No plan or scheme of inducing purchases, or entering into obligations by representations and promises such as the following, or conditioned thereon, shall be used:
- (1) That the seller would pay to each buyer certain money, credit or anything of value for each of any number or of a certain number of prospective buyers referred or recommended by each buyer, or for each such prospective customer so referred who becomes a buyer, and to whom the same representations and promises would be made, and
- (2) That the buyers' purchases may thus be free or paid off in whole or in part by such money, credit, thing of value, and/or
- (3) Concealing or disguising the obligation or contract involved or falsely representing that the plan does not involve any obligation or contract.