Lyoness Europe AG and Lyoness Norway AS appealed against this resolution, lastly due to “procedural irregularity and disproportion”. The authority confirmed the resolution on 27 January 2019 according to which Lyoness’ entire business is an illegal pyramidlike trading system in accordance with § 16 (2) of the lottery law and announced that the ban of […]
The Italian competition authority (AGCM) adopted a decision (19 December 2018) – as the Norwegian competition authority did before – showing that Lyoness/Lyconet’s business practices are wrong (incorrect/irregular) and now prohibits its dissemination and continuation. Amongst others, investigations are currently still in progress in Poland. Page 35 of the Italian decision: (Decision Italy 19.Dec. 2018) […]
The Autorità garante della concorrenza e del mercato, also known as „Antitrust“ or AGCM, is the national Italian Competition Authority. On December 18, 2018, the judgement on whether Italy rates Lyoness as a snowball system or not, will be passed. The Situation seems to be quite similar to Norway. In the field of „Cashback-World“ Italy […]
INTERSPORT is the biggest medium-sized mail order business group in worldwide sports retail. Under, 5800 locations in 65 countries are united under the umbrella of the IIC-Intersport International Corporation GmbH, the purchasing and management corporation of the Intersport group. In 2014 they generated a turnover of EUR 10,5 billion. With market shares of around 36% […]
The Austrian High Court judgment passed on the Lyoness General Terms and Conditions (case ref. 10 Ob 45/16i of 18 May 2018) already cite EU directives in the statement of grounds for the judgement on pages 8/9. From the Austrian High Court judgement, 2.1.2: Any unclear or incomprehensible contract term in the general terms and […]
Mit Lyconet hat die Klägerin 2014 die sog. Customer Clouds ins Leben gerufen. Vertragspartner ist nach wie vor die Lyoness Europe AG. Die von Lyoness angebotenen Customer Clouds funktionieren auf die gleiche Art wie die Rabattgutscheine, mit dem Unterschied, dass die Rückzahlung auf dem Umsatz von Mitgliedern außerhalb des Netzwerkes des Mitgliedes beruht. Es gibt […]
On 31 May 2018, the Norwegian Gaming Authority made the decision in which Lyoness was notified that it must immediately cease all operations of, participation in and extent of its activity in Norway, as it is in violation of Section 16 second paragraph, cf. first paragraph, of the Lottery Act. In a supervisory case against […]
It is typical for Lyoness to play down in an “initial assessment” the decision by the Norwegian regulatory authority. As a matter of fact, Lyoness has been targeted by the Norwegian regulatory authority already since 2013, which I have also reported on in blog entries of June 6, 2014 on this website. The Norwegian authority […]
In a 16-page decision, the Norwegian regulatory authority “Lotteri- og siftelsestilsynet” (publication by the Norwegian authority) has classified the companies Lyoness Norway AS and the “new variety” Lyconet as illegal pyramide schemes and snowball systems and has demanded that the companies cease all business activities within four weeks. Should Lyoness Norway AS and Lyconet not […]
A trial at the Commercial Court of Vienna on January 12, 2018 (Case no. 11 CG 75/16s-23) did not go too well for Lyoness Europe AG. As a reaction to my reports (Mastercard lie, PUMA trademark infringement etc.) and the publications in the Austrian media, Lyoness AG Europe has filed a suit against me on […]
The State Office of Criminal Investigations of Vienna – Department EB4, Economic Crime Unit – is investigating Helmut Freydl (case no. 5 St 42/17d) in connection with Lyoness Austria GmbH and their event “Elite Seminar with Eric Worre” in September 2013 at the Wiener Stadthalle. According to this, in the summer of 2016, a Swedish […]
Golf Open Event GmbH and Lyoness are now also parting ways regarding “Lyoness Golf Open”, although the contract was valid until 2020. In proportion to the nature and seriousness of the offense, Lyoness has furtively left Golf Open Event GmbH as a sponsor/partner and has disappeared from all relevant websites. As of 2018, “Lyoness Open” […]
Lyoness likes to falsely take all the credit and lists on its website between 70 000 and 75 000 distributors and partner companies. At first glance, this number is truly impressive, but the reality looks somewhat different. Of these 70 000 to 75 000 “partners” only 50 630 retailers really exist (source: Lyoness website as of 9th of September […]
The Court for Commercial Matters in Vienna has stated in a final judgement of August 16, 2017 that the changeover to the new General T&Cs was illegal. The plaintiff could only view the 2014 General T&Cs after clicking on them. By this verdict, the plaintiff has also been adjudged her investments including interests minus the […]
The judge Mathilde Beranek from the Commercial Court in Vienna, Legal Department 58.1 Vienna, convicted Lyoness as a snowball system and declared the company’s General T&Cs to be null and void (Case No. 581 Cg 44/16y-11). The Austrian Supreme Court’s verdict of 18 May 2017 was already reconsidered during the first proceedings. Among other decisions, […]
The Lyoness General T&Cs from the past have been declared null and void by a court ruling, but also the company’s current General T&Cs have been classified as being immoral.
