China To Monitor Pyramid Sales
June 23, 2008 | By Monika Mundell |
BEIJING, June 23 (Xinhua) — China is starting a three month period in which they will monitor illegal activities in mlm.
“We have made some progress in banning pyramid selling and standardizing direct distribution, but the situation remains grim,” said Zhong Youping, vice director of the State Administration for Industry and Commerce (SAIC).
He said the SAIC had found a growing concern in which pyramid sales activities were expanding to schools and the western part of China. These shoddy operators were using the Internet and sometimes disguised themselves as direct distribution, franchises or chain sales business opportunity. In some cases, Zhong said, pyramid sales organizations became gangs.
“We would take decisive and effective measures to prevent the spread of pyramid selling,” Zhong said.
In addition, the SAIC would also cooperate with educational authorities to study the psychology of students and create relevant teaching materials to help raise their awareness.
The SAIC also intends to work with local police to prevent pyramid selling from entering the western part of China. Their database will help to keep monitoring major organizers and participants of pyramid selling systems.
Tags: china pyramid, chinese pyramid sales, mlm, pyramids in china
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