The key fundamental argument from Ackman is not true
From time to time, I was approached by many direct selling companies. To join, you need to make initial buy. The weakness of the whole Ackman argument is here: he thinks that this is recruitment cost, but it's a very grey point. As the new distributor buys the product, it could be reasonably classified as sales
If the new distributor doesn't sell (all) the merchandise, he can keep it for own use, it's that simple. Ratface will be toast, but he may have some other foul tricks to attack the pps. A rat is a rat.
I do know someone who paid about $1,500 to start selling it two months ago.
She hasn't actually tried to sell to friends or strangers. I don't know if she ever will;
she's just not that ambitious as I suspect most people aren't. However, she did sell her
entire beginning inventory to members of her family. My point: A sale is a sale
is a sale is a sale.
That's why the best defense is attack. Collecting all useful information and facts, building a case against this guy on illegal stock manipulation not only on this one but also on many other stocks he had touched.