Mich. Comp. Laws § 445.2583: Promotion or participation in pyramid promotional scheme; prohibition; penalties.

Sec. 3.

(1) A person shall not promote or participate in a pyramid promotional scheme. A limitation as to the number of individuals who may participate or the presence of additional conditions affecting eligibility for the opportunity to receive compensation under a plan or operation does not change the identity of the plan or operation as a pyramid promotional scheme.

(2) A person that promotes a pyramid promotional scheme is guilty of a felony punishable by 1 or more of the following:

(a) Imprisonment for not more than 7 years.

(b) A fine of not more than $10,000.00 per violation.

(3) A person that knowingly participates in a pyramid promotional scheme is guilty of a misdemeanor punishable by imprisonment for not more than 90 days or a fine of not more than $1,000.00, or both.