May 24, 2000

In January 2000, the Office of the Florida Attorney General began an administrative investigation into whether Rexall Sundown International has violated laws against pyramid schemes. Press reports indicate that the attorney general’s office is trying to determine whether the company made money primarily from recruiting new distributors rather than by selling to consumers. Federal law enforced by the state requires a distributor in a multilevel marketing program to sell 70% of its product to retail consumers.

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This article was posted on May 24, 2000