The data including but not limited to the Web pages with time/date stamp (of collection of evidence), MLM Compensation plan, Products/Services(if any/claimed), Information of the Directors/Promoters/Stakeholders/Founder members, Photographs of relevance, Policies and Procedures(if any) and Terms and conditions (Various) will be shared only with the officials of the law enforcement agencies from India.
For the same, please send an email to [email protected] with 'Ind/Investigating' as the subject.
Advance alert for the public (before the fraudsters abscond or action is taken against them for non-payments, etc.) to refrain from investing money and time in the operations listed here.
Early warning mechanism for the law enforcement agencies of the deceptive and unsustainable entities before they can cause more damage.
The list contains some of the names of operations identified as Unviable business models which may be prosecuted under the Prize Chits and Money circulation (Banning) Act 1978, IPC 420, Protection of the Interest of Depositors Act (State-specific), Prevention of Money-laundering Act 2002, and Banning of Unregulated Deposit Schemes Act 2019.
The names of the MLM operations listed here include some listed on the Ministry of Consumer Affair's website as "self-declared to be compliant" to the guidelines published by the Department of Consumer Affairs on the 12th of September 2016.
This list is the output of an early detection and warning process by the team of Strategy India.
In this process, the team detects MLM operations and collects information in the first few weeks of initiation of the business. This information is then analysed within ten working days followed by the listing of unviable MLM activities on this scam alert list.
This list majorly contains names of unviable business operations which deploy the Multilevel marketing compensation plan/s and have a multilevel marketing organization. Which may have been initiated by the promoters (including founders, stakeholders, and the founder agents / distributors) knowingly (with complete knowledge of implications) or unintentionally (copied without understanding the viability of commitments and impact).
These operations commit to offer un-viable returns and/or display misleading information on their website / promotional material/s.
The activities listed here deploy multilevel marketing compensation plan to compensate their participants / investors / agents / distributors / independent contractors arranged in multilevel structure.
It is not an exhaustive list but contains a fraction of thousands of fraudulent MLM activities in India.
This list includes names of activities focused on promoting intangible (Token) products which are of no use/cannot be used for the people paying for the same.
In case an operation does not display the compensation plan on their official website, the compensation plan is sourced from other website/s /Platforms where the operators or its agents / distributors / promoters / independent contractors /participants would have displayed/posted the same.
These entities are listed on this fraud alert list after evaluation of the Snapshots of the Web pages from their official websites with the date and time stamps, Names of the directors, Names of the Promoters/Top distributors, Addresses, Contact numbers, Products / Services / offerings, Compensation plan/s, Franchisee addresses, Server details, IP addresses, Name of the Software developer and support service providers, Approximate turnover, Area of operation, Videos of the company meetings, brochures, literature, etc. and would be shared on request with Investigation/Law Enforcement agencies only if requested with valid reason/s using official email ids and other accurate contact details.
The terminology of the commonly used terms can be seen here: https://www.strategyindia.com/mlm-guidelines-1.html
Registered / Non-Registered entities / individuals (with the Registrar of companies in India)
Individuals / entities deploying Multilevel marketing compensation plan (MLM)
Collective investment schemes registered with SEBI (A Collective investment scheme is any scheme of the arrangement, which satisfies the conditions, referred to in subsection (2) of section 11AA of the SEBI Act)
Registered Chit fund companies
Un-viable Operations deploying the Direct/Single level compensation plans with a Direct or Single level marketing organization structure
Entities which deploy the multilevel marketing (MLM) compensation plans while promoting tangible products even though the pay-outs committed via the compensation plan are unviable (more pay-out being offered than provisioned for on the sale of products/services (which are not listed as negative products) on http://www.strategyindia.com/mlm-guidelines-3.html)
Strategy India is a for-profit corporation and not an NGO (No donations are accepted).
The name/s from the list can only be removed if ordered by the court (the agency reserves its right to challenge the same as per the laws in force).
Strategy India is not a government organization.
Strategy India entirely funds the Research, Detection and Analysis.