MLM News

Tag: mlm scam

  • QNet seeking court intervention to challenge the ban

    QNet seeking court intervention to challenge the ban

    QNet franchise moves court against ban #QNet #CafeCoffeeDay #VihaanDirectSelling #MLMScam

    Almost 2 months after the Mumbai authorities ordered cafe Cafe Coffee Day (CCD) to close doors to representatives of Hong Kong-based MLM  company QNet. Now one of its franchises has actually challenged the restriction in the Karnataka high court.

    Vihaan Direct Selling (India) Pvt Ltd has moved the Karnataka high court challenging the ban imposed by the Mumbai police,” special prosecutor Pradeep Gharat said. Vihaan, in its petition, has said their legal and constitutional rights were violated because of the ban. “We will be filing a detailed reply in the Karnataka high court stating that the Mumbai police has not restricted any individual from entering the coffee shop. However, the ban is only for taking part in business activities and indulging in any further criminal activities,” said Mr Gharat.

    (more…)

  • New Zealand national, three associates arrested in fraud case

    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.

    – the hindu

  • More complaints pilling against shopcard.biz

    More complaints pilling against shopcard.biz

    The number of complaints against the fake online shopcard.biz company is increasing day by day. More people who have lost their income and have deposited capitals are showing their rage against the fraud business prototype. Numerous complaints against B Kumar Soni, Marketing And Sales Head, shopcard.biz  have been registered.

    shopcard.biz was basically dealing with the investment plans with online shopping portal like Flipkart, Amazon, Mobile & DTH recharge, LIC premium payment and big bazaar vouchers.

    From the recent information it shows a good number of innocent people have been mugged by the professional cons. One of the victims Naushad Alam from Bihar has delivered some helpful details regarding this company’s policy and money schemes. The victim said, “They have lost all their savings because of the investment in this fraud firm. The day they went to receive their interest and money back, they found no trace of the company, company’s officials, company’s website or any information about it”. Naushad, has also shared information about the other known person’s who lost their investment and are hoping for a return. Currently there is no hope but only a hard lesson for the victims.

    • Naushad Alam ,9934921695, Vill-Bangra Post-Raside Pur Chapra(Saran), Bihar
    • Manish Sheth 9823411421, Mumbai, Mahanrastra
    • Narayan Mistry 9702406555, Mumbai, Maharastra
    • Sudhakar Kunar , 9925839665, Bhagwan Bazar Chapra
    • Krunal dudani 09638486496, Nr. Post office, To. Moviya,Ta. Gondal Dist. Rajkot State. Gujarat
    • Prashant singh 09810746744, 48D/1 Swinheo lane. Kolkata
    • Yogesh Chaudhury +91 96 81 073881, 48F Swinheo Lane, Kolkata-700042
    • Sanjay Kumar, 9136394742, Delhi

  • Hope Entrepreneurs Under Suspicion for Running Pyramid Scheme

    Hope Entrepreneurs Under Suspicion for Running Pyramid Scheme

    Well-known MLM leader Mehdi Rizvi has claimed that Hope Entrepreneurs Pvt Ltd have been running a hidden pyramid scheme. According to Rizvi the Hope group have been manipulating and luring people for profits in the name of multi-level marketing.

    Rizvi also mentioned in his information for his followers to not use this company’s plan as later it may result hazardous. The chief operators of the company according to Rizvi are Darshan Somaiya and Shahnawaz Sumrani. They claim for Hope group to be a multi national company but till now there has not been any trace of the group outside India.

    Rizvi stated there is more nuisances running inside the company that haven’t been discovered yet but soon it will be all visible.

    Below are some complaints registered against the Hope group which have been viewed.

    Hope Entrepreneurs are disguising pyramid schemes in the face of MLM. I have been through this company and it’s being functioned by Darshan Somaiya and Shahnawaz Sumrani. – Mehdi Rizvi

    “The operators have been declaring for this company to be an MNC whereas I couldn’t a single existence of the group apart from India. The products are absolutely not worth buying for Rs 5,959. The DVDs quality consists wrong pronunciation and are certainly irritating.”

    “After trying to get in touch with the company I only found no good reasons and to visit the office which is far away. There was no response when asked for the information. “

    “My personal experience was really bad with this company and I would request from investors to not get involve in this group’s plan. I have necessary proofs for helping in the investigation.

    Company is totally fake and irresponsible as the spelling of the company is different on their smart card. I expect to return the product and receive my money.”

