Zhejiang Jinhua responded to "Million home shopping" was investigated: Electricity quotient variation

The intermediary transaction SEO diagnoses Taobao guest stationmaster buys the Cloud host technology Hall

"Million home shopping" site suspected MLM was seized, the chairman's office has been affixed to the seal

June 11, Zhejiang billion E-commerce Co., Ltd. and its "Million Home Shopping" rebate website for suspected network marketing, by the relevant departments according to the law investigated. At present, the Public Security department in Jinhua within the scope of the arrests of 47 people involved in the criminal compulsory 25 people.

"0 cost consumption" pattern expands rapidly

Zhejiang billion E-commerce Co., Ltd. was founded in May 2010, "Million Home shopping" site was also established.

At the beginning of the establishment, "million home shopping" is only a 1.65 million yuan annual turnover of the third party Shopping Guide Network, the basic website business is limited in Jinhua. However, by the end of May this year, "million shopping" has more than 2,300 counties in the country with Agent Point, Entity Federation stores throughout the country more than 2,300 counties and cities, a total of more than 90,000 franchisee, with a dividend right of more than 700,000 senior members.

Attract such a large number of consumers and franchisee to become a "million shopping" members, it is "you spend, I return money, 0 cost shopping" so the temptation of a very strong rebate model.

According to the million rebate model, franchisee sales of 500 yuan in the amount of products, need to pay 16% commission to "million home shopping", which 16% is "million home shopping" rebate source. For example, franchisee sales of 1000 yuan merchandise, we must take out 160 yuan to turn over to "million home shopping."

For consumers, "million home shopping" for every 500 yuan divided into 1 dividend rights, that is, consumers buy 500 yuan merchandise, you can get 1 dividend rights, 1000 yuan is 2 dividend right. And so on, each dividend right to the maximum rebate of 1 yuan per day. If you spend 500 yuan a day, you may receive 1 yuan, the account accumulated 100 yuan can be taken out. Theoretically, after 500 days, consumers will be able to recover all the consumption money, eventually become "0 cost consumption."

MLM Core under the guise of electronic commerce

Some people may ask: "Million home shopping" from scratch, from small to large, has been operating for two years. Is there any vacancy problem in Government administration?

Similar to the "Million Home Shopping" rebate site in the country more than 2000, and its modus operandi of the blind and deceptive closely related to its legitimacy and illegality, online and net, real transactions and false transactions intertwined with each other, blinded by its nature, risk judgment.

At first, "Million Home Shopping" rebate model is regarded as an e-business innovation model, "stones", but in the development process, the third party shopping platform by the pyramid marketing organizers to use, the primary model gradually changed, the site operation situation increasingly complex and controversial.

Especially February 15, 2012, "Million Home shopping" launched "one Yuan rebate" super high Return policy, the franchisee and the number of members of the rapid expansion. Many members drilled a rebate shopping model loophole, only pay 16% "commission", no longer offline commodity transactions, that is, false consumption. As a result, "consumption rebate" has become "return to investment", and the website from "rebate promotion" gradually become "rebate speculation" of the financial game, until suspected MLM.

More serious is, "million home shopping" in the Senior member rebate also appeared in the team pay phenomenon. "Million Home shopping" site with different levels of regional agents, gold agents, gold agents, and so on, each agent (business) can be based on their own to absorb the franchisee's performance in accordance with a certain percentage of commission. High Commission to stimulate all levels of agents (business) to recruit new members to join. This makes the franchise behavior essentially became a "pull head", with the later joined the Commission to plug the hole in front of the rebate. Some experts pointed out that the "million Home Shopping" rebate model is the essence of wearing e-commerce new economic jacket, replaced by High-tech core of the new network marketing behavior.

In response to the risk of this model, Jinhua departments have issued a number of consumer warnings: "million shopping site dividend Plan There is a lot of risk, consumers must raise awareness of prevention, so as not to cause unnecessary consumer disputes and economic losses." "and" million home shopping "related to false publicity, beyond the scope of operation, unfair competition and other illegal business activities to carry out continuous investigation and rectification work. However, by the temptation of vested interests, the number of people involved in MLM activities is increasing. Until May 25, the departments concerned decisively ordered the cessation of "one yuan rebate" promotional policy, only to be curbed.

