ED attaches assets of Amway worth Rs 757.77 crore in MLM scam
Zee News
The new members are not buying the products to use them, but to become rich by becoming members as showcased by the upline members. Reality is that the commissions received by the upline members contribute enormously in hike of prices of the products.
New Delhi: Amway India Enterprises Private Limited, a company accused of running a multi-level marketing fraud, has had assets worth Rs.757.77 crore provisionally attached by the Enforcement Directorate (ED).
The attached properties include land and factory building of Amway in Tamil Nadu`s Dindigul district, plant and machineries, vehicles, bank accounts and fixed deposits.
The ED had recently attached immovable and movable properties worth Rs 411.83 crore and bank balances of Rs 345.94 crore from 36 different accounts belonging to Amway.
A money laundering investigation by the ED revealed that Amway is running a pyramid fraud in the guise of direct selling multi-level marketing network. It was observed that the prices of most of the products offered by the company are exorbitant as compared to the alternative popular products of reputed manufacturers available in the open market.
Without knowing the real facts, the common gullible public is induced to join as members of the company and purchase products at exorbitant prices and are thus losing their hard earned money.
