Money Life: Speak Asia can withdraw surveys anytime, says its legal advisor

Senior lawyer Ashok Saraogi has said that since Speak Asia is offering reward points for filling up surveys as an additional benefit, it can withdraw these if its contracts with its clients ends. Notably, not a single official from Speak Asia was present during the press conference called by its legal advisor in Mumbai

Speak Asia (SpeakAsiaonline.com) may stop sending surveys and thus paying money through reward points to its panellists anytime and whenever it feels so.

Mumbai-based senior advocate and Speak Asia’s legal advisor Ashok Saraogi, said, “The company is not selling any surveys to panellists but e-zines to its subscribers. Surveys are offered as additional benefit and can be withdrawn anytime if the company’s contract with clients comes to an end.”

Speaking at a press conference today in Mumbai, Adv Saraogi claimed that Speak Asia is selling its magazine over the Internet, which is allowed under the existing law in India and the company is in the publication business. For the survey business, the company caters to around 50-60 clients, he claimed, without giving out any names. Although Adv Saraogi said that he is a legal advisor for Speak Asia, not a single official from the company was present at the press conference.

There are some news reports about the ownership of Speak Asia which claim that the company is owned by Podium Ring International, a Virgin Islands registered entity and not by Harinder Kaur aka Haren as she is known to all the panellists. Denying the media report, Adv Saraogi said, “Mr Haren and his wife own majority stake in Speak Asia. Its chief executive for India, Manoj Kumar, also holds some stake in the company.”

When asked about the bankers of Speak Asia or the lenders used by the company for banking, Adv Saraogi said the company has accounts with ICICI Bank and ING Vysya Bank. However, he could not tell under which names the accounts are opened. Since Speak Asia is not registered nor has any know your customer (KYC) compliance; no bank would open an account using the company’s name.

According to Moneylife’s investigations, Speak India Network Marketing P Ltd, a registered entity in Mumbai, with Indian directors and Speak India Online, are collecting money from survey panellists and have accounts in ICICI Bank, ING Vysya Bank, State Bank of India and a dozen others. (Read more: The Speak Asia money trail ).

All the people who have enrolled with Speak Asia believe and have been claiming that they are getting money for filing out surveys. Some even said that they have not even heard about the e-zine, for which the company collects Rs11,000. Even the website of the company, the only place where it exists besides Singapore, says it is Asia’s largest online survey company.

Adv Saraogi, however, says that the company’s main product is the e-zine and survey and other activities are “side-products.” Asked why then the company’s site shows only the survey as the product, Adv Saraogi said, “Jismein jyaada paisa milta hai wohi dikhate hain (We display the products which gives us more money). Any company would like to show its best selling product and hence Speak Asia site shows surveys.”

At present, Speak Asia does not offer any refund in case of cancellation of subscription, but Adv Saraogi said he would tell Speak Asia within a week, to allow discontinuation of subscription.

We learn from our investigations and this has been confirmed by Speak Asia officials, that the company is not registered in India and does not have any establishment or office in the country.

This makes it difficult to start proceedings against it, in case somebody wants to file a case. It becomes difficult to file a case in any police station as the company does not have any address in India and hence the police might refuse to lodge a complaint. According to Adv Saraogi, in such cases, one can file a case from whatever location he or she is present and has accessed the website. Police can register a complaint based on the IP address location, he said.

Adv Saraogi added that he would suggest to Mr Haren and his wife, the majority owners of Speak Asia Online Pte Ltd, to set up a permanent establishment in India.

Speak Asia, which claims to sell subscriptions for an e-zine called ‘Surveys Today’, issues electronic payment receipts. Adv Saraogi said that the receipts should be issued in the parent company’s name. However, when pointed out that Speak Asia has been issuing payment receipts under different names, like Online Surveys Today, Haren Ventures Pte Ltd (HVP), the legal advisor said, people use names of subordinates or subsidiaries to lower tax burdens.

He even cited an example saying that he may ask his client to issue payment in his
subordinate’s name, in case he owes some dues to his junior to lessen his own tax burden.