The cooperation between the Austrian Golf Association and Lyoness no longer exists, as confirmed to us in writing by the Secretary General, Mr. Robert Fiegl. In March 2015, Lyoness announced a long-lasting and groundbreaking partnership with the Austrian Golf Association and its 100,000 members. However, after only one year the “long-lasting” partnership had come to […]
Journalists have treated Lyoness (now “Cashback World”) for a long time as a “pariah” and their latest press release has once again validated this deserved reputation. But have a look for yourself! Press release from the 31st of May 2015 The way Lyoness expresses itself in its latest press release is of almost unsurpassable arrogance. […]
The Supreme Court in Vienna has rejected the appeal On the 18th of May 2017, the Austrian Supreme Court in Vienna delivered a long overdue, 53-pages-long verdict (Verdict Supreme Court General T&Cs, Ref. no. 10 Ob 45/16i) regarding the General T&Cs of Lyoness and rejecting the appeal made by Lyoness. The verdict, which had been […]
In this blog entry, I will publish the latest press release by Lyoness, in which Lyoness comments on the verdict by the Austrian Supreme Court dealing with the company’s General Terms and Conditions. I will voice an opposing point of view, uncover any lies within the press release and will explain why many of the […]
All loyalty programmes (e.g. Miles&More) have to make financial provisions for non-monetary benefits like collected points or frequent flyer miles, as consumers can decide to redeem them at any point. As an example, Lufthansa has to set up millions on its balance sheet for its high-status miles-club members’ non-expiring frequent flyer miles. Depending on the […]
The court has made a very clear final decision in the case (case file 31 C 651/16z 11) which will surely apply to all damaged parties: They acted as consumers and never stood a chance of obtaining the advantages promised without recruiting new members. The court’s reasoning shows a comprehensive view of what happened. Several […]
As expected, Lyoness lodged an appeal against Salzburg District Court´s decision (31 C 651/16z – 11). The court of Appeal at the Regional Court Salzburg has now dismissed the appeal (22 R 351/16w) and confirmed that Lyoness is indeed a pyramid scheme. A further appeal at the Austrian Supreme Court (OGH) is not allowed.
After years investigating, the Austrian Prosecutor´s Office Against Economic Crime and Corruption (WKStA) has filed a criminal complaint against Lyoness’ founder Hubert Freidl at the Criminal Court Graz. Mr Freidl is being charged with not having published a prospectus in time for an investment subject to the obligation to publish one. Additionally, they requested the […]
An additional judgement (case file 21 C 311/15m) of the Vienna District Court for Commercial Matters from 09/08/2016 confirms two previous judgements and consolidates previous rulings that define Lyoness as a pyramid scheme. We expect Lyoness to try to play for time and drag on the process with appeals.
