MLM And Network Marketing Under Scrutiny In Sri Lanka

Central Bank recently expressed their concern on danger posed by the increasing pyramid schemes and network marketing schemes which is already prohibited by authorities but already started to operate discretely.

According to the Central Bank sources, in the recent past it became aware of the operation of a pyramid scheme which was disguised as a network marketing scheme and had attracted a large number of participants from Sri Lanka. “The Central Bank recognizing the danger of such scheme would pose to the economy and to its participants, took immediate steps to prevent the spread of these schemes. These included initiating changes in the law to make such schemes illegal in Sri Lanka and mounting of an awareness campaign to educate the public on pyramid schemes,” the source said.