Anti-Pyramid Scheme Policy
1. Purpose
“Asylum PhytoPharma” is committed to conducting its business in a lawful, ethical, and transparent manner. This Anti-Pyramid Scheme Policy affirms the Organization's strict compliance with the Consumer Protection (Direct Selling) Rules, 2021, and all other applicable laws of India. The Organization strictly prohibits any business practice that constitutes or resembles a pyramid scheme, money circulation scheme, or any unlawful trading arrangement.
2. Zero-Tolerance Policy
Person found participating in or promoting such activities through the Organization's business shall be subject to immediate disciplinary action, including suspension or termination of distributorship, recovery of wrongful benefits where permissible by law, and legal action where appropriate.
3. Legitimate Direct Selling Model
The Company's business model is based on the sale of genuine nutraceutical and wellness products to end consumers.
Compensation paid to Direct Sellers is based primarily on:
- Retail sales of products.
- Personal product sales.
- Sales generated by their sales organization in accordance with the approved Compensation Plan.
- Compliance with Company policies and applicable laws.
No commission, incentive, or bonus is paid merely for recruiting or sponsoring new Direct Sellers.
4. No Entry Fee for Earning Opportunity
No individual is required to pay any joining fee or purchase excessive inventory solely to obtain the right to become a Direct Seller or to earn commissions.
Any registration or starter materials, if provided, shall be offered at a reasonable cost and shall not constitute a source of profit for the Organization.
5. No Inventory Loading
The Organization strictly prohibits inventory loading.
Direct Sellers shall not be encouraged or required to purchase products in quantities that exceed their reasonable ability to sell or personally consume.
The Company maintains fair return, refund, and buy-back policies in accordance with applicable law.
6. Prohibited Practices
Direct Sellers shall not:
- Represent the business opportunity as a quick-rich or guaranteed income scheme.
- Earn or promise income solely for recruiting new participants.
- Collect money from prospective participants for unauthorized investment or membership schemes.
- Operate any unauthorized compensation plan or parallel marketing structure.
- Make false, misleading, deceptive, or exaggerated income or product claims.
- Misrepresent the Company's Compensation Plan or business model.
- Promote chain referral, money circulation, gifting, or similar schemes under the Company's name.
7. Ethical Marketing
All promotional activities shall focus on:
- Genuine product benefits supported by lawful claims.
- Customer satisfaction.
- Long-term business development.
- Honest and accurate communication.
Direct Sellers shall avoid misleading advertisements or unrealistic income representations.
8. Monitoring and Compliance
The Company regularly monitors sales activities, compensation practices, and distributor conduct to ensure compliance with:
- Consumer Protection (Direct Selling) Rules, 2021;
- Applicable consumer protection laws;
- Company policies and Code of Ethics.
The Company may conduct audits, investigations, and compliance reviews whenever necessary.
9. Reporting Violations
Any customer, Direct Seller, employee, or stakeholder who becomes aware of suspected pyramid scheme activity or unethical conduct should promptly report the matter to the Company's Compliance Officer.
All reports will be reviewed fairly and confidentially. Retaliation against any person making a genuine complaint in good faith is strictly prohibited.
10. Disciplinary Action
Violation of this Policy may result
t in one or more of the following actions:
- Written warning.
- Suspension of distributorship.
- Termination of the Distributor Agreement.
- Forfeiture of unpaid commissions, where permitted by law and Company policy.
- Recovery of losses caused to the Company.
- Reporting to regulatory authorities where required by law.
11. Compliance Commitment
Every Direct Seller, employee, and authorized representative of Asylum PhytoPharma shall comply with this Policy, the Distributor Agreement, the Code of Ethics, the Compensation Plan, and all applicable laws governing direct selling in India.
The Organization remains committed to maintaining a transparent, product-driven, and consumer-focused direct selling business that protects the interests of customers, Direct Sellers, and the public.
ASYLUM PHYTOPHARMA .