According to media reports, the Ministry of Corporate Affairs (MCA) has started an investigation into Speak Asia and is working together with the RBI and the Securities and Exchange Board of India (SEBI). Similarly, Bharatiya Janata Party’s national secretary, Kirit Somaiyaa, has filed a case against Speak Asia with the Economics Offences Wing (EoW), in Mumbai.

However, Adv Saraogi claimed that as per his knowledge, there is no case registered against Speak Asia anywhere in the country and they have not received any intimation either from EoW or any other authorities.

Mumbai-based Adv Saraogi is a senior lawyer famous for handling mostly criminal cases. He had defended extradited gangster Abu Salem in the 1993 serial blasts trial a few years ago. After the 26/11 attacks in Mumbai, he had even shown his willingness to defend one of the terrorists, Amir Ajmal Qasab, but later dropped the plan after agitations by the Shiv Sena. Last year, he had won a case against Sanjay Dutt over a financial row with producer Shakeel Noorani, which resulted in the attachment of the film star’s house and office in Bandra.

In other case, Adv Saraogi also helped yesteryear’s film star Manoj Kumar to remove a scene from ‘Om Shanti Om’ which the thespian had objected to. Shah Rukh Khan, producer of the film, complied.

BEWARE: Clones mushroom riding on Speak Asia buzz: Business Standard

BEWARE THE SPEAK ASIA CLONES AND LOOK-LIKES RIDING THE MEDIA HYPE

N Sundaresha Subramanian / Mumbai May 20, 2011, 0:00 IST

The apparent success of online survey company Speak Asia has given rise to a number of me-too websites.

Ipanelonline.com, indianpaidsurvey.com and tolunaindia.com are some of the India-specific sites that have launched operations in the last few months to cash in on the survey mania.

There are also international survey websites like surveyscout.com, cashcrate.com and surveyclub.com that are trying to woo bored housewives to make a quick buck without leaving home.

“There are at least half a dozen of them,” said R Balakrishnan, a Chennai-based consultant and columnist. “It’s sheer regulatory blindness that these sites are being allowed to function. Every agency is waiting for somebody to complain. But these cases warrant suo motu action.”

According to experts, most survey sites have a similar modus operandi. These sites ask the visitor to register, usually for a fee. Once registered, the user is promised points for every response. The accumulated points can be later exchanged for exciting prizes, which may go up to $10,000 in some cases.

An entire ecosystem surrounding the survey business has also sprung into action, with websites recommending which survey site is the best value for money.

For example, nonlinesurvey.com lists the top Indian survey websites. “Paid surveys are a nice way to earn extra money online from home. Many new paid survey panels have been launched recently which offer good earning opportunities to Indian. India Online Surveys (inonlinesurvey.com) introduces you to the world of online paid surveys and teaches you how to make money from them,” the website claims.

Another website, surveymonkey.com, allows users to create their own surveys. It offers end-to-end services under various plans to build and maintain surveys. Plans range from as low as Rs 490 per month to Rs 25,000 per year.

IN THE WEB Sites against which IGF has received complaints

http://www.club-asteria.com

http://www.panasiabrokers.com/

http://www.awsurveys.com/

http://www.successidea.in/

http://www.unitradeasia.com

http://www.9wonder.com

http://www.gr2ads.com

http://www.algulfnet.com

http://www.webpaysu.com

http://www.lifetimesolutionsltd.com

http://www.tviexpress.com

http://www.clickbankcave.com

http://www.autocouponcash.com

http://www.surakshaipl.com

http://www.0mlm.com

http://www.elance.com

http://www.buildwealthwithus.com/

Kirit Somayya, president of Investors’ Grievances Forum, said the issue was much larger than Speak Asia and needs a blanket regulation. Somayya said he had received complaints about at least 20 other such websites.

“We are focusing on the larger picture and taking up with all agencies. There are several such survey sites and online businesses which are wooing gullible investors. There is no MLM (multi-level marketing), no product. It’s plain fraud,” Somayya said.

