FINGO selling product through its e-commerce platform under the direct selling license may contravene the law

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Press Statement by YB Chong Chieng Jen:

Ministry of Domestic Trade and Consumer Affairs did not issue any direct selling license to conduct Multi-Level Marketing (MLM) to Fingo (M) Sdn Bhd for conducting business and market their product over the E-Commerce Online Platform.

The ministry has only issued direct selling license to Fingo (M) Sdn Bhd to market 5 (five) items of their product as per listed below through traditional and conventional method hence not through online apps or e-commerce platform:

1.An-Nur Agar Shampoo(NOT180907155K)

2.Sucian Dara(NOT170700515K)

3.Sniper (NOT180801571K)

4.9030 Mix Honey with Cordyceps(KKM.600-7/2/1Jld)

5.Lunia Bird Nest Ess Facial Mask (NOT180501199K)

Under the term and condition of direct selling license, the company is not allowed to market its product through online unless permitted by the controller to do so. So far no permission has been granted.

Therefore, there are two possible ways by which FINGO may contravene the law:

1.Selling the above 5 product through its e-commerce platform; and

2.Selling and promoting its apps or e-commerce platform through direct sell method

Public can also lodge complaints to Ministry of Domestic Trade and Consumer Affairs through web portal e-aduan@kpdnhep.gov.my or via Whatsapp to 019-2794317 or directly walk in to all ministry office nationwide if they sense that Fingo E-Commerce Online Platform is conducting Multi-Level method of doing business to attract people and promoting any kind of scheme giving promises of too-good-to-be-true return investment.

So far, the Ministry has received a few complaints that FINGO is promoting its apps or e-commerce platform in a manner similar to a direct sell method and thus investigation is underway.

As a rule of thumb, it is the advice of the Ministry that if any MLM scheme or direct sell scheme promises high return on minimal work or high return on mere recruitment of members, that is probably money scam or pyramid scheme which is against the law. Do not fall for the greed for easy money. Your gain (quick money) will be some other persons’ losses.

Chong Chieng Jen
Deputy Minister for Domestic Trade and Consumer Affairs