Atlanta newspaper examines MLM scheme Stream Energy / Ignite

In a feature report, a major metropolitan newspaper, the Atlanta Journal-Constitution, examined the MLM scheme, Stream Energy/Ignite, focusing on the question of whether the company is operating a disguised pyramid scheme. Stream is a reseller of utility services, gas and electricity, and operates in several states. Ignite is the multi-level marketing  sales division.
The company uses a pyramid pay plan to enroll salespeople, each of which pays several hundred dollars to join the plan and then an additional  monthly charge to participate.  The newspaper asked Pyramid Scheme Alert president, Robert FitzPatrick, to analyze the company’s payout disclosure. The analysis revealed that less than 2% of Ignite salespeople make any profit. Stream Energy/Ignite is the subject of a class action lawsuit brought by consumers claiming the company operates a pyramid scheme.
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