Somayya has lodged complaints against Speak Asia, alleging it to be a fly-by-night operator. Reports suggest several government agencies, including the economic offences wing, Securities and Exchange Board of India, Reserve Bank of India, and Ministry of Corporate Affairs, have initiated probes into the company’s affairs in India.

While such MLM and pyramid schemes have been in vogue for years in different forms, the proliferation of internet has given them a double shot in the arm. The viral effect of web, where an email forward can bring in thousands of new customers, helps rapid expansion. On the other hand, it makes the job of enforcement agencies that much more difficult.

Balakrishnan said, “The internet as a medium is a lot more difficult to police. All this is driven by greed. How can somebody who wants a return of several thousands per week on a Rs 11,000 investment be called an investor?”

‘RBI examining remittances made by Speak Asia’: India Today

Sandeep Bamzai  | New Delhi, May 19, 2011 | Updated 21:02 IST

The Reserve Bank of India (RBI) Governor, D. Subbarao, on Thursday said that the central bank was examining if the remittances made by Ponzi company Speak Asia were in order.

Reacting to the Headlines Today expose on Speak Asia, Subbarao said though the RBI approval was not needed for current account transactions as commercial banks were authorised to do that, it was scrutinising the remittances made by the company.

He said the RBI did not regulate multi-level marketing companies like, Speak Asia. He said the RBI has issued an advertisement alerting the public against falling prey to alluring offers. The RBI governor even sought the help of media to help the central bank in cautioning the public.

MoneyLife: Cheaters in paradise: True lies of SpeakAsia’s Goa bash

The progress of this MLM company reminds one of the Home Trade scam, where the company spent huge money on advertising and signing mega celebrities like Sachin Tendulkar and Shah Rukh Khan to gain publicity, before duping several people, including the stars

Many agents of SpeakAsia, the self-proclaimed ‘biggest online survey company’, have posted comments all over the Internet about the company’s ‘Gen X Bazaar’ event being held in Goa from May 9 to 11 and the special train that was booked to take participants for the programme.

Some agents said, and we quote, “In the entire history of India this has NEVER happened – it’s spectacular. SpeakAsia arranging a special train for SpeakAsians only is a BIG news.” More about the special train and Goa bash later.

The company or its agents-sorry panellists and distributors-are spending huge money on advertising, social gatherings and trying to buy credibility for its dubious MLM scheme. Over the past few weeks, SpeakAsia or its distributors have published half-page ads in leading dailies and run ad films on TV channels, especially during the ongoing IPL cricket matches. So many more people have started searching for information about the company and its online survey scheme.

The company had also issued a public notice some time back. But despite the notice, many other people are also coming together on the Internet, forming groups and forums to prevent the MLM scheme from spreading further.

Following letters from Moneylife to the Reserve Bank of India (RBI) on the issue, the central bank is said to had discussed it and is contemplating action against the MLM company, according to our sources.

Now to the special train and the Goa bash. There is no doubt that booking a special train for a big bash at a beach resort in Goa was done to attract more eyeballs and so hook more gullible people who might choose to join the MLM scheme. For one, booking a special train is not a big deal and can be done by any one who has the money to pay for it. The Indian Railways charges Rs9 lakh as a minimum registration-cum-security amount and the booking must be done 30 days before the date the train is required.

Also, a special train is nothing so special, as people in and around Mumbai are aware. Every year, hundreds of thousands of of people travel by special trains to Mumbai, to pay tribute to Dr Babasaheb Ambedkar on 6th December. (About 200,000 people visited Chaityabhoomi, the memorial site, on 6 December 2010.)

Some SpeakAsia agents have been gung-ho about the cheap fare by the special train. On the contrary, we learn that each agent had to pay $170 for a ticket in the three-tier AC and they were required to pay from their e-wallet accounts, for which the currency conversion rate is Rs50 a dollar. This means the agents paid Rs8,500 or equivalent for the journey by the special train as against the scheduled fare of about Rs1,450.

Some agents said that the $170 included ticket charges and meals. However, even if one were to take into account the ticket fare from Delhi to Goa and back along with meals, the charge should not have been more than Rs5,000 per person. So, the agents paid at least Rs3,500 of their hard-earned money over and above the actual charges from their e-wallet. This excludes the cost of accommodation.

