Amway received a six-month suspension in Japan as a result of recruitment fraud.
According to a Consumer Affairs Agency study, Amway marketers deceitfully seek victims using dating apps.
cited in Asahi’s October 15 story;
According to the agency’s notice on October 14, two members pestered a lady they met through a dating app to sign up for something without telling her it was for membership in Amway Japan.
The unfortunate woman seemed to have been held as a captive by the males until she joined their team.
To avoid being late for her return home, the woman consented. But before she signed the contract, the woman was not shown any further paperwork.
The actions were taken in 2021, and the suspects were the subject of a criminal investigation. I’m not sure how that case will turn out (language barriers).
The CAA determined it necessary to prohibit Amway in its prohibition.
The two Amway Japan representatives were found to have violated four laws during their recruitment drive: they failed to give their names; they did not disclose the purpose of the recruitment; they did not make the pitch in a public place; they were discovered to have harassed the woman while recruiting her, and they did not exchange the necessary documents with her.
There were two further cases of illicit recruitment via social media.
The CAA decided as a result of the fraudulent behavior;
Amway Japan and its members will not be allowed to solicit new members or propose and agree to contracts for multilevel marketing sales during the six-month term.
Imagine if other nations took misleading MLM recruitment techniques thus seriously, to step back from Japan.
It would undoubtedly help to reduce the use of the marketing ploy “don’t tell them the name of the scam or they won’t join up.”