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Gifting circles

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I was invited to a "support group meeting" as described by a good friend of mine. She did this because she believes in it 100% and would like to pass on the benefit to me. However upon attending, I found out that it is a gifting circle scheme. She is adamant that it is not a scam but I chose to back off. They are operating secretly and advise people not to tell their recruits about what the meeting is about. They say your 5000 will turn into 40000 come your bday and just have to recruit 2 more people to fill the baseline. It's too good to be true and I don't want my friend to be a victim. She was "sponsored"she said so all she needs to do is recruit 2 peoplease and she will split or give $$$ to the sponsor come her bday. I believe she did not loose lonely yet. But her recruits might and she might get in trouble. Need to verify of this is really a scam which I really think is.

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