Ficci condemns Amway CEO's arrest
Quotes

Ficci condemns Amway CEO's arrest

Last Updated: Tuesday, May 28, 2013, 22:22
 
 Comment 25
 
Ficci condemns Amway CEO's arrest
New Delhi: Condemning arrest of Amway India CEO William Scott Pinckney, Ficci today said it was inappropriate and unwarranted since there is no criminality involved and the case should have been handled as a consumer redressal.

"This arrest will give an inappropriate missive to the global business community and might also have adverse impact on Indo-US business relationships," it said.

Ficci Secretary General A Didar Singh has written to the Kerala government requesting it to re-look into the matter.

Amways India Chairman and CEO and two company Directors Sanjay Malhotra and Anshu Budhraja were arrested in Kerala yesterday on charges of financial irregularities.

The arrests were made on a warrant issued in three cases registered by Wayanad Crime Branch in 2011 on charges of violation of Price Chits and Money Circulation Schemes (Banning Act).

The chamber said the Direct selling (DS) industry, which took root in India in the early 90's, today is a thriving industry of over Rs 6,000 crores with over 60 lakh persons are distributors or selling agents or representatives of DS companies - almost 70 percent of whom are women.

To understand the potential of this industry, Ficci has formed a sub-group for the direct selling industry.

For the past one year, the group has been working relentlessly to bring a clear difference between the legitimate and illegitimate business runners, it said.

"Our plea is that direct selling companies should be excluded from Prize Chits and Money Circulation Schemes (Banning) Act, 1978 (PCMCS)," it added.

The chamber said as per our understanding, there is no financial circulation undertaken by these direct selling companies often also referred as multi-level marketing companies.

Ficci hoped that the authorities would reconsider the entire legal structure governing the direct selling industry in India so that such instances do not recur in future.

Meanwhile, a local court in Kalpetta, Kerala today granted conditional bail to Pinckney and two company Directors who were remanded to 14 days judicial custody.

PTI



First Published: Tuesday, May 28, 2013, 22:22


Comments


comments powered by Disqus
Forbes Best Places for Biz 2014
Forbes Best Places for Biz 2014
Hyundai Elite i20
Hyundai Elite i20
John Kery with Indian Biz Honchos
John Kery with Indian Biz Honchos
Honda Mobilio MPV
Honda Mobilio MPV
Tata Zest first drive review: In pics
Tata Zest first drive review: In pics

Web Wrap
Contact Us : Privacy Policy : Legal Disclaimer
Copyright © Zee Media Corporation Ltd. All rights reserved