These 8 cities were listed by the General Administration of Marketing as the key cities for MLM rectification in 2019

About the State Administration for Market Regulation

Notice on crackdown and rectification work in key cities and areas of pyramid selling in 2019

State and Municipal Supervision Competition [2019] No.

The market supervision bureaus (departments and commissions) of all provinces, autonomous regions, municipalities directly under the Central Government and Xinjiang Production and Construction Corps:

At present, the spread of the spread of multi-level pyramid schemes in different places has been effectively curbed nationwide, but the problem is still prominent in some cities; in some areas, the number of online pyramid schemes is relatively high, and major cases are frequent, which need to be rectified urgently

1.

Among the 11 key MLM rectification cities identified in 2018, some cities have adopted strong measures to crack down and rectify by improving the leadership mechanism for cracking down on pyramid selling and the cooperation mechanism between departments.

According to social feedback, media exposure and the situation grasped at work, Nanjing, Nanchang, Changsha, Nanning, Xi'an, Dalian, Qinhuangdao, and Fangchenggang are listed as key cities in 2019

2.

In recent years, the frequent and high incidence of online pyramid schemes has not only brought economic losses to the participants, but also brought harm to social security, social harmony and stability

3.

(1) Fully understand the importance of carrying out rectification work in key cities and areas of pyramid selling

In the process of rapid economic and social development in some cities, conditions suitable for the survival and development of pyramid selling inevitably emerge.

(2) Improve and improve the working mechanism, and comprehensively strengthen comprehensive management

Cities that focus on MLM rectification should further enhance the leadership mechanism for cracking down on MLM, strengthen the awareness that local governments are responsible for cracking down on MLM, and avoid weakening the working mechanism as soon as the situation improves

(3) Actively take effective measures to prevent and rectify online pyramid schemes

Key areas should continue to promote the innovation of ideas, systems and mechanisms, methods and means of preventing and rectifying online pyramid schemes

(4) Maintain a high-pressure crackdown situation and strengthen publicity, education and warnings

It is necessary to strengthen criminal crackdowns and administrative punishments to investigate major cases, severely punish MLM organizers, leaders and key elements in accordance with the law, but also insist on normalizing crackdowns and cleaning up, so that they can be hit when they are exposed, and investigated when they are discovered, so as to deter ordinary participants

(5) Strengthen regional law enforcement cooperation and promote joint prevention and control
.

When key cities carry out centralized crackdown and rectification operations and personnel disposal and repatriation, they should focus on establishing a law enforcement cooperation mechanism between regions to crack down on pyramid schemes, share information with surrounding areas in a timely manner, exchange information, and prevent pyramid schemes from migrating to other cities and taking root again
.

The Office of Regulating Direct Selling and Crackdown on Pyramid Selling of the General Administration will conduct supervision and inspections of key cities and areas for MLM rectification in a timely manner, and will organize "look back" in a timely manner for cities that have achieved remarkable results in the list of key rectification cities in 2018 to prevent the return of MLM sales
.
For cities and regions where the rectification work has not been effective for a long time, the main leaders and relevant persons in charge will be directly interviewed, ordered to rectify within a time limit, and will be severely criticized within a certain range
.
The market supervision departments of each province, autonomous region, and municipality directly under the Central Government can also determine the key cities (prefectures, prefectures) and counties (districts) for MLM regulation in their regions according to the actual local conditions, and carry out supervision and regulation
.

State Administration for Market Regulation

May 6, 2019