Friday, 18 February 2011

Authorities close stable only after horse escaped

One of our Readers, Gorzi, wants to know if Speak Asia Online company is fraud why Government and other authorities are not taking any action till now. Already 5 Lakh (Five hundred thousand) people in India joined the company and many more are joining daily.
I hope in 5 lakh Indians( who already joined) there must be people from all walks of life. Are they all fools?
Will action be taken only after company ran away. RBI has the knowledge about the company that millions of money is transfered to India by them every week. WHy they are allowing?

Gorzi, just read the comment by the Madras High Court while holding Apple FMCG guilty of violating law.
"It is true that several companies including Multinational Companies carry on the business of multilevel marketing and it is also true that the executive and the law enforcing authorities keep a blind eye on such activities. This also does not make an illegal act legal. It is always a fact that the law enforcing authority would try to close the stable only after the horse escaped. That is, the law enforcing authority would realize that this scheme would ultimate leave a large number of persons cheated. Thereafter, after losing their money, they would approach the executive complaining that they were cheated. Till such time, the law enforcing authorities do not act. They do not take preventive action to enforce the provisions of the existing law." (Madras High Court in Apple FMCG Vs. Govt of India, State Govt of Tamilnadu. 07-01-2005)
This is the comment by the Madras High Court. This is what is happening still all over country and all over world too. Just go through the blog you would find plenty of examples.

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