In this topic, I will address the hater's famous topic: The Italy case. What actually happened there?
To answer this, we will not read or quote haters OPINIONS, we will quote and read original government documents.
This all started with this verdict from THE COMPETITION AND MARKETING AUTHORITY dated December 21, 2016.
Original document in Italian can be found here or here and I made English translation of it here.
I will quote here the key paragraphs so we can actually see what is going on:
So, they were investigating commercial practices of ONE NETWORK SERVICES LTD conducted by those 3 guys via their own web sites. Onelife.eu and Onecoin.eu were not mentioned although complete Terms of Service and Compliances can be found there to see if those 3 guys are doing it according to the company rules. But let's put compliance aside cause authority indeed needs to investigate what are those guys doing.November 2016, aimed at verifying the existence of commercial practices In breach of Articles 20, 21 (1) (b), (c), 23 Paragraph 1, letter p), art. 49, paragraph 1, letter a), b), c), d), g), h), q), r), v and e art. 66 of the Consumer Code, by ONE NETWORK SERVICES LTD.
Active in the promotion and dissemination sector Criptomoneta named OneCoin,
by Mr. Christian Leitner, Registrar of the Site onecoinsuedtirol.it,
of Mr. Antonio Guida, site registrar onecoinitaliaofficial.it.
And of Mr. Stefano Tagliapietra, registrar of the site onecoinitalia.com .;
Ok so again they were promoting the selling of Onecoin cryptocurrency, not Education products and of course, they seem to incentivize buyers to join cause they were promising high returns and told users just to wait for the price to go up and profit from selling Onecoins.At least from March 2016 and variously, promoted - through Internet, the e-book promotional "Earn with OneCoin" 1 And specials Events - adhering to a shopping program and disseminating criptomoneta2 OneCoin, coupled with "training kit" linked to it (by Followed by the Program), with a significant return for consumers Economic via different paths. In particular, it comes Highlighted how one can purchase the OneCoin Criptomoneta Just wait to wait for it to increase its value through an always Greater spread.
Here we see that those 3 guys educated people that a basic INVESTMENT (wrong) was 140eur, mentioning tokens, split and difficulty but not explaining that they got all those for free and what does any of it mean. They also seem to promise people Onecoin value of 100 eur in this ebook thus tricking people thay can make 28000 euro out of 140 eur investment. This is so wrong. We all know that once Onecoin hits public trading no one can say where the value will go or how fast you will be able to sell coins or will you be able to sell them. But we see that usability is the main focus.From documentation to acts3 It turns out that a basic investment in the Program of € 140.00 correspond to 1,000 tokens and that, according to A procedure called split - whose details are not specified - Can be doubled to 2,000. At this point it is possible Convert the matured tokens by dividing their amount for a parameter "Difficulty" equal to 70 (also not specified) and thus obtaining 28 Onecoin. After doing this, the currency conversion value Virtual and euro is 1 OneCoin = € 5.63 so the 28 OneCoins matured Would amount to € 157. Then, the exchange rate It would grow, always according to unspecified parameters, until reaching, in 2018, the conversion rate of 1 Onecoin = € 100 and therefore the 28 onecoins Initials would amount to € 2.8004
Those 3 guys scammed people.
Correct. In this IMA ebook, users were promised high profit from Onecoins but they were not told that Onecoin is private and can not be sold to the public, it could only be sold on the internal exchange that was online back then. Indeed this is false marketing.10. Collected evidence did not allow to ascertain what the When the consumer who has joined the system can proceed To convert the OneCoins earned through the described Euro channels. TO For this, the professional refers to jobs only inside Of the One Exchange proprietary platform.
11. It follows from the foregoing that the behaviors object of Controversy as "business practices" consist in providing one Incomplete, not transparent and unrealistic representation7
Ok so based on those custom IMA ebooks that are proposed to users they were promised to earn money if they join Onecoin and they were misled to think they will be able to sell and profit fast from cryptocurrency.(I) the terms and conditions of the Program proposed to consumers, to The actual nature of the commitments that the consumer assumes by subscribing Joining the OneCoin system,
(Ii) the real chance of earning gains by adhering to the schema Proposed by the professional,
(Iii) the actual conversion possibilities of the OneCoin criptomoneta, such To mislead the average consumer by making a decision Of a commercial nature that otherwise would not have taken.
