india

Updated: Aug 28, 2019 19:47 IST

Police have warned the public not to join or enroll in any schemes offered by Vihaan Direct Selling Pvt.Ltd (sub franchise of Qnet) as the Ministry of Corporate Affairs (MCA) has initiated proceedings to wind up the direct selling company, a charge refuted by Qnet.

Police said the Registrar of Companies (ROC) Bengaluru - had filed a petition in the National Company Law Tribunal (Bengaluru Bench) under Section 271 of the Companies Act-2013 for winding up Vihaan Direct Selling.

“It is informed to the public that the Ministry of Corporate Affairs (MCA) has initiated winding up proceedings against Vihaan Direct Selling Private Limited company,which is a franchise of Qnet Company and runs the Direct Selling/Multi Level Marketing Schemes in India.

The public are hereby requested not to join or enroll members into the Qnet Schemes and also not to promote its illegal scheme by remitting any money to it or its sub franchise or its members or upliners of the scheme.

If remitted, they will be doing it at their own risk,” police said in an official release on Tuesday.

So far about 70 people have been arrested in about 38 cases registered against Vihaan Direct Selling Pvt. Ltd in different police stations of the Cyberabad Commissionerate.

Apart from the above, several cases have also been lodged against Vihaan Direct Selling Pvt. Ltd and its promoters in different states in India, Cyberabad police said.

Qnet, in a statement refuted the police charges, saying “We state that the subject report (by the Ministry of Consumer Affairs, in respect of Vihaan Direct Selling (India) Private Limited) is fallacious and without merit and has been prepared without basis and understanding of the business we undertake.

“We have challenged the said report in the appropriate judicial forum.” Qnet claims to be an e-Commerce based, leading Asian direct selling company marketing a high quality products in the categories of Home Care, Personal Care, Skin Care, Health Food Supplements, Watches and Holiday Packages.

(This story has been published from a wire agency feed without modifications to the text. Only the headline has been changed.)