World Financial Group New Program Legit?

Hey a friend of a friend was telling me about this new program that World Group Financial has started. Basically he said that he took out an Indexed Universal Life policy with a $1500 monthly premium and that his upline gave him the 1st $1500 to get started. So now if he recruits someone then he will give the new recruit $1500 to get him started. I thought that this would be considered Rebating but I'm new to insurance so I don't know really. I'm not getting involved I'm just wondering how they are doing this?
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