ED has attached assets worth Rs 757.77 crore of Amway involved in money laundering. A money laundering probe conducted by the ED revealed that Amway is running pyramid fraud under the guise of a direct selling multi-level marketing network.
The Enforcement Directorate (ED) has temporarily attached assets worth Rs 757.77 crore of Amway India Enterprises Pvt Ltd. Amway is one such company that has been involved in multi level marketing scams. This includes Amway’s land and factory buildings, plant and machinery, vehicles, bank accounts and fixed deposits in Tamil Nadu. The ED had provisionally attached immovable and movable assets worth Rs 411.83 crore and bank balance of Rs 345.94 crore from 36 different accounts of Amway
Let us tell you, in the money laundering investigation conducted by ED, it was revealed that Amway Direct Selling is running pyramid fraud under the guise of multi-level marketing network. It was also found that the prices of most of the products offered by the company are quite high as compared to alternative popular products from reputed manufacturers available in the open market. Due to lack of knowledge about the truth, the common gullible public is motivated to join as members of the company and buy the products at exorbitant prices and thus is losing their hard earned money.
New members are not buying products to use them, but are displayed by upline members in order to become rich by becoming members. The reality is that the commission received by the upline members contributes a lot to the increase in the prices of the products.
The entire focus of the company is on promoting how one can become a member by becoming a member. The products are used to disguise this mlm pyramid fraud as a direct selling company.
21.39 crore as share capital in India in 1996-97 by Amway and by the financial year 2020-21, the company has remitted a huge amount of Rs. 2859.10 crore in the name of dividend, royalty and other payments to their investors and parent entities.
