Pro HealthyWayz scammers arrested in India ($4.1 million lost)
From the sounds of it, Pro HealthyWayz was your typical MLM autoship recruitment scheme.
Following the duping of 40,000 affiliates for just over $4 million two years ago, an investigation by Indian authorities was launched.
That investigation has now led to the arrest of nine ringleaders behind the scheme.
Pro HealthyWayz had affiliates paying $55 or more a month on autoship.
Autoship available products included
Ved gain (for Increasing weight), Ved Fit (for weight reduction), Gilloy Juice (immunity booster), Ortho Oil, Heart Care, Herbs oil, Herbal Tooth Paste and Ved Life Herbal Powder.
A moisturizer, tan gel, acne lotion, shampoo and “anti-radiant chips” were also available, although these were sourced from other companies.
Pro HealthyWayz ordered product each month to qualify for commissions, which were paid when they recruited others who also ordered each month.
The nine accused, eight of which are younger than thirty,
worked in two companies earlier. While the first company was closed down, the second one in Chennai could not pay the commissions to them on time.
With the experience they earned from their previous jobs, they floated the MLM to make quick money.
As is sadly often the case throughout the MLM underbelly, those scammed turned around and used how they were scammed to scam others – mostly “unemployed youths, homemakers and retired people”.
Out of 40000 distributors no one was cheated they got products for the money they paid with bill and gst receipt.
And recruting people is not what we do. We get paid based in the shopping /turnover of products not on recruitment. How it is a scam.
If u do business u also get profit based on turnover not on recruiting employees. Think about that no customer nor a distributor gave complaint it is not mentioned there.
We r following every guidelines still u publish it without knowing anything. We r not doing any money circulation we are giving products of their money as a customers.
@Naresh
You’ll want to look up the definition of a product-based pyramid scheme.
When you force affiliates to purchase product to qualify for commissions, on affiliates they recruit that also purchase product to qualify for commissions, you’re operating a pyramid scheme.
A legitimate MLM company has retail customers and doesn’t generate 100% or close to sales revenue internally.
The scam element in a product-based pyramid scheme is that the majority of participants inevitably lose money. What products and services you attach to a product-based pyramid scheme are irrelevant.
We are distributers of prohealthywayzs international we don’t found anything wrong in any of products and we got the receipt with gst.
we don’t know why news we’re playing about our company.
So you lack the brain capacity to process what a product-based pyramid scheme is.
Here’s a cookie?
They’ve manipulated a lot of stuff from Bark and Glassdoor reviews which you can tell are tainted from the start.
More over, they’ve been telling their ’employees’ that they have more sales and distributors working with them to give them a fake notion of security.
Pyramid scheme that finally got ousted, hope they go insolvent.
hello the group of BEHIND MLM how do we see that the MLM company we are working with is genuine or not?…
based on the association of government bodies right? as far as I know, it is a member of FDSA … they have their GST and all such kind of stuff… what went wrong?
is the government incompetent or are you? moreover, the products they deal with is certified by AYUSH too …please do explain.
No. “We haven’t been shut down yet” is not the equivalent of legitimacy.
A legitimate company needs retail sales, without which you’re most likely in some sort of pyramid scheme or Ponzi pyramid hybrid. In the case of Pro HealthyWayz it was the former.
Nothing, because neither of those bodies regulates pyramid schemes. Here we have the government doing it’s job and shutting Pro HealthyWayz down. The scammers behind it have been arrested and you’re complaining about your government doing nothing.
Alrighty then.
They have the “international” in their name despite having only one branch. They use this to hire people making them believe that it is an international company.
To the “employees” who say that they are cool with the company’s policies why are you guys paying 55$ for something that wouldn’t even cost a $, as you guys lost your money you want to recover it somehow. for which you are ready to cheat others.
This is a money circulation scheme, if they just want to sell products they can always list it in an e commerce site or start their own website.
The people who started this who claim to be IITians got into IIT solely because of reservation. They weren’t able to pass there hence dropped out of it.
Rizwan Younus don’t have 700 crores ( he is a 420). In their product manual it says all of the products are suppliments or cosmetics and don’t prevent/cure any diseases. But their “distributors” like Tendul siva says that their berry’s Magic Prevents Cancer. LOL
Guys go find a real job.Cheating doesn’t take you anywhere.
as your are said speaking that healthyayz is fake it is done fraud on 40000 people /the meaning if fraud is fake with out giving anything they take money but here all the peopkle are getting genuine products which will get 100% results k.
and as you said it is a money circulation schme see it not a bainary scheme are ratios system its turnover system every person will get a income by doing work.
remid one thing before writing these type of news check weather it is correct or not its business promoting by central governament the body the established to protect this industry that is `FDSA`(FEDARATION OF DIRECT SELLING INDUSTRY).
