Subj : 'One of the biggest scammers in New Zealand' convicted
To   : All
From : News
Date : Tue Apr 23 2024 12:39 pm

A Kiwi woman has been convicted on a number of charges for her role promoting
a global pyramid scheme here in New Zealand.

Announcing Shelly Cullen's successful prosecution, the Commerce Commission
(ComCom) urged New Zealanders to take care.

"The Commerce Commission is warning consumers about the risks and increasing
sophistication of pyramid schemes, following the conviction of the lead New
Zealand promoter of one of the biggest pyramid schemes the Commission has
seen promoted in New Zealand," ComCom said in a statement.

"The pyramid scheme in question, 'Lion's Share', was responsible for
approximately 150,000 participants worldwide losing a total of almost NZ$17
million."

Cullen had been on the commission's radar for some time.

She was sent a "Stop Now letter" in December 2020, according to public
records - but she didn't stop.

Cullen promoted the global cryptocurrency-based scheme in New Zealand during
2020 and 2021, targeting Maori and Pasifika communities in particular.

The ComCom's fair trading general manager Vanessa Horne said: "The successful
prosecution of Shelly Cullen under the Fair Trading Act on five charges
relating to the scheme highlights a brazen disregard for potentially
vulnerable consumers."

And the commission said she publicly stated: "I am going to make history as
one of the biggest scammers in New Zealand."

Horne said 83% of participants lost money from the global scheme.

"This case was a particular focus of the commission... it also highlights a
much broader risk for Kiwi consumers," Horne said.

"When these schemes collapse, the impacts on most of those involved and their
families can be devastating."

And Cullen's currently promoting another scheme online, Horne alleged.

"Ms Cullen has been promoting a new investment opportunity known as 'MaVie',
and so we are urging communities to exercise caution around this and all
similar schemes.

"We think this is particularly important following the Court's finding that
Lion's Share was a pyramid scheme, and Ms Cullen's conviction for the
promotion of that scheme.

"Pyramid schemes are illegal in New Zealand under the Fair Trading Act, but
some people may not recognise the features that define these schemes - so
we're reaching out directly to help get the warning to as many people as
possible," she said.

Cullen was convicted in North Shore District Court and was yet to be
sentenced.

A detailed information sheet on pyramid schemes was available on ComCom's
website.

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