The work of handling administrative procedures has been implemented in accordance with regulations, the reduction and simplification of administrative procedures have been promoted. The work of inspection, examination and handling of violations has achieved many positive results. The work of propagating and disseminating the law has been deployed simultaneously and actively from the central to local levels. Thanks to that, multi-level sales activities have been basically managed effectively and strictly.
While legal multi-level marketing activities are strictly managed, the forms of transformation based on the multi-level marketing model are still complicated. Models that take advantage of multi-level marketing methods to lure and attract participants still exist and cause negative public opinion in the social community. The Ministry of Industry and Trade , the Department of Industry and Trade of provinces and cities have actively coordinated with police agencies to fight and prevent crimes related to multi-level marketing models, but these types still exist and operate increasingly sophisticatedly, with many new forms of transformation, especially the forms of transformation on the internet environment such as virtual currency, forex, financial investment, etc.
In order to continue to improve the effectiveness of multi-level marketing management and improve the effectiveness of the fight against crimes related to multi-level marketing activities, on October 29, 2024, the Minister of Industry and Trade issued Document No. 8645/BCT-CT requesting the units under the Ministry and the Departments of Industry and Trade of provinces and centrally run cities to continue to carry out tasks to continue to strengthen the management of multi-level marketing activities.
Specifically, the Minister of Industry and Trade assigned the National Competition Commission to:
– Review, propose amendments and complete legal regulations on management of multi-level business activities, in the direction of meeting the requirements of strict management of security and order for multi-level business activities (especially for new licensing cases), preventing risks of security and order violations, manifestations contrary to cultural traditions, ethical standards, and customs of the nation;
– Continue to review and reduce administrative procedures and business regulations in the field of multi-level sales to save resources for both businesses and management agencies in implementing administrative procedures;
– Strengthen inspection, examination and strict handling of violations of the law in multi-level sales activities;
– Continue to implement the work of monitoring law enforcement in the management of multi-level business activities for the Departments of Industry and Trade;
– Actively coordinate with public security agencies in the fight against crimes in multi-level marketing business activities;
– Continue to strengthen propaganda activities, disseminate knowledge and laws to raise people's awareness of multi-level sales activities; coordinate and train officials and civil servants of the Department of Industry and Trade of provinces and centrally-run cities to improve expertise and management skills of multi-level sales.
The units under the Ministry of Industry and Trade are also assigned by the Minister to carry out tasks within the scope of related functions and tasks such as: The General Department of Market Management directs the Market Management Departments on inspection and handling of violations in multi-level sales activities; the Legal Department coordinates in reviewing, researching, proposing amendments and supplements to legal documents on management of multi-level business activities; the Ministry's Office in communication, dissemination of laws, and reform of administrative procedures; the Department of E-commerce and Digital Economy in deploying administrative procedures in multi-level sales activities on the Ministry of Industry and Trade's online public service portal.
For the Department of Industry and Trade of provinces and centrally-run cities, the Minister requested the implementation of many tasks, focusing on a number of measures:
– Strengthen inspection, examination and handling of violations of the law in multi-level sales activities; supervise conferences, seminars and training activities on multi-level sales in the area;
– Actively coordinate with public security agencies in the fight against crimes related to multi-level marketing activities;
– Continue to strengthen propaganda activities, disseminate knowledge and laws to raise people's awareness of multi-level sales activities; train local officials and civil servants to improve their expertise and management skills in multi-level sales.
Immediately after the Minister of Industry and Trade issued the directive, many localities issued documents directing implementation such as Kien Giang , Cao Bang, Dong Nai...
With the synchronous and active implementation of solutions by agencies from the central to local levels, multi-level marketing business activities will continue to be closely managed by the Ministry of Industry and Trade, preventing the maximum risk of taking advantage of this business method for illegal profit.
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