SEE IF IT IS FRAUD WHY KCR (CHIEF MINISTER OF TELEGHANA) PROMOTES IN 2014 ELECTION MANIFESTO
WHY NITI AYOG CEO AMITHAB KHANT SIR PROMOTES
WHY PM NARENDRA MODI PROMOTES IT
WHY APJ ABUL KALAM SIR PROMOTES IT
WHY DONALD TRUMP PRESIDENT OF USA PROMOTE IT
CAN U ANSWER FORV THIS QUETIONS
False.
It’s called a product-based pyramid scheme and yep, you guessed it – it’s a fraudulent business model.
This is mathematically impossible.
1. You can’t legitimize a fraudulent business model by association.
2. If you believe the President of the US promoted your shitty little Indian pyramid scheme you’re a gullible moron.
I want to ask you guys three things
1. Did you listen to the business plan of Healthywayz
2. Have you worked in any direct selling company or do you have any business of your own & at the same time do you have any knowledge of business
3. Do you have keen knowledge of the law
Yep, and it’s a product-based pyramid scheme.
Having penned over five thousand MLM related articles, I like to think I have some idea.
Yep, and pyramid schemes are illegal.
Thank you for the response Bro. Is it proved in the court that healthywayz is a pyramid scheme?
No idea, that’s for the authorities to sort out. Being legally held responsible for committing fraud is separate to identifying fraud.
An MLM company that primarily generates revenue from affiliates however is a pyramid scheme.
Pro HealthyWayz had no retail, it was all affiliate autoship fees.
You’d have to follow up with Indian police as to how the criminal case is going.
So, this article is only opinion, not the judgement right…
Nope, it is 100% fact that Pro HealthyWayz is a pyramid scheme.
You don’t need a judgement to detect and identify a pyramid scheme.
Please help me bro on what basis we should consider it as a pyramid scheme…
An MLM company having no retail sales is a good start.
Is pro Healthywayz a fake company??
Healthywayz is real in that it’s a real scam. Any notion the business is a legitimate MLM opportunity however is “fake”
Answer me something. There is something called MRP & something called Distributor’s Price. Obviously DP is lower than MRP. But becoming a distributor is free. You just have to register.
Now, when a retail customer gets to know this, will he want to purchase the products at MRP, or become a distributor (or what you pseudo-smart ass call *an affiliate*) and purchase it at 15-20% discount (or a lower price)????
And don’t give me the bullshit that the actual price of the product is the DP and not the MRP. Try better.
So a company can have retail sales, but the retail customers want discount and thus become our distributors.
Product-based pyramid schemes often include retail as pseudo-compliance. The belief is that just having a retail option meets regulatory compliance.
This is incorrect as actual retail sales have to take place. Just having a retail option isn’t enough.
As you’ve pointed out, when it makes no sense to buy retail, chances are there’s little to no retail activity going on.
Little to no retail makes any MLM company a pyramid scheme.
So you’re saying that from tomorrow if Walmart (Ozedit: derail removed, see below.)
Walmart isn’t an MLM company so what they do or don’t do is irrelevant.
If the exkrement was sweet we would shit into coffee. But (unfortunately?) it’s not the case.
There is not reason to speculate “what-if…Walmart”. It’s so simple… Walmart don’t sell club cards (or anything else) to provide discount and MLM commissions for attracting and referencing other customers.
The ringbearers of the so called Pro Healthywayz have made crores of money for themselves by soliciting young blokes of around 18 years age.
They wasted their time and money by giving a false impression of imparting sales skills. It’s bullshit.
Also the CEO Mr. Rizwan has opened one more company called Genething Healthywayz. They apparently check the gene and inform the patients on what possible impairments they would be affected with in future.
Whatever, someone needs to stop this bullshit.
Mee has a distributor I’m telling this i never seen this much big fraud in Telangana.
i invested one lakh in Gene Thing Heatly waz. nothing return i didn’t earn one rupee from this company.
My relatives and friends still see me in different i can’t answer any thing to those people becoz they invested by listening my upline words.
This people manipulate clients while showing fake income recepts and Fool people by showing yesterday i purchased new car Merchandise bez like that etc……
They show royal life style to normal people get attract easy mostly these people target youth like 18+ And retired people.
100% This is one of the Biggest scam over Telangana Don’t get trapped by these people.
Thank you