BAKERSFIELD, Calif. (KGET) – Chris Hall is a Bakersfield native. One day, he was on one of his social media platforms and noticed an old scam has resurface, the ‘Blessing Loom” scheme.
Hall has been doing his research about this scam.
Ever since he tried to warn his loved ones about it, some understood where he was coming from; but some completely disagreed.
“I’ve seen a lot of friends and family post this and it’s causing me a little bit of a headache,” said Hall. “I actually loss friends over it because they are defending it and some people that I believe who are very well educated defended this, saying this is like a gamble.”
According to Bakersfield Police, this is nowhere near a gamble.
This scam, sometimes known as the ‘Blessing Loom’ or ‘Circle Game’, convinces eight people to join to each make an ‘easy’ $800.
But, there is a catch: New people must be constantly recruited in order for the original members to receive their ‘payout’.
In other words, 64 people would have to join the circle, pay a $100 ‘entry fee’, and ‘payout’ the original eight members with $800.
This keeps multiplying until the system collapses and people lose money.
Bakersfield Police Public Information Officer, Sergeant McCauley says people who participate in ‘the blessing loom’ scheme are breaking the law.
“If you look it up, California Penal Code, Section 327 covers some of this endless chains scheme,” said Sergeant McCauley. “It talks about how they are described and how they are set up to where it has to keep growing and growing and never has an end to it, they are illegal and you can go to prison for it.”
Sgt. McCauley also adds that this scam is targeting specific generations, but warns everyone about it.
“Groups that fall into these schemes a little more with some of the elderly and with some very young people, some teenagers really don’t have some of the life experience or some of the elderly that don’t have with technology, there can be other victims. We would like to provide as much education as we can about these things.”
At this time, Bakersfield police have not received any reports of local victims. However, if you are a victim of the ‘Blessing Loom’ scheme and would like to report it, you can make a report online by clicking here.