FBI Warns Gun Broker Site Was Ponzi Scheme

a gun - ponzi schemePeople wanting to buy guns online through a payment broker fell victim to a Ponzi scheme and are now stuck without their guns or their money.

The Internet Crime Complaint Center, headed at the Department of Justice, issued a warning today saying they received "hundreds" of complaints about the website, They did not name the site, which FBI spokesperson Jenny Shearer told Consumer Ally was standard practice.The website works like PayPal: People transfer money to the website and then can purchase goods using that money. Although the website said it was created to purchase items banned by other sites (such as guns) the IC3 complaints said the website did not allow people to access their money.

"The website encourages consumers to use their services by advertising that they send money to consumers or anyone with an email address, an individual can easily pay for anything using
the web, and sign-up is free, quick, and easy," the IC3 release stated.

Officials are now investigating the website for fraud, and believe it was funded in a Ponzi scheme, in which early customers are paid using new customer funds.

You can file a complaint with the IC3 online here.
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