Companies promoting pyramid schemes prohibited in India

To protect consumers, India's Central Government banned direct selling companies from promoting pyramid or money circulation schemes, as it notified new rules for the industry to be complied with within 90 days.
Currently, companies like Tupperware, Amway and Oriflame are among the key players in the India's direct selling industry.
As per the new rules, state governments will have to set up a mechanism to monitor or supervise the activities of direct sellers and direct selling entities.
These rules will apply to all goods and services bought or sold through direct selling, all models of direct selling and all direct selling entities to consumers in India. These rules apply to those direct selling entities also that are not established in India but offer goods or services to consumers here.
These companies will now also be liable for the grievances arising out of the sale of goods or services by its direct sellers.