Now about the event. As SpeakAsia often said, it was a Gen X Bazaar, where people (its agents) would come together to shop products from companies like Levis, IFB, Maruti, Skoda, etc. As is the practise with many manufacturers and service providers, they offer additional discounts for a group. (Check some group buying sites) The same logic applies to the Goa bazaar as well and there was nothing special for the agents.

How the agents would carry the products they bought, back home, is a different story. Except for the Levis jeans (that they could wear or carry in their bags) and automobiles (they would have to drive back in the vehicle and forget the special train ride back), all other products would have to be transported and this would cost more money. (Try offering money from an e-wallet to the ‘truckwallah‘ or any local goods carrier.) In addition, the goods purchased at a discount at the bazaar would likely attract local levies, like octroi, that would have to be paid in real currency.

Some agents were very excited about the entertainment programmes in the evenings. According to the information obtained from some blogs, Bollywood actor Rani Mukherjee and Neha Dhupia and performers like Mika Singh and Abhijeet Sawant were there to entertain the agents. All the names mentioned are commercial artists who do entertainment shows anywhere and everywhere for a fee. Here again, nothing special.

A gathering of people under the pretext of a seminar or a bazaar is not unusual, especially in MLM circles. In fact, all multi-level marketing (MLM) companies have such gatherings at posh locations regularly to keep their flock intact and growing. Remember, how JapanLIFE and GoldQuest or QuestNet used to invite people to functions at five-star hotels?

Just for reference, a few years ago, Home Trade endorsed mega celebrities like Sachin Tendulkar, Hrithik Roshan and Shah Rukh Khan to cover up its meticulously planned financial scam.

IBNLive: Somaiya to meet finance, corp affairs ministry on Speak Asia case

Mumbai, May 19 (PTI)  BJP leader Kirit Somaiya, who has lodged a complaint against Speak Asia Online (SAOL) with the Economic Offences Wing of the Mumbai Police, today said he will meet officials from the departments of finance and corporate affairs at the Centre to demand immediate action against the company. SAOL, a Singapore-based multi-level marketing (MLM) company, ran into controversy after some consumer groups complained about the alleged irregularities in its operations.

“SAOL is a ponzi company. It has duped its investors…Tomorrow, I will meet the officials of the ministry of finance and corporate affairs (in Delhi) to demand immediate action against the company,” Somaiya said. Somaiya has also submitted a copy of the complaint to the Securities and Exchange Board of India (SEBI) and the Reserve Bank of India (RBI). SAOL charges an annual fee of Rs 11,000 for subscription for filing online survey form, one per week, and promises to pay Rs 52,000 every year to the subscribers. “We want the Government to initiate an investigation against the officials and promoters of the company as well as seize their passports and freeze their accounts,” Somaiya said.

MoneyLife: Can Speak Asia be tried under the Prize Chits and Money Circulation Act?

Although prima facie, the Speak Asia case appears to be fit for trial under the Prize Chits and Money Circulation Schemes (Banning) Act, the question is since it is not registered in the country, how and where would the proceedings be initiated against the MLM company

Speak Asia (SpeakAsiaonline.com) has been collecting large sums of money by rapidly enrolling people with the promise of incredible payments for simply filling out online surveys. We learn from our investigation and this has been confirmed by Speak Asia officials, that the company is not registered in India and so cannot present any legal documentation. Now, a debate has been set off on whether Speak Asia and its multi-level marketing (MLM) scheme can be banned under the Prize Chits and Money Circulation Schemes (Banning) Act, 1978 (PCMCSB Act).

Only two days ago, the Manipur state government used provisions of the PCMCSB Act to ban MLM companies. The state government said in a notification, “The MLM, though called by very attractive names, squarely falls within the definition of ‘Money Circulation Scheme’ under the Act and hence is prohibited by the Prize Chits and Money Circulation Schemes (Banning) (Manipur) Rules, 1978.”

