Wednesday, 23 September 2009

How to lure the gullible to become members of Amway

This is the part of the complaint filed by a complainant in the infamous Amway India criminal case which convinced the Andhra Pradesh High Court that the business model of Amway India is illegal. See for yourself. This is also part of the High Court judgement.
For the sake of convenient reference, the complaint of Mr. A.V.S. Satyanarayana is reproduced below:
“One of the schemes which involves enrolment of further members is called as 9-6-3. Under this scheme, I have to enroll 9 members first and then those members will enroll 6 members each and further each such person will enroll three members. Thus under me there will be 225 members and from whose sales, I was told that I will be earning lakhs & lakhs of rupees without doing anything. They also further told that if I enroll 2 members per month then at the end of 9 months, there will be 512 persons under me and I will be getting 10,000 PV (4,00,000 BV) and it is also called as 1 leg which is 21%. Thus the scheme I felt was nothing but a chain, where each one were asked to enroll further. Total Chain will become as follows: 9+54+162+me = 226."
It is further stated in the complaint:
“ The Amway India Enterprises is luring the public including me to introduce new distributors by showing the bait in the name of commission on sale of products to make quick money. The Amway India Enterprises is instigating the distributors like Padmavathi and Ramu to join the new distributors to sell the products in a large way, which is causing mental agony. It is nothing but money circulation which is illegal and also cheated me on the premise that they will return the money and commission according to company Multi-level Scheme (pyramid). I came to know that Amway India Enterprises, Hyderabad opened its branches all over Andhra Pradesh and exploiting youth like me and their families for their further gains.”


dtytrivedi said...

you know mr shyam there are many issues when the complain lodged by the person is often baseless.

look at our system that whatever is said is blind foldedly believed also.

And Amway is one of the case.

I have the proof, first of all this guy don't know the plan.

let me explain u from the grassroot level in short. preveiously amway india was having 9-6-3 sales and marketing plan now it has changed to 6-4-3.

Now many people who hate amway like this guy they often miss the point what it is.

Amway has never never never said that u have to enrol members in this way. Amway is not also forcing people enrol people. (that u won't understand because i am defending amway).

Sales and marketing plan is made for the sake of understanding that how network marketing works.

And yeah it is not enroling members which will make u earn money it is ultimately ur business turnover in each month will make u money. Pls i request u to look again the sales and marketing plan.

I have seen that in 9 out of 10 cases u just bluntly believe (without any personal investigation) what the complainant are saying is true.

Did u know why this Mr. A.V.S. Satyanarayana was accusing amway (i know that in that u are least interested).

Satyanarayana was settling personal scores with his wife, an Amway distributor, Lakshmi, who had earlier filed a dowry harassment case against him for which he was jailed!!!

Satyaranayana was only taking revenge on his wife and concocted a complaint against his wife's colleagues — other Amway distributors including her sister and brother-in-law that they were forcing him to get people for dealership. Satyaranaraya is not a distributor so no one can force him to do anything.

As the police were already investigating the activities of some other multilevel marketing companies, they just pounced on the complaint. No official of Amway has been named in the FIR.

If u want the proof let me know.

But i know u believe in opinions of people and not the press as they are theives according to u.

Shyam pls let me know in case if u want such baseless complainants i have plenty of those, it will be good stuff for ur blog.

I suggest u to go through pyramid scheme alert website. (As u have habit to posting the negative stuffs about amway regardless of its authenticity) u will find plenty of those and yeah also i will tell MR Dahiya patel, he is also anti-amway he will also give u such stuffs. Needless to say that he was helpful to u in posting to posts and the recent one was regarding herbalife evidence (which indirectly went against u).

Legal Scan said...

I congratulate Mr.syam for your efforts to expose the Money Circulation Schemes being promoted in the guise of Multi-Level Marketing.
Let me clarify the expression raised by Mr.trivedi. It appears that he is one of the writ petitioner on behalf of Amway in High Court of A.P.
Mr.Trivedi you first get out of the cult of the Amway. You first understand the concept of 9-6-3 or 6-4-3 scheme. The first person has to sponsor or enroll some persons and again these persons have to bring some more persons and this activity will keep on go endlessly. In this process the first person will get commissions for sponsoring persons by his personal efforts, here there may be no illegal as it happens in traditional market also. The person who is on the 100th level will get commissions based on the sponsoring activity of the least level person is nothing but easy money based on the enrolment of members.
As you know, if you sponsor one person then all the upline persons will get 40 to 50 PVs. Can you say that this PVs are for personal sales and is not easy money?
The promoters of Amway also pretty well know that theirs is an illegal scheme, you get be clear about it.
Coming to naming of officials in the FIR, Sec.6 of the Prize Chits and Money Circulation Schemes (Banning) Act, 1978 clearly says that company includes secretaries, directors, CEOs, all the staff are held responsible. But due to influence of Amway, the CID became helpless after transfer of previous SP V.C.Sajjanar, IPS. It is an open secret that Amway is using its influence not to post SP Sajjanar in the CID again. Let it be clarified first from the Amway people.

dtytrivedi said...

hello guys, are u all mad or wat, this sales and marketing is made for the sake of simplicity. Ok if it is so I challenege u both to show a single person who has this business structure in amway. Thats my challenge

Shyam Sundar said...

As per the Affidavit filed by Amway India in the Andhra Pradesh High Court, Raja Naren is the person who earned a lot of commission without selling any products. You can see for yourself.