Paparazzi Accessories, the Utah-based MLM jewelry giant, has agreed to a $1.9 million settlement with Washington state over allegations it operated like a pyramid scheme and misled customers about its products. 👀📉
🔍 The Allegations
Washington’s Attorney General Nick Brown alleged that Paparazzi:
Violated the Consumer Protection Act
Broke the Anti–Pyramid Promotional Scheme Act
Misled consumers by advertising jewelry as lead- and nickel-free when internal testing showed otherwise 😬
🧾 What’s in the Settlement?
💸 $1.9 million payout
- 💵 Refunds for all unsold merchandise purchased in Washington since Jan 2017
🔁 Claims process for customers who unknowingly bought jewelry containing lead/nickel
📬 7,100 former Washington consultants will receive checks averaging $180 each
🚫 New restrictions on marketing: Paparazzi must now clearly disclose likely consultant earnings going forward
“Our investigation showed Washingtonians were clearly harmed,” said AG Brown.
“Too-good-to-be-true income claims are a classic red flag.” 🚩
📣 What Paparazzi Says
While not admitting to wrongdoing, Paparazzi told The Seattle Times it stands “behind our business” and will continue to fight “misleading and false narratives” about the company.
TL;DR:
MLM jewelry brand Paparazzi settles pyramid scheme claim for $1.9M
WA consultants get refunds + compensation 💵
- Misleading product & income claims triggered the investigation
- Company now faces tighter rules to operate in the state 📋
- 💬 MLMs are under growing scrutiny—especially when sparkle turns shady.