SWA or Supreme Wealth Alliance is one of the most popular online networking we have these days. My Facebook page is teeming with posts about SWA, I’m sure so is yours.
What is SWA?
SWA is the typical networking group. You pay $55.00 or about P2,310.00 in order to join. They have two “perfect” pay plan systems which you could choose from. One pay plan pays you $70.00 for every six people you refer (directly or indirectly) and the other pay plan pays you $20.00 for every 1st, 5th, 6th, and 8th (onwards) person you recruit. You can view their pay plans in their website.
On SWA’s website, it would seem that these two pay plan systems are the only means for you to earn with them. Obscured is another way of “earning” – that is, selling their ebooks.
SWA, according to their website, has a library of ebooks and other digital resources which would coach you how to be financially successful. Upon signing up, you will have access to these ebooks. You can sell these ebooks too and you can earn commissions by doing that.
But is it a legitimate business?
I wrote an article earlier about how to determine whether a networking scheme is illegal or not. You can read it here. In that article, I pointed out some salient indicators that could tell us whether or not a networking group is a scam. We’ll use those indicators to determine if SWA is a scam.
First indicator, business focus. What is the main focus of SWA? Is it recruitment or the selling of their products.
SWA’s focus is recruitment. You can tell that from their website as well as the Facebook statuses of the SWA members. Their main selling point is recruitment not their ebooks. Why not their ebooks? Because they know very well that their ebooks are not very marketable. It is recruitment that is marketable to them.
Some may argue that ebooks are one of the best selling digital products today. That is true. But not all ebooks are marketable. The ebooks which are really in demand are fiction ebooks like those of John Grisham and other fiction writers and not business ebooks like those being endorsed by SWA. In the various listings of bestselling ebooks (here, here, and here), you can see that all the bestsellers are fiction ebooks. There are no business ebooks so how do you expect to sell those business ebooks by SWA? So really, their main focus is recruitment.
Besides, SWA is not a publisher, is SWA hiring authors to write ebooks for them? Nor is SWA tied up with a known publisher or any publisher for that matter. So how can we even be sure that SWA has the rights to those ebooks. Further, there are millions of free online resources tackling the same business techniques and approaches which their ebooks and their other digital resources offer. So again, how can you sell SWA’s ebooks if the Internet is teeming with similar resources which are free.
So what is wrong if their focus is recruitment?
That makes their business illegal. The DTI (Department of Trade and Industry), as well as the Anti-Pyramiding Task Force, states that
…the test to determine whether or not there is a violation [of the Consumer Act] is whether the scheme involves an investment (entry fee and purchase of goods, or purchase of goods alone) for the opportunity to receive earnings primarily from recruiting, rather that from sales. If so, then there is a violation of law.
Clearly the, SWA’s business model is a scam: you invest P2,300.00 to join, then you earn by receiving commissions from the entry fees of those you subsequently recruit – again, you can’t earn from those ebooks! Your primary income after joining SWA, and as even advertised by their FB posts, comes from recruitment.
Another indicator is to determine whether or not the business is registered here in the Philippines. If it is registered here in the Philippines then that means it can do business here.
In SWA’s website, it says that it is a registered corporation in Belize since 2012. But it is not registered in the Philippines as a corporation (not SEC registered, you can confirm that at SEC’s website). So how can it even conduct business here legally? It does not have any business office here as well so if things go awry in the business of SWA, how can the claimants sue SWA? Go to Belize, perhaps? Further, in SWA’s website, how come the full copies of its articles of incorporation as well as its by laws are not posted? How will we know what specific type of business is SWA allowed to engage in? How will we know who are its accountable officers? Are they Filipinos too? Very dubious indeed that these items are missing from the site.
And I find it sad that bloggers like this guy believes that all he need as proof of SWA’s legitimacy is a scanned copy of the cover page of SWA’s alleged Articles of Incorporation. Tsk tsk…
Curiously, it appears that the founder of SWA is a Filipino. His name is Francis (Franco, in some websites I saw) Chaves. Chaves does have a registered business here in the Philippines called Chavesnet Enterprises. Chavesnet is registered with the DTI so it must be a sole proprietorship only (not a corporation – which means it does not have sufficient capitalization or bond which claimants can go after if in case its business goes bad; corporations are required to set up a bond to secure their creditors, for SWA which claims to be multinational, if it is registered as a corporation here, it should have at least P2.5 million capitalization to be posted as bond and that’s the fund from which SWA’s creditors can claim their money if in case SWA’s business will go bad). But that’s irrelevant anyway because it seems that Chavesnet has already expired as a business because this page claims that SWA is formerly known as Chavesnet.
