Pyramid Warning

The Central Bank on Thursday warned public against gambling on get-rich-
quick referral schemes that promise unusually high returns. The Central Bank on Thursday warned public against gambling on get-rich-
quick referral schemes that promise unusually high returns. Responding questions at a media conference regarding Central Bank’s
stance on the proliferation of get-rich-quick schemes in the country and
promotions of Gold Quest’s controversial medallion sales scheme, Deputy
Governor W A Wijewardene said public education was the best method to
counter it.

“Our viewpoint is this is a pyramid,” Wijewardene said. “It is an upside
down pyramid. At one time the base will not be able to support it and it
will collapse.”

Central Bank officials point out that Pyramids hurt people who join at
the end, and the general public should be aware of the risk.

“When these funds are collected through several levels, very clearly
there isn’t enough people in this country to continue,” says Assistant to
the Governor, Dr. A G Karunasena, who was Director of Economic Research
until recently.

“There isn’t even enough people even