Sunday, 11 December 2011

Kerala High Court dismisses writ petition filed by RMP Infotec


IN THE HIGH COURT OF KERALA AT ERNAKULAM

WP(C).No. 18975 of 2011(V)


1. RMP INFOTEC PRIVATE LIMITED,                                    ...  Petitioner

Vs



1. THE DIRECTOR GENERAL OF POLICE AND                                    ...       Respondent

2. ADGP (CRIMES),

3. SUPERINTENDENT OF POLICE

4. SUPERINTENDENT OF POLICE,

5. SUPERINTENDENT OF POLICE

6. SUPERINTENDENT OF POLICE,

7. SUPERINTENDENT OF POLICE,

8. THE COMMISSIONER OF POLICE,

9. THE COMMISSIONER OF POLICE,

10. THE COMMISSIONER OF POLICE,

11. THE COMMISSIONER OF POLICE,


                For Petitioner  :SRI.K.T.SHYAMKUMAR

                For Respondent  :ADDL.ADVOCATE GENERAL

The Hon'ble MR. Justice PIUS C.KURIAKOSE
The Hon'ble MR. Justice C.K.ABDUL REHIM

 Dated :25/07/2011

 O R D E R

PIUS C.KURIAKOSE & C.K.ABDUL REHIM,JJ.
-------------------------------
WP(C).NO. 18975 of 2011
---------------------------------
Dated this the 25th        day of July, 2011

JUDGMENT
Abdul Rehim,J.


      The petitioner is a Private Limited Company incorporated under the Indian Companies Act having its registered office at Chennai.    Petitioner is engaged in multi-level marketing of various products like laptops, solar lamps, water purifiers etc.  For implementation of the multi-level marketing, the company has devised a network marketing concept in which the consumers are approached through a network system of customers.    The products are introduced to the consumers through the customers and the consumers, after buying the products, will   become customers and will start introducing further consumers who in turn will become customers again. On the basis of enrolling of new customers and by widening the network, the existing customers can earn more and more income. 
     2.   The petitioner company has got franchisee offices in Thiruvananthapuram, Cochin, Thrissur and Calicut. It is stated that all the transactions are conducted on payment of tax and duties payable to the State Government and the petitioner company is regularly paying Income Tax due to the Central Government. It is further stated that the petitioner company has done large volume of business by purchasing goods from very reputed manufacturers. 
       3. Grievance voiced is that, as part of investigation started to curb, 'money chain' business transactions in the State, the police authorities have closed down the franchisee offices of the petitioner and they have taken away the keys of such offices. It is complained that the keys taken into custody were not even produced before the Magistrate Courts having jurisdiction at the respective places.   The police are not even giving any proper explanation regarding the forceful closing of the offices and in preventing the petitioner's activities which according to the petitioner was   conducted in a perfectly lawful manner.  It is alleged that the search and seizure was conducted without getting any orders from the Magistrate Courts and that not even a proper mahazar or search list have been prepared with respect to the articles seized from the offices. The key of the business   premises were taken away in clear violation of the procedure   contemplated under the Code of Civil Procedure, is the allegation.    It is further alleged that the police is illegally refraining the petitioner company from continuing its business.
       4. It is stated in the writ petition that some persons have lodged     complaints against the petitioner company, due to compulsion and threat from the side of the police authorities.  Several such persons have later approached the petitioner and offered to withdraw such complaints.  But since the police authorities are threatening them with dire consequences, the complaints are not withdrawn. Under the above mentioned circumstances the writ petition is filed seeking direction to refrain the respondents from causing any sort of harassment to the petitioner in the functioning of its franchisee offices and to its distributors.    Petitioner inter alia seeks direction against the respondents to refrain from coercing or compelling the individual distributors to lodge complaints against the petitioner and also  to refrain from preventing the existing complaints being  withdrawn. 
       5. We heard Sri. K.A.Jaleel, learned Additional Advocate General. It is submitted that, under the guise of the multi level marketing of products, the petitioner is promoting money circulation, which is banned under the Prize Chits and Money Circulation Schemes (Banning) Act, 1978. It is submitted that, with respect to the petitioner company as well as other companies engaged in similar line of activities, various complaints were received from different Districts and so many cases have been registered in various police stations.  The Additional Advocate General highlighted that the business of these companies and other establishments are concentrated on innocent and illiterate   villagers who are more vulnerable to cheating.     It is stated that the activities conducted by the petitioner company will constitute offences punishable under sections 3,4,5 and 6 of the   above said Act, apart from offences  punishable under sections 405 and 420 of the IPC. It is further stated that very huge amounts have already been collected through such illegal activities by the promoter and other companies from innocent public. It is submitted that the State  Government have constituted a 'special investigation team'  headed by the Additional Director General of Police (Crimes) to  investigate into all the cases registered against such companies and persons conducting business activity of the like nature, under  the guise of multi level marketing .
      6. However, learned Addl. Advocate General conceded that  if commission of any cognizable offence is detected with respect  to the petitioner company, the police will take action for arrest of  any of its officials or customers only after due compliance of the  provisions contained in section 41A to section 41D of the Cr.P.C.  Further it is also assured that if presence of any of the officials of the company is required in connection with investigation into the cases already registered or which will be registered later, then due notice as contemplated under the provisions of Cr.P.C will be issued. The relief sought for with respect to permitting the  business activity being conducted or with respect to handing over  of key to the franchisee offices could not be allowed, because the  petitioner could not be permitted to perpetrate the alleged  business activity which will amount to violation of the provisions  contained in the Act, is the submission. 
      7. Having considered the rival contentions we are of the opinion that none of the reliefs sought for by the petitioner can be granted in exercise of the jurisdiction vested under Article 226 of the Constitution. However it is left open to the petitioner to approach the Magistrate Courts concerned, having jurisdiction in the respective area for appropriate reliefs. 
       8. We take notice of two judgments issued by this court in similar circumstances, in WP(C).No.17410/2011 and connected cases, dated 6.7.2011 and in WP(C).No.18708/2011 and connected cases, dated 15.7.2011.   We notice that those writ petitions were filed in identical circumstances and this court had had already dismissed those writ petitions. 
      9. Under the above mentioned circumstances, the writ petition deserves no merit and the same is accordingly dismissed, subject to observations contained hereinabove.