From that, it appears that Chaves abandoned Chavesnet, then he went to Belize and started a corporation there called SWA. Then he came back here in order to recruit Filipinos into his business. So why do that? I don’t really know. Why set up your company in Belize? Why Belize? Why not here, since you’re going to operate business here? But surely, this is a technique commonly used by people who want to avoid lawsuits in the place where they are conducting business. They know their business is a scam and so they anticipate lawsuits here. Hence, they may find it prudent to register their company elsewhere for impunity sake.
At any rate, we do have a legal principle called “piercing the corporate veil” which provides that if you can’t sue the corporation, you can sue the people managing the corporation. So people, if you feel aggrieved by SWA you can sue Francis Chaves. If you can find him.
Now also, there’s this image here which says that Chavesnet is good as a business until 2017. But then again, think of this. Chavesnet is merely registered as a business or a trade name in the DTI. Now SWA people keeps on claiming that Chavesnet manages SWA. How in the world can a small-medium business (as it is registered) manage an international corporation like SWA? Again, businesses registered in the DTI are not posting bonds. They only pay something like P300.00 to P5,000.00 for business permit. No bonds, so creditors can’t go after Chavesnet, they’ll have to sue Chaves himself. In all, this makes the whole set up of SWA dubious.
Another indicator we can use to determine if a networking is a scam is their business model. We discussed SWA’s business model earlier and how it is focused more on recruitment. This business model is a no-no because you can only recruit too many. What happens if there’s no one to recruit anymore? How can you have a return of your investment? You’re lucky if you’re one of the first to be recruited and the first to recruit. You may have at least gained back what you invested. But what happens if those you recruit can’t recruit anymore? Will you refund their money? Is there even a refund policy in SWA?
And speaking of refund, there should be a refund policy in SWA, if we are to believe that recruitment is not their main focus.
This brings us to one argument from SWA members – that their business is not a scam because they are earning. Actually, you can do a google search about SWA and a lot of blog sites will vouch for SWA’s legitimacy – but only because the bloggers claim that they are earning from SWA. Well, you can earn from selling drugs too but it is illegal. The fact that you are earning money from your business does not make your business legit. There are laws to be followed i.e. The Consumer Act of the Philippines (read my article here to know how this law relates to pyramiding scams).
The earnings in SWA is primarily dependent on recruitment (again, illegal – I hope I have stressed that enough). So you earn only if you recruit. There’s no fallback for the recruits because the business capital of SWA are digital products which are virtually unsellable. So if things go bad in SWA’s business, will you be okay to be paid by ebooks? Absolutely not! You want cash but they have no cash capital because what they have are ebooks, remember no capitalization because it is not SEC registered. Legally you can still sue the corporate founder but I’ll tell you it will be a long and tedious process. Corporate litigations here in the Philippines are no joke. Remember Aman Futures? And even if you win in the litigation after several years, good luck imposing the judgment, by then SWA’s fund, if any, may have dwindled down.
SWA and all the online business it represents is quite enticing especially for the newbies in the Internet. Besides, who can refuse the promise of easy money. Like what most SWA members post “nagfi-facebook ka lang, kumikita ka na”. I mean, that’s enticing, right? But one must look through a lot of implications – legal, moral, and logical, before parting with your money. It’s true you may earn because you’re good at recruiting but that does not hide the fact that you’re breaking the law.
And for those still considering joining SWA, here’s my advice: be ready to face the consequences. Be ready to recruit and I hope you have a way with words because frankly speaking, you can’t sell those ebooks that SWA is bragging about.
SWA may go scot-free, legal-wise, but it’s a business which has an expiration date. Again, you can only recruit too many. It will die a natural death, if unprosecuted, because it will have to reach a plateau – a time when no one can be recruited anymore. And by that time, when the base of the pyramid is so big, who will answer for the unpaid investments of the new recruits? The recruiters? Just think of Aman Futures, if you happen to have been recruiting by that time, do you think you can pay off the investments of your new recruits? So yeah, this is something for you to think about before joining SWA or before recruiting someone to join SWA and all other similar online businesses.