    (Sources: personal experience)

     

     

     

     

  • Serious Fraud Investigation Office Suggests body to control fake chit funds along with MLM Companies

    Chit Funds

    NEW DELHI: The Serious Fraud Investigation Office (SFIO) has strongly suggested establishing a body within the Central government to determine scams via chit funds and multi-level marketing business.

    A document put together by SFIO suggests the Centre should really keep an eye on virtually all multi-level marketing (MLM) plans via the administration directorate as well as the intelligence agency to assist supervise guidelines of laws and regulations throughout states.

    “Bringing the scenarios within the Centre’s ambit is actually important as many schemes being operate with the direct or indirect assistance of local authorities is not unheard of,” an SFIO official said on condition of anonymity.

    Nevertheless, he stated the actual execution need to be the states’ subject, as Multilevel marketing programs tend to be primarily established in rural locations as well as their models differ from area to area.

    The SFIO report states virtually all networking companies, under which the majority of MLMs operate should be registered with the central authority in order to help make it quick to recognize firms operating this kind of plans.

    “The problem is actually that of signalling. As soon as the states alongside with the Centre begin taking more substantial actions, the acceptance of this kind of schemes will certainly tumble,” said another official.

    The ministry of corporate affairs is presently working hard along with the Reserve Bank of India to enhance the regulations governing Network marketing business organizations.

    The SFIO is also probing Gold Quest, a Tamil Nadu-based firm operating a chit fund worth Rs 1,000 crore.

    Chit Funds

  • Now Submit Your MLM Complaint

    Now file your MLM complaint online. Due to the loop holes in the law every day gullible people are getting cheated by fraud network marketing companies all over India. These frauds are done in various ways, like by offering monthly high returns in cash, gold, surveys but when these network marketing companies vanish out of thin air, people have no where to get justice.

    People who are doing MLM (Network Marketing), need external assistance from time to time but the irony is that there is no mechanism to safe guard their interest. There is no proper way to complaint either to the government agencies like police or Economic offence wing of respective states.

    From past few years, frauds in MLM have increased many folds. Actions on such frauds have always been late and it never delivers any result in time.

    After looking at this important issue we have launched a forum where you can file you complaint. There you can submit your compliant in detail. Issues such as related to payouts, wrong info about products and services offered by the company etc..

    You just have to register yourself with the forum which does not take time and submit you complaint. Do submit your complaint in detail and we will do our best to get the results from the concern company.

    If you have faced any such issue, you click here and submit your complaint.  www.MLMComplaints.In

     

     

  • Government asked, CBI to look into the operations of MLM companies

    It is quite likely that soon there will be a strict regulation on Network Marketing in India. From past few years people have lost money to the tune of hundreds of crores in ponzi schemes. Now Consumer Affair Ministry has asked Central Bureau of Investigation (CBI) to look into the operations of MLM companies. (more…)

  • Star News – Speak Asia Online News report, Legitimate or a Scam?

    Star News – Speak Asia Online News report, Legitimate or a Scam.

     

    In India we cannot call a concept a scam unless it happens and when a scam happens, no body is there to help. From past two months, most media organizations have covered news reports on Speak Asia Online and most say that it is going to be the next MLM scam, to name few, UniPay2, Stock Guru India, etc,
    (more…)

  • Why do People Fall into the Scam Trap

    Have you ever asked yourself that why do people fall into MLM scams? there could be many reasons. First, temptation of earning quick money, uneducated person, the lie is so big that we do not want to seek the truth.  In my earlier article ( Ask Powerful Questions), we must know our action. If actions taken in advance with some powerful question, you will be more aware about the company. It will help you answer new prospective. The more knowledgeable, better judgement.

    If you are planning to invest then read below, it will help in understanding the company.

    Do share your thoughts on this topic.

     

     

    To Your Success in Business & Health in Life,

     Ak Sharma
    Editor,
    You can reach me at [email protected] or connect with me on Facebook

  • Woman dupes 28,000 citizens at VADODARA, flees with 2.13 crore

    A news has come from Vadodara, this time, the scam is of Rs.2.13 crores. 28,000 people has been duped in Vadodara. This time scam was done daily house hold items like, oil, rice and dal. All this was done under multi-level marketing (MLM), where agents were paid commission for bringing customers. Police have registered a case of cheating against Najma and her children Taijam Pathan and Lubna Pathan. The victims alleged that Sayajigunj police initially refused to help them and lodge a complaint against Najma.

    Complete report:-