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为什么美国传销公司RBC Life Sciences在本土没有市场？

● 公司受不法分子挟持

声名狼藉的美国德州保健品传销公司RBC Life Sciences面对内部纠结不清的人事矛盾，以及仓库里挤压如山的滞销产品，继续打“中国市场”主意，近日再次向华裔传销网头作出一系列妥协，其中包括：（1）允许他们为中国内地的传销下线会员代领奖金；（2）保证今后修改奖金制度之前须经他们同意；（3）为便于网头对产品外包装自行处理，今后不再标识产品的有效日期；（4）开通“电子钱包”Hyper Wallet，使中国内地的传销团伙可以假冒的香港地址接受佣金；等等。RBC Life Sciences这些做法，明显触犯中国、美国和香港的法律，也侵害了大多数会员和消费者的权益。

2011年11月，纽约个别华裔网头在获得RBC Life副总裁Kevin Young（凯文）和传销大网头Sandy Brittain（珊蒂）的上述承诺之后，立即飞赴香港，抢先筹备发货点，同时通知中国内地的传销团伙，要求他们以“香港地址”重新报单注册。一些网头毫不掩饰地说：“我们有了凯文、珊蒂，就等于有了RBC Life。” 自从前任总裁John Price（约翰）忿然辞职之后，凯文和珊蒂掌握了RBC Life Sciences实权。从“要样品，找凯文”到“要废品，找凯文”，从“要跳线，找珊蒂”到“要移线，找珊蒂”，凯文和珊蒂在传销会员们的眼中可谓权力无限，向来说一不二。

● “潜规则”导致混乱不堪

凯文、珊蒂的权力是带有“潜规则”的，纽约个别华裔网头为此绞尽脑汁。谭伟光（Jacky）不禁向他的上线张明（David）、Bennick Tan（Ben）和朱圆（Wendy）诉说：“‘小婷’、‘小玲’付出很多，去旅馆陪‘大白熊’、‘黑猩猩’，后来公司才同意了......而那个一直假笑的老女人，是喜欢钱的。美国人也一样。”个别网头通过“潜规则”占了便宜，洋洋得意，而大多数中国内地会员却成了受害者，他们付了钱却经常缺货，而到手的产品不是过期的就是被改了日期的，许多人连奖金也都被朱圆、谭伟光等人去公司财务部冒名签字拿走了，不由心生怨恨，后悔自己选错了公司，跟错了团队。

据知情者透露，RBC Life Sciences的行政官员以及上层传销网头，因长年在不同的传销公司之间跳槽，故被同行称作“传销跳蚤”。比如徐小玲（Sharon）、胡宾（Jack）、郭大良（David）、周舞梅（Estella）、朱圆、谭伟光、张明等纽约网头，实际上都已参加几十家传销公司，不停地把下线拉来拉去，很难想象他们会对哪家公司、哪个团队负责。一些会员发现下面“整条线”被徐小玲、张明通过珊蒂“平移”走了，就不断打电话向RBC Life Sciences大吵大闹，吓得中文接线员不敢再接电话。而福建会员余宝英也投诉，自己曾推荐多人入会，却没拿到过奖金，原来她的会员号早已被上线朱景华偷偷转卖给了吴斯俊。

● 销售业绩全凭诈骗手段

会说谎的业绩大，会诈骗的级别高，RBC Life Sciences实际上专门为社会上的一些骗子搭建“成功平台”。2011年4月，朱圆、谭伟光和张明等策划了一个骗局，分头向北京、青岛、成都、乐山、苏州、西安、莆田、广州、武汉、合肥等地的传销团伙发布“激动人心的消息”：RBC Life Sciences为了奖励业绩出众的传销人员，将于9月组织大家到夏威夷旅游。朱圆摇唇鼓舌，在网络教室里说道：“只要你们连续两个月冲上‘铜级’，公司就会为你们办理去夏威夷旅游的一切手续。从夏威夷进入美国本土非常容易，移民美国一蹴而就。你们不要再犹豫了，马上报单，一起冲‘铜级’，到9月份就可移民美国！”

