Thursday, 13 November 2008

Kudos to Sikkim police for public alert against Amway

Congratulations Sikkim police!

The senior superintendent of police of the crime branch CID of Sikkim State police department issued a public alert notice warning the people against joining in the nefarious activities of Amway India Enterprises Ltd which is brazenly involved in the money circulation scheme in the guise of product sales. Here is the full text of the notice for public consumption.
R.O. NO. 735/IPR/PUB/07-08 (I) Dt. 4/2/08.

Crime Branch
State Police Headquarter Department
Gangtok


NOTICE

It is notified for the information of the public in general that the Amway India Enterprises started their business operation in India in May, 1998. It deals with various consumer goods like tooth paste, soaps and other products like Nutralites etc. These products are camouflaged to cover up their money circulation schemes. This company is into the recruitment of members and the sale of products is only incidental to the main activity of recruitment and payment of commission. Through a promise of quick and easy money this company has succeeded in duping the gullible public in India. The activities of this company are akin to money circulation schemes, which in India are expressly banned under the Prize Chits and Money Circulation Schemes (Banning) Act, 1978.
In the year 2006, a case was registered against Amway and its distributors by CID/Andhra Pradesh on a specific complaint on 24/09/06 vide Crl. Case No. 10/2006 U/S 385/420 IPC and Section 4, 5 & 6 of the Prize Chits and Money Circulation Schemes (Banning) Act, 1978.
The Division Bench of High Court of Andhra Pradesh vide order dated 19/07/2007, delivered a landmark and path breaking judgment holding that the scheme of Amway India Enterprises is nothing but money circulation scheme. Later, Amway challenged the High Court order through Special Leave Petition in the Apex Court of India, which was dismissed on 14/08/2007 by the Supreme Court.
As discovered by CID, E.O.W. Andhra Pradesh Amway India Enterprises is a founder member of Indian direct selling association (IDSA) which is an association of different companies having similar modus operandi purportedly multilevel marketing just as the Amway Scheme. All these companies viz. Avon Beauty Products, Tupperware, Modicare, Oriflame India etc. including Amway India Enterprises are carrying on the business thereby violating the provision of Section 2(C) of Prize Chits and Money Circulation Scheme (Banning) Act, 1978. This view was endorsed by the Apex Court in dismissing against Amway special leave petition.
Thus, the business being carried out and carried on by the above companies by misleading/misguiding the innocent people have appeared to be illegal in the eyes of the law of the land and hence adequate publicity is given to the public in General for their awareness.

Sr. Superintendent of Police
Crime Branch, CID,
Gangtok.
R.O. NO. 729/IPR/PUB/07-08(III) Dt. 5/2/08

2 comments:

quixtarisacult said...

Shyam

Your blog does not go unnoticed by me. If I can assist you in any way, please send me an email. I have several blogs critical of the MLM industry, scams and the like, but more specifically Amway. You are welocome to visit by clicking here.

I am providing my email because I'd like to chat privately if that is possible. Do you speak and write in English? My questions involve translation software and methodology.

quixtarisacult@gmail.com

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