The Minister made the comment after receiving Crown Law advice that prima facie evidence existed of a breach of Fair Trading legislation.

"I've now directed my Department to take immediate action to prosecute those involved in the scheme," Ms Spence said.

The Minister said that while the Office of Fair Trading had issued a number of warnings about pyramid selling schemes and bogus get-rich-quick schemes, they still seemed to be circulating, particularly in regional Queensland.

"It's a cruel hoax on families, many of whom are struggling with the financial pressures of the new school year," Ms Spence said.

Fair Trading offices in Cairns, Townsville, Mackay, Rockhampton, Maryborough, Maroochydore, Toowoomba and Southport have received a number of enquiries from consumers who have been invited to join in get-rich-quick schemes.

"I hope the advice from Crown Law will act as a strong deterrent. Pyramid selling is illegal in Queensland.

"If you promote or even join a scheme, you risk fines of up to $40,500," the Minister said.

Ms Spence said promoters of pyramid selling schemes lure participants by promising substantial rewards for their initial investment.

"For instance, investors are told that if they pay $500 they could stand to gain $4,000, and that a $5,000 investment could yield a dividend of $40,000.

"The 800% return depends on the recruitment of eight other people who then pay each participant the same amount invested. They in turn, recruit others.

"It's scandalous and as I've said before, consumers should throw papers promoting the scheme in the bin where they belong," Ms Spence said.

For further information: Ellen McIntyre 0408 732 491 Senior Media Adviser