Also in Switzerland a judgement of the Canton of Zug was delivered with brilliant reasons on 09/20/2016.
If Lyoness is “reorienting” itself and focusing on Cashback, what have they been doing during the past 13 years? Why hasn´t Lyoness publicly responded to these questions?
Oh dear……Lyoness is suing for business and reputational damage. We´re not particularly concerned about this claim, the articles published are well researched and all facts described accordingly.
We don´t want to accept the closing of the criminal investigations by the Austrian Prosecutor´s Office Against Economic Crime and Corruption (WKStA) into suspicions of systematic fraud and pyramid scheme on April 2016 and have therefore involved the Senior Public Prosecutor’s Office (OSTA) and presented a comprehensive disciplinary complaint.
Lyoness likes to adorn itself with borrowed plumes and published the names of several “partners” on its website – e.g. Kika/Leiner, Booking.com, Lego, Microsoft, Nike, Nordsee, OMV, Stiefelkönig, Palmers, Swarovski… and many more. Sometimes these don´t even know about it.
We worked a lot in July this year – we were on the road and did some research on the spot. We travelled to South Africa, the U.S. and India and met with representatives of local authorities and with Lyoness-SMs.
We’ve uncovered the next set of lies, and will soon publish reactions from Lyoness’ “trading partners” to the current articles. When confronted with concrete inquiries, Lyoness is only too glad to represent itself toward the public as a victim of “third-party providers”. This is false, and we can prove it. We have internal e-mails from Lyoness […]
But people have sold country packages for the USA and India, and spoken of “incomparable expansion”. Lyoness customers are eagerly awaiting an explanation as to why Lyoness has almost disappeared in the USA and why India can no longer be found anywhere on their list of countries.
Some time ago we were notified by our customers that, surprisingly, Lyoness is still using the MasterCard name in their advertisements. To cite a concrete example, a member of Lyoness’ network marketing was offered the chance in an e-mail to buy the new “MasterCard Polo Golf Shirt”.
We have lodged a complaint with the public prosecutor’s office in Cologne accusing Lyoness of manipulating the distribution system. So far, Lyoness has denied all accusations continuously and vehemently. However, there are enough findings and indications that point to a probable criminal offence
Due to its complexity, the elaborate Lyoness system is hard to understand. Many Lyoness members were lured in with the “country packages”, in which the prospect was held out to members of being able to achieve large profits in “new” markets.
This page is under construction …
Diners ended its relationship with Lyoness 4 weeks ago. Diners is only acting as “partner” in a sports event in June 2016.
“Greed is a tramp”, used to say a well-known Viennese bank manager. This describes best the current debacle of Lyoness in India. Thanks to the support – by inactivity – of the Prosecutor´s Office Against Economic Crime and Corruption back in Austria,
Even in everyday life it is sometimes not easy to accept well-meant advice of competent people. In H. Friedl´s case this seems to be impossible.
During the year 2012, Lyoness staff enjoyed the best view of the restoration work at “Maxtower” from their location at Kärntnerstraße in Graz. Practically live and in full color they experienced the building’s core removal, and now this.
Lyoness has cause for celebration in Austria. It was such a nice press conference on April 28, 2016 in “Presseclub-Concordia” in Vienna – the management presented themselves cheerfully and were hopeful to find a new partner to become part of the “happy” society. Hubert Friedl was radiant and had a relieved expression. He has been temporarily […]
Proceedings against discount company partly stopped, prospectus issue and claims after civil decisions stay! A good start to the week, an update on the current status of the Lyoness case. As you already know, the Austrian criminal proceedings, case number 14 ST 25/15t, formerly 14 ST 17/12m, were terminated
Court hearing (case number 4 C 238/16b – 2) on June 28, 2016 at 9:00 a.m. at the Federal Commercial Court in Vienna. … will Lyoness Chairman of the Supervisory Board, KR A. Werner show up and be able to explain his suspected involvement? Considering the existing evidence one could be inclined to recommend it.