AP High Court Judgment - Amway maintains that it is a legal and ethical... http://www.andhranews.net/India/2007/July/19-Highcourt-Judgement...

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Home / India News / 2007 / July 2007 / July 19, 2007

AP High Court Judgment - Amway maintains that it is a legal and ethical company doing / Print /
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Amway maintained it was a legal and ethical Company carrying out business in public
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judgement to understand the rationale for the dismissal. He added that it was business-
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as-usual in Andhra Pradesh for Amway's 80,000 independent business owners (IBO). The
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New technique Hyderabad, 19th July 2007: Responding to the AP High Court's dismissal to its writ
standardizes petition seeking a declaration that its business model did not fall under the Prize Chits and
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Money Circulation Scheme (Banning) Act, 1978, Amway maintained it was a legal and
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standard candles ethical Company carrying out business in public interest. A company spokesperson
informed that they have yet to see a copy of the judgement to understand the rationale
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may help predict for the dismissal. He added that it was business-as-usual in Andhra Pradesh for Amway's
diabetes nerve loss 80,000 independent business owners (IBO). The Company had earlier obtained orders of
release of the office and godown premises and its stocks under the Criminal procedure
code from the Hon'ble High Court.
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Bill Britt In a message from New Delhi, Mr. Sanker Parameswaran, Director - Legal & Corporate
Amway Cosmetic Affairs, Amway India, said, "we have to study the ruling carefully and take further steps
South Indian Food as advised by our legal counsel ". We are confident that further investigation will simply
Indian Cricket underscore our argument - that we are a legal and ethical company doing business in the
public interest. He maintained that the Company had always co-operated with the
authorities so long as the same was conducted in accordance with due process of law.

For Hyderabad-based Amway business owners, it was another day in office. "Though we
are all disappointed, the Amway distributors of Andhra Pradesh are confident that Amway

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AP High Court Judgment - Amway maintains that it is a legal and ethical... http://www.andhranews.net/India/2007/July/19-Highcourt-Judgement...

will overcome this phase soon. In any case, the business and commitment of Amway
distributors, remains unfazed and we have been able to carry on developing our
businesses."

About Amway India:

Amway offers a unique customer satisfaction or money refund policy for both, business
opportunity and products. If a person joins the Amway business, he/she gets a 90-day
trial period to try the business at the end of which, if the person feels that this business is
not meant for him/her, they can return the business kit and claim a 100% refund of their
investment.

Similarly, consumers may return the Amway product within 30 days of purchase. Here
too, the consumer is covered under a 100% money back guarantee even if the product
has been used up to 30%.

Amway India is a wholly owned subsidiary of the US $ 6.4 billion Amway Corporation,
USA, commenced commercial operations in May 1998 after obtaining necessary approvals
from the Foreign Investment Promotion Board (FIPB), to replicate the Amway model of
doing business in direct selling which has been successfully carried out in over 88 countries
of the world.

Amway has invested in excess of Rs. 151 crores in India, including Rs. 26 crores as FDI.
Rs. 17 crores has been invested in the state-of-the-art manufacturing facilities in India.

Amway has paid Rs 8.88 crores as sales tax in Andhra Pradesh in 06-07.

Amway currently markets over 85 products, in 4 categories (namely, homecare, personal

care, nutrition and wellness, and cosmetics) and have 122 offices and 60 warehouses
across India and has clocked a turnover of Rs. 738 crores last year. Amway contributes to
the government exchequer around Rs. 200 crores as direct and indirect taxes.

For further information, please contact:

S. Viswanath
Amway India, Bangalore
Tel: 0-99020-08963

Rajat Banerji
Amway India, New Delhi
Tel: 0-99719-91006

Rahul Dayama
Hanmer & Partners Public Relations
Tel: 98661-56503

Thanks & Regards,

Neha Agarwal
Consultant
Hanmer & Partners
B 12, Hno: 1-11-94/1/4,
Bombay Halwa Compound,
Shyamlal Building,
Begumpet,
Hyderabad - 5000016
Ph: 040 66327625
Fax: 040 66324621

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Mobile: +91 9885709945

website: www.hanmerpr.com

Hanmer & Partners

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