And one more thing, if SWA is earning so much -as well as SWA members, why am I not seeing them organize a relief operation for Yolanda victims – just an additional thought – not really an indicator. But you get what I mean.
UPDATE (November 24, 2013):
So this article is making rounds in social media. It caught the attention of many SWA members. Some engaged me in a debate. Naturally I presented facts and when they can’t deny these facts, they chose to delete their comments. Luckily, I anticipated they will so I made some screenshots here and here.
Anyway, I am doing this update here just so I can emphasize several points I’ve already made. And of course to post here some of the ridiculous arguments SWA members kept rehashing.
On the need to register with the SEC
SWA is introducing itself as an investment corporation. I said it needs to be registered with the SEC in order to operate business here legally so that it can be properly taxed as a corporation and of course so that it will be able to post the required bond/capitalization.
However, SWA members kept on insisting that SWA does not need to be registered for the following reason:
IS SWA REGISTERED THE COUNTRY’S SECURITIES & EXCHANGE COMMISSION (SEC)? IF NOT, THEN WHY NOT?
Supreme Wealth Alliance Corporation does NOT have a local SEC registration and it is because SWAC is not a local traditional company that needs to be registered in any local governing body. SWAC is a legally registered international corporation in the sovereign country of Belize… as an IBC (International Business Company) company… and has fulfilled all necessary requirements an IBC company should comply with. And since our scope is GLOBAL VIA THE INTERNET, we do not have any local offices nor any local registration in any of the 200 countries where we currently have members. We operate 100% in cyberspace (internet) and do not occupy a physical space in any given municipality, city or even country. Since we operate online, we have to comply with the online laws. The same way Facebook, Google, you tube, eBay and other online companies are not registered locally with our SEC, we also follow the same regulations.
In addition, all operation, transactions, product sourcing, and product delivery are done 100% via the internet, and NOT within the soils or jurisdiction of any country… that is why there is no necessity to register locally in any of the countries wherein we have members and affiliates.
Basically, SWA is claiming exemption from the legal requirement. A claim which has no legal basis whatsoever. There’s even no precedence to back their claim. This ludicrous claim by SWA is a clear disregard to Philippine laws and a blatant illegal maneuver to avoid taxation. This makes them akin to a bogus NGO; it is a dummy corporation!
The above argument by SWA is also an admission that indeed Chavesnet Enterprises is a different business from SWA and that Chavesnet’s registration with the DTI (again as a mere tradename) has nothing to do with SWA. So I find it funny that a lot of SWA members are still pushing the Chavesnet registration argument.
Let’s break down their argument:
They say SWA is not a “traditional local corporation” so it is exempt from registration. I don’t know where they got this argument. I guess invention is really the mother of necessity. Their argument finds no support in law. It is clear from the Corporation Code that both foreign, international, or local corporations need to register with the SEC if they wish to conduct business here. If they do not wish to do so, then they have no right to do business here. Besides, there’s no such classification as “traditional local corporation” nor a “modern local corporation” which SWA members are implying they are. They’re just making that up, perhaps to get more recruits and fool more people.
For more emphasis, here are the reasons why corporations like SWA need to be registered with the SEC:
1. For them to be licensed to do business here in the Philippines, (if a small business like a sari-sari store needs business permit registration so does an investment corporation like SWA);
2. To place them under the jurisdiction of the courts (this is important if in case someone wants to sue SWA, but nevertheless, a victim can sue the alleged owner, Francis Chaves, or even the recruiters);
3. To place them in the same footing as domestic corporations (it is unfair that local investment corporations registered with the SEC are paying taxes while SWA is not);
4. Protection for the public in dealing with said corporations (because SWA will put up a bond which will be readily available to answer for monetary claims adjudged against SWA).
It is not enough that SWA is registered in Belize (even that fact is dubious because SWA has not posted the full text of their articles of incorporation and by-laws, which is another requirement under the Corporation Code). SWA’s registration in Belize does not equate to registration here in the Philippines. Assuming that SWA is registered in Belize, it is only in Belize that it is authorized to do business and not elsewhere, definitely not here.
Now let’s go the argument by SWA members that another reason why they do not need to register is that they are doing business online. They went on to compare their business model to that of Google (YouTube, which is owned by Google), Facebook, and eBay. This to me is a showing of their gross lack of understanding as to how Google, FB, and eBay conduct their business.