12. In addition, specifically with regard to the promotion of the OneCoin crypto Moneta and the associated packet-training it results That the most substantial part of the revenue that can be achieved by the activity promoted By professionals comes not only from buying virtual money in Rather than paying the shares that consumers are Called to pay at the time of accession to the system, which in turn To reach the goal seem to be required to recruit others Consumers - who are thus in the same condition - Generating significant revenue for One Network Services Ltd .; These modes, which appear to reproduce the typical dynamics of Pyramid sales.
But seems like MLM part was promoted to look like you can only earn money by recruiting other people. And authorities remark that models appear in pyramid sales. I have deeply analyzed how Onelife actually works, that you can earn money without recruiting people and you can read it here.
So since their promotional material is pretty unfair to consumers (although Onelife can not have consumers according to ToS) memos were sent to Onelife Ltd and those 3 guys that made all this mess.13. Following the notice of initiation of the 28th November 2016, with reference to the precautionary procedure, were Produced defensive memories by One Network Services Ltd. on June 6 December 2016, and by Mr Stefano Tagliapietra, registrar of the site onecoinitalia.com. On December 13, 2016: the latter also carried out Access to documents on December 2, 2016.
Since Onelife is global MLM company working in 194 countries, imagine some IMAs make such mess in each country and they all send memos in their native language. So the company asked that memo to be translated into Bulgarian.14. The company One Network Services Ltd. has previously alleged that The startup text should have been transmitted Bulgarian language in accordance with the provisions of the Convention of Rights Humans (New York, 1966) and the principles expressed in the Council judgment Of State No. 2345 of 19 April 2000. According to the party, the terms should Start from the moment the text of the startup is transmitted in Bulgarian.
Google translate is not so perfect so I asked around here. Seems like those guys explained to authorities that they were Independent Marketing Associates and are not legally linked to the Onelife and Onecoin companies meaning their misleading promotional material is not endorsed by the company but rather by them selves.15. On the merits of the reliefs, the professional has shown that he is an entity Separate, only responsible for providing support services Administrative according to the attached convention, with respect to companies OneCoin Ltd. (promoter of criptomoneta) and OneLife Network Ltd (Owner of the sales and selling system of training courses).
16. As regards the operation of the cryptomotor, the part indicated that you are It would treat a legal product both in terms of legislative discipline Italian as regards the European one. As the first highlights Even that the activity in question would not be attributable to that forbidden From L.173 / 2005 but it would be a legal system. Finally, the company said it would be strange with respect to Italian sites in Which would have nothing to report.
As for cryptocurrency, it is not being sold by the company, it is a legal private product in making. There are many of them out there too.
Also, they explained their website are not linked with Onelife Ltd company.
One of them responded with a memo stating he was a stranger when comes to promoting Onecoin cryptocurrency and while his website was offline then, he said it was a mistake and that website had no link to the Onelife company. Seems like he is trying to bail his ass and at the same time not to lie against Onlife company cause they can prove his lie.17. As for Mr Stefano Tagliapietra, in defensive memory he has Highlighted to be alien to the promotion and dissemination of Criptomoneta in question. From this he descends out of his Involvement in the proceedings would have been the result of an error from the Which would only be "the head of an information website On criptovalute ", prudentially offline" and not [could] Certainly to be considered a reference professional of One Coin Network Services Ltd ".
Ok, what do we see here? Authority refused to send a memo to Onelife in the Bulgarian language cause all the misleading promotional material was made on pure Italian language and spread to Italian people. So seems like they will make their verdict without Onlife company response, without checking compliance rules at their web sites. Seems like dr Ruja learned a lesson here.III. ASSESSMENTS
18. Preliminary Exceptions as One Network appear to be of no value Services Ltd. is the professional listed repeatedly on the Site and documentation of the proceedings, documents in Italian and diffused To Italian consumers.