经朱圆、谭伟光、张明等人这么一鼓动，中国地下传销老鼠会一下子象炸开了锅似的热闹，掀起“冲铜级，去美国”热潮，有人还四处借债，花了数万元来订购RBC Life产品，而这些产品根本没有经过中国食品药品质量管理部门的检查，多半是超过保质期而被网头自行改期的废品。可是到了8月下旬，朱圆却又突然告诉大家，说：“RBC公司变卦了，不让中国的会员来美国，就连我和谭伟光也去不了夏威夷。”为了装委屈，朱圆声泪俱下，声称自己也是受骗者。其实，朱圆、谭伟光、张明等网头单凭这一招就赚足了钱，还凭“业绩”倍受凯文、珊蒂宠幸，从此仗势欺人，抢旁线的人。

● 骗子不敢以自己姓名入会

早在一年前，朱圆和谭伟光就曾拿着他们跟凯文、珊蒂的合影照片跑到中国，声称“受RBC副总裁委托开发中国市场”，并宣布“RBC将于10月15日开香港，年底开中国”。朱圆、谭伟光以“3800元报单赚大钱”做幌子，诱骗大批传销人员入伙，并统一收费，统一发货，还对所有产品大幅加价。可是过后不久，朱圆、谭伟光便又称：“RBC公司变卦了，不开中国市场了，所以奖金不能往中国发，我们也没有办法。” 一些受害者向RBC Life Sciences举报朱圆、谭伟光的恶劣行径，然而公司却答复说，由于在经销商名单里找不到“朱圆”和“谭伟光”，因此无法处理。原来他们是以别人的名字加入RBC Life会员的。

每当中国内地下线会员指责朱圆、谭伟光“收费太狠”、“吞了支票”、“少了产品”时，朱圆便编出谎言来狡辩说：“当初你们加入RBC时，我为你们每位都花了三百美元向美国税务局申请了报税号，这笔账你们怎么没算？”然而，据知情人透露，朱圆根本没有为中国下线申请过正式的美国报税号，况且美国税务局也无法向他们征税，这本来就是骗局。据悉，在美国申请报税号通常花费不过几十美元而已，三百美元简直就是天价。朱圆、谭伟光还谎称“RBC Life所有产品都是纳米科技生产的”、“无医可救的病人只要喝一瓶‘奥丽威华’就起死回生了”，然而他们自己平时却根本不吃RBC Life产品，家里都堆满了美国各家传销公司形形色色的产品。

● 行骗当地熟人难以得逞

正派的直销团队一般都强调“复制正确的行为，复制正确的心态”，杜绝炒作行为，注重塑造团队文化，以德服人，形成凝聚力。而以讨价还价纠集起来的“传销跳蚤”团伙，只会夸大其辞宣传造势，相互坑蒙拐骗，最后通常因分赃不均而翻脸。黑龙江会员赵春华和江苏会员徐耕说，他们从见到纽约来的上线第一眼起，便意识到自己遇到了骗子，不屑再以“医生”、“老师”相称了。他们后来经打听证实，美国的几个上线果然都名声很臭。纽约传销圈子里经常谈论的是“郭大良与杨惠敏、周舞梅之间”以及“胡宾与龚小燕、徐小玲之间”不齿的关系，而不是他们所炒作的“RBC事业机会”。

RBC Life的华裔网头都住在纽约，但在纽约本地却没有市场，只能改名换姓，到遥远的中国、台湾、温哥华、洛杉矶、休斯顿和新加坡去忽悠陌生人。原因只有一个：凡是曾经领教过朱圆、谭伟光、胡宾、张明、徐小玲等人的品行的熟人，都不愿再接近他们了，惹不起，躲得起。就连朱圆自己也承认，好多人只要听说是他们几个在做RBC Life，掉头就走。朱圆还透露说：“凯文、珊蒂最近一次来纽约组织培训，租下两天会场，不料只来了十几个人，大家都很尴尬。”“要废品，找凯文”，“要移线，找珊蒂”，这样的RBC Life Sciences，谁还敢碰？凡有心继续做下去的会员，只能期待凯文、珊蒂等人哪天再一次跳槽，去折腾垮别的传销公司。

吴闻声
2011年11月25日

（摘自温哥华论坛）

U.S. Direct Sale Company RBC Life Sciences' Crime Evidence in China

The recent rumors of RBC Life Sciences's (located in Irving, Texas, United States) crime of illegal cross province multilevel marketing and smuggling actions has been prove.

On September, 2011 RBC Life's vice president of marketing, Kevin B. Young issued a command to the Chinese marketing ring, under his requirements, to complete the W-8BEN form (Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding), with the signing date of 1-1-2011.

