The Australian Competition and Consumer Commission has instituted proceedings in the Federal Court against an individual, Kevin Ryan, in Perth who is a participant in a scheme called Skybiz 2000 Home Based Business.
The ACCC is alleging Mr Ryan contravened section 61(2) of the Trade Practices Act 1974 by attempting to induce others to become participants in the trading scheme, promoted by Skybiz.Com.Inc, and to pay Skybiz.Com Inc US$100 per web site in order to obtain the prospect of participating in the scheme.
Section 61 of the Act prohibits pyramid selling schemes.
The ACCC is seeking declarations that Mr Ryan was involved a pyramid selling scheme, injunctions restraining him from further involvement, and orders requiring him to attend a trade practices compliance seminar and to inform others that the scheme is a pyramid selling scheme.
A directions hearing is listed for 2.30 p.m. on 8 September 2000 at the Federal Court Perth.