“This is to inform all the general public, government officials and others concerned that the specific provisions under Prize Chits and Money Circulation Schemes (Banning) (Manipur) Rules, 1978, relevant sections under cheating Section 420 of IPC, Drugs and Cosmetics Act 1940 by the Ministry of Health and Family Welfare, Drugs and Magic Remedies (Objectionable Advertisement) Act, 1954 are abundantly available to be invoked and effectively check and prevent progress of such dubious floated companies,” the notification said.

“Section 3 of Prize Chits and Money Circulation Schemes (Banning) Act, 1978 bans prize chit and money circulation schemes, or enrolment as members to any such schemes, or participation in such schemes. Sections 4 and 5 are penal provisions and prescribe punishment. Section 6 deals with offences committed by companies. Section 7 authorises a police officer, not below the rank of officer in charge of a police station, to exercise power to enter and search premises and to seize things used for such scheme. Section 8 provides for forfeiture of newspaper and publication containing money circulation scheme. The Preamble of 1978 Act declares that it has been enacted to ban the promotion or conduct of prize chits and money circulation schemes and for matters connected therewith and incidental thereto,” the notification said.

Not long ago, the Andhra Pradesh government also used the same Act to ban Japan Life,  Amway and GoldQuest. Shyam Sundar Matham of Corporate Frauds Watch (CFW) says, “The Andhra Pradesh High Court stated in its judgement that the business model of Amway India attracts the provisions of the PCMCS Act, 1978 and it asked the police to continue the investigation and file the charge-sheet in six months. Now the case is pending in the Chief Metropolitan Magistrate’s Court, Nampally, Hyderabad under the same enactment.”

The PCMCSB Act prohibits any entity from promoting, conducting any prize chit or money circulation scheme, enrolling any member of any such chit or scheme, or participating in it otherwise, or from receiving or remitting any money in pursuance of such chit or scheme (Section 3 of the Act). Under the provisions of the Act, the state governments were initially required to frame rules in consultation with the Reserve Bank of India (RBI) for winding up of the companies, which were running in contravention of the Act.

Earlier, the RBI, after receiving a complaint or information, would examine whether there was any prima facie case under the provision of the PCMCSB Act. The central bank would then inform the police, advising investigation and appropriate action. This was done by using the opinion given by the RBI and SR Hegde, the then legal advisor of the central bank, in September 2001.

However, in February 2003, the RBI issued another circular saying that it had no role to play and that its legal opinion (provided in September 2001) should be considered null and void. In the second circular, the RBI said that the PCMCSB Act was to be used by state governments, through consultation with their legal advisors and not depending on the central bank.

This is fine with MLM companies who operate or have offices in a particular state. But, since Speak Asia does not have its own office and is not registered in India, the question is which state government would take action against it? This is why authorities in Uttar Pradesh have taken action against some franchisees, but not against Speak Asia. It is being suggested that the union government, through the Enforcement Directorate (ED) and the Income Tax department (I-T) could initiate proceedings against Speak Asia. (The company says that it has remitted Rs325 crore to Singapore and distributed about Rs250 crore to its agents in India, for filling surveys, without deducting any tax.)

According to media reports, the Ministry of Corporate Affairs (MCA) has started an investigation on Speak Asia and is working together with the RBI and the Securities and Exchange Board of India (SEBI). Last month, Moneylife Foundation sent a letter to Murli Deora, minister of corporate affairs, RPN Singh, minister of state for corporate affairs, the Secretary MCA and other officials, informing them about Speak Asia. (Click to read the letter)

Nowadays, many media organisations are even using our reports on Speak Asia in their stories and correspondence, without acknowledging Moneylife. Its a different story that they all want to take credit for exposing Speak Asia now, purposely forgetting that the content they are using has its origin on the Moneylife website.

The Bharatiya Janata Party’s national secretary, Kirit Somaiyaa, who has filed a case against Speak Asia with the Economics Offences Wing (EOW), in Mumbai, too has used Moneylife reports almost verbatim in his correspondence with the finance ministry, SEBI, RBI and EOW.

