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| Chile 'magic cheese scam' woman goes on trial in France | Chile 'magic cheese scam' woman goes on trial in France |
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| A woman has gone on trial in France for allegedly operating a scam in which thousands of Chileans paid millions of euros to produce a supposedly "magic cheese" for the cosmetics industry. | A woman has gone on trial in France for allegedly operating a scam in which thousands of Chileans paid millions of euros to produce a supposedly "magic cheese" for the cosmetics industry. |
| Gilberte van Erpe, 74, is accused of selling a near-worthless powder as a costly domestic cheese-making kit. | Gilberte van Erpe, 74, is accused of selling a near-worthless powder as a costly domestic cheese-making kit. |
| Buyers were lured with the promise of huge returns when their "cheese" was sold on for use in beauty products. | Buyers were lured with the promise of huge returns when their "cheese" was sold on for use in beauty products. |
| The €14.5m (£10.6m; $16.14m) scam is one of the largest in Chilean history. | The €14.5m (£10.6m; $16.14m) scam is one of the largest in Chilean history. |
| Ms van Erpe, nicknamed Madame Gil by the French press, was arrested in 2008. She is being tried at a court in Paris, as she could not be extradited to Chile. Three of her alleged accomplices are also on trial. | Ms van Erpe, nicknamed Madame Gil by the French press, was arrested in 2008. She is being tried at a court in Paris, as she could not be extradited to Chile. Three of her alleged accomplices are also on trial. |
| According to French media reports, the scam attracted some 5,500 people in Chile, each investing amounts between €400 and €168,000. | According to French media reports, the scam attracted some 5,500 people in Chile, each investing amounts between €400 and €168,000. |
| They were charged more than €350 for kits that would help produce the "cheese" if added to milk. | They were charged more than €350 for kits that would help produce the "cheese" if added to milk. |
| The buyers were told that the fermented product they made in their homes could be sold to the French cosmetics industry at a much higher price. | The buyers were told that the fermented product they made in their homes could be sold to the French cosmetics industry at a much higher price. |
| The victims were initially paid the dividends they had been promised, and the early success prompted them to invest larger amounts. | The victims were initially paid the dividends they had been promised, and the early success prompted them to invest larger amounts. |
| Many encouraged their friends and family to sign up, cashed in their savings, sold homes and property, or gave up jobs to concentrate on "cheese-making" full-time. | Many encouraged their friends and family to sign up, cashed in their savings, sold homes and property, or gave up jobs to concentrate on "cheese-making" full-time. |
| However, the dividend payments soon stopped. The initial returns are alleged to have been funded by new members joining up - a typical pyramid scheme. | However, the dividend payments soon stopped. The initial returns are alleged to have been funded by new members joining up - a typical pyramid scheme. |
| The scam's victims are alleged to have included many villagers who had attended Ms van Erpe's public lectures. |