Amway row may hit US ties

Amway said that the arrest was uncalled for, arrest triggered due to a consumer complaint

Update: 2014-05-28 05:00 GMT
CEO and Chairman of Amway, William S Pinckney arrested (Photo: DC archives)

New Delhi: Condemning the arrest of Amway India MD and CEO William Scott Pinckney, Ficci on Tuesday said the “uncalled” for action may hit Indo-US business ties, while re-emphasising the need for a clear and independent regulatory framework for the direct selling industry in India.

“Ficci is aggrieved and shocked at the sudden arrest of William Bill Pinckney by the Andhra Pradesh police. We condemn this arrest. This move has been initiated by a consumer complaint and could have been easily addressed as a consumer redressal since there was no criminality involved,” Ficci secretary general A. Didar Singh said.

“We have been persistently asking for a clear and independent regulatory framework for the direct selling industry in India. This uncalled action might also have an adverse impact on India-US business relationship,” he added.

Mr Pinckney, who was arrested by Kerala Police last year as well along with two directors under similar circumstances, was on Tuesday placed under arrest by the Andhra Pradesh police in connection with a complaint against the direct-selling firm under the Prize Chits and Money Circulation Schemes (Banning) Act.

The case was filed in December, but the company said that it had no prior information on it. Direct selling firm Amway India termed the arrest of  Mr Pinckney as an “unwarranted act.”

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