20 January,2021 05:08 AM IST | Mumbai | Anurag Kamble
A number of arrests were made in the scam in 2013. Representation pic
High-profile arrests made in the multilevel marketing scam QNet have not been able to deter the perpetrators from surfacing once again and cheating people through virtual platforms. The latest victim of the scam has revealed that it still exists and people involved in it have been siphoning off lakhs of rupees.
Navi Mumbai resident, Swati K, 27, met one of the independent representatives (IRs) of the marketing scheme Srikant Dwivedi, winner of Rubaru Mr India 2017 and a finalist of Mr Global 2017, on social media in February last year. During their conversations he told Swati that she could earn good money by investing in a start-up business.
"I had no job then, so I took a loan and borrowed some money from friends and raised R2.80 lakh. I used this money to subscribe to Vtube and Tripsavr (a holiday package). In return, I was made to sit for a number of webinars and zoom calls, of which Srikant was a part," said Swati. Following this, she was asked to get her family members to invest in the schemes but she refused.
Then Srikant allegedly asked her to get some of her friends to invest in the schemes so that she could earn some commission. Thereafter, Swati roped in her friend, Parisha Patel, who invested Rs 2.80 lakh.
"As I was not earning any commission, I started asking Srikant what the matter was. When I did not get any response, I asked for my money back but he refused saying a refund was not possible. That is when I realised that I had been cheated. Both Parisha and I filed police complaints," she added.
"Earlier, seminars and meetings of investors used to happen but after police started conducting raids, the scamsters started cheating people online. Instead of meeting investors in person, they use different apps, which helps them leave no trace behind," said Gurupreet Singh Anand, whose complaint had led to the arrest of the QNet team leaders in 2013.
"There are hundreds of people out there who have been defrauded but they don't want to come forward. I am in the process of sending a legal notice to the perpetrators of the QNet scam to get my money back," added Swati.
Speaking to mid-day, Gurupreet Anand, secretary, Financial Frauds Victims Welfare Association (FFVWA), said, "The QNet scam is surviving in India because of corruption, political patronage and judicial delay. The Government of India needs to wake up and take concrete steps against such money laundering schemes. Government officers and defence personnel are hand-in-glove with these scamsters, especially through their wives and family members, according to the Serious Frauds Investigation report."
When mid-day reached out to Srikant, he said, "I am really surprised that a complaint has been made against me. We are following all the procedures while doing business. I have represented India in other countries and won't be associated with anything that is illegal,"
However, Shatrughna Mali, senior inspector at Kharghar police station said, "We have received the complaint regarding QNet. The matter is being investigated. After a detailed inquiry we will file a case."
2013
Year when the QNet team leaders had been arrested
QNet is a multilevel marketing or direct selling company having a binary pyramid business model that is banned in India. The independent representatives (IRs) would approach people with their products - ranging from bio-discs, watches, herbal goods and holiday packages. The consumer can only take the product if they add more people under them as IRs and the chain would continue. In this, the IRs earn a hefty commission whenever a member is added. The Economic Offences Wing of the Mumbai Police had arrested former billiards champion Michael Ferreira and 29 others in connection with the scam in 2013.
