Kochi: Kerala Chamber of Commerce and Industry has condemned the arrest of Bill Pinckney, Managing Director of Amway India, by Andhra Pradesh police in Kurnool.
This incident highlights the urgent need for the Union Government to amend the Prize Chits and Money Circulation Schemes (Banning) Act 1978 (PCMCS), the KCCI has said in a statement here.
Unless amended, the Act will not be able to distinguish genuine direct selling companies from pyramid schemes and the regular consumer complaints will continue to attract provisions of the PCMCS Act, it said.
The direct selling industry has been repeatedly seeking an amendment to the PCMCS Act and has been working along with various industry bodies and the Government for it.
The KCCI has asked the authorities to take note of the challenges being faced by this industry and give clarity to create a conducive environment for the industry.
Despite these challenges, direct selling in India has witnessed significant growth and it is now a Rs 71.6-billion industry employing around 6 million Indians, (of which 3.6 million are women), it said.
It also offers entrepreneurship and a variety of personal development opportunities. If suitable legal environment is created, the industry turnover could reach Rs 350 billion by 2020, the release claimed.