Pingdingshan Shengguang Group is a pyramid scheme?

I. A pyramid scheme refers to an act in which the organizer or operator develops people and seeks illegal benefits by calculating and paying compensation to the developed people on the basis of the number of people developed directly or indirectly by the organizer or operator or on the basis of the sales performance, or by requiring the developed people to pay a certain amount of money as a condition for obtaining the qualification for joining the group, which disturbs the economic order and affects social stability.

Second, the following acts are pyramid schemes:

(1) the organizer or operator, through the development of personnel, requiring the development of other people to develop other people to join the development of people to develop the number of people directly or indirectly rolling development of the number of people as the basis for calculating and paying remuneration (including material incentives and other economic benefits, the same hereinafter), to make illegal profits;

() (B) the organizer or operator through the development of personnel, requiring the development of personnel to pay fees or subscription of goods and other forms of disguised payment of fees, to obtain the qualification of joining or development of other people to join, profit-making illegal interests;

(C) the organizer or operator through the development of personnel, requiring the development of personnel to develop other people to join the formation of the relationship between the upper and lower lines, and the lower line's sales performance as the basis for calculating and paying remuneration to the upper line. Based on the calculation and payment of remuneration to the upper line, making illegal profits.