<prompt> Human: My wifes parents just told her theyre planning to invest in some gold company that they just went to a seminar about. Redacted email from her mom is below. The whole thing sounds super shady to me but I dont have any concrete arguments to make to them. Looking for advice on how to steer them clear of this. Thanks!EDIT: First, thank you to everyone who has commented so far. This is really helpful!Also, here are some of the documents from this investment company. REMOVEDWeird how the contract has baked in minimum units of 100K and I have no clue what the Milersen Flow Chat is supposed to show.EDIT2:Whoops, tried to link to .pdfs of the docs they were sent and the post was removed due to risk of malware. Ive removed the file link and will update with images of the docs when I have a bit more time. Apologies for breaking the rules.EDIT3:Here are the documents shared as images: EDIT4:Ive drafted a letter to my in-laws. See my comment below. Thank you all again!Redacted email from mom to daughter:The name of the company that we may be making an investment is Global Gold Exchange. There is another company with, I believe, a similar name with LLC following global exchange. They arent the same.To be brief: They have 90 investors. They own large amounts of land in Nevada ...mostly and some in CA that has mines that havent really been developed yet. Most of their projects are mines in Ghana and Ecuador. It is run by three Mormons. They got involved to help the local people who were being taken advantage by others. They still are involved with many community projects. They have large assets to cover their projects. Your father could probably explain it better than me. I understand property, but Im not as good with other investments. This was pretty simple. What they do is bring gold and silver into the country from Ghana and Ecuador. After they have collected a certain amount, they take it to a refinery to process it. There is a charge. These refineries like large amounts. If you try to take a small amount, they charge far more for the process. That is why this company does this about once a month. The fee is less by far. These refineries have a few companies that process huge amounts. They send you a statement once a month concerning the amount of money in your account with them. They pay you 2 for using your money per month. There are no additional fees, etc. You have a choice of receiving it in a check, gold, or roll it over again. You have a choice of declaring it to the I.R.S. or not. When you are dealing with gold, there are different rules with the I.R.S. My neighbor on local street knew one of the owners. Both of their kids were on a sports team at local high school. One of the other owners just moved into a house down the street on other local street. Anyway, my neighbor within a few years has essentially retired. He was working long hard hours a few years ago. His father, a retired Navy Captain, was angry at him for investing his money in the company at first. Now, the Capt. has a lot of money in the company. His two brothers do as well. All of these Company owners live simple lives. They dont try to be flashy with their money. They dont talk about their religion unless you bring it up. They never mentioned Mitt Romney and yet I know he is an investor. We will probably give a smaller amount for several months to test it out and follow what happens. It is a gamble, but it sounds very promising. The reason I was hesitant to tell you more earlier was because I wanted to talk to them first.  <response>: They should run, not walk, away from this. Unfortunately, the salesmen in these schemes are extremely good at what they do, so youre going to need to need to bring some kind of level head to the situation. Ask for:1. A prospectus. Any legitimate investment opportunity should have a prospectus or printed material about it. That material should contain details they put in writing. If they guarantee things in a seminar but wont put it in writing, its obvious something is wrong.2. A development pro forma. If theyre developing mines, there should be a development plan behind it. If they wont share that with investors - huge red flag.3. The past 3 years year-end financial report. 4. Disclosures - any additional disclosures related to their company.5. They wont be able to provide any of that. This whole thing smells of a Ponzi scheme and I would recommend reporting this to the local FBI as well as asking them if they have any other reports of that organization. 