FDCI is a joint forum for Direct Selling Companies, Distributors/Networkers, Consumers and Manufacturers formed for the purpose of bringing legislation for MLM/DS industry in India, working with both the Central and State Governments. 


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Delhi 3 June 2013: FDCI today appealed that the Government of India should immediately come out with legislations to differentiate genuine Multi-Level-Marketing(MLM)/Direct Selling (DS) companies from fraudulent ones who are money-circulation, pyramid, Ponzi schemes functioning within the garb of MLM/DS companies and also requested all state governments to stop the police from un necessarily harassing and intervening into the day-to-day operations of these genuine MLM/Ds companies.

These genuine MLM/DS companies in India have more than 7 crore distributors and their families who are dependent on these companies for their survival and are now suffering because of such harassment and closure of offices of these genuine companies. Speaking on the occasion Mr. P A Joseph, National Secretary of INTUC and General Secretary of FDCI said, “We strongly condemn the police action in Kerala and Andhra Pradesh on the ambit of Price Chit and Money Circulation (Banning) Act 1978 which was formulated for protecting depositors of money in fraudulent chit funds and money circulation schemes which was very prevalent during 70’s in India. This law has nothing to do with genuine MLM/DS companies. We also support the stand taken by the Honorable Corporate Affairs Minister, Shri  Sachin Pilot on the issue of recent arrests of three key top executives from Amway India which was purposefully done by some police officers having ulterior motives to close down MLM/DS industry.”

Also speaking on the occasion, Mr. Bejon Misra, Chairman of FDCI said, “The joint forum of consumers, distributors and direct-selling companies will take all steps to get a new legislation for MLM/DS industry in India in-line with all the other countries across the world who have already established MLM/DS business with comprehensive law legitimizing the industry. It is to be noted that the recession in most of these countries were greatly overcome by the DS/MLM business in those countries. It is also worthwhile to note that in India too, a large part of the unemployment problem is addressed already by this industry which has more than 7 crore active networkers engaged currently with majority of them being women.”