Prime Ministerial Directive on enhancing management of multi-level marketing businesses

Multi-level marketing business has various disguises causing damage to many people. Photo: internet.

Strictly handle unregistered yet active organizations.

The Prime Minister has directed the Ministry of Industry and Trade in collaboration with other ministries and branches involved to timely detect and strictly handle multi-level marketing companies without registration certificates as prescribed in regulations.

And to inspect, examine and handle violators (if any) about the satisfaction of business conditions for certified multi-level marketing companies’ items under the competent management as prescribed by law.

Also to enhance inspections and examinations for the implementation of the provision of the law on food safety, promotional activities, advertisement, conferrnces, workshops and communications on products permitted to conduct business in the form of multi-level marketing as prescribed by law.

At the same time, the Minstry of Industry and Trade directs market forces at all levels in collaboration with competent forces to inspect and assess the origin and quality of the certificated multi-level marketing enterprises’ goods, especially products manufactured and processed in the country.

The Ministry of Public Security directs professional forces and police at all levels to understand the situation, timely detect, inspect and make clear organizations, and individuals in business in the form of multi-level marketing or disguised as a legitimate multi-level marketing enterprise to carry out illegal acts.

Observe closely in exports, imports, and trade.

The Prime Minister has also asked the Ministry of Justice in cooperation with other ministries and branches to urgently study and propose competent authorities to draft supplementary regulations in criminal penalties for enterprises using multi-level marketing form for illegal business.

The Ministry of Health hosts and collaborates with other ministries and branches to inspect, examine and tackle law violations in the process of manufacturing, processing, storage, transport, exports, imports, and sales of food, cosmetics, and other products of multi-level marketing enterprises under its management as prescribed by law.

The Ministry of Finance discloses information timely, accurately,and objectively of the inspection results and taxation of multi-level marketing enterprises in the whole country.

The Ministry of Science and Technology hosts and coordinates with other ministries, branches, and units in implementing inspections and examinations to deal with law violation activities of multi-level marketing enterprises in the field of standards, measures, goods quality, and intellectual property under its management provided by law.

The Ministry of Agriculture and Rural Development hosts and cooperates with other agencies in detecting, preventing, and tackling violations in the production, processing, bottling, extracting, packing, imports, business, shipping, and advertiseing for multi-level marketing enterprises under its management prescribed by law, specifically focusing on fertilizers.

The State Bank directs credit institutions to comply with the regulations on certification and management of multi-level marketing enterprises’ deposits as stipulated in Article 19 Decree 42/2014/ND-CP; frozen account, timely stops organizations, individual dispersing assets, facilitate for investigation, handle and recoveriy of criminal assets in the multi-level marketing activities.

The Prime Minister has also required the People Commitees of provinces and cities to direct competent authorities at all levels to enhance management, monitoring, inspection, detecting, verification, investigation and handling the violations of activities in the form of multi-level marketing under their competence, communicate and dissemenate the provisions of the law in multi-level business and the tactics of multi-level businesses for fraudulent appropriation of assets.