieldcrv wrote:
       | mormons are the ripest for affinity scams
       | 
       | they're really gullible and think everyone is neighborly, but
       | especially other mormons
       | 
       | this is corroborated by the data, Utah has the most of these
       | scams per capita
       | 
       | https://attorneygeneral.utah.gov/utah-fraud-capital/
        
       | elkos wrote:
       | My understanding is that many religious communities are targeted
       | by fraudsters like ponzi-schemes, or MLMs (that may in some cases
       | be legal but in most cases are financially detrimental).
        
         | boeingUH60 wrote:
         | Yeah, but Utah is just an extreme case. I detest reading about
         | MLMs and similar fraudulent schemes, but almost every one I
         | read about happens to come from there. I'm not Mormon or even
         | American...just an outside observer, but what makes that place
         | so ripe for these schemes?
        
           | mistrial9 wrote:
           | that LDS community is high-trust environment plus many
           | barriers to entry.
           | 
           | I suspect that part of the reason one guy shot himself so
           | quickly over a money crime is that he knew that the social
           | condemnation would be intense and endless, in that world.
        
       | wilg wrote:
       | Unsurprising that criminals might target people who have been
       | taught to think less critically. I always recommend people not
       | participate in religion if they're worried about being scammed.
        
       | latchkey wrote:
       | https://archive.is/MzFVz
        
         | jollofricepeas wrote:
         | Religion has nothing to do with it.
         | 
         | "Successful Ponzi schemes prey on close-knit communities of
         | victims, so-called "affinity groups," which the perpetrators of
         | the frauds are either already linked to or can tap into."
         | 
         | This is hacking of the human mind. Within social groups, we
         | humans become extremely dumb as we jockey for position,
         | acceptance and the like.
         | 
         | The largest and latest Ponzis have happened within the various
         | insular tech & crypto communities which have nothing to do with
         | religion (ex. OneCoin, Terra, DC Solar).
         | 
         | DC Solar even got Berkshire Hathaway to give them $340 million
         | USD.
         | 
         | SOURCES:
         | 
         | - https://www.reuters.com/article/us-ponzischemes-
         | idUSTRE53R74...
        
           | latchkey wrote:
           | > The largest and latest Ponzis have happened within the
           | various insular tech & crypto communities which have nothing
           | to do with religion
           | 
           | Depending on how to define the word religion, one could argue
           | that a community, is a religion.
        
             | dibt wrote:
             | Depending on how to define the word potato, one could argue
             | that a community, is a potato.
        
               | latchkey wrote:
               | By that logic, religion is a potato!
        
       | dahdum wrote:
       | > He placed the letters -- along with a note addressed to the FBI
       | and a zip drive of computer files -- upstairs on the desk in his
       | office.
       | 
       | Forget about the ponzi, I want to hear more about him using a
       | _zip drive_ in 2023.
        
       | al2o3cr wrote:
       | The investment was pitched as a nearly risk-free opportunity
       | to earn annual returns of 50 percent
       | 
       | Preyed on morons, more like. Anybody who believed that pitch
       | should call me for a great deal on the Brooklyn Bridge.
        
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       (page generated 2023-02-04 23:02 UTC)