Consumer Protection Crackdown: 17 Direct Selling Firms under Scrutiny

The Consumer protection regulator CCPA has issued notices to 17 direct selling firms, including Oriflame India, over unfair trade practices. Allegations involve service deficiencies and rules violations. The government emphasizes the need for a fair market, warning consumers about deceptive direct selling schemes and advising on cautious engagement.

The Consumer Protection regulator, CCPA, has initiated a crackdown on 17 direct selling companies, including Oriflame India, accusing them of unfair practices and breaching consumer protection regulations.

Among the firms targeted are Vihaan Direct Selling India, Triptales Pvt Ltd, and Oriens Global Marketing, with 13 investigations underway and responses pending from three companies.

This action follows mounting concerns over deceptive practices within the industry, where fraudulent players exploit the direct selling model to push illegal pyramid schemes, luring individuals with false promises of lucrative earnings and exotic incentives.

(With inputs from agencies.)