Everything we know about the “Tangier Group Charity ” pyramid scheme 

The “Tangier Group Charity”, a pyramid scheme with over a million alleged victims, has shaken public opinion in Morocco. 

According to Hespress’ sources, authorities in Tangier have arrested 11 individuals connected to the nationwide scam, while seven others remain at large. These arrests follow more than 700 complaints filed against the group for swindling people out of exorbitant sums of money.

Here’s a breakdown of the events leading up to the late August arrests.

The “Game”

In 2021, the “Tangier Group Charity” gained notoriety in Tangier as a quick way to earn money, spreading rapidly across other cities and even reaching Moroccan expatriates abroad. 

The group followed a classic pyramid scheme model: a fraudulent system where participants make money by recruiting an ever-increasing number of investors.

At the top of the pyramid were the two leaders, identified by victims as Y.M. and K.G., who have since fled the country. Beneath them were the “admins,” who communicated with victims primarily on WhatsApp groups, and urged them to recruit relatives and friends, further expanding the scheme’s financial base.

According to victims, the “admins” presented the operation as a “game”: a traditional ‘Daret’ (circular trading by passing shares among a closed group), now structured as a pyramid. 

To join, members had to contribute a minimum of 1,800 dirhams, with promises of doubling their money within months through investments in profitable ventures made on their behalf.

However, the actual contributions far exceeded this sum, with some victims claiming they invested up to 20 million dirhams, lured by the promise of even greater returns.

During its peak, more than 1,500 groups were active, with each participant encouraged to recruit friends and family, adding an average of 10 to 20 new members per person. This created a sprawling web of connections, spreading the scam to countries like Spain, Belgium, and the Netherlands, where Moroccan expatriates reside.

A false sense of security

To lull the victims into a false sense of safety, the group organized several charity events. “This wasn’t a hidden scheme,” said one victim. “They operated in plain sight, organizing charity drives, building wells, and buying clothes for children in need.”

In a video shared on TikTok, group members were seen at a wedding pledging to donate money to newlywed couples in need. These events only served to deepen the trust of their victims.  

Early participants even received significant payouts, sometimes amounting to as much as two million dirhams, which encouraged them to invest more and recommend the operation to others.

To further reassure members, the group frequently involved select imams, who, in voice notes and livestreams, claimed the scheme was permissible under Islamic law, easing the participants’ religious concerns.

A tragic outcome 

One of the group’s “admins”, Bouchra, took her own life, following increasing pressure from victims to recover their money. Neighbors mourned her loss, describing her as yet another victim of those higher up in the operation.

Victims are now trapped, facing the fallout of the fraud while being pursued by those they recruited. “I owe 70 million dirhams to people I know,” one victim said. “Some of them come banging on my door. Where am I supposed to find that kind of money now?” Another victim, a widow with three children, cried, “I have nothing left to my name.” 

Under Moroccan law, specifically law 31.08 on customer protection, pyramid schemes are illegal. Article 58 explicitly prohibits encouraging consumers to recruit others with promises of financial gains through an expanding membership base.

But the outcome of this case remains uncertain, especially as its two leaders are nowhere to be found. The consequences now fall on the participants, many of whom are grappling with huge debts. 

“This scam is going to destroy lives,” one victim said. “Some took loans, others sold theiland under the false promise of future returns. Many women did this without their husbands’ knowledge. Bouchra committed suicide. Who knows who will be next?”