The MLM company’s office in Kerala was closed after police action, for duping people. However, it continues to do business in other cities, particularly in Navi Mumbai
Even as the Kerala government has come down heavily on multi-level marketing (MLM) schemes, many such companies are continuing their operations in other states and cities. PI Marketing Private Limited (PIPL) or Penta World India, which is under the radar of the Kerala Police, is one such company—which is rapidly expanding in Navi Mumbai.
PIPL has a business model similar to a typical MLM scheme. It promises income after the initial buyer introduces people to buy its product. The level of income increases as the number of people under the initial buyer increases. These binary incentives can fetch you Rs1,000 to Rs1.30 lakh in 12 weeks. The company claims, "PIPL compensation plan is designed to reward everyone at all levels of activity, from the part-time distributor to those that are participating full time."
The joining package of the company starts from Rs5,490. For the binary incentive, there is a ceiling of Rs1.30 lakh per week. Like every other MLM company, PIPL is no exception when it comes to direct referral bonus. The level of such income varies according to the product package.
For the daily binary income, for introducing one pair—the 'left and right hand' side, a 30-pair value (PV) is given, which is the equivalent of Rs300 (1PV= Rs10). The maximum daily income from such an incentive is Rs1,200.
There are various product packages, ranging from Rs1,000 to Rs19,000—with products ranging from vegetable cutters to insurance policies, water purifiers to suit packages. Each product kit 'earns' income either from daily binary, regular binary, e-commerce binary, compressed matrix, sponsor loyalty, or direct referral.
Besides, the company also rewards its members with sponsor loyalty, monthly royalty and foreign trips if a certain target is achieved by the distributor. PIPL has designated ranks and rewards. On achieving a certain target, a distributor may be gifted with cars —which include a Maruti Swift to Volkswagen vehicles, among others.
Experts point out that such tall claims made by MLM companies are workable only in the short-run. From the long-term perspective, such schemes are bound to fail.
PIPL also claims to be in the e-commerce business, offering discounts and points on the purchased product.
Meanwhile, there are a few complaints on the Internet from people who have fallen for the scheme against the company, for being cheated by PIPL.
Again, as Moneylife has been repeatedly pointing out, when will such pyramid or MLM schemes be banned for ever by the powers-that-be?
Commerce secretary Rahul Khullar has said that growth in coming months will be difficult on account of uncertainty in Western markets
New Delhi: India's exports maintained their growth momentum in August 2011, rising by 44.2% year-on-year to $24.3 billion despite the economic woes in traditional Western markets, reports PTI quoting data released by the commerce ministry.
However, the rise was in sharp contract to the 81.79% growth recorded in July at $29.3 billion.
Imports, too, grew by 41.8% to $38.4 billion in August, translating into a trade deficit of $14 billion during the month, as per the data.
However, commerce secretary Rahul Khullar has said that growth in coming months will be difficult on account of uncertainty in Western markets.
During the April-August period, India's exports grew by 54.2% to $134.5 billion, the data shows.
In the April-August period, imports expanded by 40.4% to $189.4 billion. The trade gap during the period amounted stood at $54.9 billion, commerce ministry data showed.
Oil imports during August 2011, were valued at $10.3 billion, translating into a growth of 48.7% compared to the corresponding period last fiscal, while non-oil imports rose to $28 billion, an expansion of 39.4% against the same month of 2010-11.
The data also showed that oil imports during the April-August 2011, period stood at $52.3 billion and non-oil imports during the five-month period amounted to $137 billion.
SBI Debt Fund Series-90 Days–50 closes 5th October
SBI Mutual Fund has launched SBI Debt Fund Series-90 Days-50, a close-ended income scheme.
The investment objective of the scheme is to provide regular income, liquidity and returns to the investors through investments in a portfolio comprising of debt instruments such as government securities, AAA/AA+ bonds and money market instruments maturing on or before the maturity of the scheme. The tenure of the scheme is 90 days.
The new issue closes on 5 October 2011. The minimum investment amount is Rs5,000 and in multiples of Rs10 thereafter.
CRISIL Liquid Fund Index is the benchmark index. Rajeev Radhakrishnan is the fund manager.