INTERVIEW OF MR. VC SAJJANAR, Police Officer



I am against all MLM schemes including Amway India: V C Sajjanar, Police  Officer
Mr V C Sajjanar is the first police officer who filed criminal cases against the fraudulent companies like Japan Life Bed, Amway India, GoldQuest, ebiz.com, etc., which are indulging in money circulation schemes in the guise of selling products. A recent meet with the popular Indian Police Service officer, Mr V C Sajjanar revealed that the police officer has fire in him against the daylight robbery of these crooks and he goes to any extent to check this menace in the larger interest of people. Presently, Mr Sajjanar is the Deputy Inspector General of Police (Intelligence).
Excerpts:
Q: Sir, you are the first police officer all over India and in fact all over world, to file a criminal case against Amway India. You are also instrumental in breaking the Japan Life Bed racket even before Amway India. What made you to take that stand?
Sajjanar: I have been against the multilevel marketing or money circulation schemes from the beginning. Money circulation schemes have been exploiting the gullible since 1960s and it was the Andhra Pradesh State Government which first enacted a law banning money circulation schemes. Later, the Government of India enacted a comprehensive law--the Prize Chits & Money Circulation Schemes (Banning) Act, 1978. However, in the name of selling products and services, many companies are cunningly indulging in money circulation schemes. We have to break that corporate veil and bring these culprits to book.
Q: Apologists of Amway say that you are against Amway India since your family members suffered loss after joining Amway India. Is it true?
Sajjanar: That is nonsense. As a police officer I could sense the criminal activity. It is not the question of Amway India. There are many such copycats operating in the country.
Apart from multinational companies, there are also some indigenous companies indulging in money circulation schemes. For the simple reason, they are Indian we cannot allow them to unjustly enrich themselves. We are after every such operator who wants to make easy and quick money at the cost of our economy.
Q: Amway India says that AP Police falsely registered case against them?
Sajjanar: Cases are registered as per the provisions of Criminal Procedure Code. Sec.10 of the Prize Chits & Money Circulation Schemes (Banning) Act, 1978 says that all the offences under this Act are cognizable. It is the duty of police to register FIR immediately and conduct investigation whenever he receives information of a cognizable offence. Top 5 Advocates in India -- Soli Sorabji, Rajiv Dhavan, Anil Kher, Bhargav Desai, R.F. Nariman -- have appeared for Amway India in the High Court of A.P. and the Supreme Court of India and argued for days. Still the Hon'ble High Court of A.P. and the Hon’ble Supreme Court of India have held that the sponsoring scheme of Amway falls within the definition of illegal Money Circulation Scheme. The Hon'ble Courts would have passed strictures against the police, if the action and investigation of police against Amway is illegal.  After analyzing the business model of Amway India, the Hon'ble Courts held that the scheme of Amway is illegal.
Q: Amway apologists  say that you are against only Amway India not other companies?
Sajjanar: Being a police man, I am not against any particular company. The concept of MLM violates the provisions of the Prize Chits & Money Circulation Schemes (Banning) Act, 1978. As per the Constitution of India, violation of law is liable for punishment and no violator should go unpunished. Throwing allegation of bias is a tactic of criminals. It is only to divert the attention of public and dilute the issue. When I was working in various districts as Superintendent of Police cases were registered against Goldquest, Agrigold, Tupperware, Herbalife, Hindustan Unilever Network, ebiz.com, Japan Life etc including several other companies whoever violated the provisions of the Prize Chits & Money Circulation Schemes (Banning) Act by promoting illegal money circulation schemes. This shows I was against all these companies. Recently the Supreme Court of India in Kuriachan Chako case clearly held that binary scheme 1:2 sponsoring scheme by whatever name called including Multi-Level Marketing is nothing but illegal Money Circulation Scheme. Being a police man, initiating proceedings as per law does not amount to bias against particular person.
Q: Do you think these companies could damage our economy?
Sajjanar: Certainly. These companies have been immensely damaging the economy of our country. Not only that. These companies have also been damaging the social fabric of our society. These companies encourage people to enroll their family members, relatives and friends into such schemes. After joining such schemes, all these friends and relatives are bound to lose in such schemes. Once they lose their precious earnings, they never trust their friend or relative who joined them in such schemes in future. That is how the social fabric is affected.
Q:  Tell us more about economic damage.
Sajjanar: It is estimated that these companies have been draining out more than Rs 10,000 crores every year. In addition, the indigenous companies have been lining their pockets with Rs. 100,000 crore every year. If this money is rightly invested in the infrastructure the quality of life of Indians would immensely improve.
Q: What should be done?
Sajjanar: People should realize the futility of joining such schemes. Apart from that the Government of India should initiate steps to close down such companies forthwith.
Joining, participating, promoting or helping otherwise in the Multi-Level Marketing   (illegal money circulation schemes camouflaged as sale of products and services) are illegal and punishable. Some people are misrepresenting it by saying that you are not joining but just purchasing the products, but purchasing products under these illegal schemes also amounts to promoting of these schemes and are punishable under PCMCS Act. That the Government is not taking action against them promptly does not mean that these schemes are legal.
It is very painful to note that several people are informing that the police are not accepting their complaints to register cases. The office of the DGP has issued circulars to all the police stations in the State to immediately register such cases. It is unfortunate that many police officers are not aware of the circular.
I appeal to the journalists all over world to take up this social cause and create awareness about these scams which dwarf even the 2G scam. The worth of 2G scam is hardly 1 or 2 lakh crore but the scams of MLM is several times more than it.

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