The Central Crime Branch (CCB) of the Coimbatore City Police have registered a case against multi-level marketing (MLM) firm ‘My V3 Ads’ for alleged irregularities in its operations. There was high drama on Monday as at the behest of the firm’s management, a few thousand people, mostly investors of the firm, gathered to protest against the registration of the case.
The CCB registered a case against the firm and its proprietors based on a complaint lodged by a cybercrime police sub-inspector, based on advertisements and videos posted by the firm through its YouTube channel.
The case was registered on January 19, under Sections 3 (banning of prize chit and money circulation schemes or enrolment as members or participation therein) and 4 (penalty for contravening the provisions of section 3) of the Prize Chits and Money Circulation Schemes (Banning) Act, 1978 and 3 (banning of unregulated deposit schemes), 6 (certain scheme to be unregulated deposit scheme) and 21 (2) (punishment for accepting deposits in contravention of section 3) of the Banning of Unregulated Deposit Schemes Act, 2019.
The police said the firm offers one free opening membership and various paid membership schemes. Its investment and advertisement reviewing operations are done through an app, total downloads of which stood over 5 million as on Monday. Herbal packs and ayurvedic capsules are provided to paid members, who are also assured promotion income and special reward when they add new people to the MLM network. Paid membership starts from ₹ 360 to ₹1,21,260.
The First Information Report registered by the police said that the ayurvedic capsules publicized by the firm were neither recommended nor validated by the Health Department.
Police sources said the CCB was yet to get any complaint from any of the investors of the firm.
Meanwhile, several thousands of people, mostly investors of the firm and their family members, gathered on a vacant ground on the L&T bypass of Salem – Kochi highway near Neelambur on Monday, in protest against the case.
In a video posted on the firm’s YouTube channel a day ago, its managing director Sakthi Anandan had appealed to the investors to gather at the vacant ground on the L&T bypass to register the protest. He said in the video that lodging a complaint to the District Collector by such a large number of people would bring the city to a halt.
After investors from various parts of Tamil Nadu and other States started to gather on L&T bypass, senior police officers and a Revenue Divisional Office went to the spot. Meanwhile, Mr. Anandan also came to the place.
The officers held talks with the investors and accepted petitions from them, following which they vacated the place. Traffic movement along the L&T bypass at Neelambur was affected due to the unprecedented gathering of the investors.