For them to compare their business to be the same as those three corporate giants is too much of a stretch.
Google and FB earn primarily from their advertisements. Advertisers contract with FB and Google for these two to run ads for them. Online advertisement is a multi-billion dollar industry. The major advertisers of these two are offshore-based. Although much of their contracts are executed online, Google and FB pay their tax in the US, because that’s where they are registered as a corporation, plus, that’s where their servers are physically located – that’s what, under their laws, determines where a website primarily operates its business, which further determines the proper taxing authority. You don’t expect them to register here in the Philippines but that does not mean they’re not supposed to make available their website here (which is the logic of SWA’s argument).
What Google and FB are doing here in the Philippines is not really business (hence not taxable here nor are they required to register here with the SEC). FB and Google are merely transmitting their websites here in the Philippines from their server. It’s akin to a TV station in the US transmitting their channel here. That does not mean that they have to be registered here in order to broadcast. Get what I mean?
Same analogy can be applied to eBay but more on that later.
Now, SWA is different. It’s business model, in no stretch of the imagination, is no way the same as that of Google and FB. Google and FB do not ask for a fee for you to use their service. They are a free social networking unlike SWA which asks for a fee before you become a member.
Virtually all SWA recruitment are done here in the Philippines. It is of no moment that it was done online via FB or whatever social media site they are using. The fact is, virtually all SWA members are posting on FB while they are sitting behind a computer somewhere in the Philippines – the business of SWA, which is recruitment, is still being conducted physically here in the Philippines, contrary to what SWA members are insisting. And for every recruit, SWA gets a commission and a share which is not being taxed. That is taxable here because that is income earned here in the Philippines. Not only that, hopefully these SWA members are declaring their income from SWA for tax purposes – remember, even if the source of income is illegal, it is still taxable!
This whole argument by SWA that they are exempt because they operate online is pure BS. If we follow that logic, it would seem to them that if Toyota Philippines primarily sells their cars online, Toyota will be exempt from registration and taxation.
To rebut this analogy, someone from SWA made mention of eBay’s business model particularly eBay’s selling of ebooks because that seem to be their main comparison point; that they are selling digital products (I believe I discussed this extensively already, especially the marketability of their ebooks, but anyway just to add more argument, I’ll delve on it more).
eBay is merely a medium for sellers to sell their product. eBay does receive a cut for items sold and they are paying their tax in their country of registration (not here in the Philippines). Now it is up to the individual eBay sellers to declare their profit for taxation purposes. All other matters I discussed about Google and FB are also applicable to eBay.
SWA members argue that the selling of digital products (or any product for that matter) online is not subject to tax nor is the company doing the selling required to register because since the transaction is being done online, no country has jurisdiction.
Again, that argument is ludicrous. It finds no support in law.
So if I put up a server here in the Philippines and start selling domains for websites (which is a digital product), would that mean I am not taxable and I do not need to register my business? Of course not, but that is the road these SWA members like to travel.
Sulit.com.ph is a good example of a legit online business which sells both digital and physically tangible items. They are registered as a corporation, under the name Netrepreneur Connections Enterprises, Inc., as such they have the required capitalization, and are paying the required tax from the commission they get from their sellers. Again, if we follow SWA’s argument, Sulit.com is not supposed to be registered!
I don’t know why so many SWA members and recruits believe in the arguments being invoked by SWA. These arguments are flimsy and are mere shallow arguments.
Strictly speaking, there’s really no such thing as transacting business online. Transactions are still conducted physically in the physical world. A SWA member sitting in his home in Manila recruiting a Facebook user located in Davao is still transacting in the Philippines. They are merely using the internet as a medium of transaction. Would you the say the same if they are using phones? Absolutely yes! There is still an active human intervention, and that human is located here in the Philippines. It would be different if its a bot recruiting a bot (you know what a bot is).
How about if that human recruiter is located offshore, well if he’s a Filipino then he still has to pay his tax here and where he is located (double taxation) – of course there are legal matters to consider here but that’s another topic (like the minimum number of days abroad etc.). Bottomline is, for a business to be legit, registration is important, plus taxation, whether you like it or not.
But really, and again I am emphasizing this no matter how much I rehash it, SWA’s business is illegal. Even if it will later on register with the SEC and then post the required capitalization and then pay their tax, if SWA will not change its modus operandi, then it is still illegal.