Kevin B. Young commissioned fellow Ring Leaders like Wendy Zhu, David Zhang, and Jacky Tan to forward the command after it is issued. His letter says: “We are not licensed to do business in China and do not wish to violate any laws. Any personal sales done after June are not eligible for commissions.”

Over the past year, RBC in variety of illegal mean has been issuing commissions to the mainland marketing ring. Yet, being insidious and hypocritical, Kevin B. Young still used words like “...do not wish to violate any laws...” as a cover up. According to reports, immediately after Kevin issued the W-8 command, he, David Zhang, and Ben Chen planned for the next step. Using “registering with Hong Kong address” as cover to cont. expand their multilevel marketing, smuggling, and fraudulent illegal actions.

Many in the fields complained incidents like missing products, expired products, overcharges, and incorrect commission calculation ever since Kevin B. Young took charge of RBC's Marketing. Many RBC products no longer show expiration date, the product labels are unreadable and easy to smear.

The W-8BEN letter was issued on September, 2001, but within Young ruled that all mainland associates must fill out date as 1-1-2011, to cooperate with his fraud. However this also left clear evidence difficult for him to deny in the future.

Unknown to Kevin Young, many of the mainland associates did not see his scheming letter, even it's been translated. Wendy Zhu, David Zhang, and Jacky Tan unauthorized withheld the V.P. letter and making associates fill-out fake U.S. address like, 36-20 Bowne Street 1K, Flushing, NY 11354 or 142-26 Roosevelt Ave, Flushing, NY 11354 etc..

The mainland associates cannot distinguish the causes of many painful incidents weather it's from the company or the ring leaders. Even leaders like Jinghua Zhu, Weidong Chen, Geng Xu, Ping Yang, and Xiaoqi Liao complained and called RBC Life is a company of scammers.

Wendy, David, and Jacky claimed RBC products to be the product of the century, manufactured with Nano cluster technology, smaller that human cells. Yet when dissolved in water, almost every product leave residues worse than common instant coffee. None of the RBC product but spirulina has USDA ORGANIC prove.

Inside source from a Miss Tiffany Yin says, during RBC’s 20th celebration party, merely 50 people showed up, composed of friends, family and employees. She quoted Kevin B. Young “80% of our product are sold to China, because no one wants them in the States. We are very excited for the Asian market.”

Why the little interest in U.S., if RBC’s product truly does what they advertised? In truth, ring leaders like Wendy, David, and Jacky, whom we call fleas of multilevel marking, targeted RBC as their next tool because they sensed the youth of this company, the leaks and loopholes within management, and a company desperate to consolidate excess inventory or soon-to-expire inventory can grant them the ability to make demands and pressure the company any way they wish.

Amendment to the Criminal Law of the People’s Republic of China (VII)
IV. An Article is inserted after Article 224 of the Criminal Law as Article 224 (A):
“Whoever organizes or leads the pyramid selling activities to cheat the participants of property and disturb the economic and social order, in which, in the name of marketing commodities, providing services or any other business operation, the participants are required to obtain the qualification for participation by paying fees, purchasing commodities or services or any other means, the participants are classified into different levels according to a certain order, the calculation of remunerations or kickbacks to participants is directly or indirectly dependent on the number of persons recruited, and the participants are induced to continue or coerced into continuing recruiting others to participate, shall be sentenced to fixed-term imprisonment not more than five years or criminal detention, and be fined; or if the circumstances are serious, shall be sentenced to fixed-term imprisonment not less than five years, and be fined.”

RBC Life Sciences Opens Branch in Taiwan
Published: October 10, 2011

IRVING, Texas, Oct. 10, 2011 /PRNewswire/ -- RBC Life Sciences, Inc. (OTCQB: RBCL) announced today the opening of a new branch office and distribution center in Taiwan, its first office in Asia.  The Company opened this office to serve a growing number of independent distributors in Taiwan that were formerly served by its U.S. distribution facility in Irving, Texas.  The office will operate under the management of the Company's Asia Regional Director, Mr. Johnny Wang, a 15-year veteran of the direct selling industry in Taiwan. 

Clinton Howard, CEO, stated, "The Taiwan office and distribution center will serve as our entry into the large and growing Asian market. We've been working for over a year to establish this office while completing the regulatory requirements and obtaining approval to market a sufficient number of our key products. Our distributors in Taiwan now have local marketing and sales support along with facilities in country where they are able to conduct sales and training meetings, fill product orders and obtain customer service."

