As they call it, "That crazy wrap thing," is just that, a crazy and silly thing to do; wrap your body in some sort of Saran wrap and expect to lose inches and "tone" the body. The fat will not just disappear into thin air, it will be pressed deeper into the tissues. Any time fat is pressed the adipose tissue moves around,i.e. just moves elsewhere in your body. What does work; exercise and at the very least eating healthier. Nothing can replace a bad diet, you can't even out-exercise it. Abs are not trained or built by being wrapped and pressed down. Cellulite is adipose tissue(fat), and the cells have to be reduced in size. Remember "toned" is fat loss and muscle gain.
ARE THEY LYING AND STEALING MONEY?
No, because you give them your money voluntarily. Just like every get-skinny-quick supplement, it's not strictly regulated. What they are right in, just about the only thing, is that they recommend drinking lots of water. Go figure, drink water and lose weight! You can literally do no exercise and change your dietary intake and see changes, without any sweat or uncomfortable body patches/Saran wrap. Couple that with exercise and you're on to something!
Basically, save your money and invest it into yourself. Buy better quality foods, pay for a gym membership, maybe even hire a certified personal trainer. Do not fall for the fake lose inches without any effort schemes out there. Anything that comes quick and easy isn't usually worth it, including ITWORKS.