Amway India News – Amway India faces an ED money-laundering probe while ED attaches 757 crores worth of assets. ED notified on Monday that it had provisionally attached 757 crore INR worth of Indian assets in response to the Pyramid frauds probe. The assets include properties of Amway India company buildings, factories, vehicles, machinery, bank accounts, and Fixed deposits.
ED Attaches Amay India Assets Worth Of 757 Crore
To understand the matter from the start we need to know the history of Amway.
Amway is a multinational company that operates mostly in India and USA. It came into India in 1997 with some 21 crore INR in share capital. since then it had paid 2859.10 crores in royalty, payments, and dividends to its investors and parent entities. that is equal to 133 times the return on investment in 34 years.
Amway India is known for its high-priced products where the same products can be found 10 times cheaper in other brands. new recruits in the company are expected to buy these products not to use but to sell. which puts a hole in the pocket of hard-working people. company is also known for its show of lavish lifestyle of investors in order to lure young people with help of social media.
Amway was the introduction to its operation now. Since then it had collected 27562 crores in the capital between 2001-and 2022. The company also paid 7588 crore INR to its distributors in form of commission. these are huge profits for not so special products.
In response to the probe, Amway India said: “The action of the authorities is with regards to the investigation dating back to 2011 and since then we have been cooperating with the department and have shared all the information as sought for from time to time since 2011. We will continue to cooperate with the relevant government authorities and the law officials towards a fair, legal, and logical conclusion of the outstanding issues.”
They also added: “However, the recent inclusion of Direct Selling under the Consumer Protection Act (Direct Selling) rules, 2021, has brought in the much-needed legal and regulatory clarity for the industry, while again confirming Amway India’s continuous compliance with the spirit and letter of all laws and regulations in India. Amway India has a rich history of maintaining the highest levels of probity, integrity, corporate governance, and consumer protection, which are much ahead of time in the interest of the consumers at large. As the matter is sub judice, we do not wish to comment further. We request you to exercise caution, considering a misleading impression about our business also affects the livelihood of over 5.5 lakh direct sellers in the country.”