Report a Pyramid Scheme to Council - Perth Bylaws

Business and Consumer Protection Western Australia 4 Minutes Read ยท published February 11, 2026 Flag of Western Australia

In Perth, Western Australia, local residents who suspect a pyramid scheme should notify the right enforcement bodies quickly to protect others and preserve evidence. Council by-law officers may handle public nuisance or trading issues, but pyramid and chain-referral schemes are typically addressed by consumer protection and national regulators. This guide explains where to report from a Perth perspective, what information and records to gather, the likely enforcement pathways, and practical steps to follow if you or your community are targeted.

Report suspected schemes promptly to protect others and preserve evidence.

What is a pyramid scheme

Pyramid schemes are business models that reward recruitment of participants over genuine sale of goods or services. They often promise high returns for recruiting new members and may disguise fees or product purchases as legitimate transactions. If you suspect an organised scheme operating in Perth, identify how participants are recruited, any upfront fees, and the flow of payments or commissions.

Who enforces and where to report

The primary regulators for pyramid and chain-referral schemes are state consumer protection authorities and national competition regulators. For Western Australia, contact the state consumer protection authority for advice and complaints,[1] and report scams or pyramid schemes to national scam and competition authorities as applicable.[2]

  • Contact the Department responsible for consumer protection in WA for formal complaints and guidance.
  • Use Scamwatch or the ACCC reporting pathways for broader investigations and to help detect interstate or online schemes.
  • Notify City of Perth By-law Enforcement if the scheme involves local trading venues, door-to-door activity, or breaches of local business rules.

Penalties & Enforcement

Penalties for pyramid schemes and chain-referral selling are set out at state and federal levels and enforcement can involve multiple agencies. Exact fine amounts for pyramid schemes are not consistently published on municipal pages; where specific monetary penalties are not provided on the cited regulator pages, this guide notes that they are "not specified on the cited page" and cites the official pages below.[1][2]

  • Fine amounts: not specified on the cited page.
  • Escalation: first, repeat, and continuing offence ranges are not specified on the cited page.
  • Non-monetary sanctions: enforcement agencies may seek injunctions, cease-and-desist orders, confiscation of proceeds, or civil remedies through courts.
  • Enforcers: WA consumer protection authorities and the ACCC lead investigations; City of Perth by-law officers can assist with local trading breaches and evidence preservation.
  • Inspection and complaint pathways: contact state consumer protection via its complaint portal and report scams to Scamwatch or the ACCC reporting pages.[1][2]
  • Appeals and review: decisions by state regulators or courts include statutory appeal routes; specific time limits for appeals are not specified on the cited pages and depend on the instrument or court order.
  • Defences and discretion: agencies may consider defences such as lack of intent or demonstrable compliance with consumer laws; permit or variance systems are not applicable to illegal pyramid activity in the cited guidance.
Council enforcement may be limited; state and national agencies often lead investigations into pyramid schemes.

Applications & Forms

How to lodge a formal complaint varies by agency. The state consumer protection authority and national Scamwatch/ACCC provide online complaint/report forms. If no council-specific form exists for pyramid schemes, use the state or national complaint portals linked below.[1][2]

How-To

  1. Gather evidence: copy messages, receipts, contracts, bank transfers, recruitment materials and screenshots.
  2. Preserve witnesses: note contact details of other participants and witnesses and any patterns of recruitment.
  3. Report to state consumer protection via its complaint portal and to Scamwatch/ACCC for national coordination.[1][2]
  4. Inform City of Perth By-law Enforcement if the activity occurs in public spaces or involves local traders.
  5. Follow up: request a complaint reference number, ask about expected timelines, and note appeal or review rights.
Keep copies of all communications, bank records, receipts and screenshots as evidence.

FAQ

Can I report a pyramid scheme to the City of Perth?
You can notify City of Perth By-law Enforcement about local trading activity or public safety concerns, but pyramid schemes are normally investigated by state consumer protection and national regulators; follow up with those agencies for formal complaints.
Will I get compensation if I lost money?
Compensation depends on investigations and civil remedies; agencies may pursue recovery through court actions but specific compensation processes are case-by-case.
How quickly should I report?
Report as soon as possible to preserve evidence; early reports improve the chance of coordinated enforcement and prevent further recruitment.

Key Takeaways

  • Use state and national reporting channels first for pyramid schemes, and notify council for local trading breaches.
  • Gather and preserve all evidence and witness details before reporting.
  • Ask for complaint reference numbers and keep records of all communications with regulators.

Help and Support / Resources

  1. [1] Department of Mines, Industry Regulation and Safety - Consumer Protection (WA)
  2. [2] Australian Competition and Consumer Commission - Pyramid schemes

Categories

General Governance and Administration Public Safety Public Health and Welfare Land Use and Zoning Housing and Building Standards Transportation Environmental Protection Parks and Public Spaces Business and Consumer Protection Taxation and Finance Labor and Employment Education Civil Rights and Equity Elections and Campaign Finance Events and Special Uses Signs and Advertising Utilities and Infrastructure Technology and Data