Hyderabad: Charminar police arrested a key accused in the Forever Living Products Multi-Level Marketing (MLM) fraud, which got exposed through an intermediate student who was lured into investing and working in the company, which mostly targets youth and homemakers.
The Mirchowk police arrested Harish Kumar Singh, a native of Haryana, who has been working as the Country Sales Manager of Forever Living Imports (India), and has been posting lavish photos and videos of himself on social media in a bid to attract youngsters and homemakers into investing in the multi-level marketing scam.
An intermediate student based in the Old City of Hyderabad had approached the Charminar police, alleging that Forever Living Products had duped him and many others by promising heavy returns for investing Rs 30,000.
He told the police that he found the company while browsing for work opportunities on Instagram.
Forever Living Products, which is based in Scottsdale, Arizona, US, on its Facebook page, claims that “the products and its affiliates are the largest growers and manufacturers of aloe vera products in the world.” The company claims to have offices in 140 countries.
According to Charminar Deputy Commissioner of Police (DCP) Kiran Khare, the company would lure gullible sections by promising heavy returns and offering different packages for purchasing beauty products, including face packs, lotions, creams, and conditioners, among others.
“There are different registration fees starting from Rs 200 to Rs 295, after which there are packages for selling products. There are slow-track, medium-track, and fast-track packages offered. They would encourage these members to grow their network by making those around them invest in it in return for attractive commissions. Forever Living Products has an annual turnover of Rs 500 to Rs 600 crore,” the DCP said.
He said that the company shows videos of people living a lavish life by investing and working in the network, but the victims will realise once they stop receiving any commission on returns on their investment.
When the investors/members question Forever Living Products about their returns, the company’s management allegedly resorts to threats and posting their pictures on social media.
The DCP said that the company was not only operating in Hyderabad, but also in tier 2 cities, including Nalgonda, Warangal, and other smaller districts in Telangana.
Based on complaints made against Forever Living Products, three first information reports (FIRs) have been lodged against the company in the past. Four local managers were arrested and Rs 3 crore in their bank accounts has been frozen. A Mercedes-Benz, an iPhone, a MacBook, and other data have been seized from them.
Khare has appealed to the people not to fall for any such false promises by companies, and to believe in hard work, which he said, will yield financial results in the process.
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