#Amway #TamilNadu #Sales #DirectSelling #MLM
NEW DELHI: Direct selling company Amway, which is aiming Rs 6,000 crore turnover by 2020, today said it expects its e-commerce platform to contribute half of its sales in the future. (more…)
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New Zealand national, three associates arrested in fraud case
#MLMNews #NetworkMmarketingFraud #MohammedKhurram #KiranModi #HiteshModi
The Central Crime Branch (CCB) sleuths busted a network marketing fraud with the arrest of four persons including a 52-year-old woman from New Zealand for allegedly duping people on the pretext of offering them memberships in a networking company.
Based on a tip-off, a team of sleuths approached the company executives holding a seminar at Hotel Capitol on Rajbhavan Road and arrested the accused.
The accused have been identified as Denise, a New Zealand national who heads the fraud company and her associates Mohammed Khurram (44), Kiran Modi (39) and Hitesh Modi (42) from Bengaluru.
Joint Commissioner of Police, Hemanth Nimbalkar who led the raid, said that the company under the banner “YOBSN SOCIAL MEDIA NETWORK MLM” was being run through a website www.socialmediatechnologies.com. The accused conducted seminars and power point presentations across the country to lure people by offering them money in US dollars.
Police said that anyone could become a member of the network by paying Rs. 8,000 to Rs. 25,000 according to their capacity following which the member will have to introduce two persons (Left & Right member) to invest. The member gets a 25 per cent bonus as commission.
CCB investigated the documents available with the accused persons and found that the accused Denise had introduced more than 31,000 members from across the globe and had collected Rs. 50 crore worth enrolment fee.
Denise’s members included 2,000 from US, 1,700 from India, 28,000 from Malaysia, 500 from New Zealand, 200 from Dubai, and 100 from Pakistan. Her members in India include 300 from Karnataka, 800 from Maharashtra, 100 from Delhi, 100 from Punjab, 300 from MP, 100 from Hyderabad.
Mohammed Khurram also has 2,000 members in his tree and claims to have received $10,000 as commission.
The CCB has filed an FIR against the accused in Cubbon Park Police station and booked them under section 3, 4, 5 of Prize Chits and Money Circulation Scheme (ban) Act and section 420 IPC.
Mr. Nimbalkar said that action would be initiated against the hotel for not informing about the event to the police which amounts to abetting the accused.
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Ministry to clear regulatory grey areas on direct selling, e-commerce
#DirectSelling#MLMNews #IDSA #MLMLawThe Consumer Affairs Ministry is working out a proposal to iron out regulatory ambiguities surrounding direct selling and e-commerce that treat them on a par with money-making deposit schemes.Committee agenda
While a committee comprising representatives from the Government departments concerned will meet to deliberate over direct selling norms on December 8, a proposal framed through joint consultation with other departments will be sent to the Cabinet Secretariat in a few days, an official source toldBusinessLine on Wednesday.
Direct sellers under the Indian Direct Selling Association (IDSA) registered a turnover of over ₹7,400 crore in 2013-14, and have raised concerns over ‘murky’ government regulation, citing the inapplicability of the Prize Chits and Money Circulation Schemes (Banning) Act (1978) which, they say, does not distinguish between direct selling companies, such as Amway and Tupperware, and those engaging in investment-related frauds or Ponzi schemes.
“The meeting will define what no-strings-attached direct selling that does not involve financial transactions, as in a business relationship, actually is and the scale of activity. Legitimate models, that are not money-making schemes, will be regulated under the Consumer Protection Act (1986),” said an official.
The consensus at the Ministry’s meeting with officials from the Department of Financial Services (DFS) earlier was that the ‘Amway model’ was not a simple buyer-seller transaction, such as other door-to-door sales or e-commerce purchases. The DFS will also participate in the committee meeting.
Fastest growing market
“The model is different since one must buy the products from a company and sell these to consumers as an agent. A commission is paid on the basis of performance. There’s a difference between buying from a seller and ending a transaction and becoming an agent for a large company. It ceases to be a consumer issue since it’s a business relationship. Such players must consult the DFS,” he explained.
He added that the Ministry will only examine the necessity of regulation where buyers and sellers interact without an intermediary.
Following Junior Consumer Affairs Minister Raosaheb Patil Danve’s statement that e-commerce companies will be covered under the Consumer Protection Act, the Ministry proposal will seek delegation of regulatory responsibility of the online sales space to a specific department.
“We will undertake it if we are directed to. There is a grey area at present about who in the Government is responsible for e-commerce regulation. It’s not just us, the Department of Industrial Promotion and Policy (DIPP) and Information Technology Department (DoIT), for instance, have serious things to say,” said the official. Representatives from the Ministries of Commerce and Micro Small and Medium Enterprises will also participate in framing the proposal.
It is also believed that no new regulatory mechanism may be recommended from the consumer protection viewpoint if it is found that cases can be tackled through consumer forums.
According to a Nomura report published in July, the domestic e-commerce market, among the fastest growing in the Asia-Pacific region, is likely to be worth $43 billion by 2019.
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Adooye.com Scam Could be of 600 crore, cheated 2 lakh investors
Adooye.com scam was reported by NetworkingEye.com in the month of June.