Frankly, as long as it serves the purpose we do not mind anyone taking any credit for anything. Our humble request is at least acknowledge Moneylife, which would boost our efforts in the fight against frauds.

SPEAK ASIA PANELIST’S FORUM FORMED

For immediate publication:

Press Release

Mumbai, Thursday, 19^th May 2011:  A group of individuals, all members or panelists of the beleaguered online company Speak Asia Online have formed the SPEAK ASIA PANELIST’S FORUM or simply put the SPEAK ASIA FORUM.

The aim of the SPEAK ASIA FORUM is to liaison with the management of the company Speak Asia Online on behalf of all other members or panelists and to ensure that members or panelists get their dues back.

You can call it a sort of Consumer Forum or Company Union, says Rajesh Singh a spokesperson for the Speak Asia Forum.

“After allegations of Speak Asia Online being a Ponzi scheme or a scam surfaced in the media, we felt the need to provide panelists and members of Speak Asia Online a platform to express their grievances and to clarify their doubts. With this aim in mind, we have set up the SPEAK ASIA FORUM which will serve as an association or union for all the subscribers and panelists of the company,” explained Rajesh Singh. “The Speak Asia Forum will be duly registered as an association of persons and will comply with all other statutory requirements of the Government to represent the lakhs of Speak Asians in India who have ‘invested’ their hard-earned money in the hope and promise of guaranteed returns,” said Rajesh Singh.

The Forum will also liaison with the authorities like the police, the RBI, the Ministry of Finance and the Ministry of Company Affairs as well as the Tax Department and SEBI to ensure that Speak Asia Online does not face a ‘sudden run’ on funds which will force the management to probably flee with subscribers money. The idea is to give the management an opportunity to explain themselves and their business model to the general public and to prove their legitimacy, integrity and legality.

The SPEAK ASIA FORUM can be contacted at: speak.asia.forum (at) gmail.com. All members or panelists of Speak Asia Online are requested and invited to join the SPEAK ASIA FORUM to ensure their rights and grievances are collectively brought together on a common platform. To join this Forum, you need to send an email to the above mail id giving details of your association with Speak Asia Online. Membership to the SPEAK ASIA FORUM is absolutely FREE.

 

SPEAK ASIA PANELIST’S FORUM FORMED

A group of individuals have formed the SPEAK ASIA PANELIST’S FORUM or simply put the SPEAK ASIA FORUM.

The aim of the SPEAK ASIA FORUM is to liaison with the management of the company Speak Asia Online and to ensure that members or panelists get their dues back.

You can call it a sort of Consumer Forum or Company Union, says Rajesh Singh a spokesperson for the Speak Asia Forum.

“After the allegations of Speak Asia Online being a Ponzi scheme or a scam, we felt the need to provide panelists and members of Speak Asia Online a platform to express their grievances and to clarify their doubts. With this aim in mind, we have set up the SPEAK ASIA FORUM which will serve as an association or union for all the subscribers and panelists of the company,” explained Rajesh Singh.

The Forum will also liaison with the authorities to ensure that Speak Asia Online does not face a ‘sudden run’ which will force the management to probably flee with subscribers money. The idea is to give the management an opportunity to explain themselves and their business model to the general public and to prove their legitimacy, integrity and legality.

The SPEAK ASIA FORUM can be contacted at:

speak.asia.forum (at) gmail.com

A Ponzi? Government, police probe Speak Asia: Hindustan Times

What if a company asked you to fill in online survey forms, one per week, and earn Rs 52,000 per year? What if it said you can do that by investing Rs 11,000 as annual charges and recover your costs in under three months? And what if it promised more commissions if you enrolled more members like yourself?

You would be tempted, as 1.9 million members in India were within a period of one year. But Singapore-based Speak Asia Online Ltd (SAOL), a multi-level marketing company operating out of Mumbai in the country, is being investigated by Mumbai police while the Union government is mulling a serious fraud probe into its affairs.

Authorities woke up after critics and investors of Speak Asia’s consumer survey-based business model smelt in it a “Ponzi scheme” — a racket in which new members enrich the old ones resulting in a fragile financial pyramid that might suddenly collapse one day.