                                  PIUS C. KURIAKOSE,JUDGE

                                  C.K.ABDUL REHIM,JUDGE
pmn/

16 comments:

aa_kkash said...

shyam sunder tere ko keedee padengeee

Pratik Chandan said...

This is Old news..... please give us some latest updates

Shyam Sundar said...

Tumse bada aur keedee kahan hai? Hamare society ke bahut bade keedee aap jaise log hai.

aa_kkash said...
This comment has been removed by a blog administrator.
denn said...

Mr. Shyam.. What ever u r ..

but network marketing is INDIAN FUTURE.

this and only this can make India developed country.

u may rit coz there is no rules in India, and coz of some greedy people u can't blame Network Marketing industry.

If u want to know more can mail me.. I've more then 500 gb material with me.. or u can come to my tuition...
Network marketing is business of 21st century..

all guys don't worry, in sort time laws r coming...

just be calm and wait for good & great news..

just concentrate in building ur network. build leaders...

jab jab koi kranti hoti hai to use sangarsh to karna hi padta hai...

true will come soon...

Company is trying and following rules as per Indian Govt. nut we know how our govt. works.

and try to write latter to indian ministry to make rule quickly as possible for MLM industries.
contact ur upline and ask for format of that latter..

Jay Hind...

Amazing_IG said...

I strongly agree to Mr Denn.
Mr Denn I am very happy to read your comment.
Network Marketing is Indian Future.

please read my blog.
www.ilovermp.blogspot.com

Amazing_IG said...
This comment has been removed by the author.
Shyam Sundar said...

Next in the line are thieves demanding recognition to their right to steal or burgle whenever they want. They also demand a legislation in their favour to allow them to indulge in stealing or burling.

Vikas@Rkl said...

My dear and learned Mr. Shyam Sundar- I don't know why are you dead against MLM companies? Try to differentiate between a MLM company and any network marketing company. And if still you label MLM companies as illegal then all Shopkeepers, commission agents are cheaters.

Vikas@Rkl said...
This comment has been removed by the author.
open house said...

mr shyam sunder

i have been following all your posts since the directors of rmp got arrested , without any bias or prejudice towards either sides and given the animosity you seem to be holding towards rmp , for the general understanding of all could you please respond to some specific queries :

01 rmp has been flourishing for the last over ten years , hey have over 100 lakh distributors , they seem to be one of the best in the business , all of this very much in public visibility , why did it take so long for someone to react ??

02 there are many such companies doing the kind of business that rmp does , for what reason are they being targeted ??

