subject: High yield investment program: is it legal? [print this page] High yield investment program: is it legal?
First of all, let us consider that we are talking about an registered company. There are some countries that do not support investment programs at all, so usually high yield investment programs are registered in loyal off-shore countries, such as Belize or Panama.
HYIP can be registered as a game or investment program. This little detail makes a substantial difference in the level of responsibility of the company to its investors. If HYIP was registered as a game, the laws of country it was registered in usually implies that investors acknowledge the responsibility they take making a spend. All advertisement launched by HYIP registered as a game is considered just a statement of fact that company has been paying for a definite time but does not guarantee stable payouts.
IfHYIP was registered as an investment company, it means that it takes responsibility to make timely payouts, and any delay can be regarded as a fraud. In this case suffered customer has the right to filea lawsuit against the company and it will be satisfied.
So, what should you do first in case you have noticed that the company claims it is legally registered? Simply check which organization has approved this document and feel free to call them. A great majority of HYIP programs uses fake certificates, so if you will ensure that the company is really registered, you may trust it. Second thing check the status of program. Is it a game or an investment company? If you will hear the second option, you may invest any amount without any doubts. Registered companies pass a very thorough and long process of verification, so you will most likely not be scammed.
Good luck to you all and always be attentive in case you make HYIP investment! Also don't forget to check the status on each HYIP monitor!
