Ban on selling through network marketing will curb commercial fraud

Ban on selling through network marketing will curb commercial fraud

Muscat: The decision to ban selling, advertising, or promotion of goods and services through network marketing schemes will significantly help in limiting commercial fraud, the Ministry of Commerce, Industry and Investment Promotion (MoCIIP) said on Sunday. "The decision will help in protecting competition between institutions and companies, and protecting individuals from engaging in such practices," MoCIIP said. The Ministerial Decision No (105/2021), recently issued by the MoCIIP, aims at preventing such practices. Commentating on the issuing of this ministerial decision, Dr Mohammed bin Rashid Al Badi, Acting Director of the Legal Department at MoCIIP said, "Network or hierarchical marketing activity begins with an individual or by a company at the top of the pyramid, who persuade people to buy a product or subscribe into the group by paying a certain amount of money, with the promise of giving him services or a symbolic profit if he/she can convince others to join his/her list, where the biggest beneficiary is the one who is at the top of the hierarchical group." "It must be noted that there is a lot of confusion among the public regarding hierarchical or network marketing, as most of these concepts are different components of the concept of