The New Brunswick RCMP are warning people in northern New Brunswick about an attempted scam in the area.
The scam, known as the “gifting cloud” or “gifting circle” scheme, involves people being invited to invest or pay a gift of money to join the circle with the promise of a significant financial payoff at the end.
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RCMP say the recruit is then told to find new “investors” to contribute to the circle.
“A ‘gifting cloud’ or ‘gifting circle’ is a pyramid scheme, it is a fraud and it is illegal,” said the RCMP in a press release warning about the scheme.
“If you know someone who is thinking about participating in a gifting cloud or gifting circle, tell them it’s a scam and not to take part in any way,” says Sgt. Martin Janson of the New Brunswick RCMP.
“Spread the word to family and friends about this scheme and encourage them not to contribute any money to anything that they aren’t sure is a legitimate cause or investment.”
RCMP are recommending that anyone who believes they have been targeted by a fraudster should contact their local police detachment or the Canadian Anti-Fraud Centre at 1-888-495-8501.
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