The government may ask the Serious Frauds Investigation Office (SFIO) to probe Speak Asia.

“Our officers are examining the details and it is a very sensitive matter involving lakhs of investors,” corporate affairs minister Murli Deora told Hindustan Times.

The catch is that consumer surveys taken by the panel members have no clear or apparent end-user and the company has no business-linked revenue stream yet, though some big corporate names such as ICICI and Nestle have been bandied about.

Harender Kaur, a Singapore national, is the chairperson and CEO of the family-run Speak Asia. The company, which started in India in January 2010, denies any wrongdoing and cites upcoming business revenues to justify its legitimacy.

The company showed $80 million (Rs 360 crore) in revenues in the first year. However, almost $60 million of this were commissions earned from ‘Service Today’ – an online magazine to which members earn subscription as part of their Rs 11,000 membership. Considering that The Economist, an upscale global weekly magazine, charges Rs 5,000 for a full-year’s subscription, this online subscription is  under a cloud.

While earning $80 million in revenues, SAOL paid back $52 million to its  members – and by inference, new members are paying for the old ones. But the company claims that its revenue streams include fees from data exchanges for the content it creates, apart from advertisements.

Manoj Kumar, India CEO for the company, told HT his firm  was not involved in any illegal activity.

“We receive commissions on the magazine sales as the sales go up because of us. It amounts to around 60 million out of the $80 million. (Another) $18 million we got from marketing services where we give our database to various exchanges such as Apine and Cint,” he said.

Product sales were expected through a rewards points scheme through an entity called “Gen X Bazar,” he added.

However, on Tuesday Kirit Somaiya, a former member of parliament and president of the Investors Grievance Forum (IGF), filed a complaint alleging fraud against SAOL with the economic office wing of the Mumbai police, alleging SAOL was a fly-by-night operation.

Himanshu Roy, joint commissioner of police (crime) in Mumbai said, “We have received the complaint, and we would inquire into the matter seriously.”

“We are compliant with all laws of Singapore and there is no case pending against it or its top management, either in India or in any other country,” Kumar said, denying a charge by Somaiya.

The RBI, while does not regulate deposits by multi- level marketing schemes, is concerned though it has no jurisdiction over multi-level marketing companies.

“We view these MLM schemes with suspicion and the last joinees run the maximum risk,” said an RBI official on condition of anonymity.

CEO Kumar said the company had applied to RBI to open its first office in India and had also paid Rs 68 crore to Indian authorities until April 30 this year. SAOL’s investor-workers are a worried lot.

“I have recovered my initial capital at Speak Asia but am worried about the money of people who have joined through me and my own credibility if they lose money,” said Manoj Rawat, a panelist in Dehradun.

Kumar said Speak Asia did conduct surveys aboutNestle, ICICI Bank and Airtel “at different points of time for specific purposes” but not directly.

“We simply offer databases to various market research aggregators and exchanges who in turn use our panels for various purposes,” he added.

(With inputs from Gaurav Choudhury in New Delhi)

Bombay HC summons Speak Asia top brass – India Today

The Bombay High Court has issued summons to five top officials of Speak Asia after the filing of a public interest litigation (PIL).

The summons were issued after a PIL was filed by a group of individuals, called Bharat Jaago, on Wednesday. The group urged the court to order a probe into Speak Asia’s working following which five of its officials, including chief executive officer Manoj Kumar and chief marketing officer Vivek Gautam were summoned.

Speak Asia’s troubles have been mounting ever since a Headlines Today investigation exposed a web of lies about the website’s operations.

The perception has been growing that it is a Ponzi scheme where money from new investors is used to enrich older investors. This leads to a fragile pyramid of funds that simply collapses over time.

Headlines Today has also learnt that the government might ask the Serious Frauds Investigations Officer to probe the affairs of Speak Asia.

The issue is that the consumer surveys taken by panel members of the website have no clear or apparent end-user. The company also has no business-linked revenue stream yet.

Big corporate names have been touted to have done business with Speak Asia, but these claims have fallen flat upon verification.