About RBC Life Sciences

Through wholly owned subsidiaries, RBC Life Sciences develops, manufactures and markets high-quality nutritional supplements and personal care products under its RBC Life brand to a growing population of consumers seeking wellness and a healthy lifestyle. Through its wholly owned subsidiary, MPM Medical, the Company also develops and markets to health care professionals in the United States proprietary prescription and nonprescription products for advanced wound care and pain management. All products are tested for quality assurance in-house, and by outside independent laboratories, to comply with regulations in the U.S. and in more than thirty countries in which the products are distributed.

The statements above, other than statements of historical fact, may be forward-looking. Actual events will be dependent upon a number of factors and risks including, but not limited to, changes in plans by the Company's management, delays or problems in production, changes in the regulatory process, changes in market trends, and a number of other factors and risks described from time to time in the Company's filings with the Securities and Exchange Commission.

SOURCE RBC Life Sciences, Inc.

RBC Life Sciences
2301 Crown Court, Irving, Texas 75038, USA
Phone: 800.350.9497 or 972.893.4000
Fax: 800.835.2563 or 972.893.4111

Prohibition of Pyramid Selling Regulations

（Promulgated by the State Council on 23 August 2005 and effective as of 1 November 2005.）

　　PART ONE　GENERAL PROVISIONS

　　Article 1　These Regulations have been formulated in order to prevent fraud， protect the lawful rights and interests of citizens， legal persons and other organizations， safeguard the economic order of the socialist market and maintain social stability.

　　Article 2　For the purposes of these Regulations， the term “pyramid selling” means acts that interfere economic order and affect social stability by which an organizer or operator recruits personnel and seeks illegal benefits by means of calculating and paying remuneration to the recruited personnel on the basis of the number of personnel directly or indirectly recruited by them or their sales performance， or requiring the recruited personnel to pay certain fees as a condition of being qualified for participation.

　　Article 3　Local people‘s governments at and above the county level shall strengthen their leadership in investigating and handling pyramid selling， and support and urge the relevant departments to perform their regulatory duties in accordance with the law.

　　Local people‘s governments at and above the county level shall set up such mechanisms as required for coordination in investigating and dealing with pyramid selling and provide timely coordination and solution to major issues that arise in investigating and handling pyramid selling.

　　Article 4　The administration for industry and commerce and the public security authority shall investigate and handle pyramid selling within their respective scope of responsibilities in accordance with the provisions hereof.

　　Article 5　While investigating and handling pyramid selling in accordance with the law， the administration for industry and commerce and the public security authority shall adhere to the principle of integrating education with punishment， and educate citizens， legal persons and other organizations to conscientiously abide by the law.

　　Article 6　Every work unit and individual has the right to report pyramid selling act to the administration for industry and commerce and the public security authority. Upon receipt of such report， the administration for industry and commerce and the public security authority shall immediately investigate and verify the case and handle it in accordance with the law， and shall keep the identity of the informant confidential. If a report is proven to be true upon investigation， the informant shall be granted a reward in accordance with the relevant State provisions.

　　PART TWO　TYPES OF PYRAMID SELLING AND THE INVESTIGATION AND HANDLING AUTHORITY

　　Article 7　The following acts are pyramid selling acts：

　　1. an organizer or operator seeks illegal benefits by recruiting personnel， requiring the recruited personnel to recruit other personnel to participate， and calculating and paying remuneration （here and hereinafter including material rewards and other economic benefits） to the recruited personnel on the basis of the number of personnel directly or indirectly recruited by them through rolling recruitment；

　　2. an organizer or operator seeks illegal benefits by recruiting personnel and requiring the recruited personnel to pay fees， or fees in disguised forms such as order of commodities， as a condition to being qualified for participation or recruiting other personnel to participate； and

　　3. an organizer or operator seeks illegal benefits by recruiting personnel and requiring the recruited personnel to recruit other personnel so that an upline-downline relationship is formed， and calculating and paying remunerations to an upline personnel on the basis of the sales performance of his downline personnel.

　　Article 8　The administration industry and commerce shall be responsible for investigating and handling the pyramid selling acts specified in Article 7 hereof in accordance with the provisions hereof.

　　Article 9　Where media such as the internet are utilized to disseminate information of pyramid selling specified in Article 7 hereof， such case shall be investigated and handled by the administration for industry and commerce in conjunction with other relevant authorities such as the telecommunications authority in accordance with the provisions hereof.