19. It is therefore apparent that the statement of the Party concerning the assertion The Authority's obligation to provide the text of the start-up message Bulgarian language, in accordance with Article 14, paragraph 3, letter a) of the Pact International civil and political rights and the principles of the Judgment of the State Council No. 2345/2000 is groundless since As in the present case the failure to translate the communication The initiation of proceedings in the language of the recipient can not It is considered that the right to defense has been affected.
21. Finally, the professional operates in Italy by proposing to join the system The subject of the procedure to Italian consumers through drafted sites Entirely in Italian language and after the launch of the However, the procedure has replied in a precise way to the motion censures Demonstrating that he understands the contents well and can do it Defended in a complete, organic and conferring manner.
Christian Leitner, Antonio Guide (seems like the third guy Stefano Tagliapietra managed to bail out) and ONE NETWORK SERVICES LTD, although they were falsely selling against the rules of the company, were ordered to suspend activity of promoting and selling onecoin cryptocurrency and education packs and if they continue they could face a fine from 10000 euro to 5 million euro.Such elements as to reinforce the need to provide particular urgency In order to prevent the commercial practice described above, continue to Be put into practice in the merits of merit; HAS Pursuant to art. 27, paragraph 3, of the Consumption Code and Art. 8, paragraph 3 of the Rules of Procedure, that ONE NETWORK SERVICES LTD Mr. Christian Leitner, Registrar of the site onecoinsuedtirol.it, Mr. Antonio Guide, site registrars onecoinitaliaofficial.it .:
(A) suspend any activity directed at the promotion and dissemination of OneCoin criptomoneta and associated training packs;
(B) communicate to the Authority the implementation of this Agreement Suspension order and its modalities within ten days from the Receipt of this measure by sending a detailed report Which outlines the measures taken. According to art. 27, paragraph 12 of the Consumption Code, in the case of In breach of this resolution, the Authority shall apply the sanction Pecuniary administration from 10,000 to 5,000,000 euros. In cases of repetition In default, the Authority may suspend the business activity For a period not exceeding thirty days. This measure will be communicated to the interested parties and Published in the Bulletin of the Competition Authority and of the Market.
We can clearly see that at that time there was no communication between Onelife company and Italian authority so the verdict was made just for Christian Leitner and Antonio Guide who promoted Onelife and we can see from their promotions they were doing it WRONG.
Since there was still no communication between Onelife company and Italian authority, probably because dr Ruja did not think that this case was so important cause it is clear error from IMAs, and the rest of IMAs in Italy probably continued business but maybe in compliance, not like those leaders did it, Italian authority decided to issue another order in February 2017. that can be originally found here.
This order clearly states that it is just a precautionary suspension of Onelife activities in whole Italy for Onelife network.The Antitrust, after extending to the company One Life Network Ltd. and Easy Life Srl the procedure relating to the promotion of criptomoneta OneCoin, has ordered the precautionary suspension of the above mentioned activities by the One Life society. Easy Life Srl has instead announced that it has proceeded to the interruption of the practice
This is probably where Onlife company closed registrations for Italy and started talking to the authorities to solve this issue as we heard from dr Ruja on the recent Webinar.
Looks to me as those Onelife IMAs were driving company's car and ran through the red light and since the car was registered to the Onelife company, it was summoned to court but did not show up so they got sentenced anyway. Now it's time to correct that.dr Ruja:
We as a company are aware and we are speaking with all regulatory bodies in Europe.
This is what is extremely important to us and we are really focus into education of the market and some of the leaders oversell, are too aggressive and again, we as a company do not tolerate people who are over selling or selling this opportunity on the wrong way.
So in situation in Germany and Italy again summarizing, we are on this, we are monitoring this very carefully, but I also would like leaders to be very responsible, and as I said, compliance is punishing people who act as they shouldn't and also you guys in the network, please take care of your people because they just damage them selves, you, all your members.
But there is no case of the permanent Onecoin ban in the Italy cause the company is "scam". It is a minor glitch that indeed needs to be fixed by the company and we saw that they are working on it.