Additional Recommendations from Strategy India
  1. Companies following these guidelines shall not fall under the provisions of Prize Chits and Money Circulation Scheme (Banning) Act. 1978 more notably does not come within the meaning as defined in section 2(c) and 2(e) of the said Act OR "The Banning Act" (if enforced at the time of publishing)
  2. Companies following these guidelines shall not fall under the provisions of MPID/TNPID/OPID Acts.
  3. These guidelines are not applicable for businesses qualified as Non-Banking Financial Corporations as per the norms of the Reserve Bank of India.
  4. These guidelines shall not apply to entities registered with Ministry of Corporate Affairs as Chit fund companies.
  5. Investigating and/or Law enforcement agencies would need to inform and request clarification/s from the company via email or registered mail (on designated email ID/selected correspondence address of the head office mentioned on the website) for presumed non-compliance before initiating action on the company.
    1. The email should be sent via official email ID of the official and should cite the reason for the query/concern.
    2. The email should have the details of the official, like Full name, Designation, Contact number (landline and mobile) and the office address.
    3. The company should be given seven days to reply or to fall in line before taking any action.
  6. Compliance with policies is the responsibility of the company failing which the direct seller/s or consumer/s can approach government agencies.
  7. The businesses to be given 90 days from the time of issuance of the guidelines to align the structure and processes accordingly.

Version: ST/IND022018

For any query regarding the guidelines write to: [email protected]