Even if it complies with the requirements of the Corporation Code but will not comply with the requirement of the Consumer Act, SWA will still be illegal.
The primary thing that makes SWA illegal is its reliance to recruitment as its main source of income (and as the members’ main source of income). Their crap ebooks are not marketable (which I discussed extensively already). I am yet to see a SWA member selling ebooks. All they say in their spiel is that they are recruiting people to their teams. As I emphasized earlier, this scheme of recruiting and earning primarily from recruiting is pyramiding which is illegal under Article 53 of the Consumer Act.
And again, as I always emphasize to stubborn SWA members, the fact that SWA members are earning from recruitment does not make the business of SWA legit. So stop using this argument because your argument holds no water. Like I said, people can earn from selling illegal drugs too but that does not make selling illegal drugs legal. Stop showing us screenshots of you using money as your “pamaypay“, that may even be used against you in a tax evasion case!
Please don’t label me as someone who has this “crab mentality” (like this person here). I am all in for progress. But people should do it legally. We have laws to follow. Kind of cliche but that really is one way to a progressive nation. You see, SWA is getting away with tons of cash being stashed away by the unidentified people running it (save for Francis Chaves) tax-free. If you are pissed with Napoleses’s dummy NGOs, so should you be with SWA – they are the same thing.
What’s sad though is that even though a lot of SWA members already know that their business is illegal, they still continue doing it. Just look at this post in one blog:
You can view their discussion here: http://behindmlm.com/companies/supreme-wealth-alliance-review-55-pyramid-scheme/
People are mad at Napoles for scamming the country. I’m sure most SWA members are angry too. But yet they are willing accomplices and victims of a scam themselves.
UPDATE: (January 18, 2014)
Why SWA’s ebook library is just a smokescreen to hide their pyramiding scheme
Okay, so I get a lot of “justifications” from SWA members telling me that SWA is not a pyramid scam because, according to them, they sell ebooks. Though I already discussed this above, I might as well expound on it more here just so I can drive the message across to stubborn SWA members.
Like I said earlier, SWA’s focus is on recruitment. They earn by recruiting and not by selling ebooks.
Though they have a product, these ebooks, this is just a smokescreen to hide their real business, which is recruitment, and again this is against the Consumer Act.
Why are the ebooks a mere smokescreen, or in the vernacular “panakip-butas” to the real business of recruiting?
Well, for the following reasons:
1. SWA is not a publisher. It is not even an online bookstore like Amazon or Barnes and Nobles. SWA does not have any tie up with any publisher, nor is SWA an authorized publisher or reseller of the various ebooks they claim to be included in their library. They even claim they have books authored by Paulo Coelho – I can’t imagine Mr. Coelho authorizing SWA to sell his books/ebooks. If SWA does have authorization from authors to sell their ebooks, such is not evident as such fact is hidden from the public.
2. They do not sell ebooks to the public at large. Their ebooks are contained in a library of, as they claim, “2,500+ of ebooks”. Before one can be allowed to buy an ebook from SWA, he must be a member. In short, membership is a prior requisite before you can buy an ebook from them. Hence, you have to pay P2,500.00 or $55.00 (I wonder what conversion rate are they using) before you can “buy” ebooks.
But then in fact, once you are a member, you do not actually “buy” ebooks from SWA anymore because these 2,500+ ebooks become free for you to access.
If you analyze this business scheme closely, you’ll see that the real focus here is RECRUITMENT and NOT the selling of ebooks. In fact, these ebooks are free and incidental to your membership with SWA – so again, the real business is RECRUITMENT which is against the Consumer Act as earlier emphasized.
In fact, one of the head honchos (a certain Manny Viloria) of SWA blatantly admits that they do not sell ebooks. You can check his link here (read his number 7): http://supremewealthalliance.net/603/swa-ebook-questions/
I made a screenshot here:
If the above is not incriminating, I don’t know what it is called. So there you have it, a clear admission that they are violating the Consumer Act by focusing on recruitment – because how else can they earn if they don’t sell ebooks? And again, they RECRUIT, they DO NOT SELL.
3. Here’s another reason why their ebook library is merely a front. How in hell are they paying the authors their royalty fee for the ebooks they were able to “sell”?
For the public’s information, an author is entitled to a portion of the sales of his ebooks (or books) called a royalty fee.