Now the Bangalore police is investigating Adooye.com, when people ,who invested with Adooye stopped receiving commission from the company.
The scam could be of 600 crore and at least 2 lakh investors have invested in Adooye.com from all over India.
Online company, Adooye.com collected money from people and also guaranteed them high returns by paying them to clicking advertisements, shut online site silently and left over 2 lakh signed up investors in the lurch. (more…)
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Rep of Public Relations firm summoned in alleged QNet Scam
Economic Offences Wing (EOW) Of The Mumbai Police summoned the rep of a Public Relations firm, who is handling the account of QNet in India. At the same time, EOW authorities have also written to the banks that under section 91 and 102 of CrPC and Section 4 of the Bankers Books Evidence Act, 189, to freeze the PR company’s bank account.
Rajvardhan Sinha, additional commissioner said, “We suspect the money used to pay the PR firm was earned by QNet through the proceeds of crime. Till date, 10 people have been arrested in this case,”.
The cops also stated they will also summon various other Public Relations firms who did PR job for QNet in the past.
According to Mumbai Police, the Public Relations firm PR company had actually become part of an agreement with QNet in January to act as a coordinator between the media as well as the advertising company.
“We have asked the PR firm to furnish the contract copy, details of QNet officials who had approached it and bank payment details,” said an officer. But, the officer added, the EOW is not satisfied and has summoned the representative again.
The alleged Qnet scam is said to be of Rs 425 crore in India.
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Stemtech International Named to 2014 Inc. 500/5000 List for Third Time
Stemtech International, Inc., a leader in the field of stem cell nutrition, announced today that for the third time in five years, it has been named to Inc. Magazine’s 33rd Annual Inc. 500/5000 list. Inc. Magazine’s prestigious list recognizes the success and future potential of the fastest-growing, privately held companies in the country.
This recognition again confirms the worldwide demand for the new dietary supplement category we pioneered 9 years ago. It also accents the tremendous opportunity for our Independent Business Partners, as we continue to expand our presence around the globe. –Ray Carter
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EOW Special Investigative Team to Probe QNet Case
To give pace to the alleged 425 crore Qnet scam, the Economic Offences Wing (EOW) of Mumbai Police has set up a Special Investigation Team.The EOW is additionally checking out strict lawful options, which will make it mandatory for the suspects concealing abroad to show up before investigators in Mumbai, authorities claimed. (more…)
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Amway India Launches New Range Of Hair Care
Amway products are trusted and used by people all over the world. Day by day Amway increases its product by adding new flavor of beauty care, hair care and hair styling products .There are various hair product produced by Amway but seeing the present scenario Amway has expanded its hair care and hair styling products under the brand Satinique.The poster and covers of products has come up with new looks, illustrations and info-graphics. The products also consists of nutrients and botanicals which act as a key booster in repairing our hairs.
Re-launch of products in new form are as follows-:
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Qnet Scam: Michael Ferreira’s ex-daughter-in-law arrested
Michael Ferreira, who is already facing questions for his involvement in the alleged Qnet scam, now his ex-daughter-in-law got arrested by Mumbai EOW on friday.
The Economic Offences Wing (EOW) of Mumbai Police on Friday arrested Susan Nikhil Chatterjee. The police said that she along with her ex-husband, Mark Ferreira played an important in encouraging gullible people to invest in Qnet mlm scam. (more…)
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The Indian Direct Selling Association – IDSA
The Indian Direct Selling Association (IDSA), a body that governs 18 of the largest direct selling companies in India. Right now there is no law on mlm in India. Due to the absence of proper law to understand MLM, lot of direct sales companies are facing problems. IDSA wanted the government to enact a law to prevent ponzi MLM/Direct Sales/Network Marketing companies from taking gullible people for a ride .
IDSA is an Amway‘s initiative and it is an autonomous, self regulatory body for the direct selling industry in India. The Association acts as an interface between the industry and policy – making bodies of the direct selling industry in India.
Guidelines For The MLM Companies:
Here are few IDSA guidelines for Direct Selling Company-:
- The code contains sections entitled “Conduct for the Protection of Consumers”. ”Conduct between companies and Direct Sellers” and Conduct between Companies”. These three sections addresses the varying interactions across the spectrum of direct sales .The code is design to assist the satisfaction and protection of consumers, promote fair competition within the framework of free enterprises and enhance the public image of Direct Selling.
- This Code covers all of Indian Direct Selling Association (IDSA) members, their staff, contractors, distributors, agents and independent sales consultant /Direct Sellers, including full and associate members while engaged Direct Selling, for the sale of either products or services.
- A member of IDSA may terminate their and their obligations to adhere to the code by resigning formally from the IDSA giving fourteen days’ notice. This however does not negate the obligation by the members to fulfill obligations incurred during the period of their membership.
- Obligations to comply with the code shall not cease until the last obligations to do anything required by the code has been performed.
- Companies and Direct Sellers shall accomplish consumer order in a timely manner.
- Companies shall provide their Direct Sellers a 30 days of cooling period which will entitle her/him to refund of any entry fee paid upon his resigning and returning all material’s received by him at the end of joining.
