Controversial MMM founder, Sergei Mavrodi, dies of heart attack

Russian businessman and founder of controversial MMM Pyramid scheme, Sergei Mavrodi is dead.

According to reports from Russia, Mavrodi whose MMM pyramid scheme deprived millions of Russians their savings in the 1990s, died of a heart attack.


It was reported that the 62-year-old was rushed to the hospital late on March 25 with pain in his chest and died several hours later.

Mr. Mavrodi’s MMM financial pyramid was a typical Ponzi scheme in which earlier investors receive their profits from subsequent investors. It also promised returns of 20 per cent to 75 per cent a month, as well as lotteries and bonuses for investors. As soon as the number of new clients stopped growing, the pyramid collapsed, causing huge financial losses for at least 10 million people, in some cases leaving them destitute.


Between 2011 and 2016, Mr. Mavrodi launched Ponzi schemes under the MMM brand in India, China, South Africa, Zimbabwe, and Nigeria.

According to Nigerian Deposit Insurance Corporation (NDIC), at least, three million Nigerians lost N18bn in the popular Ponzi scheme.

When the scheme crashed in Nigeria, a lot of the participants committed suicide.