Online and MLM fraud companies

Direct selling has completed 18 years in India and about 8 million of our countrymen are engaged with the industry. The industry continues to grow at rapid speed despite of scams (using the multilevel marketing compensation plans) causing damage of thousands of crores every year.

Scams not only swindle the people but also create confusion about the business model since they impersonate as principled direct selling companies.

Man Held for Chit Fund Fraud

In yet another crackdown, the shadow police on Tuesday nabbed a person for allegedly duping several people by operating a fake chit fund company. The arrested person is Antony Koshi, 35, Kilooor House, Palluruthy. According to police officials, the accused was operating a  chit fund company  called the Mullackal Chits Private Limited at Ranni in Pathanamthitta.

Odisha starts attaching chit fund group's properties

The Crime Branch police have submitted a proposal to the state government seeking interim orders for attaching money and properties of the Seashore Group, comprising many companies, over the multi-crore-rupee chit fund scam.
The proposal has been submitted under the Odisha Protection of Interests of Depositors (in Financial Establishments) Act, 2011, which received presidential nod in August, Rajesh Kumar, deputy inspector general, economic offences wing (EOW) Crime Branch, told IANS.

Cheated chit fund investors approach police

About 30 investors approached Superintendent of Police R. Ponni on Tuesday and submitted a petition complaining that a private chit fund operator had cheated them of several lakhs of rupees and escaped.