Speculative rebates are not real e-commerce

With the "Million Home shopping" expansion, a large number of domestic rebate network appeared. Legal people say that the recent collapse of the rebate network, not real e-commerce, no real transactions based on the return of the site is not a legitimate profit. Most of the rebate network in the initial period of legitimate market behavior into the investment scam in the process, the law enforcement departments difficult to define, unable to effectively monitor.

"Million Home Shopping" rebate model is different from the traditional entity MLM, no head transfer, joined members do not need a threshold, as long as the site registration can join, nor to the members of the brainwashing training. With the increasing controversy, "million home shopping" constantly adjusted to avoid the sound of social questioning, so that its illegal MLM core more concealment and complexity.

As "million home shopping" cleverly from the surface of the typical MLM phenomenon of pulling head, the threshold required to join, and so on, concealment is very strong. "Million Home shopping," the relevant person said, the company spared no effort to combat "false consumption", but in fact, in order to collect more Commission has been in disguise connivance.

Some members said that at the beginning of this year, "million home shopping" rebate to a few cents a day, or even a few cents, there has been an obvious unsustainable phenomenon. Starting from February 15, the rebate per day for each valid integral is determined to be a dollar and a significant increase in the number of participants.

"Million Home shopping" network marketing seriously disrupted the market economy order and the normal financial order, the impact is very bad. As the case involves a wide range of personnel, the relevant investigative work is still ongoing. Jinhua relevant departments will be strictly punished according to law, and actively create a healthy development of e-commerce good environment.

Four ask "Million home shopping"

Q: At first, the "Million Home shopping" site is regarded as "innovative mode" of E-commerce, why is it classified as suspected of network illegal pyramid marketing was investigated and closed?

A: "Million home shopping" is indeed an e-commerce model, but in the development process, the third party shopping platform by the MLM organization to use, the primary model has gradually mutated. Investigation evidence shows that billion companies to sell goods, providing services and other business activities for the name of the participants in order to purchase goods or receive services in the form of eligibility, in accordance with a certain sequence of members, VIP members, gold members and other levels, directly or indirectly to develop the number of members as compensation or rebate basis, Entice participants to continue to develop members, cheat property and disrupt economic and social order.

Q: How can consumers judge whether the real traditional consumption rebate or network MLM?

A: Jinhua has a total of 19,330 network-related enterprises (excluding self-employed), similar to the million shopping business model and the actual business is operating only 16 companies. There are two main principles to judge the network MLM: one is whether there is a false transaction, and the other is whether there is a fact of development in the process of rebate.

Q: Million shopping suspected of organizing the leadership of marketing crime, then participate in the site rebate agent (business) and how the membership should be qualitative?

A: Regional agents, gold agents, gold agents are to sell goods or provide services, such as business activities for the name, the development of franchisees and members, from the subordinate levels of consumption accumulated compensation, in accordance with the Criminal Law Amendment (vii) 4th, such acts suspected of organizing or participating in MLM, will be prosecuted or administrative penalties.

Q: E-commerce is a new thing, how will the government monitor the future?

A: E-commerce is emerging economy, should vigorously develop, but to prevent the electronic commerce under the banner of MLM and other criminal activities, the supervision of E-commerce business activities, the public security, industry and commerce, business and other departments to play their respective functions, cooperation, common supervision and norms.

In addition, "Million home shopping" type of site there is a large number of false consumption, nor is it true e-commerce.

"Million home shopping" behind the investigation of how the rebate pie into a trap

"Shopping rebate" starts to sour: beware of traps

Million Home Shopping myth Truth survey: Two years swelled tens of thousands of times

Max shopping Rebate Network suspected MLM is closed suspected MLM difficult to define

Zhejiang again check network shopping MLM Case: A number of rebate network has crashed