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 31 May 2018 remains valid. ( publication authority )
In its evaluation the authority states, that Lyoness/Lyconet System has a pyramidlike structure and is solely aimed towards the acquisition of new customers via the cashback sector. Participants are promised to receive an income which is generated by the shopping community Lyoness and its pay-ins into the Lyconet section. The low revenues from sale or consumption of goods, services or other advantages is of little importance.
“The authority evaluated the activities of Lyoness in detail and the conclusion is clear. The Norwegian authority expects that Lyoness will comply with the decision and stop any activities in Norway,” said the senior consultant of the Gaming Authority, Monica Alisøy Kjelsnes.
The official version of the decision is in preparation and will soon be published on the website of the appeal committee’s secretariat.
Saving the best for last: Lyoness itself is “shocked and surprised” by this decision.