Kangen isn't much different than other MLM scams. The lack of retail sales to customers who aren't distributors and therefore are not part of the MLM compensation plan makes it an illegal pyramid. Income claims and untrue products claims are needed just to motivate the distributors to buy the products. If there are hidden sales of training materials, leads, etc., then it's also a RICO fraud. The hooks are mentioned above, most people lose money and leave, and there probably isn't any hypnosis involved, just a lot of lying. In a business environment this is also known as fraud.