MMM founder and Russian Conman, Sergei Mavrodi is dead. Reports from Russian media has it that Mavrodi died of a heart attack. According to Russian media reports, the 62-year-old was rushed to the hospital late on sunday and he died of chest pain several hours later.
You will recall that Mavrodi’s pyramid scheme ruined millions of lives, especially in Russia in the 1990s as many lost their savings to the ponzi scheme.
In reaction, many Nigerians took to social media to celebrate the “good news”. Most of them who obviously lost their fortunes to the ponzi scheme lashed out in anger, calling for the death of his accomplices in Nigeria.
Mavrodi’s MMM was a typical pyramid-structured Ponzi scheme in which earlier investors receive their profits from subsequent investors. Mavrodi promised returns of between 20 and 75 percent per month, as well as lotteries and bonuses for investors.
The system was designed to collapse as soon as the number of new clients stopped growing, causing huge financial losses and indebtedness. Millions of people were victims, with some being left as destitute afterwards.
In 1994, Mavrodi was elected as a lawmaker, a decision he later said was to ensure he received immunity from prosecution. However he lost his parliamentary mandate in 1996.
In 2007, a Moscow court found him guilty of financial fraud and sentenced him to 4 1/2 years in a penal colony.
In 2011, Mavrodi launched another pyramid scheme called MMM-2011, calling on investors to purchase so-called Mavro currency units in a bid to get rid of the “unfair” financial system. Some 15 months later, Mavrodi halted the project.
From 2011-16, Mavrodi launched Ponzi schemes under the MMM brand in India, China, South Africa, Zimbabwe, and Nigeria. The system was the single most successful ponzi scheme ever. It finally crashed in 2016.
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