- All companies are required to publicize IDSA‘s Code of Ethics to their Direct Sellers and consumers.
Indian Direct Selling Association (IDSA) Company List:
- Amway India Enterprises( Head Office: Noida, UP) : “Best To Believe” means the company that can fulfill each and every needs and can stand well on the customers requirement.Amway can be compared to a tree with several parts, each playing a vital and healthy role.Amway is actively present in the formation of cosmetic to home-care products.
- Tupperware : Tupperware has made a pavement between people and profession. It’s a company which manufactures and sell product like bottles ,tiffin’s ,bags, kitchen product etc. and also keeps in mind need of all ages.
- Avon : Avon is one of the most renowned company of beauty products in India.Beauty signifies women but Avon is also taking its step towards e-products which can be used by children and men also.For example – launch of bicycles.
- Tianjin Tianshi India Pvt. Ltd. : Tianjin is leading companies of IDSA .It provides healthy food supplements and also helps in development of an eco-friendly environment.
- Oriflame : Oriflame always tries to make a” Flame of Innovation” by distributing skin care products and other electronic things for both men and women.
- Hindustan Unilever Network : Hindustan Unilever Network has covered more than 75% of today’s daily need products either soaps or shampoo & others.Its branch are widely spreaded in each and every product.
- C.N.I Enterprises Pvt. Ltd. : C.N.I is a company with homogenous mixture of different products. The growth of company encourages the power of achievement.
- A.M.C Cookware Pvt. Ltd. : Only beauty products cannot lead the companies to a higher level and this is proved by A.M.C cookware .The company focuses its attention on the growth kitchen appliances which shows a different sign of innovation.
- Altos Enterprises Ltd. : Acne, pimples, wrinkles are major problem faced by today’s generation. So, Altos gives the best products to its customers by seeking nature’s best source.
- 4Life Trading India Ltd. : The thought of the company is to give benefits of healthy life with a healthy income.
- Jafra Ruchi Cosmetics India Pvt. Ltd. : The company aired in 1956 bringing new ideas to India concerning about finance and products. It also tried to bring enhancement in the field of beauty products by giving windows to girls in the world.
- Herbalife International India Pvt. Ltd. : The term’ Herbal’ means natural medicinal herbs .The company tries to bring use of natural as well as nutritional and healthy products to people’s lives, though serving the motto of ‘Seed To Feed’.
- Elken International India Pvt. Ltd. : Under ISO 9001 Certified company has a cycle chart of T3-Trusted To Care ,Trusted To Nurture ,Trusted To Lead.
- Modi Care Ltd. : Modi care is one of the oldest Indian MLM Company and it is also the most renowned company in IDSA. The company not only deals with home or cosmetics care products but also focuses upon agricultural products by providing good fertilizers which helps to bring healthy nutrition .
- Max Life Insurance Co.Ltd. : It is a private sector company which aids financial service to its customers.Being on top 4th position among private insurers it offers protection to 30 lakhs customers.
- K-Link Health Care Pvt. Ltd. : K-LINK creates a link between customers and shareholders ,shareholders and staffs, staffs and distributors. The company also tries to create awareness in the society.
- Glaze Trading India Ltd. : The company stands for “For You Forever”. The Glaze Trading has made a reputed position in last 10 years by dealing with handful of cosmetic ,home ,dental and skin care.
- Daeshan Trading Pvt. Ltd. : The company says the people to enjoy their life with wholesome of nutrition and healthy life by creating financial stability.
More you can read here: http://www.idsa.co.in/members.html
Indian Direct Selling Association Membership:
Several companies can get membership in IDSA on the following basis-:
- The methods of operations are fair and comply with the Model Code of Ethics and all relevant Indian legislation.
- The company and its promoters should be sound financial standing .The Company must sign to abide by the Model Code Of Ethics.
- The company should submit all the fees required by the Association.
- The company must submit all required documents for scrutiny along with completed application form.
- Company shall not use misleading, deceptive, or unfair recruiting practices in their interactions with prospective or direct sales.
- All financial due shall be paid and any withholdings should be made in the commercial manner.
Challenges faced by Indian Direct Selling Association:
Indian Direct Selling Association catalyses’ change by working closely with government on policy issues, enhancing, efficiency and ushering in desired credibility, clarity & confidence in Direct Selling.
IDSA strives to create and further an environment conducive to the growth of Direct Selling industry in India, partnering industry and government alike through advisory and consultative activities. There are few issues faced by IDSA.
Challenges Suggestions High incidence of fraudulent companies Stricter registration policy by Government Absence of regulatory law/guidelines Implementation of a single standard workable policy Lack of training and orientation for leaders Increase the number of leadership trainings Low environmental clearances, political risk, Implementation of a single standard workable policy and poor logistics and distribution channels Poor leader motivation Income enhancement Contagion effect of fraud companies on the Implementation of a single standard workable policy reputation of legitimate companies Attrition Increase the number of trainings provided Harassment by authorities Implementation of a single standard workable policy Compliance of special guidelines for MLM Review the guidelines in terms of international MLM business issued by Kerala State government model and practices.