'Dirty' Multi-level Marketing (MLM) companies exposed in Nghe An province

(Baonghean.vn) - A series of MLM companies have been subjected to judicial handling for their signs of unlawfulness in Nghe An. Local competent authority is implementing an intense propaganda for raising people’s awareness to struggle illegally benefiting from MLM activities.

Information about fraudulent activities of Aviinet Corporation, The Nghe An branch at Thanh Son border commune (Thanh Chuong) in Official Letter 59/CV-DVTU by Nghe An Provincial Mass Mobilisation Commission.

Facing the complicated developments of “dirty” MLM, recently Nghe An Provincial Mass Mobilisation Commissionhas issued Official Letter 59/CV-DVTU providing guidelines on propaganda against illegal MLM activities and dispatched to relevant agencies for implementation.

The Provincial Mass Mobilisation Commissionhas officially named several MLM corporations which were handled for unlawful business activities.

Lien Ket Viet, or the Viet Nam Commercial Production Joint Stock Company, which impersonated as a corporation under Ministry of Defence, broadened the business to over 27 provinces and cities throughout the country within 1 year and swindled more than 60,000 people out of an amount up to VND 1,900 billion.

The Nghe An branch of Aviinet Corporation (Vietnamese name: “Cong ty Co phan Lien minh Tieu dung Viet Nam” at No. 21 - 23, Lenin Avenue, Vinh city) appropriated a total of VND 1,8 billion from the inhabitants of Thanh Son border commune, Thanh Chuong district by promising great profits and tricking them into depositing large sums of money.

Amway Vietnam JSC., whose local office was located at No.18, An Duong Vuong street, Vinh City, did not perform periodic report as regulated.

Nhat Duong Company Limited, an affiliated corporation under Aloe Trading Company Limited, was penalized for selling expired supplemental foods.

Diamond Holiday Vietnam Trading Company used their MLM scheme for fraudulence. Vietnam’s Heart Program operating under Supporting Center for the Poor revealed signs of fraudulent capital mobilization.

To actively prevent and struggle against swindles around MLM activities which raised social chaos and disorder as well as caused massive loss for the economy Nghe An Provincial Mass Mobilisation Commission asked the Provincial Party and relevant agencies, Provincial Communist Youth Union, Provincial Vietnamese Fatherland Front, other political-social organizations, Mass Mobilisation Commission in districts, towns and communes; Provincial Border Military Command, Provincial Military Command, etc. to command the affiliated units of strengthening propaganda campaigns, advocating people to oppose unlawful MLM schemes in order to maintain the local security.

Reporter: Ha Giang

Translator: Hien Nguyen