Let’s break this down: A member pays $55.00, or P2,500.00 according to the conversion rate that SWA invented, right? So out of that $55.00, depending on what pay plan the member is enrolled in, at least $30.00 out of that is allotted to the recruiter. $5.00 is then given to SWA as its share. Assuming that the $20.00 is allotted for royalty fee payment, how do they divide that to the 2,500 authors of the 2,500 ebooks they sell? If you divide that, an author is merely entitled to $0.008 per ebook “sold” (via membership). So if there are, let’s assume SWA members number to 80k (because that’s what most SWA members say), Paolo Coelho only earned $640.00 from the 80k copies of his ebook “sold” to members.
And would he agree to sell his ebook to and through SWA for only $0.008? Would any author do that? I don’t think so.
And when calculated using the more believable number of SWA members which is around 20k, then the author actually only earns $0.002 per ebook “sold”. And this is assuming SWA does pay royalty fees. For all we know, it is also keeping that $20.00 extra per member recruited. So just imagine how much money SWA founders (Francis Chaves, Jeff Perez, Manny Viloria?) earn illegally.
4. SWA has no refund policy. If SWA is really into selling ebooks, they should have a refund policy. But apparently, they don’t have one so once you parted with your money, it stays with SWA.
WHY I AM NOT FILING A COMPLAINT… and what you can do to stop online pyramiding scams.
Why is this author not filing a complaint against SWA? This question has been propounded to me by a lot of SWA members. Well, in the first place, I was never a victim of SWA. That being, I don’t have any legal standing in court to sue SWA. Besides, and this is a glaring loophole in the system, there is no government mechanism to facilitate complaints from concerned individuals like me against scams like SWA.
In the United States, they have what they call a Better Business Bureau and an entity called the Office of the Customer Advocate (or something like that). Basically what they do is to receive and prosecute complaints against businesses which conduct sleazy operations. We don’t have that here!
I can’t approach DTI because again, you have to show receipts that you’ve been duped by a certain company. I can’t approach the SEC because in the first place, they don’t have jurisdiction over SWA, it being not registered with the SEC. I can’t go to court because again, I’m not a victim. I’m just the observer here telling people the obvious. But SWA people can sue me if they want to – lol (just so SWA’s issue of legality can be brought to court because I will certainly use that as a defense to whatever case they’ll file against me – if you’ll look at the comments below, a lot of them had threatened to sue me with libel, so there’s that, but good luck to them: freedom of expression baby!)
I also approached various media organizations and even some senatorial staff but until now no reply from them. One media person did say that if I can refer just one victim who is willing to speak, even on conditions of anonymity (but with vouchers and receipts showing proof of being scammed), they will be willing to cover it. So I am appealing to any SWA member who in any way was scammed, specially those who did not get any return of their investment, send me a message below or via email. Any SWA insider is also welcome to be a “whistleblower” – who knows, that may mitigate your liability.
Anyway, for us non-SWA members/victims who are merely exercising our vigilance, we can do our part in eliminating or at least decreasing the number of online scams by sharing this article. Tag your local Congressman of possible. Tag anyone in the Senate or anyone who has contact to anyone there. Certainly, there are legal loopholes which facilitate the abundance of online scams like SWA. By us making it known to Congress, they can address this loopholes. So let’s make SWA famous – but not just SWA. Using the same guidelines outlined in this article, we can identify which online businesses are scams and which are legit.
I have also launched a campaign online: https://www.facebook.com/photo.php?fbid=548875518529555. Let’s make SWA famous with the hash tags #makeSWAfamous and #swaSCAM. The more famous SWA gets, the higher the chance it gets noticed by Congress.
What happens if it gets noticed by Congress?
Well hopefully someone will make a legislative inquiry on online pyramiding scams and make sweeping legislative reforms so that they can put more teeth on the anti-pyramiding efforts so that they not only check on offline businesses but also on online businesses like SWA and similar online scams.
UPDATE: (April 14, 2014)
Apparently, SWA is now registered as a corporation since April 8, 2014. You can now see SWA’s name on SEC’s online database (go to sec.gov.ph).
This of course does not legitimize SWA’s business. Since this article is too long, please check this link for my discussion on this: http://howard.uberdigests.info/2014/04/15/swa-is-now-a-corporation-but-this-does-not-legitimize-their-business-scheme/