　　Article 10　If anyone in pyramid selling deceitfully lures other personnel in the name of job referral and engagement in business activities， etc. to leave their place of residence to illegally gather in another place and restrict their personal freedom， such case shall be investigated and handled by the public security authority in conjunction with the administration for industry and commerce.

　　Article 11　The relevant authorities and work units such as those in charge of commerce， education， civil affairs， finance， labour security， telecommunications and taxation shall， pursuant to their respective responsibilities and the provisions of the relevant laws and administrative regulations， cooperate with the administration for industry and commerce and the public security authority in their investigation and handling of pyramid selling acts.

　　Article 12　Grass-root organizations such as rural villagers committees and urban residents committees shall， under the guidance of the local people‘s government， assist the relevant authorities in investigating and handling pyramid selling conduct.

　　Article 13　If， in investigating and handling pyramid selling acts， the administration for industry and commerce suspects that an act may constitute a criminal offence， it shall transfer the case to the public security authority to be put on file for police investigation. If a case of pyramid selling put on file for police investigation by the public security authority is found after police investigation not constituting a criminal offence， the case shall be transferred to the administration for industry and commerce for investigation and handling.

　　PART THREE　MEASURES AND PROCEDURES FOR INVESTIGATION AND HANDLING PYRAMID SELLING

　　Article 14　Administrations for industry and commerce at the county level or above may adopt the following measures when investigating and handling suspected pyramid selling acts：

　　1. order the cessation of the relevant activities；

　　2. investigate and understand relevant circumstances from the suspected pyramid selling organizer， operator and individual；

　　3. enter the business premises and venues for training and assembly activities that are suspected to be involved in pyramid selling to conduct on-site inspection；

　　4. inspect， reproduce， seal up or distrain materials such as contracts， instruments and account books that are suspected to be related to pyramid selling；

　　5. seal up or distrain property such as products （commodities）， tools， equipment and raw materials that are suspected to be used specifically for pyramid selling；

　　6. seal up the business premises that are suspected to be involved in pyramid selling；

　　7. inquire the accounts of the suspect pyramid selling organizer or operator and the accounting vouchers， books and statements relating to their deposits； and

　　8. apply to the judicial authority for freezing the illegal funds where there is evidence in support of the transfer or concealment of such funds.

　　To adopt the measures stipulated in the preceding paragraph， the administration for industry and commerce shall report in writing or verbally to and obtain approval from the principal person in charge of the administration for industry and commerce at the county level or above. In emergencies that require adoption of the measures set out in the preceding paragraph on-the-spot， a report shall be made and the relevant procedures shall be completed immediately after the incident. If sealing up or distrainment stipulated in the preceding paragraph or the measures stipulated in Items （7） and （8） above are to be enforced， prior written approval shall be obtained from the principal person in charge of the administration for industry and commerce at the county level or above.

　　Article 15　When the administration for industry and commerce investigates and handles suspected pyramid selling acts， there shall be no less than two enforcement officers.

　　Enforcement officers that have direct interests with the party concerned shall withdraw.

　　Article 16　When investigating and handling suspected pyramid selling acts， the enforcement officers of the administration for industry and commerce shall produce their identity documents to the party or the relevant personnel.

　　Article 17　When enforcing sealing up or distrainment， the administration for industry and commerce shall deliver on-site to the party the seal-up or distrainment warrant and a list of the property and materials sealed up or distrained.

　　In places where transport is inconvenient or where the investigation and handling of the case may be affected if seal-up or distrainment is not enforced in time， the seal-up or distrainment may first be enforced， and the seal-up or distrainment warrant shall be obtained and served on the party within 24 hours thereafter.

　　Article 18　The time limit of seal-up or distrainment enforced by the administration for industry and commerce may not exceed 30 days. If the case is complicated， the time limit may be extended for 15 days upon the approval of the principal person in charge of the administration for industry and commerce at the county level or above.

　　The administration for industry and commerce shall keep safe the property sealed up or distrained， and may not use or destroy them. If it causes any loss to such property， it shall be liable for compensation unless such loss is caused by events of force majeure.

　　Article 19　If the administration for industry and commerce has enforced seal-up or distrainment， it shall find out the facts in a timely manner and make a decision on the case during the time limit of the seal-up or distrainment.

　　If an act is found to be pyramid selling upon investigation and verification， the illegal property sealed up or distrained shall be confiscated in accordance with the law. If， upon investigation and verification， no pyramid selling act is found or there is no need for sealing up or distrainment， the seal-up shall be removed and the distrained property shall be returned immediately after a handling decision is made.