03 now that the directors have been released on bail , as in most legal cases in india , is it the end of the story ??

04 rmp continues to do business , as usual , in the rest of ndia , is it a specific set of people using their influence in a particular state(s) to settle scores ??

05 is it personal vendetta that is being settled through these means ??

06 some of the top distributors have left rmp and joined a similar company , this information is on public domain , why are they being allowed to begin all over again and do something wrong (in your perception) ??

07 it is not a company that goes wrong , it is the set of individuals behind it , why is it that only two directors and non one else has been arrested , is it not to harass or put undue pressure and settle personal vengeance ??

08 rmp has established itself in various countries across the globe , do you mean to say the legal system of all these countries is a mute spectator to illegal activities (as perceived by you) ??

09 there is a equal number or more people who believe that rmp is their future , does it mean that all their trust and faith is misplaced and that only you are able to present facts and see through the whole matter ??

10 they have received various certifications , they have tie ups with many of indias top companies like the future group , they are recipients of many awards , one from the president of india very recently , have all these individuals , companies and institutions remained oblivious to the fact that you are trying to present ??

11 rmp has been involved in a number of philanthrophic and social welfare activities , even those are being criticised in this forum , seems to be unfair , why so ??

12 the long delay in bail , the freezing of the bank accounts still not being undone , the seal on the house still not being opened , all seem too unrealistically stretched out , is it some specific force acting against rmp ??

there has been a lo written on both sides , it so appears that both sides have taken a stand , either which ways , due to personal attributes , have only tried to remain neutral and unbiased

your answers to thee questions will possibly make things crystal clear for many such people like me

at the end of it all may justice prevail and may the side that has done wrong be made to pay for it and may god drive good sense into all

Shyam Sundar said...

Dear Open House,(since you don't have a name),
I have nothing personal against only RMP. I am against all multilevel marketing companies which have been fleecing the gullible in the name of selling products and services.
1) I have filed criminal cases against Amway, Herbalife, Tupperware, Gemini Techno, GoldQuest, Team Life Care, AgriGold, speakasiaonline and others.
2) I have never joined any MLM business because I could identify such scheme on the face of it.
3) RMP might be operating in some other countries but we have an effective legislation to curb such illegal activities. Still, it took about ten years to stop the illegal business of this fraudulent companies.
4) The 100,000 distributors, the RMP has, so far must have cheated several millions all over India. You did not say how much these distributors are earning every month. Practically nothing I can say.
5) Awards are given to such fraudulent companies after they are carried away the 'paid news' published by various journals.
6) It is apt to recall that the former Union Ministers and Ministers of various States are still languishing in prisons for their nefarious activities.
7)I too hope that the justice would prevail ultimately and all these crooks are permanently put behind bars in the larger interest of general public.

Ruvansir said...

arey sham tu akela ek hoshiyar chand hai aur baki sab tuwoh kya kehta he coruk he babey sham tuje pata nahi rmp me jaisa tu ek wakil he waise hi ek LLM kiye huwe crowndiamond bhi he
abey bewakuf tu mere letter chapta kyu nahi he re mansik rugna,
tu court me without case barroom me cigarate aur patte khelne wale team me ka hoga baa me paise kamane ka ye naya tarika nikala sham do mahina ruk anpe dimag khujate baithna tu roj apni najro me marega.

Ruvansir said...

pyare sham bahut din se teri koi chitti patri nahi?
asman se sarey 'tarey jami par' le aya kya?
arey sham achha kiya tu dusra kam shuru kiya hai.
kam se kam tu tere kam me dhyan to de sakega.
arey sham tu bataya tu kuch karate-sharate bhi karta tha.
tera photo dekh k to nahi lagta.
tu wo fir se shuru kar yaar. logo ko tandurust kaise rehete hai woh sikha
ye dimag k khel me tu kachha hai.

Ruvansir said...

ipustrarey shambabu tu kis andhere me kho gaya re khoye chand. arey bevkuf sham akal abhi to aa gayi hogi thikane.
yaar mai to bahut sadharan insan 11th tak padhai aur tu bahut bada kale kot wala (idhar udhar se paise juda kar) maine barobar do mahina bola tha use se pehle huwa.

Shyam Sundar said...

Ye Kyaa battamiji, Tamij se baat karnaa kisine nahin sikhaya? Pehale aankh khole ke duniyaa ko dekho. Kaise tum jaisa bewakuf paise loot rahe hai.