　　If the administration for industry and commerce fails to make a decision on the case within the time limit， the items sealed up shall be deemed unsealed and the distrained property shall be returned. If the administration refuses to return the property， the party may institute an administrative action at the people‘s court.

　　Article 20　If the administration for industry and commerce and its working personnel use or destroy the sealed or distrained property， thereby causing economic losses to the party， they shall be bear the liability for compensation.

　　Article 21　When the administration for industry and commerce investigates and handles suspected pyramid selling acts， the party has the right to present his statement and defence.

　　Article 22　The administration for industry and commerce shall make on-site written records when investigating and handling suspected pyramid selling acts.

　　On-site written records and the list of property sealed up or distrained shall be signed by or affixed with the seals of the party， the witness and the enforcement officers. If the party is not present， or if the party or the witness refuses to sign or affix his seal， the enforcement officers shall make a note in the on-site written records.

　　Article 23　If an act is found to be pyramid selling upon investigation and verification， the administration for industry and commerce and the public security authority may issue a warning or reminder to the public.

　　Issuance of warning or reminder to the public shall be approved by the principal person in charge of the administration for industry and commerce at the county level or above or the public security authority.

　　PART FOUR　LEGAL LIABILITY

　　Article 24　If anyone has an act specified in Article 7 hereof such as organizing and planning pyramid selling， the administration for industry and commerce shall confiscate his illegal property and illegal gains， and impose a fine of not less than Rmb 500，000 and not more than Rmb 2 million. If the case constitutes a criminal offence， criminal liability shall be pursued in accordance with the law.

　　If anyone has an act specified in Article 7 hereof such as referring， luring or forcing other people to participate in pyramid selling， the administration for industry and commerce shall order him to cease the illegal act， confiscate his illegal property and illegal gains， and impose a fine of not less than Rmb 100，000 and not more than Rmb 500，000. If the case constitutes a criminal offence， criminal liability shall be pursued in accordance with the law.

　　If anyone has an act specified in Article 7 hereof such as participating in pyramid selling， the administration for industry and commerce shall order him to cease the illegal act， and may impose a fine of not more than Rmb 2，000.

　　Article 25　When imposing penalty in accordance with Article 24 hereof， the administration for industry and commerce may order the suspension of business operation for rectification or revoke the business licence in accordance with the provisions of the relevant laws or administrative regulations.

　　Article 26　If anyone provides business premises， training venue， sources of goods， safekeeping， warehousing or other conditions for the pyramid selling acts specified in Article 7 hereof， the administration for industry and commerce shall order the party to cease the illegal act， confiscate his illegal gains and impose a fine of not less than Rmb 50，000 and not more than Rmb 500，000.

　　If anyone provides internet information services for the pyramid selling acts specified in Article 7 hereof， the administration for industry and commerce shall order the party to cease the illegal act and notify the relevant authority to impose penalty in accordance with the Administration of Internet Information Services Procedures.

　　Article 27　If the party uses， replaces， transfers or destroys any sealed or distrained property without authorization， the administration for industry and commerce shall order the party to cease the illegal act and impose a fine of not less than 5% and not more than 20% of the value of the property used， replaced， transferred or destroyed. If the party refuses to carry out rectification， a fine of not less than one time and not more than three times the value of the property used， replaced， transferred or destroyed shall be imposed.

　　Article 28　If anyone has any acts specified in Article 10 hereof or refuses or obstructs the investigation and handling of pyramid selling acts in accordance with the law by the enforcement officers of the administration for industry and commerce， and such act constitutes a violation of security administration， the public security authority shall impose penalty in accordance with the provisions of the laws and administrative regulations on security administration. If the act constitutes a criminal offence， criminal liability shall be pursued in accordance with the law.
 
　　Article 29　Where the administration for industry and commerce， the public security authority and their working personnel abuse their power， are derelict in their duties or practise graft， and fail to investigate and handle pyramid selling acts in accordance with the responsibilities and procedures stipulated herein， or fail to investigate and handle the pyramid selling acts discovered， or support， shield or connive pyramid selling acts， if the case constitutes a criminal offence， the criminal liability of the person in charge that is directly responsible and other directly responsible persons shall be pursued in accordance with the law. If the case does not constitute a criminal offence， administrative penalty shall be imposed in accordance with the law.

　　PART FIVE　SUPPLEMENTARY PROVISIONS

　　Article 30　These Regulations shall be implemented as of 1 November 2005

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